Does COVID‑19 Threaten the Kanban System? A Reality Check

Many consumers have never considered how their groceries arrive, yet supermarkets were the birthplace of practices that evolved into modern just‑in‑time (JIT) manufacturing. The concept of Kanban began in retail, then expanded to manufacturing, where companies like Toyota, Ford, and GM would only order parts when they were needed, eliminating costly inventory and creating a pull system that pushed efficiency to suppliers.

During periods of high interest rates and expensive financing, it was essential for these automakers to avoid the burden of holding inventory. By 1990, Kanban had become a cornerstone of lean production, driving robust purchasing systems and forcing suppliers to innovate for cost control. Even as cheap credit became available, the benefits of the pull system—lower costs, reduced waste, and faster response—remained clear.

When my friend asked why toilet paper was missing, I explained that, unlike expensive goods, toilet paper is inexpensive enough that households can maintain a small personal stockpile without hurting the overall supply chain. The “inventory pull” for such low‑cost items is minimal, so the system continues to function smoothly. This illustrates how JIT can coexist with short‑term shortages without breaking the broader manufacturing rhythm.

In short, COVID‑19 has not killed Kanban or vendor‑managed inventory programs. Companies such as Monroe Engineering act as shock absorbers within the global supply chain, maintaining flow for essential items—from spring plungers to ventilator parts. The pandemic has actually highlighted the resilience of our supply chains, confirming that just‑in‑time inventory remains a robust, proven practice.

So while disruptions are inevitable, the core principles of Kanban endure, ensuring that goods continue to reach consumers even in challenging times.