THE IMPACT OF WORLD-CLASS MANUFACTURING PRACTICES ON SMALL MANUFACTURERS - by
David K. Johnson

Obstacles to Lean Manufacturing

Even though, literature suggests that lean manufacturing is applicable to small manufacturers , , many small manufacturers, experience difficultly during implementation. There are many reasons why small manufacturers struggle to implement lean manufacturing practices. Successful use of lean manufacturing practices requires that the company first understand the philosophy behind the practices. Too often a “me too” implementation is pursued resulting in mediocre performance. Implementation of lean manufacturing requires expertise, which often does not exist within small organizations. Some organizations are not even aware of lean manufacturing. Managers at small companies are forced to wear many hats, which limits their ability to become experts on individual topics. Insufficient expertise, unfortunately often results in ad hoc adoption of individual practices, but failure to establish the system-wide philosophy and culture necessary to support the practices.

Lack of expertise could be overcome through the use of outside consulting, but this option is often not a possibility due to financial constraints. Not only are small manufacturers often financially constrained, but they are also often time constrained. Many small manufacturers are preoccupied fighting fires, which should have been prevented. All of these characteristics, common to most small manufacturers, create fear of change making implementation of lean manufacturing even more difficult.

Fortunately, small manufacturers often have less cultural inertia to overcome which should make it easier to establish the philosophy and culture necessary to support lean practices. The lack of technical expertise can also be overcome through the use of Manufacturing Extension Partnership centers, supported by the National Institute of Standards and Technology.

Financial and time constraints still present small manufacturers with obstacles to be overcome, but fortunately the benefits of lean manufacturing outweigh the investment of time and money required to make the transition.

The Pillar of Quality

The pillar of quality strengthens the proposed model by building upon the supply-chain management foundation and reinforcing the lean manufacturing pillar. Many of the traditional quality techniques introduced by Deming, Shewhart, Juran, and others can be used in support of lean manufacturing and supply-chain management. , , Poor quality is often one of the rocks that companies must dredge from the bottom of their inventory lake. Poor quality can hinder the benefits of lean manufacturing and supply-chain integration just as much as poor organization, long setups, or unreliable equipment. It also results in unreliable yields, increased waste due to scrap and rework, increased variation in the process flow, and increased inventory, which must be used as a buffer against poor yields. This not only increases production costs, but it also reduces the benefits of implementing other lean manufacturing techniques. Variation within the manufacturing system is the source of much of the waste that lean manufacturing and supply-chain management practices strive to eliminate. Since many of the quality improvement techniques focus on continuous improvement through reducing variation, traditional quality improvement techniques work well within the lean manufacturing system.

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Copyright © 2005. David K. Johnson. All Rights Reserved.