Push systems build to forecast and hope demand shows up. Pull systems build to actual consumption. The difference, executed with discipline, is worth double-digit inventory reductions and near-perfect fill rates.
Why Push Fails
MRP-driven push accumulates inventory where forecasts are wrong and starves lines where they are optimistic. The result is simultaneous excess and shortage — the worst of both worlds.
Building the Pull System
Start with a Plan For Every Part: where each component comes from, who supplies it, and the quantity per unit. Then size kanban loops against real demand and lead time, and enforce supplier delivery boundaries.
RFID-Enabled Replenishment
Scanning a kanban card can electronically generate a discrete purchase order to the supplier, removing manual buying latency and error. This is where pull becomes self-sustaining.
The Results
Across the engagement, inventory turns improved dramatically, the daily shortage list collapsed, and fill rates climbed above 99% — with less cash tied up in inventory.
Key Takeaways
- Pull builds to consumption; push builds to hope.
- A Plan For Every Part is the foundation of any kanban system.
- RFID-triggered POs make replenishment self-sustaining.
- Disciplined pull delivers lower inventory and higher fill rates simultaneously.