Case Study: Jaguar Cars

An internationally respected name in auto

manufacturing, Jaguar was conceived in 1935,
and since then it has had to evolve in order to
meet the demands of constantly shifting market
expectations. For the present day, this consists of
the adoption of lean production strategies,
exemplified by its Castle Bromwich factory in
Birmingham, a site that, in February 2016,
announced plans to grow production through a
360,000 sq. ft. logistical warehouse expansion.
Central to this mode of production are ideas pertaining to continuous improvement,
standardization and waste minimization. This production line improvement includes the
categorization of stages as either profitable or unprofitable, so that positive processes
can be maximized and negative processes streamlined. Consequently, as opposed to
being asked to spend more hours working, employees are instead tasked with working
more intelligently, in order to improve overall productivity.

Jaguar sourced specialist help in delivering these changes from RWD Technology UK
Ltd, and these consultants built upon Jaguar’s reputation for industry excellence, adding
innovations in production functionality in order to develop a new approach to work. For
example, as opposed to the previous ‘top-down’ system, whereby a supervisor would
dictate targets to 30 employees, RWD Technology implemented a leaner group of seven
workers. This team is designed to take ownership of any work completed, while using a
team leader for guidance only. Tangible improvements have since been recorded in
production line operation, and employees themselves are described as performing to a
higher standard, given the greater freedom and responsibility they are now licensed to
work with. Sometimes referred to as cellular working, team members were trained in new
working techniques through on-the-job instruction, as opposed to the conventional
classroom-style teaching, so employees were better acquainted with their part of the
production line. Jaguar also implemented their Customer Relationship Management
software, which encourages a lean approach to other areas of business, such as supply
and stakeholder management.

Often linked with lean production methods, the just in time approach also helps production
to move more quickly, without the many problems associated with excess stock and
material. This is achieved through numerous central store supply operators who, when a
low stock signal appears on the production line, deliver the requisite components
promptly, allowing other workers to maximize their time spent manufacturing. This
elimination of waste, both in terms of physical parts and workers’ time, has benefits in
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reducing the floor space needed, eliminating harmful clutter and reducing the number of
parts damaged in storage.

Just in time manufacturing functions most

effectively when factory supply is
synchronized with consumer demand, so to
this end Jaguar have devised a system of
transparent management, complete with
control boards, bearing visual data. This
allows different sections of the Castle
Bromwich factory to be analysed in terms of
productivity and performance, which, when
combined with daily monitoring of production
targets, tailors fluctuating outputs to the required levels. Making use of gemba (‘to go see’
in Japanese), factory management are advised to leave their offices and oversee the
production line, so that potential problems and bottlenecks can be solved through
thorough understanding of the job itself. Practically speaking, this system of control
boards is manifested in the form of cord pulls, the first being pulled when a worker initially
encounters an issue and the second being pulled when the more experienced team
leader has been able to remedy the situation. If, however, the issue is not immediately
rectified by the team leader, then the production line remains halted until the issue is
overcome. Though Jaguar is known for manufacturing excellence, such scenarios cannot
be eliminated altogether, and it is expected that the cord will be pulled approximately 140
times each shift. These stoppages can be analysed using on-site control boards in order
to make appropriate adjustments to the manufacturing process.

The Castle Bromwich site also utilizes information centres, designed to articulate
succinctly – in three minutes – the statuses of workstations and wider relevant objectives.
Incorporating graphical data, which has been confirmed by management and leadership
figures, this open information fosters a sense of collective responsibility and holistic
understanding in the approach of Jaguar employees. However, Jaguar are also mindful
that such information is processed correctly by employees, resulting in quick responses,
when necessary, in the form of insertions into either new or existing meeting agendas. In
conjunction, job responsibilities are standardized, so that factory workers have objective
levels of quality to meet in any work completed. As a further example of Japanese
influence, the element sheets completed by each team member take the form of the
Yamazumi Board, in which completed processes adding value are highlighted in green,
so as to contrast with those that do not, in red. This system of production analysis and
revision also measures the time taken to complete various tasks in a transparent fashion,
making any following redistribution of work among team members less problematic. The

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cooperation associated with such cellular units can also help to deliver on lean objectives
and the overarching elimination of waste. Overproduction, necessitating storage and
handling costs, and cumulative periods spent waiting for component delivery, can be
drastically reduced in this way, while the reduced need for transportation of goods can
limit costs. Such improvements to work plans, alongside revisions to takt time, can also
save on extraneous steps in production, such as repair, which can follow inadequate
manufacturing practices. Fundamentally, the success of Jaguar’s lean production line
hinges on the team ethic that cooperation and innovation contribute not only to a better
product, but the improvement of working efficiency.

Discussion Questions:
1. What are the main benefits available to Jaguar from its use of lean?
2. Are there any disadvantages in its use of lean?
3. How easy do you think it might have been to initially introduce lean working into Jaguar?