{"id":23246,"date":"2022-12-22T14:35:00","date_gmt":"2022-12-22T14:35:00","guid":{"rendered":"https:\/\/businessyield.com\/?p=23246"},"modified":"2022-12-23T06:53:44","modified_gmt":"2022-12-23T06:53:44","slug":"lean-production","status":"publish","type":"post","link":"https:\/\/businessyield.com\/business-strategies\/lean-production\/","title":{"rendered":"LEAN PRODUCTION: Definition, Methods, Advantages & Disadvantage","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"\n

Do you own a production company or intend to own one someday? Then, lean production is a factor you must consider for effective productivity. Every manager’s utmost desire is to minimize waste and make more profits. Hence this post is designed to help you actualize your production goal. In this article, therefore, you will discover what lean production is, its methods, and, of course, lean production’s advantages and disadvantages.<\/p>\n\n\n\n

What is Lean Production<\/span><\/h2>\n\n\n\n

Lean production focuses on minimizing waste within manufacturing systems while maximizing productivity at the same time. To further define it. Lean production is a systematic manufacturing method used for eliminating waste within the manufacturing system. It takes into account the waste generated from uneven workloads and overburden and then reduces them to increase value and reduce costs. The word \u201dlean\u201d in the term simply means no excess, so lean production can be translated simply into minimal waste manufacturing.<\/p>\n\n\n\n

Waste is seen as anything that customers consider no value and are not willing to pay for. According to research conducted by the Lean Enterprise Research Centre (LERC), fully 60% of production activities in a typical manufacturing operation are waste they add no value at all for the customer. Some of the benefits of lean manufacturing can include reduced lead times, reduced operating costs and improved product quality.<\/p>\n\n\n\n

OVERVIEW<\/h2>\n\n\n\n

Some well-known companies that use lean include Toyota, Intel, John Deere and Nike. The approach is based on the Toyota Production System and is still used by that company, as well as myriad others. Companies that use enterprise resource planning (ERP) can also benefit from using a lean production system. Lean production is one of the methods that focus on cutting out waste, whilst ensuring quality. This approach can be applied to all aspects of a business, from design, through production to distribution.<\/p>\n\n\n\n

The goal is to cut out activities that do not add\u00a0value to the production process, such as holding stock, repairing faulty products and unnecessary movement of people and products around the business. Lean production originated in the manufacturing plants of Japan but has now been adopted well beyond large and sophisticated manufacturing activities.<\/p>\n\n\n\n

It was introduced to the Western world in the 1990 publication of\u00a0“The Machine That Changed the World,” which was based on an MIT study into the future of the automobile and detailed Toyota’s lean production system. Since that time, lean principles have profoundly influenced manufacturing throughout the world, as well as industries outside of manufacturing, including healthcare, software development and service industries.<\/p>\n\n\n\n

How Does Lean Manufacturing Work?<\/h2>\n\n\n\n

Eliminating waste as a means of continuously improving a process is the central tenet of lean manufacturing, which can be implemented in a variety of contexts. Lean manufacturing consistently provides value to the customer while simultaneously cutting down on waste and delivering process improvements.<\/p>\n\n\n\n

The definition of waste encompasses any process, activity, product, or service that consumes resources like time, money, or expertise but does not add value for the consumer. These may include processes and procedures that are inefficient or wasteful, the talent that is not being fully utilized, or excess inventory.<\/p>\n\n\n\n

The elimination of these inefficiencies ought to result in a simplification and streamlining of services, a reduction in costs, and, ultimately, cost savings for a particular product or service all the way through the supply chain to the end user.<\/p>\n\n\n\n

The Eight Wastes of Lean Production<\/h2>\n\n\n\n

The Toyota<\/a> Production System lays out\u00a0seven wastes or processes and resources that don’t add value for the customer. These seven wastes are:<\/p>\n\n\n\n