Maximization
Vs Optimization
How you should use your resources. What is the
out come you are looking for. Most of the times, your answer will
be maximum use of your resources. Of cause that’s how many
traditional organization think.
Take machinery in your manufacturing facility
as an example. All of your planning will be targeted to get the
maximum utilization of these machinery. Any machine idling will
be treated as a crime. Say your machinery can produce 100,000Pcs
when it operates at full capacity. Suddenly you will have another
problem. You will not have the capacity to handle the 100,000Pcs
of capacity in other parts of your organization. What will be
the end result. Very high pressure on the other activities, bottlenecks,
higher WIP increased lead time and quality defects.
Lean manufacturing works on a very deferent principle
when it comes to situations like this. Instead of using your resources
to maximum, lean manufacturing proposes to use them optimally.
Simply think about your requirement. Then use your resources so
that they will give you the required result. Oppose to the traditional
manufacturing system where first priority is the maximum utilization
of resources, and goal setting according to that, lean manufacturing
makes the best use of its resources in the bigger picture. The
result will be a system with no WIP, no minimum order quantities,
quality defects etc etc.
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