Lean production

• what is waste in a business?


  waste is activity that doesn't add any value
• what are three types of waste?


  any products that arent sold, materials that haven't been used, employees waiting time
• what is a range of lean production methods?

  JIT stock control

  kaizen

  TQM

  benchmarking
• what is an advantage of just in time?

  • decrease staff costs
  • decrease warehouse costs
  • improving quality
  • higher profit margins
• what are disadvantages of just in time?


  order may not come on time

  decrease productivity
• what are the factors that might determine using just in time?


  production process is a key factor in making sure the process runs smoothly

  reducing the amount of inventory held as this reduces costs of protecting and storing this will allow the business to use the stock that is needed and allows the process to run smooth
• what is kaizen?


  based around people and their ideas rather than investment in new technology
• workers should feel like their doing two jobs

  • doing the job
  • looking at ways for improving it
• what are quality circles?


  the main method used to let workers provide suggestions for improvements- when the team regularly meets with their manager to discuss how to improve quality and reduce wasre
• what are the benefits of lean production?


  reduces waste so its more efficient

  lean production should enable the firm to achieve shorter production times which gets its products to the market faster

  better motivation

  continuous improvement
• what are the problems of lean production?

  • difficult for the firm to respond to urgent orders
  • rely upon close relationships with suppliers
  • continuous improvement puts pressure on workers
  • increased training is needed to help improve which is expensive