When is a company Lean?

When can a company be considered Lean?

“Is my company Lean?” Many companies ask themselves whether their company is Lean or not. Actually it is my experience, that many of the companies that think they are about to be Lean - have a long way to go! Lean can give excellent results, but they do not show within the first year! Experience shows that it takes up to 3-4 years to “become Lean”. Remember - you never become Lean! Lean is not a static condition and you will never be able to say “now we are Lean”. Lean is a culture - a way to work and do things. Lean can therefore not be something you are - but a way you work!

“Lean is a company culture”

Even though Lean is a way to work, I will try to give 5 questions that can indicate whether you are on the right track!
The questions are for manufacturing companies:

• Does the top management have focus on Lean in words and actions? Do they talk about Lean on every meeting and do they constantly show in the production and recognize results?
• Is the production organized as a 5S workplace with a high level of order and systematism? And is the 5S level constantly improved?
• Is the “total process time” divided by the “total throughput time incl. all stocks” improved? The process times divided by the total throughput time should not be more than 0.1%. The stock turn should be more than 12.
• Is the planning horizon reduced? It should be reduced to at least day-to-day planning. A condition to reach this goal is reduced turn-over times and small batches - with a high OEE on bottlenecks.
• Are boards used for planning and problem solving?

Lean can give significant results

Using Lean production companies can achive the following results:

• Shorter lead time to customers
• Improved delivery service
• Increased capacity
• Improved product quality
• Reduced stocks
• Improved flexibility
• Higher productivity
• Improved safety level
• Improved ergonomics
• Visible management
• Improved job satisfaction
• Key performance indicators at all key points
• Continuous improvements
  

By Mikkel Smith
Flexkom – Download Lean tools online >
Website on Scandinavian Lean Courses >