Lean is a philosophy of manufacturing that emphasizes the minimization of the amount of all resources (including time) used in operations of the company. Operations processes are considered to be Lean when they are very efficient and have few wasted resources. The elimination of WASTE is actually the defining principle of Lean. By eliminating waste of all sorts in the system, the lean approach lowers labour, materials, and energy costs of production. Lean also emphasizes building exactly the products customers want, exactly when they need them. When lean capabilities are introduced in a firm, it can produce smaller quantities, and it can change outputs more quickly in response to changes in customer demand.
The primary objectives of Lean systems are to:
1. Produce only the products that customers want.
2. Produce products only as quickly as customers want them.
3. Produce products with perfect quality.
4. Produce in the minimum possible lead-times.
5. Produce products with features that customers want, and no others.
6. Produce with no waste of labour, materials or equipment.
7. Produce with methods that reinforce the occupational development of works.
Eliminate Waste
Waste is anything that does not add value from the customer point of view. Storage, inspection, delay, waiting in queues, and defective products do not add value and are 100% waste.
Seven Wastes: Overproduction, Queues, Transportation, Inventory, Motion, Over-processing and Defective products.
Other resources such as energy, water, and air are often wasted. Efficient, sustainable production minimizes inputs, reduces waste. Traditional “housekeeping” has been expanded to the 7 Ss.
Sort – when in doubt, throw it out. Simplify– methods analysis tools. Shine/sweep – clean daily. Standardize – remove variations from processes. Sustain – review work and recognize progress. Safety – build in good practices. Support/maintenance – reduce variability and unplanned downtime.