The TWO-BIN system is a logistic stock system derived from the Kanban system. The origin of this system lies in Japan of the 50’s at the worlds’ biggest car manufacturer: Toyota. The Kanban system is one of the methods to achieve Just-In-Time (JIT) production and matches perfectly with lean manufacturing principles. The goal of JIT production is a perfect combination of products, timing and quantity. In other words, production with only the products that are necessary, on the exact time they are necessary and in exactly the right quantity. In practice, this means continuous production with thousands of different products is possible without keeping large bulk stocks. Ferro Fast applies this system in the area of fastener technology: the TOP-SYSTEM.

The most important advantage of the
TOP-SYSTEM. is the continuous production. By making deliveries JIT there always is enough stock to maintain production. Moreover, it is possible to work more efficiently with potential cost savings in the following areas: procurement, storage, staff, logistics and control. In addition, you always have insight in your fastener usage and you decrease your waste stream because packaging material is no longer necessary.

Because the TWO-BIN system is a pull production system, JIT advantages can be guaranteed. Within your organization, racks containing two bins of different products are placed by Ferrofast. These racks can be placed at several points close to your companies’ production line or in a central location. Both possibilities have their own advantages. The products that are placed within the racks are those products specifically used in that part of the production process. In this way, it is being prevented that products are kept in stock in places where they are not used and products are in close proximity to the production lines. A product is place in two bins behind each other where the first bin serves as stock to grab and the second bin as spare stock. The stock level being kept in the bins is determined by historic demand figures, forecasts on demand, product value, frequency of delivery and dispersion of usage where the stock level of both bins guarantee continuous production.

To make the process of placing bins as smooth and fast as possible Ferro Fast works with a clear location system where bins can be found quickly. This provides advantages for your employees as well as Ferrofast’s employees because without any product specific knowledge products can still be located quickly.

The TWO-BIN system is available in the types

Conceptual representation of the TWO-BIN process: