Lean
manufacturing is nothing but applying lean concept to
manufacturing in which appropriate amount of resources are used to
produce goods and services with zero waste. Lean is nothing but the
process of eliminating waste from supply chain system. It focuses
on producing the exact amount of inventory that is needed, when it
is needed and where it is needed.
Company and managers want perfection and this can be achieved by
focusing on zero waste production. This can be
achieved by eliminating unnecessary tools and inventory. Managers
need to review operation activities closely and regularly to
simplify the task to achieve high efficiency. The company and the
managers are responsible to provide training to their employees
effectively so that they can work efficiently to meet the
quality standards. They need to focus on Just In
Time (JIT) concept to have just correct the amount of inventory to
conduct the projected production numbers.
The reasons that company focuses on implementing lean concept
are:-
- Lean manufacturing improve the quality of product by
eliminating waste or defects that is identified and resolved by the
problem solving techniques of lean tools.
- It improves the efficiency because of using line balancing
which make sure that all the employees are working in most
efficient way.
- It reduces the manpower required to complete the task as the
work is standardized and promotes higher efficiency.
- Lean manufacturing enables the company to manage work easily as
the work is standardized and people are aware of their tasks.
- It eliminates problem by investigating and resolving it
effectively.
- It reduce space of production through waste reduction process
thus save space.
- It makes the work more organized thus it create safe work
environment.
The key principles of lean manufacturing are: -
- Value - Value
proposition is nothing but the important and unique attribute of
the product that attracts the customer. To improve and maintain the
competitive advantage, the organization should focus on value
creation by offering varieties of products or services, reducing
the cost by improving the processes and managing both the employees
and customers.
- The value
sream - A value chain in marketing
is nothing but the set of activities performed by the firm in
particular industry for the purpose of delivering a valuable
product or service for the customers. This help the company to
identify the waste associated with manufacturing and delivery of
the product and/or service.
- Flow - Flow of
product or service helps in eliminating the waste. Any waste in
value chain will stop the value chain from moving. So, flow across
the value chain should be designed in such a way that the waste is
minimized and value is increased.
- Pull - Pull
system is generally found in JIT environment. A pull strategy is
nothing but the strategy that focus on motivating customers to buy
their products or to buy a new product if the company has strong
brand image so that the customers will demand the products from the
channel partners. So, the production is based on actual demand, so
using pull system to move inventory is a lean inventory
tactic.
- Perfection -
Lean manufacturing influence perfection. Total Quality Management
(TQM) are practices done by the organization to meet the highest
level of quality. The important thing is to improve the operation
in order to meet the quality in order to maintain customer
satisfaction. It focuses on the fact that the in order to meet the
quality, everyone in the organization should work collaboratively
towards achieving it.