Esterline Technologies and Lean Manufacturing Case Study

Esterline Technologies and Lean Manufacturing - Case Study Example Tier-1 supplier status puts the business organization into a more advantageous situation, which gives it a higher bargaining leverage. On the other hand, it also highlights the company's current performance. Cremin notes that, Tier-1 status "means that you can handle the next biggest thing; you can be trusted, you're reliable, and you have financial strength." Lean manufacturing has been instrumental in the deployment and success of the strategy. Esterline recognizes that lean manufacturing is a system which helps it achieve its manufacturing goals of "lower cost, improve quality, and build competitive barriers to entry." 3. What are the key components of a lean system and how do they compare with components of traditional systems As you prepare your answers consider dimensions such as: supply chain management, process architecture (layout), metrics, material flow discipline, inventory management, key performance metrics, use of IT, employee involvement, quality systems, equipment maintenance, scheduling, links between product design and manufacturing, and other factors that come to mind. Lean system is a quest in maximizing the efficiency through the elimination of wastage in the manufacturing process in a business organization. ... supply chain management, process architecture (layout), metrics, material flow discipline, inventory management, key performance metrics, use of IT, employee involvement, quality systems, equipment maintenance, scheduling, links between product design and manufacturing, and other factors that come to mind. Lean system is a quest in maximizing the efficiency through the elimination of wastage in the manufacturing process in a business organization. The key components of a lean system are often in contrast in a lean manufacturing system. In a lean system, supply chain management is very much important as the flow of goods within the organization is highly organized. Close collaboration with suppliers through the use of IT is emphasized in a lean system. In a traditional system, this is not practiced. In a lean system, plant and equipment layout is by product flow using cels or lines for product families. In traditional system, plant and equipment layout is by department function. Inventory levels and turnaround are closely monitored in a lean system where inventory levels are kept as low as possible while turnaround is high. The contrast is applicable to traditional system. In a traditional system, employee input into how operation is performed is low. In a lean system, employee empowerment is high as they are given the responsibility for identifying and implementing improvements. In the traditional system, there is no flexibility in the manufacturing schedule as manufacturing is difficult to handle and hard to adjust. Traditionally, production schedules are based on forecast. In the lean system, production is scheduled by customer orders which mean that product is pulled through the facility. In a traditional manufacturing system, quality is assured through lot