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KANBAN is a process by which material can be replenished as per the requirement. KANBAN is a Japanese technology for material replenishment. KAN- means card and BAN means signal. Hence understanding is card which will give the signal for replenishment.KANBAN will have plastic bins and cards. The card will hold the material no, storage location, Bar code, material qty etc and will be kept on the bin once the bin is full. Once the bin is empty, then the card will be on the board. Like that multiple card will be there for a single material with proper serial no.KANBAN is having two master data.1. Control cycle2. Supply areaFirst of all supply area will be created with storage location and responsible person.T code PK05. Put the plant and create new entry.Put storage location and responsible person and save the data.Go to MMSCExclude the storage location from planning(as this is not required to plan through MRP). We can exclude the storage location from customizing also. In this case all the material in the storage location will be excluded for planning.Now the control cycle has to be created.T code PK01Put material, plant, supply area and select classic KANBAN.Put no of KANBAN (means no of bins), No of KANBAN quantity and maximum empty allowed.Select production type also (inhouse/external).This can be done through control cycle maintenance also. T code PKMC. To create new click on Now check MD04 screenTotal stock is 63 and is excluded from MRP. This stock will be consumed in subsequent stage(in next stage)Now check the status of the KANBAN bin. T code PK13NHere three bins are full and two bins are in Wait status. Click to see the legends.Two important status of KANBAN is.If Bins are made full- GR will be doneIf Bins are made empty-Procurement proposal will be created (NOT GI WILL BE DONE)GI is being done through backflush.In actual situation bins are being scanned through RF device and scanning is being done one the Bins are empty or Full.But here we will do through this tab.Lets select one bin and make it empty by One KANBAN processed and Bin became RED. This means Bin is empty.Now check MD04. One Production order created (as empty means one proposal will be created).Make another Bin empty is same process and see MD04 screen.Release both the order. The order type of KANBAN is PP05.Double click on the Bin and you can see the details with order created.Check the stock in MMBEStock is 63. Now select one empty Bin in make it Full The Bin became green.Check the stockIts become 70 unrestricted. Hence 7 nos GR is happened.Repeat the process and check the qty .More 7 no GR happenedCheck MD04. No proposal exist (for all orders GR happened).Few more useful T codesPK11: Plant overview.PK18: For each material production order, DOC no on which the production order got posted can be seen. Status of KANBAN container will be displays also.PK31: Error in KANBAN can be check

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