Lean is the Future of Manufacturing
Lean, a system that reduces production and response times from suppliers to customers, is continuing to transform the manufacturing industry through its focus on efficiency, productivity, and the reduction of waste for producers and suppliers of goods. Amazon, Toyota, and other major corporations are strong proponents of applying the principles of lean to their business. To satisfy a customer base that wants it “now,” Amazon took all their processes apart and found myriad ways to eliminate waste, which for lean manufacturing can mean everything from reevaluating the materials required for producing and shipping a product, to the processes used to get that product from design to customer. Reducing wait times and eliminating extraneous handling and labour through lean improves the bottom line. The capital saved can then be reinvested in new and better products and processes to further improve the customer experience, which in turn fuels business growth.
Out With the Old
The lean manufacturing journey begins by recognizing that the old way of running operations may be holding the company back, and potentially making one less competitive in the marketplace. A heavy steel fabrication company needs to be willing to invest the time and capital needed, or it will result in a failed effort. Once the budget has been set, spend some time identifying areas of waste. This can include wait times, unnecessary processing, overproduction, human movement, excess inventory, and task complexity. Next, set expectations within the company that innovative change such as work sampling is coming, and how everyone will benefit from the forthcoming improvements.
Build a New Pyramid
The first step is to reevaluate the current work pyramid. In traditional manufacturing and structural steel fabrication organizations, the base of the pyramid typically consists of line workers, while the company’s CEO and executive team sit at the top. The new, “lean” way of thinking flips that pyramid, so now, the most important people—those who will be responsible for the company’s continuous improvement—are the line workers. Acceptance of cultural change is important, else manufacturing processes such as heat induction bending services will not be successful. One will end up wasting a lot of money on some shiny new tools that ultimately will not deliver what was being expected. But if one can get over that hurdle, the rest is smooth sailing by comparison.
Hire a Good Coach
To identify the cultural changes the manufacturing organization is going to need to make, it is essential to hire a qualified coach. Comparable to a fitness trainer, a good coach stays for six months or more to teach everything required to know to get into lean shape. They will evaluate the current organizational structure, identify areas of inefficiency, teach teams ways to recognize the importance of communication, coach them through the business transformation, and get everybody working on a continuous improvement path.
Prepare for the Journey
Be ready for the long haul. Once the inefficiencies are identified, develop new repeatable processes designed to eliminate that waste. This includes creating revised roles and responsibilities and ensuring everybody knows their place in the new organizational structure. From there, move on to value stream mapping, where every step of a given process is diagrammed including updating standard work roles and responsibilities for everyone within the company. And do not forget to incorporate suppliers into the new processes. Their symbiotic cooperation will help to strengthen the existing relationship and further propel manufacturing operations. And lastly, strive for continuous improvement, because doing so will uncover never-ending opportunities to improve the company.
Closing Thoughts
Lean manufacturing is a paradigm shift. During that transformation, manufacturers and steel fabrication Australia will find that some employees are set in their ways and will question the need for change. However, once the new organizational mechanics are in place, expect employee morale to improve significantly, because everyone at all layers in the company will feel like valued contributors, which leads to improved productivity. However, it is important to understand that lean manufacturing is not something that happens overnight. Remember, this is a journey, not a sprint!