Question

   Lean management cycle relates to the strategy the company has implemented in order to minimize or remove duplication, maximize efficiency, raise profitability by increasing consumer loyalty, through lowering expenses and inventory in the course of their service. Therefore, the organization will boost and enhance the total productivity of the business with the aid of this mechanism resulting in improved benefits for the organization. In this form of program, the lean improvement method is introduced because the management of the business has left the company in the most desired condition so issues must be handled so in order to efficiently control the organization’s operation and performance, a lean improvement project strategy is necessary by the client to reduce waste and which improves the total business efficiency.
2.   Lean Improvement Process: Lean Improvement Process is a basic concept which uses for customer satisfaction to increase the customer value by reducing the waste. Basically, lean improvement process creates more value for their customer by using less resourced. (Vcomply Editorial, 2017)
According to functional prospective customer satisfaction and quality performance are very important in the use at the manufacturing center prior to lean process because of following reasons:
Firstly, it reduces cost by eliminating the cost of other resources by reducing waste.
Mostly all organization focus on speed, price rather than customer service but with the lean process we can provide more customer service which increase customer.
With the use of lean manufacturing organization can solve techniques problems which are used to find the root cause of quality issues. (Vcomply Editorial, 2017)
3.   Information technology plays an important role in today’s business world, no matter whether it’s a small size business or big business. IT has helped the organization in many ways like increase performance, more productive, improve the customer experience, save money, communication, and help management to make decision. Information technology has become a backbone for any organization. So, the first thing to develop in any industry is to figure out is how to make more improvement in IT.
The role of information technology in performance measurement can be seen in tools such as ERP software, a centralized company database and decision support system that help the management team to check the company performance data in real time. (Donohoe A, 2019)
This software shows the key information like:
   Company’s finances
   Customers information
   Operational information
   Employees performance
   Sales and Marketing trends
   Inventory level
The above factors are the main component of performance measurement So, with the help of Information technology this quantitative indicators track the progress of your company. If you get this component correctly, then you know whether you are on a right track to achieve your strategy and accomplish your company’s objective.
At the end, my recommendations are, with the help of Information technology with regards to performance measurement, a company can monitors and check its daily operations are on a right track or not and evaluates whether it is accomplishing company’s objective. (Donohoe A, 2019)

question-1

-5>Your group represents the team that has been operating the Lean Improvement Process and you are writing a short executive summary (1 page minimum) to the VP Operations so the VP can show the executive group the recommendations. Based on questions 1-4, and the problems they have identified, write up the executive summary with your conclusions and supporting rationale for these improvements. (25%) See warning in Question 1.

4. 5-6 key metrics (for the balanced scorecard) the company should measure in the manufacturing environment as a result of a lean Improvement initiative are:

• Productivity each quarter - How many units are produced actually? and comparing that to what was expected to be produced will be one of the easy methods to evaluate manufacturing process.

• Customer feedback – Getting customer feedback will help the company to improve customer satisfaction by listening to the customer feedback and thus increasing quality. Better the performance, quality of the product better will be the manufacturing performance.

• Industry benchmark performance- Comparing manufacturing lean processes to the competitors will help the company to improve the quality and production processes.

• Reduction in defect rates- By following the lean manufacturing processes and using six sigmas’ to effectively change to manufacturing processes for the positive.

• Quality improvement – It can be improved by investing in R&D department of the company to positively effect the company’s products and introduce new and improved products to the market.

These measurements are considered as significant as they help in expanding the general profitability of the association by disposing of or diminishing inadequate wastage the reason it serves the association is giving fulfillment to specialist or worker and to a definitive client with the improved nature of items.

Answer 1

After the implementation of Lean Methodology by our team we have observed improvement in a lot of processes which has increased the productivity of the overall system, however there are few small pointers which are of concern and if worked upon properly could make the system even more efficient and effective.

As a part of Lean Methodology we have implemented Six Sigma in the manufacturing process of the company, which has helped reduce the defect per million ratio significantly, however we still produce 50 tonnes less product than we should produce quarterly. This can only be achieved with more involvement of IT and advanced automatic equipment in our manufacturing plant. With the reduction in Defect rates this would also help us reduce physical labour, produce more product and serve the increased customer demand over the last few quarters.

After these methodologies have been implemented, the product quality has improved and so has the demand. We have been receiving excellent customer feedback through our online customer relationship programs, however to keep this system performing efficiently we need to spend 20 % more on Research and Development so that we can follow a continuous improvement plan and substantially increase our market share in the upcoming quarters.

The competitor analysis also reflects the same trend, wherein our competitors are having higher budgets for their teams when talking about Research and development to make sure their digital transformation is up to the par.

So, I suggest a few changes both in terms of technology and budgeting so that the Lean becomes more efficient for us.