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OPERATIONS

GROUP NO. 10
MEMBERS:
SUYASH TILAK 55
MANALI URANKAR 56
MIKISHA SEDANI 57
KSHITIJ VEDAK 58
SUNMEET VERLEKAR 59
NITESH WALKE 60

LEAN PRODUCTION:
Lean production is quite simply about getting more from less. The aim of lean
production is to reduce the quantity of resources used in providing goods and
services for consumers. At the same time, it is about making the organization more
efficient. Lean production involves eliminating waste and therefore using less
labor, materials, space and time. This in turn reduces costs.

CASE STUDIES:
1. NIKE: Nike has determined that their finished goods
manufacturing is where they have the largest impact on
people and the environment. Within that context, they want
to be a catalyst for positive change.
a. FACTORY SOURCING: Quality begins at Factory Sourcing
that is, the process a contract manufacturer has to enter in
order to be selected as a Nike manufacturing partner. The
sourcing process is more rigorous than it was and Nike has
improved the quality of the manufacturing partner and the
time it takes to select a partner. In terms of time it takes to
become a partner, it now takes Nike 152 days versus 246
days. That means it takes Nike 38% less time evaluating a

manufacturing partner. This is a massive improvement. In


terms of quality, Nike has increased its requirements but
doesnt leave the partner hanging dry Nike actually spends
time and energy and resources helping the contract
manufacturing partner reach Nikes new standards.
b. MANUFACTURING EXCELLENCE:
According to Nike, in order to design the future, Lean Manufacturing must be part
of the solution for them. In their words,
Lean manufacturing has been a hallmark of our approach with factories and is the
foundation of how we advance sustainable manufacturing. Lean manufacturing is a
business system and continuous improvement philosophy that aims to deliver the
highest-quality product while eliminating waste, including lost time and material.
At Nike, we also believe lean can empower workers and teams. The success of the
lean approach depends on the implementation of physical changes to production
processes, increased leadership capabilities and the development of an empowered
workforce. Lean manufacturing seeks to engage the minds of those closest to the
work to solve the problems that prevent them from delivering quality product on
time, every time.
As we all know, people are at the heart of any operation. Nike has spent a lot of
energy in training and upskilling their contract manufacturers in Lean. From their
perspective, Lean helps their people in the following ways:
Leadership: factory leaders use Lean to drive business performance
People: workers are engaged and enabled to drive business success through
continuous improvement

Process: factory processes are predictable and agile in response to customer


demand
And, they believe that the lean approach also seeks to engage the minds of those
closest to the work to solve the problems that prevent them from delivering quality
product on time, every time.

The curriculum contains 10 modules that each focus on a key area of the Culture of
Empowerment Model. Each module is designed to share HRM best practices
related to lean manufacturing, and contains interactive exercises that allow factory

managers to assess their current state and identify improvement opportunities in


areas including recruiting, selection, employee development, performance
management, worker-management communication and retention.
The curriculum also contains instruction and exercises on lean problem solving and
planning tools including PDCA (plan, do, check, and act) and A3 reports, which
facilitates knowledge sharing and collaboration in a concise document. These tools
are used throughout the capacity building to define follow-up projects that factory
managers implement after completing the training. And, they also take temperature
checks with their people, to see if the Lean deployment is meeting their needs. In a
survey conducted by an outside firm, the results seem promising and Nike has also
take this data from survey results to help further improve their people operations.
And, as with most organizations that are focused on continually improving, Nike is
doing that and hold themselves as accountable.
In conclusion, I applaud Nikes commitment to making Lean Manufacturing part
of their strategy. Notice that Lean is not an end in itself, but is an aid to further
progress toward meeting the Nike promise and achieving their goals and strategy.
It is a part of their supply chain & distribution operations.

2. JAGUAR: Jaguar was founded as the Swallow Sidecar Company in


1922, originally making motorcycle sidecars before developing
passenger cars.
Jaguar was de-merged from British Leyland and was listed on
the London Stock Exchange in 1984, becoming a constituent of
the FTSE 100 Index until it was acquired by Ford in 1990.
a. APPLYING LEAN TECHNIQUE
i.
Creating a highly efficient manufacturing site.
ii.
Changing working practices.
The Quality pillar is based on transferring Jaguars already existing quality
standards to the Halewood plant. This involved creating consistency across the
production process so that, for example, every shift would be working the
same way. At the same time, emphasis was given to reducing time spent on
activities that do not add value to the manufacturing process. Line operators
were given responsibility for identifying continuous improvements that could
be made. Operators were organized into smaller teams working with a group

leader. These groups have been given considerable responsibility for


identifying a need for change and then driving it through. By being given
experience of production methods in Jaguars leading edge plants in the
Midlands, Halewood operators and group leaders learned more about the
changes required.
The Centres of Excellence pillar was seen as the key driving force in changing
peoples thinking. Bringing a large plant like Halewood to the required level of
performance in a single leap would have been too great a task, so the concept of
Centres of Excellence was born. Under this, manufacturing improvement could
be made first within smaller areas through close co-operation and teamwork.
As the established Centres of Excellence demonstrated progress, the concept was
rolled out across more and more areas, until all the Centres of Excellence linked
together and standards across the whole plant were transformed. Initially, just five
showcase Centres of Excellence were established in March 1999. Each
participating workgroup took responsibility for generating improvements through a
specified series of actions, including:
i.
Standardized work processes
ii.
Improvements to component delivery at line-side
iii. A right first time approach
iv.
A best-in-class vision for general housekeeping.
As a conclusion, Creating World Class Performance involves transforming the
way in which a company organizes itself and its relationships with employees
and the wider community. The starting point is to transform production
processes to ensure total quality, lean manufacturing and dedicated
environmental systems. However, to create this transformation it is first
necessary to change peoples thinking about behaviors within the organization.

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