Analysis of Technology Effectiveness of Lean Manufacturing Using System Dynamics

Abstract

In today’s competitive environment, organizations are seeking to improve their position in the market. Lean manufacturing is an effective tool for elevating the competitiveness of organizations based on the fact that each can find its own way of improvement. Technology improvement is considered to be one of lean manufacturing’s dimensions. Technology is defined as the usage and knowledge of tools, techniques, crafts, systems, or methods of organization, with the aim of solving a problem or creating an artistic perspective. A dynamic model could be appropriate for analyzing the interrelated behavior of technology and lean manufacturing. Despite the fact that there are plenty of papers and case studies on the applications of Lean manufacturing in organizations, only a few are focused on the dynamic aspects of the system. In this paper, a dynamic model is presented in which Lean manufacturing is linked with technology by causal relationships. The notable advantage of the presented model is the ability to alter a parameter to find how it affects others parameters by considering key results. Thus, it is reasonable to expect that the results of such analysis could somewhat improve the efficiency of technology improvement on Lean manufacturing.

Systemic assessment framework of a learning organization's competitive positioning

“…Productivity (Hosseini-Nasab, Dehghani & Hosseini-Nasab, 2013) It is simply the ratio of output to input in production that represents a certain level of efficiency Training and process experimentation (Dyk & Pretorius, 2012) It is determined by the amount of worker efforts and resources provided, and in turn it increases problem correction and consequently process throughput Quality projects (Keij & Ashayeri, 2008) Following the principle of gaining knowledge from every project done Forecasting (Keij & Ashayeri, 2008) Estimate the future demand and resources needed (human resources, financial, material) for goods and services…”

“…Technology amortization rate (Hosseini-Nasab et al, 2013) It is determined by the level of complexity of the industry and consequently the lifetime of a technology New technology (Hosseini-Nasab et al, 2013) It is directly determined by the technology amortization rate as well as the need for new programs (process innovation)…”

“…Cost to adopt new technology (Hosseini-Nasab et al, 2013) It is determined by the efficiency of the company's information and process management, as well as its R&D department Lean Manufacturing (Hosseini-Nasab et al, 2013) It is the mindset of cutting every excess waste across the production stages. It is influenced by availability of finances, new technology as well as the productivity and level of customer satisfaction…”

Study on Lean Tools Implementation in Various Indian Small and Medium Scale Manufacturing Industries

“…The applications of lean manufacturing concepts to the continuous production sectors with a focus in the medium scale manufacturing industries were addressed. Also, lean manufacturing tools that adapted from the discrete to the continuous manufacturing environment with the help of VSM, work standardization and line balancing were investigated[32][33][34][35][36]. Based on the above, an attempt was made to capture the methodology adopted and the results achieved in a cluster of nine different SMEs in Tamilnadu.METHODOLOGYLean manufacturing program organized for improving the performance and capability of SME units, a cluster comprising of nine units based in Chennai was carried out.…”