From the course: Lean Foundations
Why use lean?
- "Lean is not a program, it is a total strategy." Alex Miller said that. He's professor of management at the University of Tennessee and he's often quoted on lean manufacturing practices. When most people think of lean, they think of the Toyota tools and techniques that streamline processes and eliminate waste and improve quality at the source. They think of the tactics of lean at the shop floor or office level, but Professor Miller is right. An effective lean program must start at the very top of the company, as a corporate approach, a strategy or philosophy for the entire organization, a mindset for every employee. That's what drives the company to implement those lean practices and apply lean tactics at operational levels. That's what determines why you should use lean. A strong lean strategy focuses on two very important aspects of your business; your competitors and your customers. First, your competitors become more challenging every day. You know that your organization must continuously improve to meet and beat that competition. You can't stand still while everyone else is moving forward. A recent study by Global Manufacturing Magazine revealed the Top 10 Lean Manufacturers in the world. As you would suspect, Toyota ranked number one. It's interesting to note that the other nine companies are U.S.-based corporations and names that you'd probably recognize like Intel and Nike and Ford. These are examples of some of the strongest businesses in the world. The best and most competitive companies are implementing lean as a corporate strategy. Integrating lean practices throughout their organization all around the world to keep up with, or better yet, to stay ahead of that level of competition. Whether you manufacture products or provide services for your customers, you need a strong lean program, one that starts at the top. Second, you must consider that your customers become more demanding every day. Everyone seems to want more features at less cost. Lean helps you to meet your demanding customers' needs. Lean allows you to eliminate waste, reduce unnecessary steps, deliver perfect orders, be on time, and be cost competitive, and that's the way you can meet your customers' expectations every time, and that's exactly what your customer expects from you. Every one of these top 10 companies is known for being very proactive in meeting their customers' expectations. From start to finish, lean focuses on the customer. Regardless of the role you play in your company, ask yourself, can lean help me to serve my customers better? Can lean help me be more competitive? I bet you'll find the answer to be a resounding yes.
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