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The Lean Benchmark Report

is a core component of Kaizen or continuous improvement; in other words, a process can’t be improved until it has been standardized and repeatedly executed in the same manner. About one third of discrete manufacturers and one fifth of process companies are utilizing standardized Lean processes in production and are extending them into the sup- ply chain. The remainder is either learning about Lean or has limited or planned Lean production in their plants and factories.

Organization Structure

Discrete 23%

Process 42%

Focused on Lean basics (e.g., the 5Ss); no organizational champion; no co- ordination outside manufacturing

Manufacturing operational improvement decisions based on Lean; manufac- turing management commitment; some coordination with sales, logistics, or suppliers

46%

40%

Corporate or division-wide operational and performance improvement

31%

18%

Table 1: Lean Operational Maturity Characteristics

Process Standardization Learning About Lean Lean production in manufacturing either planned or limited

Fully engaged in Lean manufacturing and extending processes into supply chain

Discrete 25% 39% 36%

Process 38% 43% 18%

Data and Knowledge Management

Just beginning Lean journey; limited internal knowledge and information sharing; external trainers and consultants hired occasionally

Discrete 29%

Process 61%

Lean consultants (internal or external) leading target projects; informal or external training courses; informal information sharing

38%

25%

Corporate-led Lean initiative ensures that Lean philosophy and techniques are communicated via corporate education program; unified metrics and tracking of continuous improvement process and results

33%

14%

Process Automation

Discrete 39%

Process 62%

Limited: manual line design, manual scheduling, paper-based Kanban sup- port, etc.

Point solutions: semi-automated line design, excel scheduling, electronic Kanban, ERP/MRP for material backflushing

39%

31%

Integrated Solution: Automated line design; electronic Kanban extended to suppliers, other plants; automated scheduling and tracking of orders into supply chain

22%

8%

Source: AberdeenGroup, March 2006

All print and electronic rights are the property of AberdeenGroup © 2006. AberdeenGroup 3

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