lean manufacturing concepts explained

Push Vs Pull

Here we are going to look at one of the major differences between traditional and lean manufacturing systems. Traditional manufacturing starts with the manufacturing, regardless of the requirements for that product, and then pushes to the next step. The next step can be an internal process or the selling in the market. The disadvantage of this system is the over production. This is because the production is carried out without an actual requirement. To avoid wastages the following processes must produce the same quantities. At the end of the process, manufacturers might have a large stock of products which there is no actual demand in the market. To sell these products, which market has no requirement, marketers have to create the requirement. This requirement creation process will take huge amount of money in the form of advertising campaigns, discounts etc. the worst part is, even with this effort there is no guarantee that the goods can be sold.

But on the other and lean manufacturing works on pull strategies. Nothing will be produced until the next process really requires it. In the bigger picture, the manufacturers will not produce anything, unless there is a customer demand. The customer demand will pull the products fro the manufacturing facility. From the internal requirements point of view, the first operation will crate the product when the second process creates the requirement. That is, second process pulls the production from the first process.

Pull scheduling reduces the over production. Only the required amount is produced in every stage. This will also allow the system to work with virtually no WIP. Altogether this makes a manufacturing system with very high flexibility and no waste. Manufacturing system will be very highly responsive to the customer requirements and will be closely related to the market dynamics.

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