April 19, 2014

Lean Enterprise - Management Companies - Case Studies

Alexander Doll

Alucast - UK SME

Bene Buromobel

Boeing Air

Britvic Soft Drinks

Brooks Electronics - Division of Wiremold

Calsonic International Europe Ltd.

Carrier Airconditioning

Chrome Craft


Coleman Foods Ltd.

Doyle Wilson Homebuilder

Federal Express



Grand Haven Stamped Products

Grand Rapids Spring and Wire name changed to:
GR Spring and Stamping Company Inc.

H&W Screw Product

Hitachi Air Conditioning

Honda UK Manufacturing

Honda of Americal Manufacturing

IEC Electronics Corp.  - Newark, N.Y.

IG Lintels Limited

Ingersoll Rand

ITT Alfred Teves, Ltd.

Mahindra and Mahindra - Tractors, SUVs and Cars - India

Meiper Recaro GMBH


Leyland Trucks Ltd.

Linread Northbridge Ltd.

Maruti Suzuki - India

Mexican Industries of Michigan

Moffitt Associates


Nissan Motor Manufacturing Ltd.

Nissan Sunderland Plant, England

Northern Engraving

Parker-Hannifan Automotive & Refrigeration Group

PCI Group

Perkins Group Ltd.


Dr. Ing. h.c. Porsche A.G.

Pratt and Whitney

Ransohoff - Manufacturer of  Industrial Parts Cleaning Systems - Cincinnati - USA

Robert Bosch Ltd.


Rover Group Ltd.

SEMCO - India - Pune

Senco Products

Showa Manufacturing

Sloane Toyota

Summit Polymers


Tesco Stores Ltd.

Toyoda Iron Works

Toyota Kirloskar Motors Pvt. Ltd. - India

Toyota Motor Corporation (Japan)

Toyota Motor Manufacturing U.K. Ltd.

Toyota Motor Manufacturing, U.S.A.

TRW Steering Systems Ltd.

Unipart Group of Companies, Ltd.

United Electric

United Technologies



Case Studies in Lean Enterprise - IIE Website

April 15, 2014

Approaches for Analysis of Management Activity for Theory Building and Principles Development

Approaches to Management Analysis

(List given by Heinz Weihrich, Mark V. Cannice and Harold Koontz, 13th Edition, McGraw Hill, 2010)

Empirical or Case Approach

Studies management activity through case studies. Identifies successes and failures. Develops principles from it. We can now says it is case study research approach. Ernest Dale was the pioneer of this approach.

Managerial Roles Approach

Mintzberg used this approach to describe management activity. The original study consisted of observations of five chief executives. Ten managerial roles were identified and grouped into interpersonal, informational, and decision roles.

Contingency or Situational Approach

Contingency approach develops principles that include well defined situations, and different managerial actions appropriate to each situation to get the desired result. Hence in this approach to get a desired result, multiple input variables are identified and one of them is appropriate for a specific defined situation.

Kenneth Blanchard popularised this approach.

Mathematical or Management Science Approach

Mathematical approach is more popularly known as operations research or management science.  Theory in this approach is specified through mathematical formulas and functions. Optimization is the special contribution of this approach.

Decision Theory Approach

Focuses on the making of mana decisions and decision-making process. It also focuses on persons and groups making decisions.

Reengineering Approach

Concerned with process analysis and radical design based on new technology developments.

Systems Approach

Systems approach defines systems with boundaries within an environment and also subsystems within the system.

Sociotechnical Systems Approach

Based on the premise that technical system has a great effect on social system (personal attitudes and group behavior)

Cooperative Social Systems Approach

Examines both interpersonal and group behavioral aspects leading to cooperation in systems.

Group Behavior Approach

This approach is based sociology and social psychology. Primarily studies group behavior.  Organizational behavior is a part of this approach.

Interpersonal Behavior Approach

Focuses on interpersonal behavior especially leadership and motivation. It is based more on individual psychology.

McKinsey's 7-S Framework

7-S framework explains management in terms of 1. Strategy 2. Structure 3. Systems 4. Style 5. Staff 6. Shared values and 7. Skills

Total Quality Management Approach

Focuses on providing products or services that are fit for use and thus satisfy customers.
Deming, Juran and Crosby are the leading advocates of this approach.

Management Process or Operational Approach

This approach distinguishes between managerial and non-managerial knowledge. Explains management around the functions of management. These functions are specified differently by different authors. Koontz specified them as planning, organizing, staffing, leading and controlling.

Henri Fayol is the father of this approach

14 April 2014

Scientific Management Approach needs to be added to the above list. It is a significant omission by Koontz et al.

Scientific Management Approach

Scientific management approach is based on experiments either laboratory type or field type and developing principles based on the data collected from experiments to organize work either of equipment or men and man-machine combinations

A New Approach now needs to be added

Lean Management

Scientific management applied in Toyota Motors resulted in the development of lean management approach. It is basically a further development in the tradition of scientific management and its emphasis on efficiency.

April 14, 2014

What is a Lean Enterprise?

A lean enterprise is a high productivity enterprise.  Lean enterprise gives equal emphasis to effectiveness and efficiency.

Effectiveness is providing goods and services that customers value.

Efficiency is producing goods and services that customers value at a cost that gives profit to the organization.

Profit  = Value to the customer (Price to the producer) - Cost of production.

A lean enterprise simultaneously focuses on  product enhancements that increase value to the customer and product value engineering and production methods efficiency engineering to reduce the cost of production.

Definitions and Explanations by others

What is a Lean Enterprise?
A Lean Enterprise produces more with existing resources by eliminating non-value-added activities. To be competitive in today’s global economy, companies must work to eliminate overproduction caused by traditional scheduling systems and only make what customers want when they want it. Lean establishes a systematic approach to eliminate wastes, create flow, and develop and implement a long-term plan to streamline your operations for success. Begin a Lean Enterprise Transformation by learning to see your business as one integrated set of processes and then systematically eliminating waste across your entire company – from shop floor to front office.


What is a Lean Enterprise?
Taiichi Ohno, the founder of the Toyota Production System, defined it this way: “All we are doing is looking at the time line from the moment the customer gives us an order to the point when we collect the cash. And we are reducing that time by removing the non-value-added wastes” (Ohno 1988). This is a simple and efficient explanation of a complex system and culture.

A lean enterprise applies TPS principles to all aspects of its business.

Customer Focus – Only the customer can define the value of our product or service. All else is waste.
Eliminate Waste – Waste is anything that the customer does not need and will not pay for. All employees must be empowered to eliminate waste.
Improve Flow – Small amounts of product or service moving quickly according to customer demand. Customers will pay for time.
Quality “Built-in” to Processes – Make it right, instead of inspecting later
Respect for People – Develop your people and your partners.
Continuous Improvement – No amount of improvement is ever enough.



Industrial Engineering Knowledge Revision Plan - One Year Plan

January - February - March - April - May - June