Discuss the adoption of lean thinking and JIT models by companies
Critical Thinking
The global marketplace has witnessed an increased pressure from customers and competitors in
manufacturing as well as service sector (Basu, 2001; George, 2002). Due to the rapidly changing
global marketplace only those companies will be able to survive that will deliver products of good
quality at cheaper rate and to achieve their goal companies try to improve performance by focusing
on cost cutting, increasing productivity levels, quality and guaranteeing deliveries in order to satisfy
customers (Raouf, 1994).
Increased global competition leads the industry to increasing efficiency by means of economies of
scale and internal specialization so as to meet market conditions in terms of flexibility, delivery
performance and quality (Yamashina, 1995). The changes in the present competitive business
environment are characterized by profound competition on the supply side and keen indecisive in
customer requirements on the demand side. These changes have left their distinctive marks on the
different aspect of the manufacturing organizations (Gomes et al., 2006). With this increasing global
economy, cost effective manufacturing has become a requirement to remain competitive.
To meet all the challenges organizations try to introduce different manufacturing and supply
techniques. Management of organizations devotes its efforts to reduce the manufacturing costs and to
improve the quality of product. To achieve this goal, different manufacturing and supply techniques
have been employed. The last quarter of the 20th century witnessed the adoption of world-class, lean
and integrated manufacturing strategies that have drastically changed the way manufacturing
firm’s leads to improvement of manufacturing performance (Fullerton and McWatters, 2002).
Consult chapter 7 of your text book or secondary available data on internet and answer the
following questions.
Question:
1. Why Companies adopted Lean Thinking and JIT model?
2. Discuss major types of Waste, companies has to keep in mind during production.
3. Assess the reasons for using lean thinking (suitable examples), what are the benefits from
Suppliers to end users?
4. Due to COVID 19 emergency do you think agile supply chain is the right concept in this kind
of situation? Give reason with example.
Answer preview :
Word limit : 1165 words