Lean and Agile Methodologies to improve plant production efficiency
by Lantek
Advanced Manufacturing
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Delivering value to customers through high quality products and fast service is fundamental to all businesses and an important requirement for project teams. In the quest to optimise the production process, various methodologies have emerged that aim to improve every stage of the process, from budgeting and initial design through to development, manufacturing, inventory and distribution.
At all these stages, these methods can be applied with the aim of maximising the efficiency of business tasks and processes, thereby improving the quality of products or services. This has given rise to methodologies such as Agile and Lean Manufacturing, which share a common goal but have different areas of application.
What are the core values and characteristics of Lean and Agile, and what is their approach and scope?
To answer this question, we need to look at their history and the needs that led to their creation. In the 1990s, software developers began to adopt lean practices. Lean originated in the Japanese manufacturing industry, specifically in the automotive sector, shortly after the Second World War, and focuses on process optimisation, cost reduction, quality improvement and lead time reduction.
The Lean Manufacturing Methodology
It is defined as a philosophy that aims to optimise and improve the manufacturing process by eliminating or reducing activities that do not add value to the production process. In other words, it focuses on eliminating those activities that do not add value or contribute to speeding up or improving production. This methodology aims to optimise production and reduce waste in production processes.
The father of this methodology is Taiichi Ohno, a Toyota engineer who sought to improve manufacturing processes by focusing on two aspects: eliminating material waste and wasted time, i.e. everything that does not add value, and identifying overloads that delay production. The aim is to optimise manufacturing by reducing investment, time and effort.
Initially utilized in the automotive sector, this method has now expanded its application to all industries. It is based on identifying "waste" or factors that hinder efficient production, including:
Overproduction: Manufacturing without proper planning can result in excessive production or allocation of resources beyond the requirements.
Inventory: Inadequate stock control leads to the accumulation of unnecessary materials.
Waiting time: The idleness of machines or personnel should be minimized to avoid incurring additional costs.
Defects: Any deviations from the project must be promptly addressed and corrected.
Transport: Efforts should be made to minimize the movement of materials.
Motion: Identifying unnecessary movements that do not contribute to the production process.
The Origin of Agile Methodologies
These origins are rooted in the past. Specifically, a decade ago, a group of 17 programming professionals established the Agile Alliance, a non-profit organization committed to promoting agile software development for the design and creation of new products, as well as assisting other organizations in its implementation. To achieve these objectives, they formulated the Agile Manifesto, which aims to develop software that best addresses the increasingly pressing product development needs of customers.
The Agile Manifesto encompasses four core values:
Prioritizing people and interactions over processes and tools.
Emphasizing working software along with comprehensive documentation.
Advocating collaboration with customers to negotiate contracts.
Embracing change while adhering to a well-defined plan.
It is based on 12 principles:
Customer satisfaction is given the highest priority through the early and continuous delivery of valuable software.
Change is embraced at any stage of development, including the final phase, as agile processes transform change into a competitive advantage for the customer.
Software should be delivered frequently, ideally within a range of 15 to 60 days, with a preference for shorter cycles.
There are no isolated departments; instead, business management and developers must collaborate and work together.
The work environment should be designed to motivate and support individuals in performing their tasks effectively.
Face-to-face communication is recognized as the most efficient and effective means of interaction.
The progress of work software serves as the primary measure of advancement.
Agile processes are designed to foster sustainable development practices.
Continuous attention to technical excellence and good design enhances agility.
Simplicity is of utmost importance.
Self-organizing teams often produce the best architectures, requirements, and designs.
Regular reflection on how to improve effectiveness is crucial for making necessary adjustments and refinements to work.
The philosophy behind these agile methodologies holds significant value, leading to their rapid adoption in various business domains to enhance efficiency. Different methodologies have emerged based on four key concepts: flexibility, communication, collaboration, and simplicity.
The introduction of agile methods marked a significant milestone in the history of software development, revolutionizing the way projects are managed and products are designed and developed in collaboration with customers. Agile methodology focuses on finding the optimal approach to meet customer needs during product development.
When applied to the industrial sector, the primary objective is to enhance production efficiency and competitiveness by developing and manufacturing optimized, high-quality products in the shortest possible time with minimal defects. To achieve this, clearly defined production phases are of utmost importance.
These methodologies have evolved over time to cater to diverse needs. Lean and Agile methodologies emphasize the organizational culture by fostering multidisciplinary teams, reducing waste, prioritizing customer satisfaction, adapting to change, and consistently delivering value.
However, these two methods are sometimes misconstrued and mistakenly assumed to be very similar or even identical. While there are similarities, there are also significant differences. Lean originated in manufacturing and was subsequently adopted by the IT industry. Its primary focus lies in optimizing manufacturing processes and eliminating waste throughout production.
Although it could be said that Lean provides the framework for Agile, with some of its lessons and practices embedded in its core, Agile aims to instill a culture of agility throughout the entire organization and places greater emphasis on collaborative product development with customers. It is fundamentally a mindset rather than a rigid framework.
Both methodologies have their roots in software development teams, but their benefits are not limited to this domain alone. These practices can bring advantages to all departments within an organization. The adoption of these methodologies should be tailored to the specific needs of each organization. A detailed analysis of the desired benefits is crucial to determine which methodology is best suited to achieve those goals.
These methodologies strive to optimize production, resources, and people, with the ultimate aim of creating sustainable customer value through continuous improvement. By doing so, they contribute to building healthier and more resilient organizations.
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