Real-world workshops reveal disconnect between lean programs, aspirations
By Staff -- Manufacturing Business Technology, 10/1/2006 12:00:00 AM
At Lean manufacturing workshops held this summer, delegates from some of Europe's leading manufacturers endorsed findings from Boston-based AMR Research, pointing to a disconnect not only between manufacturers' lean programs and their IT strategies, but also between lean aspirations and manufacturing strategies.
Offered by enterprise vendor QAD, services provider Lockwood Greene, and AMR, the workshops delivered practical demonstrations of lean principles in action. “The experience of using real-life simulation scenarios—bringing people, processes, and technology together to deliver lean benefits—was extremely valuable,” says Adrian Ancliff, advanced logistics planning manager at Derby, U.K.-based Rolls-Royce.
Yet it's that very theme of people, processes, and technology where the disconnect occurs. All too often, claims AMR, lean involves people and processes—but not technology.
“Although they invest heavily in integrating data from customers and suppliers into ERP systems, most manufacturers—more than 70 percent—use manual systems, stand-alone PC applications, and spreadsheets to run their lean programs, rather than specialized enterprise-class applications,” says Nigel Montgomery, a London-based research director for AMR. “Recent data shows 42 percent share kanban replenishment signals with their suppliers manually, while more than 50 percent receive manual kanban from their own customers.”
What's more, adds Montgomery, “While executives consider lean a strategic direction, less than a third of respondents actively discussed business process designs, value streams, and extended supply network performances at the executive level.”
It was a message that struck home with John Harland, plant director at Shrewsbury, U.K.-based automotive supplier Stadco, said to run one of the most advanced vehicle pressings lines in Europe.
“While the concept of lean itself isn't new to European companies, the idea of deploying additional IT software to support it is,” he says. “Companies are familiar with techniques such as value stream mapping, but often don't appreciate that software can help with data collection, and extrapolating before-and-after scenarios.” The root of the problem, concludes Montgomery, is a perception that lean is a manufacturing initiative, and one typically carried out at a departmental level.
“People use spreadsheets and other PC-based systems because they're readily available,” he says. “For a greater uptake of enterprise-level lean tools, there needs to be a greater awareness of lean at the enterprise level.”
