Question

Critical Thinking

The global marketplace has witnessed an increased pressure from customers and competitors in manufacturing as well as service sector (Basu, 2001; George, 2002). Due to the rapidly changing global marketplace only those companies will be able to survive that will deliver products of good quality at cheaper rate and to achieve their goal companies try to improve performance by focusing on cost cutting, increasing productivity levels, quality and guaranteeing deliveries in order to satisfy customers (Raouf, 1994).

Increased global competition leads the industry to increasing efficiency by means of economies of scale and internal specialization so as to meet market conditions in terms of flexibility, delivery performance and quality (Yamashina, 1995). The changes in the present competitive business environment are characterized by profound competition on the supply side and keen indecisive in customer requirements on the demand side. These changes have left their distinctive marks on the different aspect of the manufacturing organizations (Gomes et al., 2006). With this increasing global economy, cost effective manufacturing has become a requirement to remain competitive.

To meet all the challenges organizations try to introduce different manufacturing and supply techniques. Management of organizations devotes its efforts to reduce the manufacturing costs and to improve the quality of product. To achieve this goal, different manufacturing and supply techniques have been employed. The last quarter of the 20th century witnessed the adoption of world-class, lean and integrated manufacturing strategies that have drastically changed the way manufacturing firm’s leads to improvement of manufacturing performance (Fullerton and McWatters, 2002).

secondary available data on internet and answer the following questions.

Question:

1. Why Companies adopted Lean Thinking and JIT model?

2. Discuss major types of Waste, companies has to keep in mind during production.

3. Assess the reasons for using lean thinking (suitable examples), what are the benefits from Suppliers to end users?

4. Due to COVID 19 emergency do you think agile supply chain is the right concept in this kind of situation? Give reason with example.

The Answer should be within 4- 5 pages.

The Answer must follow the outline points below:

• Lean Thinking and JIT Concept

• Agile Supply chain

• Their Main functions

• Reasons with suitable Examples

• Reference  

Answer 1

Answer:

Why companies adopted Lean Thinking and JIT Model?

Meaning of Lean Thinking Manufacturing Strategy:

ean concept is basically to minimize the waster as much as possible, keeping in-tact the quality and productivity of the product manufactured. Lean thinking includes 5 principles which are: value, value streams, flow, pull and perfection.

Reasons why companies adopted Lean Thinking is as follows:

1. Lean eliminates non-value work activities from the manufacturing process.

2. For a well-organized manufacturing process.

3. It eliminates waste and saves time spent on unnecessary things.

4. Lean enhances teamwork and cooperation by adopting a new process of manufacturing and working towards it.

5. Lean also provides highly engaged employee culture.

6. Lean provides concept of continuous improvement towards the work and a never ending effort for the management to improvise the process.

Meaning of JIT Model:

The just-in-time (JIT) inventory system is an inventory strategy wherein the management doesnot have to hold any large stock and can operate with continuously low inventory levels. Under this concept, inventory is delivered immediately before they are required in order to minimize storage costs.

Reasons why companies adopted JIT Model is as follows:

1. It helps companies lower their inventory keeping costs.

2. Minimize waste of material.

3. Increase work efficiency.

4. Saves time, resources and money.

5. Easier process for the inventory management.