Lean methodology: what it is and why it works

Lean methodology is a system that is put in place to facilitate business management. Even today, few entrepreneurs choose to apply it, some due to lack of knowledge, some due to a real business choice. Here is what it is and why it works, providing no small benefits to those who implement it in their business.

The origins of the Lean method
The system called Lean dates back to the post-World War II period thanks to the decision of the leaders of the Toyota automaker to introduce a new production method compared to the one created by Ford. Going into detail, the formula is closely related to the concept of kaizen, a Japanese expression that has spread to Europe and America only since 1993.

The word in question takes on the meaning of improvement, inherent in business efficiency in all its forms. In the Rising Sun, the term is also used to summarize better management of the resources available to a business, with a view to increasing its productivity quickly.

What is Lean methodology
Lean methodology is simply the ability to achieve greater results with minimal effort. It does not affect the increase of economic resources, but rather facilitates the monitoring of activities without any additional expense. With such premises, it is possible to optimize one’s endowment in manpower and equipment, enhancing enterprise capital.

In this situation, it is possible to introduce the concept of lean thinking, which makes it possible to shape a new corporate mindset aimed at the well-being of a staff. In practice, the Lean method is not just a simple set of useful actions to increase productivity, but manages to go far beyond that.

In fact, thanks to Lean, it is possible to make the company more competitive and, at the same time, ensure that employees have the conditions they need to perform at their best. Every business reality of the latest generation should give serious consideration to such a hypothesis, through constructive involvement of the staff.

How to apply this system in a business reality
Having seen what the Lean methodology is, it is essential to know how to apply it in a wide-ranging business strategy. In any case, the incorporation of this technique must be preceded by some careful assessments, without which it may prove somewhat less effective.

It starts, first of all, by defining the determining activities to improve the customer’s experience and invite them to perform various actions. Then, you proceed with the Kaizen method, carrying out the policy of small steps and gradual progress. One should not forget to remove unnecessary activities.

The situation from which one starts should be analyzed in detail, with a view to removing unnecessary waste. From travel management to the control of necessary processing, from the reduction of goods in stock to the ability to avert the risk of overproduction, every detail can make a major contribution to a company that wants to grow.

The Five S’s Technique
For a flawless implementation of the Lean method, implementing the so-called Five S technique can in turn make a difference. Here are what these five Japanese terms are and how to know their respective characteristics:

• Seiri, that is, to best distinguish what is needed and not needed;
• Seiton, i.e. to put in order the items considered essential;
• Seiso, i.e. to arrange one’s workplace to the best of one’s ability in every respect;
• Seiketsu, that is, to focus on repetitive methods to improve one’s work system;
• Shitsuke, i.e. making one’s modus operandi spread in a well-established manner.

The tangible benefits of Lean methodology
Knowing what Lean methodology is can be critical to the fortunes of any business. In such a case, the company knows the potential needs of customers well in advance and has all the resources it needs to meet them, without any excess production. No more unnecessary paperwork to accumulate, no stockpiled goods.

A good business realizes the continuing needs of the public. Each compartment of the company can be considered a customer as opposed to another. The ultimate goal is to produce only what is necessary to grow business productivity, as well as to enable employees and contractors to operate under perfect conditions.

According to the Lean method, production must be taken care of in every single detail, with a total elimination of any form of waste. Efforts must therefore be made so that a business can benefit from this system and appreciate its relative potential right from the start.