Wednesday, April 28, 2010

SMEs should learn Lean Manufacturing

What is lean manufacturing all about?
The lean manufacturing process is a comprehensive way to reduce waste of all types. It could be a waste of time or material, it is still waste. Lean manufacturing is a manufacturing strategy that seeks to produce a high level of throughput with a minimum of inventory. This type of manufacturing is like adding spokes to a wheel, so the wagon can roll.

In addition to eliminating waste, lean manufacturing seeks to provide optimum quality by building in a method whereby each part is examined immediately after manufacture, and if there is a defect, the production line stops so that the problem can be detected at the earliest possible time. The lean manufacturing method has much in common with the Total Quality Management (TQM) strategy. Both strategies empower workers on the assembly line, in the belief that those closest to production have the greatest knowledge of how the production system should work.

In a lean manufacturing system, suppliers deliver small lots on a daily basis, and machines are not necessarily run at full capacity. One of the primary focuses of lean manufacturing is to eliminate waste; that is, anything that does not add value to the final product gets eliminated. In this respect, large inventories are seen as a type of waste that carries with it a high cost. A second major focus is to empower workers, and make production decisions at the lowest level possible.

How do you begin the lean manufacturing process?
Everyone in the organization will require significant training. You will need to develop an overall strategy and training plan and recognize that this is a major commitment from the management down to the lowliest employee.

A step by step approach would approximate this plan, depending on your specific needs. Here are 6 steps to implement lean manufacturing.

Determine which aspects of lean manufacturing apply to you, prioritize according to your needs and abilities.

* Categorize your people into groups according to similar training needs.
* Identify your programs and make a matrix, or chart.
* Decide whether you will hire an consultant or do it in-house.
* Develop a time frame or schedule according to work area or personnel.
* Prepare an immediate schedule and begin!

Advantages of Lean Manufacturing
* Lean manufacturing strategies can save millions of dollars and produce excellent results.
* It gives the manufacturer a competitive edge by reducing costs and increasing quality.
* Allows manufacturer to be more responsive to custom.
* Lower lead times
* Reduced set-up times
* Lower equipment expense
* Increased profits

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