After thousands of discussions with manufacturing companies, it’s clear to me that the industry is suffering. Due to outdated notions of the software industry, manufacturers aren’t evaluating their digital transformation properly.
The conveyor belt on line one stopped running and production came to a halt. It was the second time in a week that this happened. The maintenance team and engineers spend the next 48 hours trying to determine what caused the issue. As it turns out, the downtime was due to a frayed wire that caused the conveyor to lose power.
If Santa Claus ran a toy company, he’d have the best lean manufacturing operations in the industry. A lean analysis shows that he delivers custom tailored products to every one of his clients; providing immense value. He is also able to accomplish this with minimal waste and able to adapt to shifting demands of the market, every, single year.
When properly applied, lean manufacturing principles cut costs by reducing waste and focusing on value. But many companies make the vital mistake of confusing cost cutting with lean thinking. To better understand the relationships between costs, waste, and value, we sat down with one of the foremost experts of lean, Dr. James Womack, to discuss the foundational elements of what makes lean thinking, lean.