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| Southern New Hampshire Accountant | 603-595-2071 | |||||||
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Realize Gains Through Lean Manufacturing
Like most other manufacturing companies, you are trying to find ways to increase profitability without affecting quality. Obviously, that is easier said than done. However, to this end, the concept of "lean manufacturing" is increasingly being embraced by the industry as a whole. As the name implies, lean manufacturing is based on creating a leaner, more efficient operating model for your manufacturing operation. Some of the potential benefits of lean manufacturing are: *Reduced lead time; *Optimized space utilization; *Increased productivity; *Improved product quality; and *Improved on-time shipments. What are the elements that comprise lean manufacturing? The following may be incorporated into a unified lean manufacturing approach. Core disciplines: Although the particular needs will vary from company to company, a manufacturing concern may takeadvantage of such core disciplines such as Cellular Manufacturing, Pull Scheduling, Six Sigma/Total Management, Rapid Setup and Team Management. Analytical tools: Valuable tools such as Value Stream Mapping and Process Mapping can help streamline the process. Group Technology can help refine the workflow in complex product mixes. Integrated technology: Workers and technology can be integrated in a system utilizing the strengths of each component and minimizing the weaknesses. This also reflects the psychological aspects involved in production. Waste elimination: Waste can be identified through a Value Stream analysis focusing on all activities and their specific values. By using this process, the company tries to find more efficient ways to add the same value to its products. Minimized inventory: Excess inventory can consume resources, slow down response time and disguise quality problems. Eventually, inventory degrades and becomes obsolete. Similarly, documentation of the development process should be subject to value stream analysis, since it can affect the manufacturing flow. Scientific approach: Implementation of lean manufacturing is likely to be more successful if it is based on sound scientific principles rather than slogans or mere buzzwords. System-wide viewpoint: The core disciplines for lean manufacturing are interdependent. They should function cohesively in a continuous cycle to generate greater productivity and profitability. Lean manufacturing can provide a boost to the bottom line in this competitive environment. Consult with your professional business advisers for implementing the lean manufacturing concept for your company. |
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