Key Takeaways
- Kanban is a continuous flow method that visualizes work, limits work-in-progress (WIP), and optimizes flow
- WIP limits can increase team throughput by 40% while reducing delivery time by up to 60%
- Little's Law states: Lead Time = WIP / Throughput -- reducing WIP reduces lead time
- Lean principles focus on eliminating waste (muda), overburden (muri), and unevenness (mura)
- Unlike Scrum's fixed sprints, Kanban enables continuous delivery without prescribed iterations
Kanban & Lean
Kanban and Lean provide complementary approaches to optimizing workflow and eliminating waste. For the PMP exam, understanding these methods helps answer questions about flow-based project management and continuous improvement.
Kanban Origins
Kanban originated in the Toyota Production System (TPS), developed by Taiichi Ohno in the 1940s-1960s. The word "kanban" means "visual signal" or "card" in Japanese. Toyota used physical cards to signal when more parts were needed, creating a "pull system" that reduced inventory and improved efficiency.
David J. Anderson later adapted these principles for knowledge work, creating the Kanban Method for software development and project management.
The Four Core Kanban Principles
| Principle | Description |
|---|---|
| Visualize the Work | Make work visible using a Kanban board |
| Limit Work in Progress (WIP) | Set explicit limits on concurrent work |
| Focus on Flow | Measure and optimize the flow of work |
| Continuous Improvement | Continuously analyze and improve the process |
Additional Foundation Principles
- Start with what you know: Begin with current processes
- Pursue incremental change: Make small, evolutionary improvements
- Respect the current process: Don't disrupt what's working
- Encourage leadership at all levels: Anyone can suggest improvements
The Kanban Board
A Kanban board visualizes work flowing through stages:
| BACKLOG | TO DO | IN PROGRESS | REVIEW | DONE |
| | | WIP: 3 | WIP: 2 | |
|-----------|---------|---------------|----------|----------|
| Item 8 | Item 6 | Item 3 | Item 2 | Item 1 |
| Item 9 | Item 7 | Item 4 | | |
| Item 10 | | Item 5 | | |
Each column represents a workflow state. Cards move from left to right as work progresses.
Work-in-Progress (WIP) Limits
WIP limits control how many work items can exist in each column simultaneously. They are the cornerstone of Kanban's effectiveness.
Why WIP Limits Matter
| Benefit | Impact |
|---|---|
| Increased throughput | Teams can see up to 40% improvement |
| Reduced lead time | Delivery time can decrease by up to 60% |
| Reduced context switching | Focus on finishing, not starting |
| Exposed bottlenecks | Problems become visible quickly |
| Improved quality | Less rushed, more focused work |
Little's Law
Little's Law provides the mathematical foundation for WIP limits:
Lead Time = WIP / Throughput
This means:
- Reducing WIP reduces lead time (when throughput is constant)
- WIP limits create a pull system rather than a push system
- The goal is to optimize the whole system, not local efficiency
Setting WIP Limits
| Consideration | Guidance |
|---|---|
| Per workflow state | Not per person |
| Start conservative | Better to be too tight than too loose |
| Observe and adjust | WIP limits are not fixed forever |
| Team capacity | Consider available resources and skills |
Flow Optimization
Kanban focuses on optimizing flow -- the smooth, predictable movement of work through the system.
Key Flow Metrics
| Metric | Definition | Use |
|---|---|---|
| Lead Time | Time from request to delivery | Customer perspective |
| Cycle Time | Time from work start to completion | Team perspective |
| Throughput | Number of items completed per time period | Capacity measure |
| Work Item Age | How long an item has been in progress | Identifies stuck items |
Bottleneck Identification
When work piles up in a column (exceeding WIP limits), it signals a bottleneck. The team should:
- Stop starting new work
- Swarm to clear the bottleneck
- Analyze root cause
- Implement systemic improvements
Lean Principles
Lean is the broader philosophy that Kanban draws from. Lean focuses on maximizing value while minimizing waste.
The Seven Wastes (Muda)
| Waste | In Knowledge Work |
|---|---|
| Transport | Unnecessary handoffs between teams |
| Inventory | Partially completed work |
| Motion | Switching between tasks/tools |
| Waiting | Delays for approvals, resources, or information |
| Overproduction | Building features not yet needed |
| Over-processing | Gold-plating or unnecessary complexity |
| Defects | Rework, bugs, errors |
Three Types of Waste
| Type | Japanese Term | Description |
|---|---|---|
| Waste | Muda | Non-value-adding activities |
| Overburden | Muri | Unreasonable demands on people/systems |
| Unevenness | Mura | Inconsistent workload or output |
Value Stream Mapping
Value Stream Mapping visualizes the entire flow of work from customer request to delivery, identifying:
- Value-adding steps: Work the customer pays for
- Non-value-adding steps: Waste to eliminate
- Wait times: Delays between steps
- Cycle times: Duration of each step
Value Stream Map Example
Request -> [Wait 2d] -> Design -> [Wait 1d] -> Develop -> [Wait 3d] -> Test -> Deploy
(3h) (8h) (4h) (1h)
Total Lead Time: 6+ days
Value-Adding Time: 16 hours
Efficiency: ~33%
Kanban vs. Scrum
| Aspect | Kanban | Scrum |
|---|---|---|
| Cadence | Continuous flow | Fixed-length sprints |
| Roles | Flexible | Product Owner, Scrum Master, Developers |
| Meetings | As needed | Prescribed events |
| Work limits | WIP limits per column | Sprint capacity |
| Change approach | Can happen anytime | Within sprint boundaries |
| Metrics focus | Lead time, throughput | Velocity, burndown |
When to Use Kanban
- Operations and support work
- Continuous delivery environments
- Work with highly variable priorities
- Teams maintaining existing products
- When sprints feel artificial
PMP Exam Tips
For the PMP exam, recognize Kanban scenarios by these keywords:
- Visualize work on a board
- Limit work-in-progress
- Continuous flow (no fixed sprints)
- Pull system vs. push system
- Optimize flow, not utilization
When a question describes overloaded columns or slow flow, recommend:
- Enforcing or lowering WIP limits
- Focus on finishing before starting
- Identify and address bottlenecks
Key Takeaways
- Kanban visualizes work and limits WIP to optimize flow
- Little's Law: Lead Time = WIP / Throughput
- WIP limits can improve throughput by 40% and reduce lead time by 60%
- Lean eliminates waste (muda, muri, mura)
- Value stream mapping identifies improvement opportunities
- Kanban enables continuous delivery without prescribed iterations
According to Little's Law, what happens to lead time when WIP is reduced (assuming constant throughput)?
Which of the following is NOT one of the seven wastes (muda) in Lean?
What should a team do when a Kanban board column reaches its WIP limit?