Abstract
Lean manufacturing has been the buzzword in the area of manufacturing for past few years especially in Japan.
The Kanban system is one of the manufacturing strategies for lean production with minimal inventory and reduced costs.
However, the Kanban system is not being implemented widely by manufacturing companies in Malaysia.
Thus, the objectives of this case study are 1) to determine how does the Kanban system works effectively in multinational
organization; and 2) to identify factors hindering Malaysian small and medium enterprises (SME) from implementing Kanban. Findings of the study suggest that top management commitment, vendor participation, inventory management and quality improvement are important for Kanban deployment and towards lean manufacturing.