Lean Manufacturing


Management Services Winter 2012


Applying lean manufacturing in a developing economy


A case example by John Heap.


Over the last couple of years the Institute of Productivity has been involved in a project managed by UNIDO (the United Nations Industrial Development Organisation) to help improve aspects of Pakistan’s industry.


The project has a number of strands (such as ensuring compliance to international standards) but we have been involved with two main areas. The fi rst is the creation of ‘trade corridors’ – mechanisms for building trust between potential Pakistani exporters and potential importers in identifi ed target markets. Part of this process involves building the capacity and competitiveness of specifi c industrial sectors... and so we have also been involved in capacity-building and performance improvement in these sectors.


This article describes the approach we have taken... and the reasons for adopting that approach.


When we fi rst looked at the overall ‘problem’ it was clear that some sectors of industry were quite a way behind their international competitors... in terms of technology, manufacturing systems and practices, and – often – in employment practices (and heath and safety practice). The Institute has a particular focus on ‘social productivity’ (using productivity to create


social impact and this is why much of our work is in developing countries) so we were particularly keen to play a part in addressing productivity and performance improvement in ways which would improve the competitiveness of Pakistan’s industry but would also have a direct, positive impact on the communities involved in the sectors under discussion. (This approach is covered in our recent book Measuring & Improving Social, Environmental & Economic Productivity: Getting It Done by Mike Dillon and John Heap.)


Assessment and feasibility


The UNIDO team suggested that the application of lean manufacturing would be benefi cial and we undertook an initial assessment and feasibility study with a view to creating a project to apply ‘lean’.


There has been enough coverage of lean manufacturing in Management Services journal for me not to have to explain what it is! However it is worth just reminding ourselves that it is based on the ‘principles’ of: l Creating fl ow; l Eliminating waste; l Continuous improvement; l Involving everyone.


Many of the fi rms we were likely to be involved with were ‘unsophisticated’... and a very long way from being lean.


11


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48