Article Details

Lean Implementation in Manufacturing Industries – A Review | Original Article

Ravikumar Purohit Ashish Hulle in Anusandhan (RNTUJ-AN) | Multidisciplinary Academic Research

ABSTRACT:

With time manufacturing industries are shifting to the places where labor charges are less but once the industry is set up the manufacturing cost starts increasing as with time there will be hike in charges of labors, raw material, transport, power, fuel, maintenance etc. these all will contribute in higher manufacturing cost. Manufacturing cost per unit will see continuous uptrend and that to sustain in this competitive market manufacturer cannot increase the selling cost, this results in reduction of the profit margin (percentage). Profit can be increased by two ways either by increasing selling price or by reducing manufacturing cost. The first option is not feasible therefore; to sustain in the competitive market the only option remain to work on manufacturing cost reduction. The big question arises how one can reduce manufacturing cost? The answer is by implementing lean manufacturing. Lean manufacturing and their tools is a perfect way to reduce wastages. Lean manufacturing works on elimination of non-value activities. Once non- value added activities get reduce automatically there will be increase in value added activities. Customer pays only for value added activities so keeping in this mind implementing lean manufacturing may become need for manufacturing industries. This paper includes information about lean manufacturing and lean tools, benefits of implementing lean manufacturing andsteps involved in implementatio.