5.3 Flashcards
what is lean production?
Lean production simply means efficiency and the elimination of waste.
Manufacturers who apply lean production methods use less of everything that is involved in production, from labour, machines, space, time, suppliers and especially inventory.
The main features of lean production; less waste and greater efficiency need a more specific approach.
can you exapnd on less waste?
the concept of having less waste implies that when applied to material; less of the materials used in production are discarded. Overall waste does not add value but instead raises costs and if possible should always be reduced or eliminated.
what are some of the forms waste can come in?
Labour that is useless and not productive
Capital that is useless and not productive
Material that is discarded
Activities that cause Labour and capital to be less productive
can you expand on grater efficeny?
Efficiency means less costs are incurred. Efficiency in simple words, involves controlling your costs, which is just as important as increasing your sales revenue.
how do we achive greater efficeny?
To achieve greater efficiency, costs must be understood and their sources controlled. With greater efficiency the organization’s resources will be better used.
Physical resources – for example less space for storage or no storage (keep less stock!)
Human resources – for example reducing travel times between venues
Financial resources - not holding that much stock will cost the firm less
what are the methods of lean production?
1) Continous improving (Kaizen)
2) Just-in-time (JIT)
expand on continous improving (Kaizen) as a method of lean production?
Kaizen, which means continuous improvement is a concept that applies to all areas of management and even goes beyond the business environment to include activities that are outside of the business that may have an indirect impact of the business itself (i.e. work-life balance)
Kaizen is an umbrella concept that implies continuously seeking to improve upon all the elements that affect a business and not a one-time fix. This approach to continuously addressing and improving upon any imbalances, results in more worker productivity.
what is also needed for Continous improvemnt (Kaizen) to work?
For Kaizen to work it must be inclusive to all levels of hierarchy, “no blame” is attached to the problems or issues, systematic thinking is needed and the focus should be in the process NOT in the product.
Exapand on Junt-in-times as a method of lean production?
The delivery of raw materials just when it is needed. The thinking behind JIT is the elimination of inventory (stock) build-up.
Getting rid of this cost entirely is impossible, because costs for raw materials must be incurred in the manufacturing process, however, accumulated costs can be reduced to when they are needed, which is the thinking behind JIT.
what is the cradle to cradle design?
The Cradle to Cradle design is a means of protecting the ecosystem and nature through a system that is in principle waste free. This is a mimic of nature whereby the metabolism of the planet is self-sustaining and complete. Another term used to refer to the Cradle to Cradle design is regenerative design.
Even though the Cradle to Cradle concept is still “newish” a C2C certification helps the company towards the goals of Sustainability and CSR.
what is the consequence of quiality controle?
Quality control is very important for consumers willingness to purchase a product or service. If a business has a good image and reputation for quality, the likelihood that consumers will be loyal and repeat their purchases is very high
what is quality assurance?
Businesses take the concept of quality control and Total Quality Management very seriously. And nowadays, thanks to a quality revolution the concept has been moved to quality assurance, which refers to “assure” the customer the product is still the best!
what does the term quality specifitically suggest?
The term quality specifically suggests that the product is:
Reliable
Safe
Durable
Innovative
Value for money
difference between quality control and quality assurance through concept?
CONTROLE-
Quality is controled by one person carrying out an inspection after the product run has been completed.
ASSURACE- qulity of assured through the organisation, no one person in in controleof qulity- instread the whole business focuous on this.
difference between quality control and quality assurance through cost?
CONTROLE- A maximum persenate of rejects is set, for example 2% of products are allowd to fail. Wasteful production.
ASSURANCE- Zero rejects are expected- every product is expected to pass inspection. lean production.