Determining the Optimal Network Partition and Kanban Allocation in JIT Production Lines

One way to reduce costs in high volume production lines is to smooth and balance the material flow by means of controlled inventories. Kanban systems are now being implemented worldwide due to their ability of reducing inventories and production lead times. This paper addresses two fundamental design issues in kanban systems and presents an efficient heuristic method for designing such systems. An analytical method for modelling kanban systems and a general-purpose genetic algorithm are integrated in a heuristic design methodology which evaluates the performance of kanban systems using alternative network partitions and allocations of kanbans. As we demonstrate, the heuristic method provides a useful procedure to evaluate the impact of design alternatives and can thus serve as a rough-cut decision support tool which assists managers in the planning of largescale manufacturing systems.