Lean Manufacturing: What You Should Know as an Entrepreneur

Lean manufacturing is a production method based on increasing efficiency while reducing waste in a production line. Waste, according to the lean concept, is everything that does not offer value that consumers are willing to invest in. 

Decreased lead times, lower operational costs, and higher quality of the product are all advantages of lean manufacturing. The method, also referred to as lean production, is built on a set of manufacturing concepts that have impacted production processes all over the globe, such as those in other sectors such as medicine, technology, and different service businesses.

Lean Manufacturing Principles 

The following are the five lean management concepts used to improve lean production techniques:


The value philosophy is customer-centric. Knowing what motivates clients, what they are prepared to pay for, and what they value in a company is critical. You can assess the worth of your items and develop a competitive and “top-down” price objective by putting yourself in the shoes of your clients and comprehending what they need most.

Define what is valuable to the client before you start detecting and removing waste. Once the consumer has defined what is helpful to them, you may design a product that contains only what is required and eliminates any extraneous work and components.

There will be no place for squandered products, money, or time if you focus on efficiency and cost-effectiveness. This renewed emphasis will provide the consumer with the value they expect while maximizing profit.

Value Stream Mapping

This principle entails capturing and evaluating the dissemination of knowledge or resources needed to generate a particular product or service in order to discover waste and improvement opportunities. 

A value stream map allows managers to view each step of the manufacturing process to discover waste and areas for development. Businesses must look for debris at every stage of the process. Everything that does not offer value should be removed. As part of this initiative, lean thinking suggests aligning the supply chain.

Read Also: Why is UAT crucial even after your project launch?

Create Flow

Process enhancement is one of the objectives of lean manufacturing. Since you might cut your manufacturing lead time by improving the processes in the value stream, discover solutions to improve lead time by removing functional impediments. 

This helps ensure that everything runs well from the time an order is placed to the time it is delivered. The removal of waste relies heavily on flow. Lean production is based on avoiding pauses in the manufacturing cycle and permitting a synchronized and integrated collection of processes in which activities flow in a continuous stream.

Pull System

The “pull” principle in lean production generates on-demand production, which means that things are not made unless the client requests them. Because pull concentrates on creating something as required, there is no need for a large stockpile of material, reducing waste and saving your organization money in the long term. The pull system entails commencing new work only when there is a demand from customers. This is what makes just-in-time manufacturing possible. 

Continuous Improvement

This lean approach identifies and eliminates waste through lean concepts such as value stream mapping. Establishing high goals for your production plant will keep everybody on their feet, even if perfection is often unattainable. Lean principles are simple to incorporate into your corporate success, ensuring that you continually strive to improve and expand. 

Pursuing the core drivers of quality problems and manufacturing waste is ongoing. Businesses will be motivated to make actual improvements and look deeper into probable advancements once they have been found, which will keep competition strong and the sector is going forward.

Wastes of Lean Manufacturing 


Any material transportation that isn’t directly supporting instant production is classified as transport wastage. Transport waste can be caused by poor facility design, poor production planning, and poor scheduling.


Too much inventory consumes storage and gets expensive in devaluation. Materials are only acquired when there is a demand for them in just-in-time production.


Any human motion that does not add worth to the product is considered motion waste. Moving gear, reaching or bending, or collecting tools in excess of what is required, and too complex processes are examples. Inefficient plant design, a lack of visual monitoring, inadequate process mapping, and a lack of planning and scheduling are all common causes of motion waste.


This is the time devoted to waiting for the next step in operation, such as a worker waiting for machinery to be repaired or managers to sign off on a document. This is time that could be better spent improving consumer value. 


Other wastes described here are the result of overproduction. Surplus merchandise must be delivered and preserved, and then you must wait before selling it. Oversupply is inefficient in the end since it surpasses consumer needs.


Any extra activity in manufacturing or communication which does not add quality to a product or service is known as over-processing. Excessive data, production delays, repetitive assessments and clearances, and imprecise client demands are all over-processing waste. It is driven by poor configuration management, erroneous production standards, and ineffective practices and regulations.


The cost of scrapping, repairing, or reworking a product that does not meet requirements is defect waste. Manufacturing defect waste can be caused by a considerable variety of manufacturing procedures, high inventory levels, insufficient tools or equipment, unsuitable methods, inadequate training, or transportation degradation caused by bad design and unnecessary handling.

Non-Utilized Talent

Whenever management lacks to guarantee that all of their prospective employee ability is being used, production waste is produced. It may result in improper work being assigned to personnel, as well as lousy communication handling.

Concluding Thoughts

Lean manufacturing is an approach for streamlining and improving production methods or other operations in order to provide further client benefits while keeping costs down by eliminating waste as lean maintenance necessitates it. Lean is best deployed as a methodology throughout an organization, with continuous evaluation and changes implemented with the help of personnel at all levels.

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