There are many myths surrounding lean. In an effort to dispel them, let''s explore some of lean''s many misconceptions.
1. Lean Is All About Productivity Improvements
This is heard a lot and likely results from a limited amount of experiences related to line balancing or like exercises. The importance of getting this right is that lean is equally focused on efficiency, effectiveness, and flexibility. Toyota, for example, does not excel just at productivity. In fact, the company doesn''t even have the most productive plant in North America. However, Toyota does outperform in safety, quality, (overall) cost, and delivery. Focusing on one metric over the other creates distortions in a production system.
When measuring productivity, it should be sliced in many ways. Here''s why. Many companies measure productivity as revenue / direct labor. The easiest way to increase that is to outsource half of one''s operation -- revenue stays the same, direct labor drops in half, and productivity doubles -- big raise! But what about effectiveness? And profitability? Consider, instead, value-added productivity -- (revenue - material costs) / employees. Also consider overall productivity -- revenue / all employees. The message is this -- no one measure is foolproof.
2. Lean Started In Assembly and Works Best There
Both parts of this statement are wrong. Lean is easier in assembly but may yield lower overall improvements in the long run. First, to clear up the myth, Toyota started its development of the Toyota Production System in the machine shop, not assembly -- with lots of variation and constraints. Second, assembly is often easier because the work is easier to change and it is more visible. There often isn''t a lot of technology, tools, or monuments to get in the way. The real leverage is in improving the tough areas, those with variation, monuments, and barriers.
3. There Is a "Best Way" To Make Lean Work
This is like saying there is one best diet for every individual or one best car to fit everyone''s needs. Sometimes a new manager will come into a company and say, "At my previous company, we did it this way." It may have been the best there, but it shouldn''t be copied blindly. However, a company can learn from the success and failure of others. A successful lean leader reflects on his/her own journey, adapting implementation along the way.
4. Start With Big, Bold Tools Like Value-Stream Mapping Or Hoshin-Planning
Since tools such as these are often grand in scale and scope, there is a tendency to want to start here. The problem is, these tools require sufficient leadership to think through. If company leaders do not have the experience and depth of knowledge of what lean is, where it can take them, and how to see things differently, they will ultimately make poor decisions. Tools such as these don''t change how one thinks and therefore should not be the starting points for a lean journey. Companies should start small by gathering knowledge and building a foundation.
© The Lean Learning Center 2004