Question

In: Operations Management

Case Problem - Leaning the Warehouse “We are interested in lean training for our distribution center...

Case Problem - Leaning the Warehouse

“We are interested in lean training for our distribution center workers. Can you provide that for us, Professor Warren?” the (DC) manager inquired.

“Yes, we have training material on lean systems and would be happy to facilitate a series of workshops for you and your employees. We usually start with a week of manager or supervisor training and then move on to front‐line employee workshops one day a week for about two months. As your workers gain experience participating in improvement teams, we would return for day‐long workshops once a month for six months after that. The entire process takes about a year, after which time your facility would have its own lean trainers certified to …”

“Actually,” interrupted the manager, “we don't need to educate our supervisors on lean—just our hourly workers, and I think that could be done in about two days, one day for each shift.”

“I see,” replied Professor Warren. “Perhaps you could tell me more about what your lean objectives are and why you're seeking lean training at this time.”

“Sure. We're implementing a new performance‐based pay system from corporate in which our industrial engineering staff has determined how long workers should take to complete a task and what a day's output should be. We'll be recording task completion times and daily throughput with scanners and comparing those with the standards that have been developed. Those workers who beat the standard receive bonus pay; those who do not risk losing their position. Our pilot project at the Atlanta DC didn't go very well. None of the workers met standard and they didn't seem to get how important this is. For example, they'd be running off looking for tools, or moving the same merchandise several times to get an aisle clear or to reach a pallet in back, or picking what they'd just put away, or stopping one task to work on another more urgent one. So we thought if we taught them lean principles for eliminating waste, it'd be easier to get the job done, and performance against standard would improve.”

What might be some drawbacks in approaching lean implementation in this way? What might be some advantages? Does warehouse work lend itself to lean?

Solutions

Expert Solution

There may be sure drawbacks in approaching lean execution like the DC director. It might neglect to consider the exhibition of workers carrying out different responsibilities. It might likewise force unexpected weight on the workers which may influence efficiency. The craving to win reward or spare their position may make a few workers work wastefully and some way or another fulfill the set guidelines.

There are sure advantages in approaching lean execution like the DC director. The approaches may assist representatives with working all the more effectively. The bait to procure reward may even make them beat the principles now and again. This would expand the general efficiency and result in fruitful undertakings. In addition, these measures may help dispense with squander and in the end assemble an improved group.

Indeed, warehouse work fits lean. The job of lean warehouse the board has gotten significant in the ongoing occasions. It is significant for warehouse work to lean since it normalizes the work process and limits the request handling time. It likewise expels insufficiency and ineffectualness in material taking care of, in this way cutting the expense of work and delivery. It guarantees increasingly successful human asset the board and clears paths for advancement and consistent improvement.

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