1. FGCU
TRA 6158
Lean/ JIT Systems Discussion Write–up
MICHELOT Sophie

2. QUESTION I
Contrast, and explain the differences of conventional (push, batch or mass) and lean
approaches used by Joe and Ralph.
Assembly design and production:
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3. System
Orders management
Lots
Takt time
Technologies & tools
Joe’s (conventional)
PUSH
 Waiting times
 Fixed schedule to be
readapted through the
process
 Movement of parts of
assembly between each
workshop
MAKE-TO-ASSEMBLY
 Sequenced improvement
(sacrificed batches)
TWO BATCHES
 Risk of bottleneck
SLOW PACE
 Pace slowed by
numerous problems and
errors
 Waiting times and
inactive operators
HEAVY USE OF TECHNOLOGY
 Lack of coherence
between the engineering
and the manufacturing
departments (different
drawings, methods, and
materials
recommended)
 Heavy use of computer
for rescheduling, work
process at each
workshop
Ralph’s (lean)
PULL
 No waiting time (smooth
production)
 Flexibility and early
detection of problems or
errors
 Work cells (no useless
movements)
MAKE-TO-ORDER
 Adaptability at every
moment, continual
improvement
SMALL LOTS
 Constant adaptability
SMOOTH PACE
 No waiting time
 Early detection of
problems
 No inactive operator
SMART USE OF TECHNOLOGY
 Collaboration between
each operator
 Smart use of computer
technologies (statistical
analysis)
 No useless paperwork
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4. Quality
Inventory
Waste
Rework
Productivity
Leadership
Motivation
Group dynamics
POOR QUALITY
 Numerous errors
through the
production process
 High pressure on time
schedule harming the
quality of final
products
 Lack of exchanges
between workers to
make improvements
LARGE INVENTORY
 Large inventory
managed by one person
 Lots of paperwork for
inventory management
 Costly inventory of raw
materials
WASTED RESOURCES
 Waste due to numerous
errors and defects
 Inactive workers due to
waiting times
 Ineffective activity
(cutting)
 Movements between
each workshop
NECESSARY REWORK
 Lots of rework needed
through the process
 Need for qualified
workers to fix problems
 Rework necessary at
almost every area
creating bottlenecks
LOW PRODUCTIVITY
 Waiting times
 Inactive workers
 Unqualified workers
 Ignorance of the work of
others
AUTHORITARIAN STYLE
 One leader (the
foreman)
 Conflict management
 Strong hierarchy
POOR MOTIVATION
 No reward
 No empowerment of
workers
INDIVIDUALISTIC BEHAVIOR
 Poor support between
workers
HIGH QUALITY
 Every worker is
responsible for quality
 Customer oriented
culture
 No fixed inspection
area but rather
continual
improvement
NO INVENTORY
 Efficient delivery by
supplier (pre-cut raw
material)
 Less tools required due
to limited work area
NO WASTE
 Efficient assembly line
(work cell directly inside
the garage)
 No inactive worker, no
waiting time
 Focused on core
competencies
 No useless
transportation of parts
CONTINUAL IMPROVEMENT
 Cell work permits direct
action on potential
errors
 Production stopped if
any problem (no domino
effect)
 Poka yoke use
HIGH PRODUCTIVITY
 Polyvalent agents
 No waste time
 Continual improvement
 Collaboration between
workers
COLLABORATIVE STYLE
 Collaboration between
workers
 Weak hierarchy
(everyone on the same
level)
 Responsibility and
commitment of
everyone
HIGH MOTIVATION
 Empowerment of
workers
 Corporate culture
TEAM WORK
 Support and respect
between workers
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5. QUESTION II
Read one of the lean service articles. Summarize how these businesses use lean
principles. Describe the 5S concept.
A gleaming example
This article deals with a retail store specialized in clothes and footwerar; Bob’s stores.
The company is operating in “’ stores through six states in the US. The top management
decided to implement a new service system based on lean production principles; 5 Ss,
best methods, and engineered standards in particular. By targeting this new system of
operation, the top management is setting new goals for the company: increasing
customer value, reducing waste, and implementing continuous improvement as a
corporate culture. Concretely, the top management selected a showcase store and
formed a steering team and a core implementation team. The aim was to train people to
the principles of the 5Ss and make the first changes in the selected showcase store. Here
are the steps followed, regarding the 5Ss requirements:
Sort and remove: the aim is to eliminate all unnecessary items from work
stations, to keep only necessary items, thus allowing better efficiency of workers
Shine and inspect: this step consists in getting a clean and safe place to work
Set locations and visual cues: the principle of this step is to define a place for each
item, and to make this chosen place visible by employees thanks to labels for
instance
Systematize: this step consists in establishing lists of tasks to be accomplish by
employees on different time bases (daily, weekly, monthly). The aim is to create
routine among each job at the store.
Stay the course: the principle of this step is to create tools in order to keep a full
commitment from employees. It implies a reward system and other motivation
tools.
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6. After the completion of these five steps, the top management conducted a more scientific
approach by establishing benchmarks. It means that the time to complete frequent tasks
was measured, so as to define clear standards. The aim for employees is to get faster on
these tasks to spend more time assisting customers. Such an overall approach has the
advantage to imply every employee, which gives a solid basis to the development of a
new corporate culture; continuous improvement.
QUESTION III
Discuss the advantages and disadvantages of mass and lean / JIT systems. Give
examples from the articles provided in Canvas and from your own work experiences.
MASS PRODUCTION
LEAN PRODUCTION
ADVANTAGES
Reliance on technologies
Assembly design
Automation
Scientific approach of work (division of
labor)
Computerization
Work cells
Suppliers network
No inventory
Customer focus
Cost efficiency
Customization
Adaptability of processes
Quality
Economies of scales
Cost of labor
Volume oriented
DISADVANTAGES
Assembly design
Space required
Inventories
Detection of errors
Production focus
Lack of customization
Wasted resources
Bureaucracy
Reliance on network
Supply chain risk
Commitment from suppliers
Short-term forecasting
Cost of implementation
Commitment from the top
Culture of change
Continual improvement
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7. MASS PRODUCTION
Advantages:
Reliance on technologies:
Automation: mass production often means the systematic use of
developed machines and tools. The aim here in the implementation of
automation, which a full capacity of production 24/7, with limited defects
and errors.
Scientific approach of work (division of labor): mass production has been
historically based on the scientific approach of labor with division of labor
for instance. Tasks are measured in terms of time for completion; which
allows the establishment of standards and goals, as well as performance
evaluation and time schedules.
Computerization:
mass
production
has
great
opportunities
in
computerization as it relies on heavy processes which need automation
and planning. Computers answer to these needs and allow an instant
evaluation of the state of advancement of production.
Cost efficiency:
Economies of scales: mass production, as its name indicates, is based on
high volume production. This approach obviously leads to opportunities
of economies of scale through a heavy use of machinery, numerous shifts,
and standardization of tasks.
Cost of labor: with a division of labor, mass production allows the
recruitment workers with low wages. The level of qualifications of these
workers stay limited.
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8. EXAMPLE, GM (Learning through alliances: GM & NUMMI): for a certain period, GM has
followed the principles of mass production system.
Such a system offered clear
advantages in the automobile industry, where investments are quite high. Thus, to
produce in high volume allowed the industry and GM to make profits. From division of
labor to automation, GM was able reduce costs while increasing production capacity and
quality of output. Nonetheless, GM finally chose to adopt the lean production system, at a
time when it faced a change of the market structure, demanding more innovation and
customization.
Disadvantages:
Assembly design
Space required: mass production often requires huge space for both
production and inventories. Mass production is characterized by a certain
vertical integration. A lot of tasks are completed inside the plant. The
number of activities realized can explain, by the amount of machines,
tools, workers implied, the size of space required.
Inventories: mass production functions with a system of large inventories,
which gathers raw material inventory, temporary assembled items, and
finished goods. As the objective of mass production is to maximize volume
produced, the inventories are huge and require a heavy system of record.
Detection of errors: mass production is based on a production by a defined
number of batches. Inspection is made at different fixed point in the
production process. If errors are detected, there is a risk of increased
waiting time and domino effect.
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9. Production focus
Lack of customization: mass production is more focus on the supply side
rather than the demand side. Customization is a demand from customers
and a challenge for mass production systems. The production with batches
asks standardization of items produced. One solution, however, is to
realize some tasks dedicated to customization at the very end of the
production process.
Wasted resources: if management wants to make any improvement on the
system, it will imply wasted resources, as the mass production system is
fixed. Thus, to make improvement, rescheduling is necessary, as well as
record, training of staff, use of more resources,…
Bureaucracy: mass production uses bureaucracy in an inefficient way.
Bureaucracy has become a divided task and thus, this department needs
plethora of information translated into red tape to keep an eye on the
production process.
EXAMPLE; mass servicing (Service with a smile): implementing efficiency and
standardization is not always easy in the service sector. Mass services are referred as a
system where the objective is put on the volume of services realized, rather than
customer satisfaction, and thus where faster is better. A good example could be the call
centers where a high volume of calls are taken by operators following non adapted
procedures and evaluated on the time they spent on each call. Moreover, they have to fill
a plethora of forms and documents to explain what they did during the shift, particularly
if a customer complained. Here again, this kind of industry tends toward lean system,
and the work cell system in particular.
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10. LEAN PRODUCTION
Advantages:
Assembly design:
Work cells: lean production introduces the concept of work cells, where
employees are working together in workshops, completing different tasks.
Work cells allow teamwork and support between employees, as well as
continual improvement by exchanging of ideas and knowledge.
Suppliers network: lean production is focused on core competencies and
the limitation of waste. Inventories can thus be considered as wastes. To
achieve production, the lean system needs a strong network of suppliers,
respecting tight schedules, and applying themselves lean production
system.
No inventory: once again, inventories are considered as waste, thus they
are limited to essential pieces in case of break machine for instance.
Customer focus:
Customization: orders precede supply in the lean production system.
Customers can express their envies and expectations and then get what
they have asked for. Lean production system searches for maximizing
customer value and customer satisfaction.
Adaptability of processes: by implementing continuous improvement, the
lean production system is characterized by adaptability. It allows
customization of orders, improvement during the process, and best
quality.
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11. Disadvantages:
Reliance on network:
Supply chain risk: the lean production system is heavily based on a large
network of suppliers. Supply chain risks such as late delivery or defective
delivered products can always happen. Trust relationships are of
paramount importance as well as strong commitment.
Commitment from suppliers: most of the suppliers needed in a lean
production system have to apply themselves the same system. It gives a
certain power of negotiations for some companies, but it still raises ethical
questions.
Short-term forecasting: lean production system is based on everyday
operations or short-term forecasting. It can be difficult to have a long-term
vision with such a system. However, it is compensated by the principles of
continuous improvement.
Cost of implementation:
Commitment from the top: lean production is often inefficient without a
strong commitment from the top. It implies indeed a specific leadership
style where employees are responsible and autonomous. Thus, it is of
paramount importance that the top management strongly believe in this
system.
Culture of change: lean production system asks for a culture of change. It
praises continuous improvement, and is based on a system permanently
in movement. Change has o be quickly accepted and even desired.
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