Lean Manufacturing
Many manufacturers today follow a business philosophy called "lean manufacturing" Lean
refers to a systematic approach to
maximizing value for the customer by improving the process
of how goods are produced or services are provided. The idea
is to streamline the production
process by
removing wasteful steps that do not add value to the end product. As waste is
eliminated, quality is preserved or
improved, and production time and expenses are reduced
This enables goods and services of the greatest
value to be delivered at the lowest cost. The
end results are increases in
customer satisfaction and profit
The roots of "lean manufacturing" trace back to the Japanese auto industry in the 1980s. However,
the lean philosophy spread quickly to
other types of manufacturing and to the service sector,
including healthcare, education, and government. Some
adherents claim that even individuals
can apply the lean
philosophy to any and all aspects of their own lives
Supporters and detractors of the lean philosophy tend to be equally passionate in their praise
and criticism, as is evidenced by
selected comments posted to an online forum
Comment 1: In the ideal lean environment, employees do not lose jobs. Rather,
productivity potential is
unleashed and quality improves. Unfortunately, in most
companies today, very little is ideal. Applying the lean philosophy to our tire
manufacturing
company seems only to be an excuse for senior management to flee
the more highly paid
workers
.
Comment 2:1 am speaking as someone who knows financing. I work at a company
that makes furniture. If the
executive beauses had been cut by just 10 percent last
year, the wages of the hourly workers could have been doubled!
Comment 3: Two years ago, my company had a net profit of $5.5 million. The lean
philosophy was
implemented last year and cost about half our employees their jobs.
The year ended
without profit. This year we will net even less. Remember lean
means fewer employees are needed. Don't do it
Comment 4: In the chemical company where I work, we have implemented the lean
philosophy succesfully-with no layoffs. We have seen a significant increase in output
which has led to shorter turnaround time to our customers, which in turn led to
more ceders. This secures rather than jeopardizes people's jobs because we are the
company that can give a faster lead time when compared to our competitors that
have not adopted the lean philosophy and are struggling with inefficiency
Which comments blame lean manufacturing
for increasing unemployment?
Comment 1 and 3
Comment 2 and 3
Comment 2 and 4
Comment 3 and 4