Case Study: Lean Implementation at Siemens' Kalwa Plant

Production practices have had an important role in satisfying the dynamic market. Many approaches have being developed in order to respond effectively to specific business requirements. In fact, some areas of management have focused its study on the overseeing, designing, and controlling the process of production in an effort to find the best methodology that ensures the business success and performance. However, complexities arise in this field because many variables such as costs, inventory, scheduling, suppliers, etc have to be considered in any business. Lean approach and the traditional approach are two points of view that aim to address this complexities, and those will be examined in this essay.

Implementation of the Comprehensive Technique of Lean Manufacturing in Small Scale Process Industries : A Case Study

“Lean is a systematic approach to identifying and eliminating waste (non-value-added activities) through continuous improvement by flowing the **product at the pull of the customer in pursuit of perfection.” Lockwood [24].

B. Will the supplier be able to meet our cost, quality, and product performance requirements?

Engstrom should provide a space in which workforce can communicate by having managers listen to them and asking them questions. People generally know the right answers if they have the opportunity to produce them. For Engstrom creating teams and committees with members from each production department to management is important. A committee can help improve the line workers morale with ideas such as improvement for production, and meeting delivery deadlines. A committee of managers from each department within the plant who will work with plant line workers to make suggestions and improvements for employee morale and improvement. The teams formed should be from all functions and staffed with members whose talents match team tasks. Committees are

D. Helps a firm create as large a gap as possible between the differential value created and the cost

Ways of improving flow, removing waste and decrease delays, getting things correct the first time, therefore expanding quality and bring down costs. Lean Thinking also identifies ways to permit the personnel by encouraging them to maintain solutions through making respectable judgments based on evidence presented.

This fifth chapter is titled with “It’s all about people”. The theme is to “identify the whether the supervisors are truly involved with the work standards and daily basis floor improvement”. Thus, the efficiency of the supervisors in implementing the lean application is important.

The application and implementation of lean principles or thinking is a process that requires commitment from every stakeholder in the organization. This process entails commitment to the organization's workers and to the system itself in order to make changes towards improvement. Generally, the implementation of lean thinking is geared towards continuous improvement through the elimination of waste. However, lean management or implementation of the principles sometimes incorporate mistakes that are made by leaders in the execution process. This is mainly because lean leadership appears to be simple though its complex because of the costs associated with it. The mistakes usually occur because of intrinsic complexities of exploring deeply into organizational philosophies, business strategy, psychology, and macroeconomics.

b. The selected vendor must clearly demonstrate the ability to meet customer lead times while conducting themselves in a safe manor.

The success of the company lies within its employees. With LB’s high volume of work, the employees are very dedicated to fulfill all the requirements and to

Lean is defines the manufacturing philosophy that reduces the time between the shipping and customer demand, which based on the systematic method by eliminating waste, that means giving the customer what they want when they want it, and don 't waste whatever. Rahmana, Sharif and Esa (2013) suggested lean production is mentioned to improve the company 's performance from the philosophy in reducing waste in order. That means, lean system destination is the decrease cost by removing the non-value activities, which they are applying a category of tools and techniques for checking and eliminating defective in the production process. In the Evenort Company should emulate the five overriding principles of lean thinking in terms of implementing lean that there is guarantee the company has been driving correctly in the lean manufacturing (Cardiff 2015) as can show in table 1.

However, Chase et al (1998) identified lean themes as total visibility; respect for people; flexibility; continuous improvement (kaizen); synchronisation and balance; responsibility for the environment and a holistic approach. These two are similar as one must have respect for people while specifying value by putting their needs into consideration, the value stream needs to be identified and made to flow continuously and this can be achieved through synchronisation and balancing, the pull system depicts the flexibility approach and lastly both emphasize continuous improvement.

In the next phase of this project, the running of the power plant HG should employ someone whose main function is to be a liaison between the corporate culture and the

This study has extended the understanding of the employee adherence to lean practices and how those practices enhance the performance of the organization. Lean initiatives in an organization become more strategic and through standardizing key activities which direct on continuous improvement it enhances the productivity of employees. Company can focus on what strategies should be taken to enhance the organizational performance through lean practices. Below mentioned main objective and other sub objectives expected from the study on “Impact of Lean practices on organization performance”