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How lean is Lean Manufacturing ?

The tenets :

Y Lean Manufacturing's essence lies in producing with as few people, as little inventory, and as little waste as possible.

Y Lean ensures that each production stage processes exactly 'what', 'how much' and exactly 'when' the next stage wants it.

Y Lean allows enormous variety in products without the kind of change-over costs that customized mass manufacturing involves.

Y Lean embraces every facet of the organization - sourcing, manufacturing, marketing, accounting, and strategic planning.

A technique that not only allows bigger cost reductions than conventional scale economies, lean also dispenses with the necessity for costly, high volume equipment. In fact, it allows a company to be a flexible manufacturer even at smaller volumes.

In general, Lean strategy rests on four pillars :

Just-in-Time

Supply Chain Integration

Cellular Technology

Kaizen

Lean & JIT...

JIT occurs when the parts necessary for each step in that process arrive along that process at the exact time and in the quantity needed. To achieve this, JIT uses techniques like Standardization of processes, Total productive maintenance and Kanban.

Kanban system can be implemented as - a card signaling system that regulates inventory between processes to ensure JIT supplies. In this system, workstations located along production lines only produce to card orders from downstream internal customers. This brings down the inventory of semi & finished products and in turn that of raw materials too.

Lean & Supply Chain...

An ideal lean system is one where the entire value chain, from the supplier to the buyer, is inter-linked by the smooth flow of products. In essence, the processes of planning, implementation and flows of raw materials, WIP, & finished products are carried out in a cost efficient manner to meet customer demands.

Lean is all about supplying the exact quantity at the exact quality and price at the exact location.

Lean & Cell Tech...

Cellular manufacturing systems are designed to process part families in dedicated areas, referred to as manufacturing cells. The benefits associated with the use of manufacturing cells include : reduced order flow time, less WIP inventory, smaller set up times, lower material handling costs, improved job satisfaction and status; and simplified planning and control procedures.

Lean manufacturing eliminates non value added activities in one fell swoop, even the waiting time between processes. So, a company must re-engineer its process layout to create single piece flows. In the traditional batch process, the shop floor is organized according to activities. This is avoided in cell concept.

Lean & Kaizen...

Kaizen is the philosophy of on-going improvement involving everyone - from the CEO to the unskilled worker. If re-engineering is the equivalent of the overhaul of an engine, Kaizen means its continuous fine-tuning. In fact, it is only over a period of time that it pays off, putting the onus on managers and workers to prioritize, standardize and continuously improve.


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