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3M Confidential.1 11 December 2015. All Rights Reserved.© 3M
Kanban System Project – Chemical Department
3M Confidential.2 11 December 2015. All Rights Reserved.© 3M
 Eliminates past practices of bulk ordering – orders were for the most part placed just a few
times a year.
 Reduce Warehouse footprint by 17 Pallets or 5 warehouse spaces
 We have many other products we order this way = this takes up an enormous amount of
space in the warehouse
 Excess quantity of supplies means they cant be stored together = No visual way to verify
quantities
1st Kanban item in Chem will trial 8 oz Sample Jars
 Less space taken up in warehouse, can visually see on hand quantity in the 1 x dedicated
space = Much less chance of stocking out because its very easy to see what we have and
when we need to re - order
Why Kanban for 3M CHEM??
3M Confidential.3 11 December 2015. All Rights Reserved.© 3M
KANBAN for 8 oz Sample Jars
Max: 16 boxes Max: 24 boxes Max: 42 boxes Max: 36 boxes
Avg. Plant usage
Weekly boxes = 120
- 240 Boxes every 2 wks
Min on hand: 2 x Pallets (348 boxes)
Max on hand: 4 x Pallets (696 boxes)
Understanding
How our Kanban will work
CHEM Supervisors -
Each bld has a dedicated rack/space for sample jar boxes. But Why?
- visual indicator of what is actually on hand in the bldg.
Why is knowing what is on hand important?
- There is a 2 week lead time to re-order from vendor
- Inventory/Purchasing re-orders when 2 pallets remain – leaving aprox 3x weeks on hand;
needs continue to supply every bldg. while waiting for next shipment
- Operators only take what they need for that shift to their work station. (If they will need 2 or
3 jars, don’t take whole box of 12. If all BCs running did that we could have 3-4 days on
hand randomly scattered in the bldg.)
- Pulling more than needed to a bldg (like a pallet)will stock out another bldg
Kanban cards (an ordering card) very easy to use , MS Word
-name of item ie “8 oz sample jars”, 11-digit 3m ID, and a blank space for quantity to be
written in
Shift supervisor on Friday ‘s AM checks the building’ sample jar location.
- Fill out Kanban order card for the quantity needed to get the supply back to the posted
max. (ex. the rack has 10 boxes left in the rack and the label says “max” is 24 boxes, the
order would be placed for 14 boxes.)
- No Later Than 845am on Friday’s - Supervisor places filled out kanban order card in the
building Mail box outside.
Warehouse - providing a driver “milk runner” that will make a run to each bldg.
- Run will be done on Friday day shift (No earlier than 9am – no later than 2pm)
- Driver collects all kanban cards from the mailboxes.
- After kanban cards are collected, driver pulls the needed items from warehouse kanban.
- Driver then delivers orders back to the building the same day.
(Buildings are responsible to move boxes from kanban re-supply drop off shelf and stock
back on designated Kanban shelf.)
Future State - Eventually the card will contain multiple items for Kanban re-supply (ie
Pails & Pail Liners, Drum Liners, yellow sample jars, poly sample jars etc)
• The “milk run” done by the warehouse driver will increase to multiple days a
week due to the increased number of re-supply items. Number of times per
week is TBD
Main Kanban Supply (Bld 26)
• When the quantity reaches the “Min” of 2 Pallets
(enough to supply plant for 2 weeks + 30% overage ) an
order is placed to vendor for 4 x Pallets to refill the “Max”
- Lead time of 2 weeks to receive pallets from vendor.
- Jill / Mary will need to re-order aprox. every 6-8 wks
Weekly Avg. usage (w/ 20% overage)
3M Confidential.4 11 December 2015. All Rights Reserved.© 3M
Milk Run route
Bld. Mail box
location
1
4
3
2
Finish
START Kanban
Supplies
• First milk run - driver follows route to
pick up Kanban resupply cards staring
at bld 16 (currently not set up so will
skip 16 for now) and end with bld 25.
• The driver then returns to bld 26 after
picking up last kanban card from bld
25.
• Driver picks up the needed supplies
from Main Kanban supply area
• Second milk run – once supplies
are loaded up, driver follows same
route again, starting with bld 16
(currently not set up so will skip 16 for
now) and end with bld 25, dropping off
the supplies at each buildings
designated Kanban re-supply drop area
(see slide # 7)
Re-Supply Drop
Location
3M Confidential.5 11 December 2015. All Rights Reserved.© 3M
KANBAN Mail Boxes
 Mailboxes are mounted in a locations on the buildings that facilitates easy pick-up for the warehouse “milk runner” pick
up cards (see next slide for locations)
3M Confidential.6 11 December 2015. All Rights Reserved.© 3M
Locations for Kanban Mail Boxes in Chemical
Supervisors will fill out Kanban order card
and put in the mailboxes
3M Confidential.7 11 December 2015. All Rights Reserved.© 3M
Kanban Order Card – MS word
• Location of Card template:
• Print off Kanban card template
• Fill out Qty needed, bldg, name and
date
3M Confidential.8 11 December 2015. All Rights Reserved.© 3M
Re-Supply Drop Off Locations for Kanban Supplies
- These locations in each
building are where the
Warehouse Milk Run driver
will drop off the 8 oz sample
jars when they return with
the orders
3M Confidential.9 11 December 2015. All Rights Reserved.© 3M
BLD 6 – Updated Respirator policy
Warehouse drivers will be able to drop off supplies inside Bld 6
garage door during Cross-linker run without having a respirator.
3M Confidential.10 11 December 2015. All Rights Reserved.© 3M
 Bldg 6 (16 max)
― 1 x dedicated rack location
― 2nd Floor – 16 box Max
 Bldg 7 (24 max)
― 1 x dedicated rack location
― 2nd Floor (max:24 boxes)
 Bldg 25 (42 max)
― 2 x dedicated rack locations (still need to label one on 3rd floor)
― 1st & 3rd floor (max:30 x boxes 1st flr, 12x on 3rd floor)
Dedicated Rack Locations inside the Chemical buildings
3M Confidential.11 11 December 2015. All Rights Reserved.© 3M
Before and After Bldg 6
Bldg 6, 2nd floor main location Kanban Supplies
3M Confidential.12 11 December 2015. All Rights Reserved.© 3M
Main Warehouse Kanban
A Dedicated Kanban
space has been
allocated ~ 1 X Space
containing the
required 4x pallets
for main Kanban
• Space still needs to be
Labeled “8 oz Sample Jars”
• Still needs a painted re-order
trigger line (when 2x pallets
are remaining in space)

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KANBAN_CHEM

  • 1. 3M Confidential.1 11 December 2015. All Rights Reserved.© 3M Kanban System Project – Chemical Department
  • 2. 3M Confidential.2 11 December 2015. All Rights Reserved.© 3M  Eliminates past practices of bulk ordering – orders were for the most part placed just a few times a year.  Reduce Warehouse footprint by 17 Pallets or 5 warehouse spaces  We have many other products we order this way = this takes up an enormous amount of space in the warehouse  Excess quantity of supplies means they cant be stored together = No visual way to verify quantities 1st Kanban item in Chem will trial 8 oz Sample Jars  Less space taken up in warehouse, can visually see on hand quantity in the 1 x dedicated space = Much less chance of stocking out because its very easy to see what we have and when we need to re - order Why Kanban for 3M CHEM??
  • 3. 3M Confidential.3 11 December 2015. All Rights Reserved.© 3M KANBAN for 8 oz Sample Jars Max: 16 boxes Max: 24 boxes Max: 42 boxes Max: 36 boxes Avg. Plant usage Weekly boxes = 120 - 240 Boxes every 2 wks Min on hand: 2 x Pallets (348 boxes) Max on hand: 4 x Pallets (696 boxes) Understanding How our Kanban will work CHEM Supervisors - Each bld has a dedicated rack/space for sample jar boxes. But Why? - visual indicator of what is actually on hand in the bldg. Why is knowing what is on hand important? - There is a 2 week lead time to re-order from vendor - Inventory/Purchasing re-orders when 2 pallets remain – leaving aprox 3x weeks on hand; needs continue to supply every bldg. while waiting for next shipment - Operators only take what they need for that shift to their work station. (If they will need 2 or 3 jars, don’t take whole box of 12. If all BCs running did that we could have 3-4 days on hand randomly scattered in the bldg.) - Pulling more than needed to a bldg (like a pallet)will stock out another bldg Kanban cards (an ordering card) very easy to use , MS Word -name of item ie “8 oz sample jars”, 11-digit 3m ID, and a blank space for quantity to be written in Shift supervisor on Friday ‘s AM checks the building’ sample jar location. - Fill out Kanban order card for the quantity needed to get the supply back to the posted max. (ex. the rack has 10 boxes left in the rack and the label says “max” is 24 boxes, the order would be placed for 14 boxes.) - No Later Than 845am on Friday’s - Supervisor places filled out kanban order card in the building Mail box outside. Warehouse - providing a driver “milk runner” that will make a run to each bldg. - Run will be done on Friday day shift (No earlier than 9am – no later than 2pm) - Driver collects all kanban cards from the mailboxes. - After kanban cards are collected, driver pulls the needed items from warehouse kanban. - Driver then delivers orders back to the building the same day. (Buildings are responsible to move boxes from kanban re-supply drop off shelf and stock back on designated Kanban shelf.) Future State - Eventually the card will contain multiple items for Kanban re-supply (ie Pails & Pail Liners, Drum Liners, yellow sample jars, poly sample jars etc) • The “milk run” done by the warehouse driver will increase to multiple days a week due to the increased number of re-supply items. Number of times per week is TBD Main Kanban Supply (Bld 26) • When the quantity reaches the “Min” of 2 Pallets (enough to supply plant for 2 weeks + 30% overage ) an order is placed to vendor for 4 x Pallets to refill the “Max” - Lead time of 2 weeks to receive pallets from vendor. - Jill / Mary will need to re-order aprox. every 6-8 wks Weekly Avg. usage (w/ 20% overage)
  • 4. 3M Confidential.4 11 December 2015. All Rights Reserved.© 3M Milk Run route Bld. Mail box location 1 4 3 2 Finish START Kanban Supplies • First milk run - driver follows route to pick up Kanban resupply cards staring at bld 16 (currently not set up so will skip 16 for now) and end with bld 25. • The driver then returns to bld 26 after picking up last kanban card from bld 25. • Driver picks up the needed supplies from Main Kanban supply area • Second milk run – once supplies are loaded up, driver follows same route again, starting with bld 16 (currently not set up so will skip 16 for now) and end with bld 25, dropping off the supplies at each buildings designated Kanban re-supply drop area (see slide # 7) Re-Supply Drop Location
  • 5. 3M Confidential.5 11 December 2015. All Rights Reserved.© 3M KANBAN Mail Boxes  Mailboxes are mounted in a locations on the buildings that facilitates easy pick-up for the warehouse “milk runner” pick up cards (see next slide for locations)
  • 6. 3M Confidential.6 11 December 2015. All Rights Reserved.© 3M Locations for Kanban Mail Boxes in Chemical Supervisors will fill out Kanban order card and put in the mailboxes
  • 7. 3M Confidential.7 11 December 2015. All Rights Reserved.© 3M Kanban Order Card – MS word • Location of Card template: • Print off Kanban card template • Fill out Qty needed, bldg, name and date
  • 8. 3M Confidential.8 11 December 2015. All Rights Reserved.© 3M Re-Supply Drop Off Locations for Kanban Supplies - These locations in each building are where the Warehouse Milk Run driver will drop off the 8 oz sample jars when they return with the orders
  • 9. 3M Confidential.9 11 December 2015. All Rights Reserved.© 3M BLD 6 – Updated Respirator policy Warehouse drivers will be able to drop off supplies inside Bld 6 garage door during Cross-linker run without having a respirator.
  • 10. 3M Confidential.10 11 December 2015. All Rights Reserved.© 3M  Bldg 6 (16 max) ― 1 x dedicated rack location ― 2nd Floor – 16 box Max  Bldg 7 (24 max) ― 1 x dedicated rack location ― 2nd Floor (max:24 boxes)  Bldg 25 (42 max) ― 2 x dedicated rack locations (still need to label one on 3rd floor) ― 1st & 3rd floor (max:30 x boxes 1st flr, 12x on 3rd floor) Dedicated Rack Locations inside the Chemical buildings
  • 11. 3M Confidential.11 11 December 2015. All Rights Reserved.© 3M Before and After Bldg 6 Bldg 6, 2nd floor main location Kanban Supplies
  • 12. 3M Confidential.12 11 December 2015. All Rights Reserved.© 3M Main Warehouse Kanban A Dedicated Kanban space has been allocated ~ 1 X Space containing the required 4x pallets for main Kanban • Space still needs to be Labeled “8 oz Sample Jars” • Still needs a painted re-order trigger line (when 2x pallets are remaining in space)