Lean manufacturing as a high-performance work system: the case of Cochlear

This paper addresses the Special Issue call for Australian examples of innovative management systems that enable the production of successful products by drawing on a single case study: medical device manufacturer Cochlear. Through qualitative case study methodology, we examine the human resource management practices that complemented the implementation of lean manufacturing principles. We argue that in their implementation, Cochlear’s management team enriched the traditional understanding of lean and its focus on waste reduction, low cost and quality assurance by adopting people management practices as an integrated component of the overall management capability which allowed their people to grow and develop. The combination of lean and HR practices transformed Cochlear to a high-performance work system and positively impacted production processes and output. By examining a medical device manufacturer, an under-researched sector, our paper expands existing literature on lean manufacturing and provides implications for practitioners.     

A framework for assessing the use of lean production practices in manufacturing cells

This study introduces a framework for assessing the use of lean production (LP) practices in manufacturing cells (MCs). The development of the framework included four stages: (a) defining LP practices applicable to MC, based on criteria such as the inclusion of practices that workers could observe, interact with and use on a daily basis; (b) defining attributes for each practice, emphasising the dimensions which were typical of their implementation in LP environments; (c) defining a set of evidence and sources of evidence for assessing the existence of each attribute–the sources of evidence included direct observations, analysis of documents, interviews and a feedback meeting to validate the assessment results with company representatives; (d) drawing up a model of the relationships among the LP practices, based on a survey with LP experts. This model supports the identification of improvement opportunities in MC performance based on the analysis of their interfaces. A case study of an MC from an automobile parts supplier is presented to illustrate the application of the framework.     

Criteria for a lean organisation: development of a lean assessment tool

Lean principles have long been recognised as a competitive advantage. Although there are several measures for various aspects of lean production in the literature, there is no comprehensive measure for overall lean implementation in business firms. An appropriate measurement tool is needed to assess the effectiveness and efficiency of the lean implementation throughout the entire organisation. Based on lean research, a comprehensive tool called the leanness assessment tool (LAT) is developed, using both quantitative (directly measurable and objective) and qualitative (perceptions of individuals) approaches to assess lean implementation. The LAT measures leanness using eight quantitative performance dimensions: time effectiveness, quality, process, cost, human resources, delivery, customer and inventory. The LAT also uses five qualitative performance dimensions: quality, process, customer, human resources and delivery, with 51 evaluation items. The fuzzy method allows managers to identify improvement needs in lean implementation, and the use of radar charts allows an immediate, comprehensive view of strong areas and those needing improvement. Practical uses of the LAT are discussed in the conclusion, along with possible limitations.     

Challenges in the transformation to lean production from different manufacturing-process choices: a path-dependent perspective

The implementation of lean production remains popular among industrial companies, and the requirement for individualised steps in its implementation is widely accepted; however, research has not yet considered the different process choices available to the companies. The conclusions drawn from the automotive industry's mass production environment may be misleading, given the different conditions of many other industries. We therefore compare case data from a craft producer with the rich, case-study based literature of mass producer companies that highlight the transformation from mass to lean production. We derive a list of specific challenges a craft producer must approach using a different strategy than a mass producer. This study adds to the lean production theory by demonstrating how different manufacturing process choices influence the lean transformation process and its successful implementation. It provides specific propositions concerning the transformation to lean by considering the different processes of craft and mass production companies. Furthermore, the case study gives an in-depth understanding of the challenges a craft-oriented company faces when becoming lean.     

Supplier network relocation in a capital-intensive context: a longitudinal case study

The problem of delocalisation has assumed enormous importance over the last years, given the ever increasing number of firms who turn to it in order to improve their competitive performance. This type of intervention has an impact that extends throughout the whole supplier network of those firms that delocalise. The originality of this research in comparison with the numerous studies on this subject lies in analysis of the supplier network relocation of a firm that has delocalised the production plant and operates in a capital-intensive context. The use of the action research method has enabled us to carry out fieldwork, by conducting a longitudinal case study, on what problems can occur, what solutions can be adopted, and what contingent factors are critical for the realisation of a supplier network delocalisation project in a particular context, such as a capital-intensive context.     

Towards a lean automation interface for workstations

Methods and principles of Lean Production have become the major concepts to create highly efficient processes since the early 1990s. Due to its high effectiveness by reducing complexity and focusing on value-adding tasks, the Lean concept is still successful. Nevertheless, its changeability to produce highly customised products is limited. Industry 4.0 describes the vision of a smart production which can meet these future market requirements. Enablers are innovative information and communication technologies and the integration of all production entities into a common digital network. Lean Automation is the application of Industry 4.0 technologies to Lean Production methods in order to combine benefits from both domains. First proprietary Lean Automation solutions exist, but to enhance changeability in production, a common, unified communication interface is required. This paper presents the ongoing work towards an interface for digitising Lean Production methods using Cyber Physical Systems.     

Towards greater understanding of success and survival of lean systems

The purposes of this research are to remove some of the confusion surrounding the characterisation of lean systems; to delve deeper into the human issues associated with lean; and to explore the complexity of an established lean system to identify issues which affect its success and ongoing continuance. Using the mixed methods of literature analysis, semi-structured interviews and document analysis, we examine the lean implementation in one site of an international car manufacturer. We claim several contributions for the work. First, we produce a literature-based taxonomy defining the core dimensions of lean – this gives managers a clear roadmap for lean implementation. A second contribution is a detailed delineation of the human issues of lean, from which managers can follow our set of themes to guide their managerial efforts. Finally, we provide insights into the inner workings of a lean system showing several examples of the delicate balances and tensions which exist. Perhaps none is as significant as the issue of its long term survival, which our findings suggest may be at risk. This serves as a warning signal to managers to be on constant lookout for signs of faltering or failure.     

Use of the manufacturing system design decomposition for comparative analysis and effective design of production systems

The focus of this paper is on the use of the Manufacturing System Design Decomposition (MSDD) to make effective cost and production system design decisions. A comparative study is conducted to illustrate how and why the total cost is reduced when the functional requirements defined by the MSDD are achieved. The ultimate goal of this research was to advance manufacturing and production system development to being guided by engineering science and design rather than the common practice of duplicating another person’s or entity’s notion of the best physical implementation.     

Applying Value Stream Mapping to eliminate waste: a case study of an original equipment manufacturer for the automotive industry

Since its beginning, lean manufacturing has built a worldwide reputation based on results related to production improvement and cost reduction in several companies. This management philosophy focuses on customer value creation through the elimination of production wastes. Lean methods and techniques have spread their scope from the automotive industry to a wide range of industries and services. This article presents a case study that describes the use of the lean tool value stream mapping in the production process of automotive parts for a major automotive company. At the beginning of the project, relevant data from the process were collected and analysed. Subsequently, the initial process was mapped, the related wastes were identified, and then future processes were mapped and financial results were estimated. The proposals were presented on kaizen meetings, the action plan was discussed and the decision regarding which option to choose was taken. Consequently, the Cycle Time and the level of the workforce were reduced, the process was improved and savings were obtained.     

实施精益生产是当前中国企业的最好选择

《改变世界的机器》和《精益思想》两书将精益生产和精益思维带到了中国,而精益生产方式曾使丰田汽车公司从较低的起步发展成为世界级的公司。那么什么是精益生产？与大量生产方式相比它有什么优劣？在中国能不能实施精益生产？如何来实施精益生产？根据与丹尼尔·琼斯教授的精益企业研究所合作在国内推广精益生产方式的实际感受,谈谈对这几方面的看法。     

Decision support system for vendor managed inventory supply chain: a case study

Vendor-managed inventory (VMI) is a widely used collaborative inventory management policy in which manufacturers manages the inventory of retailers and takes responsibility for making decisions related to the timing and extent of inventory replenishment. VMI partnerships help organisations to reduce demand variability, inventory holding and distribution costs. This study provides empirical evidence that significant economic benefits can be achieved with the use of a genetic algorithm (GA)-based decision support system (DSS) in a VMI supply chain. A two-stage serial supply chain in which retailers and their supplier are operating VMI in an uncertain demand environment is studied. Performance was measured in terms of cost, profit, stockouts and service levels. The results generated from GA-based model were compared to traditional alternatives. The study found that the GA-based approach outperformed traditional methods and its use can be economically justified in small- and medium-sized enterprises (SMEs).     

Learning organisation and lean production: an empirical research on their relationship

This study aims at identifying the pairwise relationship between specific sets of Lean Production (LP) practices and Learning Organisation (LO) dimensions. More specifically, the association between 10 LP operational constructs and seven LO dimensions, based upon previous literature, is empirically examined. A survey-based study was carried out with 135 companies undergoing a LP implementation. The study sample was categorised according to two control variables: type of organisation and company’s LP implementation experience. Collected data was analysed through multivariate techniques. Results indicate that LP implementation and LO development are highly correlated. Additionally, findings also show that the extent of relationships varies according to the context, allowing the identification of synergistic associations and conflicting ones. The identification of these relationships provides means to better comprehend how the implementation of specific LP practices corroborates to enhancing LO capabilities within the organisation and vice-versa.     

Linking networks and plant roles: the impact of changing a plant role

Many manufacturing firms are expanding their global footprint to explore new opportunities for efficient and effective production. The strategic perspective on international manufacturing networks involves both the network level and the plant level. A key aspect is the relationship between the network and the role of plants. In this research, we investigate the relationship between the network and plant perspectives in international manufacturing networks. We use an embedded case study that includes five plants in two product networks over a period of three years. We analyse how changing the role of one plant affects the network as well as the roles of the other plants in the networks. We find that decisions on plant roles are, to a very high degree, network decisions and not decisions for individual plants. Based on the insights into the case study, we also develop a framework for mapping manufacturing networks, including market coverage, plant location and site competence.     

A time-based quantitative approach for selecting lean strategies for manufacturing organisations

Lean strategies have been developed to eliminate or reduce waste and thus improve operational efficiency in a manufacturing environment. However, in practice, manufacturers encounter difficulties to select appropriate lean strategies within their resource constraints and to quantitatively evaluate the perceived value of manufacturing waste reduction. This paper presents a methodology developed to quantitatively evaluate the contribution of lean strategies selected to reduce manufacturing wastes within the manufacturers’ resource (time) constraints. A mathematical model has been developed for evaluating the perceived value of lean strategies to manufacturing waste reduction and a step-by-step methodology is provided for selecting appropriate lean strategies to improve the manufacturing performance within their resource constraints. A computer program is developed in MATLAB for finding the optimum solution. With the help of a case study, the proposed methodology and developed model has been validated. A ‘lean strategy-wastes’ correlation matrix has been proposed to establish the relationship between the manufacturing wastes and lean strategies. Using the correlation matrix and applying the proposed methodology and developed mathematical model, authors came out with optimised perceived value of reduction of a manufacturer's wastes by implementing appropriate lean strategies within a manufacturer's resources constraints. Results also demonstrate that the perceived value of reduction of manufacturing wastes can significantly be changed based on policies and product strategy taken by a manufacturer. The proposed methodology can also be used in dynamic situations by changing the input in the programme developed in MATLAB. By identifying appropriate lean strategies for specific manufacturing wastes, a manufacturer can better prioritise implementation efforts and resources to maximise the success of implementing lean strategies in their organisation.     

Struggling with solutions; a case study of using organisation concepts

Engineers contribute to the constant flow of new tools and organisation concepts. These tend to be presented as solutions to existing organisational problems. These solutions may become problems themselves, however. We present a longitudinal case of how a truck manufacturer struggled with various similar and dissimilar concepts in realising organisational changes. Whilst it may seem idiosyncratic, the company's struggles are probably typical for organisational change praxis. Reflecting on the case, we present a model to help practitioners reflect on their use of concepts and tools (thereby arguably contributing to the issue we signal).     

From value stream mapping toward a lean/sigma continuous improvement process: an industrial case study

Though lean manufacturing has been widely recognised for its effectiveness in continuously improving productivity, product quality, and on-time delivery to customers, the cost for hiring a full-time lean manufacturing engineer has kept many small businesses from implementing lean in their facilities. This paper presents a case study of lean implementation at a small manufacturer in the United States. Starting with collecting process information, a current value-stream map was created that reflected the current operation status. A future value stream map was then proposed to serve as a guide for future lean activities. Next, hurdles that kept the company from moving towards future state were identified. The ‘5 whys’ method was employed to reveal the root cause for each hurdle, followed by kaizen events proposed as solutions. In this case study, two kaizen events were proposed. For the first kaizen event, Taguchi experiment design was used to find the optimal machining parameters that reduced variation in a plasma cutting process. It consequently eliminated rework time and improved productivity. In the second kaizen event, implementation of rabbit chasing increased the system flexibility and consequently reduced inventory levels between work stations.