Primarily due to rapid development of technology in the past thirty years, the market structure throughout the world has changed considerably. Local markets have become accessible to foreign manufacturers, who are able to perform well in their newly established territories in part due to their superior application of technology. In this light, most companies, including small and medium size, have embedded globalization in their expansion strategies, consistently seeking for new markets abroad. Consequently, local manufacturing companies are facing global competition, forcing them to adopt new concepts with respect to people, process and technologies. This document describes these approaches to production planning in detail as well outlines a software solution. The software solution (Production/3) combines both pull and push techniques and enables small to medium size organizations to fully automate their production system while retaining their investment in their legacy enterprise resource planning (ERP) systems.
upper management resources
assigned, there is natural upper bound of material in process. Due to the presence of cards, operator involvement in controlling the flow of the material is enhanced. This involvement and active participation paired with a proactive thinking and reward system enables continuous improvement. The push system on the other hand does not necessarily facilitate this environment. A kanban system best suits a stable material flow where the product mix is fairly stable and not too large, as the card sets are