What it means
The word is Japanese for a signboard or visual card. The method began in Toyota's factories as a way to signal when more parts were needed. Software teams adapted it into columns such as to do, in progress and done. It differs from Scrum, which plans work in fixed sprints, because kanban lets work flow continuously.
Why it matters when you buy software
Most project management tools offer a kanban board view, so the label alone does not separate one product from another. What differs is the detail: whether the tool supports work in progress limits, custom columns, swimlanes and board-level reporting, and which plan tier includes them. Check these features if your team works from a steady stream of requests instead of fixed sprints.
How it works in practice
A team lists its stages as columns and adds one card for each piece of work. People pull a card into the next column only when they have capacity, and a work in progress limit caps how many cards a column can hold. When a column fills up, the team clears the blockage before starting anything new.
See also: Sprint, Work breakdown structure and the glossary index.