MGT 314: PRODUCTION MANAGEMENT

REPORT TOPIC: LEAN MANAGEMENT & FOUR PRINCIPLES

FALL 2019

Submitted To:
SHAILA JAHAN MONA
Lecturer, Department of Management,
School of Business & Economics (SBE),
North South University (NSU)

Submitted By:
Section: 11

Name ID
Md Nagib Mahfuj 142 1336 030
Gazi Rokibul Hasan 152 1763 630
Simanta Saha 153 1000 030
Ismail Hossain Shohan 163 1481 030
Lean Management: It’s a philosophical theory that developed by the top managers thinking
process. It has some dynamic and chronological factor that idea comes. Basically, key factors are

 Deliver value from customers perspective

 Eliminate Waste
 Continuously Improve Process.

These are the major factor that a company or manufacturing product factory runs smoothly run

It has established with four principles PULL, ONE PIECE FLOW, TAKT & ZERO EFFET
respectively.
 1. PULL:

It is the first step to which production are at the optimal level, minimize waste. Rather than
over-producing, to look customers demand through the manufacturing process, that is how
save the inventory from old product also keep maintaining supply and demand.

It also reduces the working capital that has invested through buying and purchase
delivery process.
Pull Principles also helps to maintain quality of a product, by over-producing there has a
slight chance to keep up to the mark or fall down product quality.

2. ONE PIECE FLOW

One-piece flow is one of four principles of lean management. This is a fundamental element of
becoming lean. To think of processing one unit at a time usually sends through the organization
batch manufacturing like life blood.one piece flow manufacturing achieving significant benefit
very early

There are seven advantages which are used for successful implementation of a lean one-piece
flow production process:

1. Improves quality and fewer defects in manufacturing

2. Reduces inventory

3. Requirement for less space

4. Enhances overall manufacturing flexibility

5. Makes identifying future kaizen easier

6. Ensures a safer work environment

7. Improves employee morale

Each part in the lot needs to be reviewed for that defect. When implemented properly, one-piece
flow prevents this additional cost
 3. TAKT

Takt is the rate at which a finished product needs to be completed in order to meet customer
demand. This allows us to create and deliver value to our customers only when there is a
demand. It is important to note that the time available for production should reflect the total
number of hours or whatever units of time is used. Employees work minus time spent on any
breaks or meetings. Required units of production is a measure of customer demand. How many
products a company expects its customer to buy in a given period of time. When defining takt
time we should include a relatively short time frame for the average customer demand like a
week or a month.

4. ZERO EFFECT

Zero effects are a management tool aimed at the reduction of defects through prevention. It is

directed at motivating people to prevent mistakes by developing a constant, conscious desire
to do their job right the first time. Zero Defects is a New Dimension in Quality Assurance.
Zero defect basically means that in the companies there might be many errors in all
departments. Basically, in the production department, but a lean company does not pass on
these defects. They try to find a solution before going on to the next step. It is all about
identifying your errors or mistakes as close as possible. It helps the company to gain its goals
more quickly adequately. It might cost the productivity level a bit but it is necessary for the
production.