I agree to Ivimike and GregLocock (BTW: Goldratt and followers are strongly against the lean approach. They propose to focus the improvements on the mainly in bottle necks and not on all the flow).
I prepared a sheet/note on this subject, hoping it is useful for the forum.
Gianfranco
lopad@tin.it
PS. Should the text below to appear into the FAQ?
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The Lean Production is typical of organizations that have a reduced number organizational levels (trough the melting of competences) and have higher quality products (1).
The organization with lean production has responsabilities and authorities moved toward the bottom (2) as consequence of the systematic application of the empowerment (3).
Frequently firms with lean production has horizontal organizations and are using the following techniques:
- standardization and normalization
- TQM and Hoshin Kanri (Management by Policies)
- Jit
- SPC
- Kaizen
The lean production is typical of the learning organizations with excellent performances (4)(5)(6).
References
(1) James P. Womack, Daniel T. Jones et alt. - The Machine That Changed the World - The Story of Lean Production.
The authors present the results of a MIT's research that explains why only a few automotive firms have had success on the '90-2000. This book is the first book that introduces the concept of the Lean Production. For anyone who would like to learn anything about the automobile industry in general and, to learn about successful business practices.
(2)Taiichi Ono, Taiichi Ohno - Toyota Production System : Beyond Large-Scale Production.
I warmly advice this book to anybody who want to improve the perception of the improvements on business and manufacturing processes.
(3)Production operators have the authority, when a defect appears, to stop the flow of production, and to make the analysis of first causes, and to define the appropriate corrective actions (this technique is called Jodoka).
(4) Womak, Jones (1989), reported the results measured in automotive sites where the lean production concepts were introduced:
- 50% less of resources
- 50% less of production space
- 50% less on investement of tooling
- 50% less of design activities
- 50% of LT on development
- 70% less of material stocks
- less defects and less reworkings
- increasing of variety on finished products
(5) James P. Womack, Daniel T. Jones - Lean Thinking.
The authors explore the key concepts like value (what do the customers want? as opposed to what do they choose from the limited options we give them?), flow (continuous production is faster and more efficient than batch processing), pull (letting immediate demand determine what is produced rather than sales projections), and perfection (thinking through the ideal way to do things, rather than just improving from where you are today somewhat). Useful for getting seminal ideas.
(6) Bruce A. Henderson, et al - Lean Transformation : How to Change Your Business into a Lean Enterprise.
The authors answer to these questions: What would you do with 50 percent more space? How would you use the money freed by a big reduction in inventory? Would you lower your prices to take share, or would you drop more profit to the bottom line? Pratical guide to build up the Lean Production.
