Push vs Pull System

 

Characteristics

• A station produce the most possible.
• Produce no matter how much can be consume downstream.
• Produce by batch.
• Produce large lots. 
• Forecast the demands from customer.
• Employees perform the same tasks.

Benefits

• In some particular situation, can reduce waste of transport.
• Less prone to starving from shortage.
• Simple to implement.  

Weakness

• Forecasts are often inaccurate.
• High level of WIP.
• Generate waste of over production, delay and inventory.
• Lead time is higher.
• Encourage the silos mentality. 

Characteristics

• A station produce based on the downstream consumer demand.
• Overall production based on the customer demand.
• Small or individual piece lot sizes.
• If no demand, it is not made.

Benefits

• Lead time reduced. (cost reduce, customer satisfaction increase)
• Employees with multiple skills are used more efficiently (natural balancing).
• Minimizes storage space needed. 
• Low WIP.
• Level of waste reduced.

Weakness

• Need a system to control the level of WIP.
• React poorly to high defect rate.
• Suppliers shortage may starve quickly the chain of production.
• High fructuation of demand may require the use of buffers.