Lean Management: Lean Management is a successful concept that, roughly speaking, deals with the efficient design of processes. Waiting times, superfluous communication and unnecessary work steps are to be eliminated. It’s called waste.
What really matters in lean management
It is one thing to choose the right software and the right methods to establish lean management in the company. But that is not enough. Much more, interested parties should seek professional help, for example from a professional management consultancy.
Waste in production can actually lurk anywhere. For example, in the form of…
- Production defects
- unnecessary work steps
- inefficient transports (half-empty delivery trucks, long detours)
- Overproduction (blocked warehouses)
What is Lean Management?
Lean Management means something like “slim management”. The aim is simply to reduce waste as much as possible. This is achieved by making processes efficient, i.e. lean.
In short, redundant activities are wastes that can be avoided. On the whole, the entire value chain is optimized by coordinating the individual work steps more precisely and making further improvements.
The remarkable thing about Lean Management is that it can be applied in really any business area and in any type of production process: From product manufacturing to marketing to software development.
The 5 basic ideas of smart lean management
No matter in which industry Lean Management is applied, there are exactly 5 core principles.
1. deliver value from the customer’s perspective
The central element in lean management is to meet the needs of customers. For this, the entire production must be tailored to his ideas. Planning is therefore aimed at fulfilling the customer’s requirement.
2. understand value stream
All sub-steps of the production or service together form the value stream. It is important to be able to replicate this accurately in order to find the value-adding processes.
3. realize flow principle
Each production step must mesh fluidly with the others to avoid waste. It helps to reorder and synchronize the steps. Perhaps by planning some processes in parallel or by completing them with a perfect fit.
4. use pull principle
Often manufacturers do not pay close enough attention to demand and produce too much (=push). The pull principle is intended to achieve exactly the opposite: Production only takes place according to concrete demand or when stocks are exhausted.
5. keep continuous improvement in mind
Continuous improvement is the basic principle in lean management. This is because unforeseen changes often occur. For example, skilled workers may drop out, certain materials may no longer be produced, or a partner company may close. For these and many other reasons, there is always something to discover that can be improved.