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STUDY ON LEAN MANUFACTURING- AN IMPORTANT

TOOL FOR INCREASING PRODUCTIVITY


JAY PARTE
DEPARTMENT OF PRODUCTION ENGINEERING
D. J. SANGHVI COLLEGE OF ENGINEERING
MUMBAI UNIVERSITY
MUMBAI, MAHARASHTRA, INDIA
jay.parte1010@gmail.com

Objective: The objective of this article is to understand the concept of lean manufacturing, its philosophy,
various tools and techniques, lean implementation benefits and barrier towards lean implementation. Main
concepts: Lean manufacturing by now is a widely discussed and applied manufacturing philosophy, in a
variety of industries across the globe. The fundamental concept of lean manufacturing is to provide a
quality product while also ensuring that the product does not cost too much to the customer. Most
organizations today are going through a stage where there is a necessity to respond the rapidly changing
customer needs. To sustain their place in the market, many organizations have started following the lean
manufacturing concept. Methodology of the research: This article presents a review of the literature and
attempts to identify the important and useful contributions to this subject. Results: Lean manufacturing
utilizes a wide range of tools and techniques; the choice of tools is situation specific. Many factors
contribute to lean success; not only is it mandatory to implement most of the lean tools, but an
organization’s culture needs transforming too. Companies following lean manufacturing have better
flexibility and a good market share. Moreover, lean manufacturing produces an operational and cultural
environment that is highly conducive to waste minimization.
Keywords: lean manufacturing; wastes; continuous improvement; manufacturing industry

1. Introduction eliminating wastes within the organization (Upadhye,


The concept of lean manufacturing was introduced in Deshmukh, & Garg, 2010). Lean manufacturing when
Japan, and the Toyota production system was the first to implemented successfully results in an increase in
use lean practices. Lean manufacturing helps in production output per person and a reduction in the
enhancing production processes and boosting up the finished goods inventory and work in process (Seth &
employees job satisfaction (Singh, Garg, Sharma, & Gupta, 2005). The ultimate goal of a lean manufacturing
Grewal, 2010c). Lean manufacturing is different from system is to eliminate all wastes from the organization. A
lean system is represented as two pillars: the first is
traditional manufacturing. The traditional ‘jidoka’ and the second is ‘just-in-time’. The main goal of
manufacturing concept focuses on the inventory of the a lean manufacturing system is to produce products of
system, whereas lean manufacturing opposes this higher quality at the lowest possible cost and in the least
concept. The ‘Lean’ concept considers inventory as time by
a waste in the organization. Understanding the
differences between traditional manufacturing and lean eliminating wastes (Dennis, 2007).
manufacturing is very important for organizations if
they want to follow lean practices (Andrew, 2006). The
market is becoming more volatile day by day, so Steps of lean manufacturing implementation
understanding market dynamics is a crucial factor if one
wants to design manufacturing systems better (Gadalla, . Identification of wastes in the system. Many
2010). Lean manufacturing believes the simple fact that
customers will pay for the value of services they receive, organizations need to know that they have many
but will not pay for mistakes (Rawabdeh, 2005). hidden and unhidden wastes in their systems.
. Wastes present in the organization can be of
Introducing lean manufacturing in any type of
industry different types. There is a need to recognize the
has a straightforward impact on manufacturing types of waste and their causes. Lean
manufacturing believes in treating the causes and
processes. Today people have a different perspective on curing the problems permanently. There are
manufactur- ing processes. They understand that the various tools and techniques that are quite helpful
value of a product is defined from the customer’s point in reducing or eliminating these types of waste.
of view, not from an internal manufacturing point of . The next step is to find the solution for the root
view. Lean manufacturing focuses on the elimination of
wastes from the organization. A waste is defined as causes. One must stick to basic lean concepts and
anything that does not add value to the product. Lean tool identify the root causes. Looking at causes might
techniques when combined with SWOT (strength, not help properly, so there is a need to identify the
weakness, opportunity, threats) analysis help in effects of the solution on the entire system.
. The final step in the lean implementation process is
to find the solutions and test the solutions first. Once
solutions are tested then they should be turer as lean can be a survival strategy for them. Lean
implemented. Training and following up are also provides organizations with a competitive edge
important in each and every step explained above. against companies not using lean. So this article will be
One needs to be patient because the useful to practioners but also it will be helpful to
implementation process might take a long time. academics who want to learn and implement lean
(Figure 1) manufacturing concepts.

Industries in many developing countries are working


on old and obsolete techniques of manufacturing. 2. Methodology
Mahapatra and Mohanty (2007) in their study found that
Indian companies were using workers only physically This research article is based on a systematic literature
but not intellectually. There had been no suggestion review. The source of the literature is the Web of
system in the organizations. Singh, Garg, and Sharma knowledge, identified as providing access to the leading
(2010a) conducted a survey in the Indian automobile, citation databases covering thousands of journals
machine tools and manufacturing industries. They worldwide, as well as conference proceedings. As a
created five groups as a parameter of evaluation. These starting point, some books also proved helpful in the
groups were called organizational, supplier, customer, research process. A set of key findings has been
market focus and top management. They found that, for identified from this review. This article would help in
companies to implement lean, they have to focus on establishing a better understanding of lean
management and market issues. Sharma, Gupta, Kumar, manufacturing practices and the challenges that
and Singh (2011) found that supplier issues are crucial companies face during the implementation of lean
for the successful implementation of lean. Many big manufacturing.
companies like Tata motors, HCL and Wipro have In the initial search, there appeared a list of over
successfully implemented lean manufacturing 20,000 research papers associated with the topic of lean.
principles. Thara Engineering and Gold Seal This list was then narrowed by using different keywords
Engineering Products Ltd are some small scale that were related only to the main research topic.
industries that have improved their processes by the According to different combinations of keywords, this
implementation of lean manufacturing. More step reduced the resulting list to about 180 papers for ‘lean
companies, like Bharat Forge, Bajaj, L&T and Boyce, implementation’, about 120 papers for the search
have become more globally competitive. Sundaram- combining ‘lean implementation’ and ‘lean surveys’,
Clayton Ltd cut down their costs by using lean about 83 for ‘lean concept’ and approximately 48
manufacturing concepts. papers for ‘lean and challenges’. The target articles
considered for this review were those published after the
Why is this article relevant? This article is year 2000, but apart from these some important articles
relevant published before 2000 were also taken into
because it focuses and describes the meaning of lean, its consideration. Papers selected from various journals and
principles and benefits, and also the barriers to conferences have been scanned thoroughly and key
implementing lean manufacturing. Lean manufacturing findings and issues are summarized.
techniques have become necessary for today’s
manufac-
3. Literature review
The literature on lean manufacturing is divided into
three sections, namely lean philosophy, lean surveys
Goal
Highest quality at the lowest cost
and lean case studies (Figure 2, Table 1).
in the least time by eliminating waste

3.1. Lean philosophy


The definition of lean, its principles and main concepts,
Jidoka, Just-In-Time come under lean philosophy. According to Womack and
Automation Elimination of All Jones (1996), lean is defined as a process that includes
with a Human Waste five steps: the first step is defining customer value, then
defining value stream, making it ‘flow’, establish pull,
Touch and the last step is striving for excellence. According to
Wong et al. (2009), lean manufacturing can be
characterized by a collective set of key factors or key
Pillar Pilla areas. These key factors are believed to be very
important for its implementation. In the 1980s, changing
r plant to lean production from mass production was
considered to be very difficult. Workers did not take
responsibility for the quality of the product. They
Foundation for Continuous responded only when they knew that management
Improvement is Stability through actually valued their skills. The quote ‘do it right the first
Standardization time’, encourages workers to feel accountable for the
products. Womack et al. (1990) explained how the
movement of
The Seven Wastes

Delay Motion, Over processing, Conveyance, Inventory,


Correction and Overproduction

Figure 1. Basic lean concepts and methods. [Source:


Dennis (2007).
Figure 2. Methodology flowchart.

automobile manufacturing took place from craft processing, excessive inventory, excess motion and
production to mass production and then to lean defects. Less obvious wastes result from variability.
production. The standardization of automobile parts and Dhamija et al. (2011), in his publication stated lean
assembly tech- niques was done by Henry Ford. It takes a organizations are those which utilize less material to
revolution, and as a result low skilled workers and create their work, less human efforts to perform the
specialized machines made the cars cheap for the people. work, less time to design and develop less energy and
(Figure 3) space. Lean organizations focus on customer demand
From the point of view of Bhasin and Burcher and thereby producing high quality products and
(2006), lean is viewed more as a philosophy than a services in most the effective and economical manner.
strategy. Supplier involvement is a must if an Rose et al. (2011) purposed 17 lean practices which are
organization is to reap the rewards of lean practices. considered to be best feasible and relevant to small and
Moreover, lean manufactur- ing should be considered as medium scale characteristics. They suggested that
a continuous improvement process for better results. implementation of lean practices should be done in a
Bhuiyan and Baghel (2005) overviewed the continuous consistent way. Inconsistency in the efforts may not lead
improvement process from the past to the present any organization to avail full benefits from lean
scenario. Continuous Improvement (CI) uses different practices.
methodologies to get better results in an organization.
These methodologies include lean manufac- turing, six-
sigma, lean six-sigma and the balance score card. Hopp
and Spearman (2004) found that continuous 3.2. Lean surveys
improvement efforts are means to achieve high levels of Yan-jiang et al. (2006) did a survey and found that there
pull production (production is based on actual daily had been certain interna motivation factors which were
demand) through eliminating variability in the system responsible for popularization of continuous
and thereby reducing defects in the organization. improvement activities. Malik et al. (2007), compare
Clarity of the term waste must be understood. There continuous improvement activities in two leading Asian
are countries. Results found from surveying were that both
two types of waste, the first type is obvious waste and countries showed good continuous improvement
the second type is less obvious waste. Obvious wastes methodologies but with different proportions.
result from overproduction, waiting, transportation, Mahapatra and Mohanty
inappropriate
Table 1. Classification of the difference lean manufacturing and manufacturing per-
literature. formance. They found some factors to be performance

Focus area Chronological lists of publications enhancing. These factors include internal management,
Lean philosophy Womack, Jones, and Roos (1990)
Womack and Jones (1996) Figure 3. Lean manufacturing publications.
Bhasin and Burcher (2006)
Hopp and Spearman
(2004) Bhuiyan and
Baghel (2005) Wong,
Wong, and Ali (2009)
Dhamija, Srivastava, Khanduja, and
Agarwal (2011)
Rose, Deros, Rahman, and Nordin
(2011) Lean surveys Yan-jiang, Dan, and Lang
(2006)
Malik, Lu, Tian, and Sun
(2007) Mahapatra and
Mohanty (2007) Kuo, Shen,
and Chen (2008) Ferdousi
and Ahmed (2009) Wong et
al. (2009)
Lyonnet, Pillet, and Pralus
(2010) Nordin, Deros, and
Wahab (2010) Eroglu and
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Hofer (2011)
Case studies Karlsson and Ahlstrom (1996)
Gunasekaran and Lyu
(1997) Rother and Shook
(1999) Petroni (2002)
Shah and Ward (2003)
Rawabdeh (2005)
Abdulmalek and Rajgopal (2007)
Chandrasekaran, Kannan, and
Pandiaraj (2008)
Ramesh, Prasad, and Srinivas
(2008) Rajeev (2008)
Alvarez, Calvo, Pena, and Domingo
(2009) Pattanaik and Sharma (2009)
Singh and Singh
(2009) Singh et al.
(2010c)
Simmons, Holt, Dennis, and Walden
(2010) Upadhye et al. (2010)
Wijngaard, Pool, and van der Zee
(2011) Gupta, Garg, and Gupta
(2011) Goriwondo, Mhlanga, and
Marecha (2011) Paranitharan,
Begam, Abuthakeer, and
Subha (2011)
Rajenthirakumar,
Mohanram, and
Harikaarthik (2011)

(2007), survey the adoption of concepts of lean


manufacturing in some small and medium sized
organizations of India. Kuo et al. (2008), listed the
supplies involvement, customer relationship, aspect and
means of supplier chain management. Ferdousi and
Ahmed (2009), advance their research in
Bangladesh garment industry for performance
improvement through lean manufacturing
techniques.
Wong et al. (2009) through their research found
that waste education and continuous improvement
tools of lean manufacturing are most versatile tools
and these tools are easily understood by all the
manufacturers. The top most benefit achieved from
it was found to be cost reduction. They also found
that 5S and kaizen had been other lean tools for
achieving many other benefits in the organization.
They compared large scale and small scale industry
and found that lean manufacturing practices were
better done by large scale industries. Lyonnet et al.
(2010), developed a set of methodologies and
calculated the maturity level in different companies
regarding their understanding lean manufacturing
concept and its main applications. They found
some tools like pull system, value stream mapping
and single piece flow which were least used by the
organizations. Nordin et al. (2010), did their
research in Malaysian automotive industries. They
found 5S and kaizen had been two lean tools which
were driving force in getting results from lean
manufacturing implementation. Eroglu and Hofer
(2011), in their research concentrated in effect of
inventory in the performance of the organization.
They found that there were 33% of industries
which exhibit no significant effect of inventory
leanness in organization performance.

3.3. Case studies


Lean manufacturing is the name given to a team-
based systematic approach for discovering and
eliminating various types of waste (Upadhye et al.,
2010).This section composed of various case
studies of lean manufacturing. There are various
tools which are effectively used for elimination of
wastes in the organization. These tools include
just-in-time, value stream mapping (VSM), kaizen,
material requirement planning, kanban, 5s, etc.
(Table 2)

(a) Just-In-Time (JIT)


It is a tool of lean manufacturing that stands on the
pillars of successful planning and the execution of
events necessary to produce a final product.
Karlsson and Ahlstrom (1996) have stated that
each event and process should be processed in the
right form, in the right necessity to produce goods
and with the right timing. The ultimate objective is
to provide every process with one part at a time,
exactly when there is a need for that part, which is
the principle of JIT. Reducing lot sizes, reducing
buffer sizes, and reducing order lead times are
indicated as the important components of JIT by
these authors. Size of the plant, age of plant and
status inside the unions are three important factors
that have been discussed by Shah and
Table 2. Function of the various lean tation. The various benefits experienced by them after
implementing kaizen were the complete elimination of
tools. Lean tools Function wastes such as lack of quality, rejects, reworking of
products and a considerable amount of expenditure was
JIT Products are pulled through saved.
the production process by
demand.
Kaizen Continuous change (c) Value Stream Mapping (VSM)
towards
improvement VSM is a world-famous graphical tool which helps to
VSM Waste reduction from Value enlighten and analyse the work-flow and to find the
Stream Mapping (lead time value-
reduction)
Material Detailed schedule of inputs
Requirement from added and non-value-added activities contributing to the
plannin final outputs
g
Kanban Movement of parts based on final product. Lean concepts and techniques are used
cards collectively in VSM. Rother and Shook (1999) have
5S Sorting, Set in order, Shine, discussed VSM in which analyses of the current state of
Stan- dardize and Sustain the value stream of a product are carried out. After this
Waste elimination Elimination of what does not redesign, an improved future state of the value stream of
add the product is developed which is mainly focused on the
value to the end product reduction of wastes, the decrease in lead times, and
improvement in the material-flow. Only one map is
required to show the flow of both material and
information, which are found to be important
Ward (2003). JIT and common infrastructural practices characteristics of VSM when comparison is made with
have been found by them to have a positive effect on other such types of technique. Pattanaik and Sharma
efficiency, whereas TQM has had no considerable effect. (2009) stated that processes should be analysed in order
The implementation of JIT in a small scale industry in to reduce non-value-added activities, which will
Taiwan had been carried out by Gunasekaran and Lyu contribute in reducing waiting time, queuing time,
(1997). They started their journey by training the moving time, and other similar wastes.
workers, and then the 5S tool (Seiri (Sorting), Seito (Set Goriwondo et al. (2011) have implemented VSM
in Order), Seize (Shine), Seiketsu (Standardize) and and brought benefit to a bread making manufacturing
Shitsuke (Sustain)) was implemented to improve security company successfully. Defects have been reduced by
in the workplace, the quality of products and the 20%, unnecess- ary inventory by 18% and unnecessary
production of the company. Worker training was given motions by 37%. Ramesh et al. (2008) have drawn a
in the preventive maintenance of their equipment and current state value stream map, and found that some
machines. The traditionally adopted ‘push’ (based on processes are unnecessary and can be eliminated. Singh
forecast demand) system was replaced with a ‘pull’ (based et al. (2010c) demonstrated the outcomes in a
on actual demand) system for obtaining a smooth and production company after the successful
synchronized system, so that products were to be implementation of VSM benefited the firm. In process
produced with the right timing and in the right quantity. inventory reduction, work was found to be decreased by
Barriers faced by the Small and Medium Enterprises to 89.47%, the finished goods inventory was reduced by
implementing JIT had been analysed by Gupta et al. 17.65%, the product lead time was deceased by 83.14%
(2011). The largest barrier to implementing JIT was the and the output per operator was found to be increased by
lack of bargaining power of the 42.86%. Rajenthirakumar et al. (2011) implemented
SME with the outside world. lean on the assembly line of a paint shop in a
manufacturing company. During the study, various
processes were found that were not adding value to the
(b) Kaizen activities of the paint shop. Current mapping showed
that 72.85% non-value-adding activities were present.
Kaizen is a Japanese term which is used for continuous The drying process was found to cause a bottleneck that
improvement; the continuing involvment of everyone – had been contributing a cycle time increment. Further, it
whether managers or employees. Finding, targeting and was found that an improvement could be made if warm
removing waste (muda) in machinery, labor or water was used for the drying process.
production methods refers to kaizen in manufacturing Paranitharan et al. (2011) have analysed and
companies. The JIT approach can be further molded in reformatted an assembly line in the automobile industry.
an approach that is called the continuous improvement Bottleneck times of 155 seconds in machining and 78
or kaizen approach. According to Rawabdeh (2005), seconds in the assembly process were found by
housekeeping, standardiz- ation and waste elimination analysing the current state map. The current layout
are the three pillars on which the kaizen approach is showed that there was a separate station for ram
based. Kai stands for change and Zen stands for the assembly and the cylinder greasing operation. The
better, so kaizen means ‘to change continuously for layout was modified and the idea of a single modular
the better involving every single person in the company’ trolley was introduced for the elimination of this
(Singh & Singh, 2009). Chandrasekaran et al. (2008) problem.
have implemented the kaizen approach to find a solution
to the problem of ‘part mismatching’ in the assembly
line of an automobile company. The kaizen approach (d) Material Requirement Planning (MRP)
has been utilized to eliminate problems step by step by the MRP is a powerful tool that converts the requirements for
collection of data, the analysis of root causes, the end products into a detailed schedule of raw materials.
discovery and selection of one best solution from
various possible solutions, implementation and proper
documen-
Inaccuracies in material planning create many different forms of wastages that are supposed to show
problems, including a decrease in productivity, the their presence in manufacturing systems. Lean tools like
production of non-required inventories and frustration. kaizen, JIT, VSM, 5S, preventive maintenance
MRP helps to estimate correctly the requirements for schedules and Single-Minute Exchange of Die (SMED)
inventories and raw materials and to decrease the have been found successful in finding and eliminating
chances of making unattainable manufacturing plans wastes in medium-sized industries.
(Rajeev, 2008). Petroni (2002) found that there are
many problems involved in the proper execution of 4. Barriers to lean implementation
MRP systems. Wijngaard et al. (2011) found that lean
manufacturing has a great effect in the field of operation The concept of lean manufacturing might look easy but
management. its implementation is not an easy task. The introduction
of lean manufacturing into an organization tends to
change its working culture. Such changes are considered
(e) Kanban to be barriers to the implementation process of lean
Kanban is a simple parts-movement system in which manufacturing. Changes occurring in the organization
material movement between workstations in a tend to change the workers in the organization. Much
production line is based on cards. A supplier should only hard work has to be done to recognise these changes in
deliver parts to the production line as and when they are the organization (Barker, 1998; Stanleigh, 2008).
required, so that there is no storage of parts in the Responding and adapting become difficult when a
production area, which is the basic need of the kanban worker sees a change in the environment of the
system. VSM along with the kanban system was used organization. This barrier can be overcome by adopting
by Alvarez et al. (2009) to implement lean a culture of proper communication and training for
manufacturing on an assembly line. A current state map everyone in the organization. Communication and
was prepared and analysed in order to note down the training will raise the level of understanding and thereby
cycle time of various activities involved in the there will be a motivation culture in the organization
production of the component. It had been clearly (Puvanasvaran, Megat, Hong, & Muhamad, 2009).
highlighted that a push system was usually adopted on According to Crute, Ward, Brown, and Graves (2003)
manufacturing lines, which was a big problem for the and James (2006), there are three main barriers to
assembly line process. A kanban system was generated implementing lean manufactur- ing. These barriers are
to replace the push system with a pull system. lack of commitment from senior and middle
Abdulmalek and Rajgopal (2007) developed a management, and poor understanding of lean
simulation model to show conditions before and after manufacturing concepts. Employees’ attitudes are the
implementing a kanban system. Large amount of the main obstacle for companies who are in a state of
work in process inventories, lower value added time transition implementing lean manufacturing. Achanga,
were major weaknesses which had been visualized Shehab, Roy, and Nelder (2006) and Salaheldin (2005)
during analysis. The kanban system played a vital role also considered when top management support is not
in making a better product flow. adequate it becomes a barrier to the implementation of
lean.
(f) 5S Achanga et al. (2006) have identified a lack of financial
resources as a barrier to implementing lean in small
5S is a methodology for sorting, organizing, cleaning, scale industries. Inman and Mehra (1990) also
standardizing and sustaining a productive work environ- supported this thesis and stated that lack of financial
ment. Increase in safety levels, cleaning of workspace, resources causes deficiency in influence training and
enhanced productivity and preventive maintenance are prevents organizations from setting lean practices.
some of the results of a 5S program. 5S has been Abdul-Nour, Lambert, and Drolet (1998) and Salaheldin
implemented by Gunasekaran and Lyu (1997) in a small (2005) found a lack of skilled resources to be a barrier to
Taiwan company that produces a variety of automobile the lean implementation process. Chong (2007) stated
lamps. Simmons et al. (2010) have found large lead that lack of time is also a barrier factor in the
times, low quality and low efficiency to be big problems implementation process. Production schedule (Most of
in scale industries. 5S is the basic starting tool used to the customer do not commit to long- term production
make companies neat and standardized. Bottlenecks can schedules) inability is another barrier factor that makes
be found by the line balancing tool. it hard to carry out lean practices (Golhar, Stamm, &
Smith, 1990; Golhar & Stamm, 1991). Large product
(g) Waste elimination variety also creates difficulty for the organization to
A target of lean manufacturing is the total elimination of sustain a lean implementation process (Cusumano,
waste. From a customer’s point of view, anything that 1994).
does not add any value to the final product is termed a
waste. These wastes can be identified and
reduced/eliminated by using lean tools and methods. 5. Competitive benefits of lean manufacturing
Upadhye et al. (2010) have successfully implemented
the lean philosophy in a north Indian company. In its The implementation of lean manufacturing tries to make
earlier stages, the lean manufactur- ing approach was value flow at the pull of customer demand (JIT) and
considered appropriate only in medium size industries. eliminates waste in processes. Waste is categorized into
Flow process charts were used to analyse product flows. the seven component wastes: Transport, Inventory,
This study provides information on
Motion, Waiting, Overprocessing, Overproduction, and 6. Conclusion
Defects. All of these wastes have a direct impact on There is a vast literature available on lean manufactur-
performance, quality and costs, and these are all non- ing, which gives a wide view of previous practices and
value-adding operations for which customers do not research across the world. But, as lean manufacturing is
want to pay. Many studies and research show that we a broadly accepted philosophy in manufacturing
only add value around 5% of the time during operations; industries, more research is required. Success stories
the remaining 95% is waste. Lean manufacturing demonstrate that it requires team spirit involving each
implementation tries to remove that 95% wasted time and every employee in an organization to implement
and effort. lean in the system. However, awareness among
Many authors have contended that lean aids employees about different strategies of lean philosophy,
compe- various principles behind these strategies and the use of
tiveness (Billesbach, 1994; Nystuen, 2002; Oliver, these strategies in different circumstances play an
important role. Lean tools and techniques represented
1996; through case studies show benefits that are categorized
Parker, 2003; Siekman, 2000; Taylor & Brunt, 2001; as typical and hidden benefits. The reduction of fatigue
Vasilash, 2001). According to Sohal and Eggleston and stress, culture change and reduced time for
(1994), two-thirds of companies believed strategic traceability are some of the hidden benefits, whereas
advantages had been generated with bigger waste elimination, financial benefits, reduction in
improvements coming from customer relationships, reworking, lower inventory levels and lead time
quality constraints and market competitive positioning. reduction are typical benefits. Lean surveys have been
Lathin (2001) stated that traditional mass producers performed to discover the level of understanding of lean
could expect a reduction of 90% in inventory, 90% in tools and techniques in organizations. In spite of the fact
cost of quality, 90% in lead time and a 50% increase in that lean offers many benefits, there are still some
labor productivity. Claudius Consulting (2004) insisted barriers making it possible to oppose its
that lean manufacturing can help organizations to cut implementation. Poor psychology, lack of
costs by between 15 and 70%, reduce waste by 40%, responsibility, financial problems, lack of education
push productivity up by between 15 and 40%, and and training, and demand volatility are some of the
decrease space and inventory requirements by 60%. major drawbacks which fall as barriers to implementing
Nystuen (2002) stated that product travel time can be lean. It has been established beyond doubt that to remain
reduced by 90%, inventory by 82% and product lead in business it has now become a necessity for all
time by 11% by applying lean manufacturing concepts industries to adopt the tools of lean principles. Now
in the organization. Bicheno (1999), Hines (1999), Liker every industry has to shed conservative attitudes and
(2004) and Womack and Jones (2003) in their published reform their working practices with lean tools. The
research found that lean manufacturing concepts are attitudes of the work-force in industry also require much
quite popular and followed in the automobile sector as cultural change in order to save their livelihoods.
compared to other sectors.
If lean manufacturing is implemented in a proper
way
it can lead to various positive improvements in the References
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