Lean manufacturing and business management

Lean manufacturing and business management

Lean manufacturing is a system that induces great changes to improve the management, quality and efficiency of the company and lead it to success.

Lean manufacturing and business management

Last update: January 11, 2021

Business management is a very studied field, in fact there are several theories about it. But what do you think about using an innovative methodology that could improve the productivity and competitiveness of your company? Lean manufacturing can give us interesting answers to achieve great results.



Through this system we can frame objectives, strategies and projects differently. All thanks to a philosophy based on efficiency and productivity that can improve the company's future prospects.

If you want to learn more about the lean manufacturing system, you just need to read this article. We will tell you about this philosophy, its origins, its principles and the advantages it offers.

If they asked me in the workplace and personal what is the most precious thing that exists, without any hesitation I would answer the time.

-David Callado, entrepreneur who bases his business on lean manufacturing -

What is Lean Manufacturing?

Lean manufacturing is a management system that provides the tools to adopt a new global approach. It also involves innovation in manufacturing processes and improving operations management to generate values ​​and benefits.

This philosophy has become the secret to ensuring the survival of a company (hence its popularity). Improve the quality and speed of operations by allowing us to align with customer expectations.

In other words, lean manufacturing seeks to eliminate anything that does not generate value to focus on what is fundamental in the present moment.

Origins of lean manufacturing

Although this system is subject to continuous development, it has a long history behind it. When it comes to lean manufacturing, one cannot fail to mention the Toyota car brand. You may be wondering why? The answer is that this philosophy was born thanks to the production system adopted by Toyota.



It all started with Sakichi Toyoda, inventor of the automatic loom. With this creation he not only automated the work that was previously done manually, but he also made the machine capable of evaluating the quality of the pieces by eliminating the defective ones. This has improved productivity and efficiency at work.

Later, Hiichiro Toyoda inherited this philosophy. He also understood that the ideal conditions to produce are when machinery, equipment and people work together to create value without generating surpluses. He therefore focused on techniques to reduce and eliminate waste promoting a kind of automation with a human touch. Eiji Toyoda optimized this system by increasing worker productivity.

With the strong support of Eiji Toyoda, Taiichi Ohno helped create the production system by developing the foundation for Toyota's making thing and the Just in time method.

This system has become world famous and the company continues to refine it to ensure its evolution. Today it is known as the "Toyota Way" and is employed in several companies besides the automotive ones.

How did the name come about?

Daniel T. Jones, Daniel Roos and James P. Wocmack have written a book called The Machine That Changed the World and it is to them that we owe the name of this philosophy as we know it today.

The book introduces us to Toyota's production systems. Today it is seen as a kind of guide for managers and industry leaders who want to turn traditional companies into success stories based on lean manufacturing.

The principles of lean manufacturing

This management system is based on several principles that allow to improve the company: effectiveness, quality, productivity, etc. Here are the most important:


  • Continuous improvement. Each step represents progress. After each progress one must ask oneself: “What can be optimized?”, “How can we do it?”, “What are we doing wrong?”, “What is indispensable?”, “What can we do without?”.
  • Problem detection and solution. It consists in being attentive to all production processes to detect errors and problems. Solving problems early on will make us more productive. In this way we will be able to satisfy the customer's needs by offering high quality products.
  • System optimization. It is about improving results by paying particular attention to management, planning, production processes, business travel, overproduction, quality and the elimination of defects.
  • Eliminate all that is not an added value. If something does not contribute to the effectiveness of the company, it must be eliminated. Anything that does not bring benefits is not useful.
  • Guarantee the quality. All projects must have as their objective the creation of quality products. Working in this way guarantees an advantage in terms of competitiveness.
  • The value chain. It is necessary to articulate the project in different phases linked together in which it is possible to make changes. The purpose is the evolution of the product during the design and construction phases.
  • Zero forecasts! We need to create a system according to which the company can respond to the real needs of the customer. This is possible using the value chain.

The "5S" method

It is also useful to use the “5S” method developed by Toyota to achieve lasting improvements. The meaning of each "S" follows:



  • Seiri: subordinate, classify and discard.
  • Seiton: systematize and order.
  • Seiso: focus on sanitation.
  • Seiketsu: emphasize simplification, standardization and consistency.
  • Shitsuke: support the production process through discipline.

All these principles allow the company to achieve success. You can also follow Ohno's advice (which for various reasons went down in history). Ohno put his attention to avoiding waste. If your business has some of these points, you know where to start:

  • Unnecessary steps in production processes.
  • Repetition of any type of work.
  • People who don't add value.
  • Production of products for which there is no demand.
  • Inventory that doesn't add value.

It must also be considered that when workers put in the same amount of effort, something is wrong. It is therefore important to pay the utmost attention to all aspects of company management. In this way, all production processes are optimized.

The benefits of lean manufacturing

Adopting lean manufacturing results in great benefits, and not just economic ones. To get them, you have to work hard. It's not as easy as it sounds, because big changes are required.

Nevertheless, with commitment and dedication you can achieve the desired results. These are the benefits of lean manufacturing:

  • The employee acquires a sense of belonging.
  • Employees are motivated.
  • The work of the various teams is improved.
  • Better quality products are offered.
  • Time optimization.
  • No time is wasted on useless meetings.
  • Increase the value of the company.
  • Customers increase.
  • The production system is optimized.
  • Corporate survival.
  • Problems are solved through continuous improvement and learning.
  • Improve your work environment.
  • Economic growth.
  • Stability of the members of the work organization.
  • Overproduction which could cause losses is avoided.
  • Growth of leaders who can teach the same philosophy to others.
  • Formation of teams that follow the company philosophy.

Conclusions

Following the philosophy of lean production, long-term projects are launched in which learning and modus operandi are promoted that allow you to make fewer mistakes, thus reducing losses. This experience can start from the wrong situations from which to start to improve. This is what learning is all about.


In the Journal of Lean System we can find several articles that talk about different companies that have adopted the aforementioned management system. For example, the article published in 2019 written by Janaina Renata GarcĂ­a, Santos da Silva Zagheni and Mariane Alexandra Antonowicz.

After their analyzes, they concluded that lean manufacturing brings improvements because it eliminates errors and waste, generating an increase in value for the company and customers.

Through lean manufacturing, therefore, we can achieve optimal business management. This means getting to know the company, production processes, employees and machinery in depth to improve what is wrong and achieve great results.

It is extraordinary how Toyota has become such a large and successful company. Clearly his philosophy was the engine of his continuous improvement. Try to follow their example by trying to overcome obstacles by optimizing the production system. Lean manufacturing will help you run your business effectively.

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