Configure event kanban rules
A kanban rule is a material planning and replenishment policy that governs process and transfer activities that are based on kanbans. The kanban rule defines the way in which an item is produced or transferred and links the item to the activities within the production flow.
Event kanban rules define which event triggers the kanban and under what conditions the event kanban should be created.
At the point in time when a kanban rule expires, the active kanbans of the expired rule are counted as kanbans of the replaced rule. When a kanban handling unit for an expired fixed quantity rule is registered as emptied, a new kanban is used for the replaced rule. The circulating cards of the replaced rule are inherited to the replacing rule just the same.
Go to Product information management > Lean manufacturing > Kanban rules to create new event kanban rules.
Watch the following video to see a demonstration of how set up event kanban rules.
The following list describes the fields on Kanban rule FastTab:
Type - Specifies whether the kanban is a manufacturing kanban that creates a kanban process job or a withdrawal kanban that creates a kanban transfer job.
Replenishment strategy - Select Event when creating an event kanban rule.
Kanban rule - Automatically assigned number that identifies the kanban rule.
Product selection - The identification of the product selection of the kanban rule.
First plan activity - Select the first activity of the kanban rule. This option links the kanban to the production flow version activity. The first activity of a manufacturing kanban rule must be a process activity. The first and only activity of a withdrawal kanban rule must be a transfer activity.
Multiple activities - Select this check box to configure multiple activities for the kanban rule. Only manufacturing kanbans can have multiple activities.
Last plan activity - When the Multiple activities check box is selected, select the last activity of the kanban rule. When Multiple activities is selected, the activity flow based on the production flow activity relations can be chosen to produce the kanban-specific flow. The lookup page displays all activities that are downstream from the first activity in the same production flow version.
Register as empty - Select this option to define when material handling units are registered as empty. The options in this field are:
When handling units are received - When the last job of a kanban is completed, the kanbans are registered as empty and disappear from the kanban quantity overviews. This option is the default setting for scheduled kanbans and it can also be used for the other replenishment strategies. When this option is used with the fixed quantity strategy, a new kanban is created whenever the last job of the previous kanban is completed.
When the source requirement is registered - When the products that are supplied by event kanbans are consumed by the demand source, the kanbans are registered as empty; they disappear from the kanban quantity overview in the kanban boards.
Manual (includes scanning empty) - The kanbans must be explicitly registered as empty. Use this setting when products are stored in supermarkets before they are consumed or shipped. This option is the default setting for fixed quantity kanbans.
The following list describes the fields in the Details FastTab:
Product selection - Event kanban rules can specify a product selection of the type Product, Product family, or All.
Product - The kanban rule is valid for a single item number. For items with product dimensions, the kanban rule can be valid for a specific dimension or for all values of the product dimension. The kanban rule is valid for all values of the product dimension by leaving the product dimension of the kanban rule blank.
Product family - The kanban rule is valid for all items and the related product dimensions that are assigned to a single item allocation key.
All - The kanban rule is valid for all products that are supplied by the kanban rule's last activity.
Product - When this option is selected, select the item from the lookup list. If the product carries product dimensions, the Product dimensions fields are activated but not mandatory.
Product family - When this option is selected, select the Item allocation key from the lookup list.
Valid - Effective and Expires - Select the dates when the kanban rule becomes effective and when it expires.
Lead time - View the lead time that is needed to replenish the kanban. The lead time is the actual lead time that is agreed on to replenish a kanban in a supermarket when the handling unit is empty. It is probable that the actual lead time is longer than the calculated lead time.
Unit of measure - The unit of measure that is used with the lead time. When the unit of measure is changed, the lead time is recalculated according to the defined conversion of the old and new units of measure. Only units of measure of the class Time can be used.
The following list describes the fields on the Quantities FastTab:
Maximum quantity - For event kanban rules, enter the maximum product quantity to use for each kanban. The value that is entered in the Default order settings, Stock quantity, and Max. order quantity setting is used as the default value. The Maximum quantity field will override the default, but it cannot be more than the stock quantity setting.
Product quantity variance - Upon completion of a kanban job, a quantity tolerance can be set up for each kanban. Select this check box to allow the finished product quantity to differ from the specified product quantity for each instance of a kanban job that references the kanban rule.
Variance below - Enter the quantity by which the finished product quantity can be less than the specified product quantity.
Variance above - Enter the quantity by which the finished product quantity can exceed the specified product quantity.
Alert boundary minimum - A visual alert can be set up for kanbans to show where planned kanbans are below a defined level. Enter a number of kanbans to define the minimum kanban quantity for each work cell or supermarket. When the number of jobs for active kanbans that are planned does not meet the specified minimum alert quantity, the background color is red instead of green. Active kanbans can have any handling unit status except Empty. The kanban rules are sorted by planning importance based on this alert boundary minimum.
Alert boundary maximum - Enter a number of kanbans to define the maximum kanban quantity for each work cell or supermarket. This boundary helps to visualize excess inventory in a supermarket. It also gives a visual signal when more scheduled or event kanbans than expected are created for a kanban rule.
Automatic planning quantity - To automatically plan a kanban instead of manually loading it onto a work cell, an automatic planning quantity can be set. Enter the number of unplanned jobs that cause automatic planning to occur. An unplanned kanban job has the status of Not planned.
Example: An Automatic planning quantity of 1 will plan every unplanned job. An Automatic planning quantity of 5 will wait for five unplanned jobs to be generated and will then plan all five kanban jobs. A planning quantity of zero must be manually planned on the Kanban schedule board.
Maximum planned jobs - When you use automatic planning of unplanned kanban jobs, enter the maximum number of kanban jobs that are planned for a specific kanban rule. Use this limit to avoid overloading a work cell for scheduled and event kanbans.
This situation could occur due to false demand or exceptionally large customer orders. We recommend that you use this setting and a maximum sales order quantity setting for sales event kanban rules that use capable to promise (CTP) or automatic kanban creation. These settings would limit the impact that erroneous order quantities could have on system performance.
The following list describes the fields on the Kanban and cards FastTab:
Card number sequence - The kanban card number sequence that is assigned to the kanban rule. When a kanban rule is created, the default number sequence from the production parameters is used.
It is a proven best practice to use unique and short number sequences for fixed circulating cards, which help to identify a specific card more efficiently.
Automatic printing - Select the event that causes automatic printing of kanban cards. The options in this field are:
None - Automatic printing is not used. We recommend that you use this setting when circulating cards or electronic kanban processing is used.
Creation - Print kanbans when the kanban is created. We recommend that you use this setting when a physical planning board for event kanbans is used and circulating cards cannot be used.
Plan - Print kanbans when the first job of the kanban is planned. We recommend that you use this setting when a printed kanban card triggers the processing of kanban jobs on the shop floor.
Prepare - Print kanbans when the first job of a kanban flow is registered as prepared.
Start - Print kanbans when the first job of a kanban flow is registered as in progress.
Receive - Print kanbans when the first job of a kanban flow is registered as completed. This option is often used if batch or serial numbers of the finished items are printed on the kanban card
Print picking list with card - Set this slider to Yes to print the picking list with the kanban card.
Print instructions - Select the information to print on the kanban card. The options in this field are:
Work instructions - Print the production instructions document that is attached to the kanban.
Shipping instructions - Print the complete ship to address and tracking information, including batch and serial numbers, on the kanban card.
Circulating cards - Select this check box to use circulating cards with the current kanban rule.
Number of active cards - Enter the number of active circulating cards that are in circulation at a given time for the kanban rule.
Card assignment - Select the method of assigning circulating cards. The options in this field are:
Automatic - When a kanban is created, a card is assigned automatically when these conditions are true: an unassigned active kanban and an unassigned active card exist for a kanban rule. This option is the default setting.
When kanbans are created before circulating cards are created, the cards are assigned automatically when the cards are created. If there is a shortage of cards, when a kanban is registered as empty, the card is automatically assigned to a new kanban. This method is especially useful when circulating cards correspond to a limited number of conveyers, racks, or bins.
Manual - You must assign a card manually on the Kanban schedule board. You can complete the manual assignment when you prepare a kanban job.
Single use kanbans use circulating cards - For fixed quantity kanban rules, select this slider to use circulating cards with single use kanbans. When the slider is not set to Yes, single use kanban cards are created for single use kanbans. Circulating cards are then reserved for use with kanbans that are not created for single use.
The following list describes the fields on the Events FastTab:
Sales event - This field defines that the kanban rule is triggered off of a sales line event. This setting is used to configure kanban rules that fulfill requirements directly from sales orders. Select one of the following options to decide how the kanbans are created:
Not active - Kanbans are not created for sales events.
Manual - You can create kanbans manually for sales events.
Batch - Kanbans are generated during batch processing for sales events.
Automatic - Kanbans are generated when sales events occur.
BOM line event - This field defines that the kanban rule is triggered off of a BOM line event. This setting is used to configure kanban rules that replenish picking lists that are based on production orders. Select one of the following options to decide how the kanbans are created:
Not active - Kanbans are not created for BOM line events.
Automatic - Kanbans are generated when BOM line events occur.
Kanban line event - This field defines that the kanban rule is triggered off of a kanban line event. This setting is used to configure kanban rules that replenish material that is required for a downstream process activity. Select one of the following options to decide how the kanbans are created:
Not active - Kanbans are not created for kanban line events.
Manual - You can create kanbans manually for kanban line events.
Batch - Kanbans are generated during batch processing for kanban line events.
Automatic - Kanbans are generated when kanban line events occur.
Stock replenishment event: This field defines that the kanban rule is triggered off of a stock replenishment event. This setting is used to configure kanban rules that replenish minimum inventory levels. Select one of the following options to decide how the kanbans are created:
Not active - Kanbans are not created for stock replenishment events.
Batch - Kanbans are generated during batch processing for stock replenishment events.
Minimum event quantity - This field defines the minimum quantity that is required on the source requirement to generate event kanbans for the rule. Event kanbans are generated when the quantity of the source requirement is equal to or greater than this field.
- For example, a minimum quantity would be set against a sales line event to define the quantity that represents an exceptional order. Sales order lines that are entered for anything under this quantity would not create an event kanban. Exceptionally large sales order lines would create an event kanban or multiple event kanbans.
Event Kanban handling unit must be received on - Select the status of the source requirement (for example the sales line, kanban job, or production order) that determines when material handling units of the referenced event kanbans must be received. The options in this field are:
None - If sufficient on-hand inventory is available, the material handling units do not need to be received.
Picking - Material handling units must be received before the source requirement can be prepared. For sales events, this means that a packing slip can only be posted when sales event kanbans are received.
Start - Material handling units must be received before a kanban job or production order can start.
Finish - Material handling units must be received before a production order can be reported as finished.
End - Material handling units must be received before a kanban job or production order can be completed.
Delete unused event Kanbans - Enable this option to automatically delete referenced event kanbans that have the handling unit status of Not assigned when the source requirement is registered as finished. This setting is used when the Event Kanban handling unit must be received on field is set to None.
Source requirement reservation - Select this check box to override the current inventory reservation settings for demand source requirements such as sales order lines and production BOM lines. With this setting, the kanban rule can enforce a consistent reservation, for example, to make sure that the components that are supplied by event kanbans are automatically reserved for the source of demand (production order or sales order).