Search Helium

Home > Business > Management > Business Strategy

Good business management practices

by Mike Ridpath

Created on: July 28, 2008

Lean manufacturing's main keys are the following:

Perfect first-time quality - quest for zero defects, revealing and solving problems at the source



Waste minimization - eliminating all non value-adding activities and safety nets, maximization of scarce resources (capital, people and space)



Continuous improvement - reducing costs, improving quality, increasing productivity and information sharing, pull processing: products are pulled from the consumer end, not pushed from the production end



Flexibility - producing different mixes or greater diversity of products quickly, without sacrificing efficiency at lower volumes of production, building and maintaining a long term relationship with suppliers through collaborative risk sharing, cost sharing and information sharing arrangements.
The world's economy today is always changing and more competitive than ever. There are new companies created everyday and old ones tightening their grip on their thrifty empires. For any of these companies to remain successful or become successful, they must find a way to stay on top of their game and please the customer better than ever before. Increasingly, successful companies are turning to lean business practices (lean manufacturing, lean customer service, lean office, lean distribution, lean public sector) as the answer to staying on top of their industry. Lean 5S is not necessarily a particular way of producing a product. It is instead a philosophical way of thinking.

McDonald's can be said to have recently implemented a lean technique. McDonald's no longer makes an abundance of food to wait in holding bins in anticipation of a meal time rush. If a rush does not happen, then there is an obvious waste of food as well as labor. Instead, McDonald's has focused on making the food when the customer orders to provide a fresher and hotter meal. A focus on consistent labor training and improvement is the key to keeping this service speedy and reliable. By implementing this new "leaner" way of thinking, waste of food and labor has been minimized, which is the main goal of the lean process.

Lean manufacturing was actually born in 1914 with Henry Ford and the mass production moving assembly line. Lean relies on keeping a steady flow of product out the door to the customer. Ford's system did exactly that, though it was missing some of the most important and common factors in today's lean philosophy. The original Ford assembly line was putting out thousands of Model T cars at a vast rate. The

Helium Debate

Cast your vote!

Does suggested retail price represent the true value of a product?

Click for your side.

175066

Featured Partner

Needful Provision Inc.

Needful Provision's mission is to research, develop, demonstrate, and teach innovative self-help technologies to assist the poor, worldwide, achieve self-sufficiency and well-being.more


CONNECT WITH US

Read
our blog
Helum for writers

Write and get published
Share with other writers
Polish your freelancing skills

Join our active writing community
Helium Content Source for Publishers

Quality articles from proven freelancers
Exclusive rights, fast turnaround
Brand engagement, business blogging -- our writers do it all

Get custom content today!

INFORMATION


Helium, Inc.
200 Brickstone Square Andover, MA 01810 USA
#