It was quite surprising to note that the Lamborghini, one of the most craved for Super Cars is manufactured in a very traditional way. The amount of automation in the factory is negligible when compared to the other mass market car manufacturing plants. The utmost care and deliberation that goes into the production of each car simply blew my mind away.
This term ‘Lean Management’ was coined after a study conducted by the MIT research team as it found out that the TPS was based on the basic principle of taking maximum output by wasting the minimum resources. So, Lean Management basically means reducing waste from all the walks of work involved in the work place.
Given the records of the Indian Manufacturing Industry, their resource utilization has always been among the lowest worldwide. This is the primary reason for the Indian Manufacturing Industry being left behind the competition in many sectors although the quality of products are at par with others in many cases.
Lean Manufacturing is a manufacturing system and philosophy that was originally developed by Toyota and is now used by many manufacturers throughout the world. At Toyota the system is referred to as the Toyota Production System very well described in the world famous New York Times best seller – ‘The Toyota Way’.
The term Lean is very apt because in Lean Manufacturing the emphasis is to cut out the “fat” or waste in the manufacturing process. Waste is defined as anything that does not add value to the customer. It could also be defined as anything the customer is unwilling to pay for.