Lean Production Flashcards
Lean production
Aims to remove all these elements of waste from the production process and as a result increase productivity and reduce costs
Examples of waste
•raw materials unused
•work in progress
•finished products waiting to be delivered
•skills and knowledge of works not being used
most important component parts of an effective lean production system
•just in time
•kaizen
•cell production
•time-based management methods
benefits of lean production
•higher productivity
•reduced costs
•don’t hold stock if JIT is adopted
•number of defective products is reduced
•lead times are cut
•improvement in reliability
•new products can be designed quicker
•waste is reduced
Just-in-time
Tries to ensure that parts, raw materials and components are received and products made only when there’s a demand for the parts and demand for the products
Advantages of just-in-time
•improves cash flow as there’s little stock held
•waste is reduced as no obsolete or damaged stock
•factory space can be freed up
•costs of stock holding are reduced
•control of suppliers are improved- leading to better quality of components
•motivation is improved- greater responsibility and encouraging team working
Disadvantages of just-in-time
•depend on the reliability/flexibility of suppliers
•ordering and administration costs will rise
•bulk buying advantages may be lost
•difficult to cope with sharp, unexpected increases in demand
•reputation can be damaged if there’s late deliveries as no bugger stock is held
•extra pressure on staff due to greater responsibility
Cell production
The production line is subdivided into a number of cells- these cells are groups of workers involved in related tasks
Cell production characteristics
•employees are trained so they can fulfil a number of tasks within the cell- allows for job rotation
•skills of the employees mean they can each play a role in improving quality and also create flexibility
•communication is improved and the job enrichment and enlargement elements improve motivation
•it’s possible for cells to be self-managing with regards to many human resources management issues (shift arrangements, breaks, holidays)
Time based management
Time is regarded as a key business resource- emphasis is placed on reducing time taken in all aspects of the whole production process involving concepts such as just-in-time, the use of CAD, and CAM, critical path analysis and simultaneous engineering
Kaizen
Businesses take the view that one of the main objectives of their existence is to be continually making small incremental steps in the improvement of quality, design and waste reduction
Key elements of kaizen
•all employees are involved
•doesn’t ignore the need for new technology or large-scale capital investment
•a motivated workforce
•a management with belief in the capabilities of the workforce
•a trained workforce to complete tasks efficiently
•effective communication systems
•security of jobs to suggest process improvements
•management must have a clear understanding of the production processes
Benefits of kaizen
•improved labour relations
•improved quality
•increased productivity
•improved motivation
•increased competitiveness
•reduction in waste
•less large-scale investment
