Question

In: Accounting

Explain at least two differences of lean versus agile performance management

Explain at least two differences of lean versus agile performance management

Solutions

Expert Solution

PARTICULARS LEAN AGILE

APPROACH

Lean provides a Holistic approach to make an Organization or process more effective and efficient. lean is more like a philosophy which has different philosophy of cultural change, mindset change along with the tool kit embedded in it. it is based on the philosophy of efficient project management specific to application development. Agile is more of a technique suitable for the software development industry
INDUSTRIES

Lean as a methodology can be used for any industry / business / domain

Agile is specific to increasing the speed of application development in software industry
TOOL KIT

Lean has a brad range of tool kit such as value steam map(VSM), waste analysis, kanban, heijunka , jidoka , multitasking , supermarket , visual management , empowerment etc...

Agile uses a set of tool kit primarily taken from Lean. Some lean tools being used in Agile development are multitasking, kanban, empowerment, visual management etc...
METHOD

it is strategic

it is tactical
CONCERNS

optimization of Production Process

optimization of development process

BORN IN

born in industrial sector with the intention of production system more efficient born in creative and software development environment
QUALITY

Perfect quality

acceptable quality

emphazise on efficient use of resources

emphazis on continuous changes

mass production

mass customisation

minimum inventory

inventory buffer

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