Key Lean Elements
Lean is a systematic enterprise-wide approach to improve the productivity, efficiency and quality of its products or services by eliminating waste and adding value for the customer.
Few Basic Principles for Lean Implementation
- Understand how "value" is perceived by customer
- Remove "waste" from end-to-end "value streams"
- "Flow" information and materials cleanly (without stopping) from start to finish
- Make what is "pulled" by customers, don't build for stock
- Seek perfection through "continual improvement"
Lean Thinking & Lean Implementation
Lean Thinking is the highest state of Lean Implementation whereby each and every stakeholder of the enterprise has a "mindset" to "habitually, unconsciously and selflessly" deploy all the lean principles as a way of daily life and without intervention of any high level management.
How is Lean Beneficial to anyone?
Lean could provide operational improvements by:
- Increasing Customer Satisfaction (Right Quantity, Right Quality, Right Time and at Lowest Cost)
- Shortening Lead Time between Project Inception, Initiation and completion OR by reducing the lapsed time from Material Input to a manufacturing facility and receiving the ready-to-sell finished material (in manufacturing this is also termed as Manufacturing Lead Time or MLT)
- Increasing On-Time -Delivery (OTD) performance
- Improving Product and Services
- Decreasing the cost of quality for product and services
- Reducing overall project tenure (implementation duration)
- Creating more satisfied employees (high employee involvement in doing all the above also termed as Total Employee Involvement OR TEI)
- Lowering operational costs that lead to increased efficiency
What are the Disadvantages of Lean?
Main disadvantage of the Lean, occasionally, is the delay in becoming visible its' benefits. This creates a concern and anxiety among entrepreneurs who are unaware of the powers of Lean.
Lean practices when implemented in right spirit and are well sustained over a long period, enterprise within will undergo many sustainable cultural change which in the longer run far outweighs all short term benefits.
And this is when the organization or enterprise begins to take the shape of a Lean Enterprise. (Refer above the concept of "Lean Thinking and Lean Implementation".
Understanding Lean Elements
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