Lean Thinking: Banish Waste and Create Wealth in Your Corporation, Revised and Updated (Hardcover)

One of the strengths of this book is that it is deliberately full of examples of companies which took traditional methods in existing plants and converted them into lean operations. I know of no other set of case histories half as useful on this subject.

The key limitation of this book is that most people new to lean manufacturing would not be able to implement solely using the book as a guide. The conceptual perspective, while being uniquely valuable, leaves the inexperienced person with few guideposts. Some of the key requirements are simply described as "get the knowledge" and so forth. As a follow-up, I suggest that the authors team with those who have done this work and write a hands-on guide. Much more benefit will follow.

If you are interested in understanding how a new business model of how to provide your products and/or services might work and what the benefits might be, Lean Thinking is a good place to start. Most executives and operations managers have never seriously considered going from batch to cell-based production. This will open your eyes to the potential.

Based on my many years of experience with improving business processes, you will actually need to go visit some of the companies cited to fully understand the issues and what must be done. I know that visits to Pratt & Whitney can be arranged and are very insightful. You might try to start with that one.

One area may turn you off. The cited examples moved forward pretty ruthlessly. That may not be your cup of tea. You may be reminded of some of the early reengineering. My own experience is that such changes can be done in a more positive and constructive way. Stay open to that possibility as you read the cases. They basically all use command and control to create more flexibility. You can also use other methods like those encouraged in The Soul at Work and The Living Company to create these kinds of results. Keep that in mind.

I recommend that everyone who uses batch and sequential operation methods read this book. It will open your eyes to great potential to grow faster and more profitably.

Briefly, how do Womack and Jones define lean thinking? It is the opposite of muda (a Japanese) word for anything which consumes resources without creating value. In a word, waste. Lean thinking is lean because "it provides a way to do more and more with less and less -- less human effort, less equipment, less time, and less space -- while coming closer and closer to providing customers with exactly what they want." Lean thinking is thus a process of thought, not an expedient response or a stop-gap solution. The challenge, according to Womack and Jones, is to convert muda into real, quantifiable value and the process to achieve that worthy objective requires everyone within an organization (regardless of size or nature) to be actively involved in that process. Once again, in this new edition they address questions such as these:

1. How can certain "simple, actionable principles" enable any business to create lasting value during any business conditions?

2. How can these principles be applied most effectively in real businesses, regardless of size or nature?

3. How can a relentless focus on the value stream for every product create "a true lean enterprise that optimizes the value created for the customer while minimizing time, cost, and errors"?

In Part IV, Womack and Jones update the continuing advance of of lean thinking. They rack the trend in inventory turns and the progress of their profiled companies. Also of special interest to me was the discussion of what Womack and Jones have learned since 1996 which probably explains why they introduce a new range of implementation tools support value stream mapping initiatives and thereby "to raise consciousness about value and its components, leading to action."

Obviously, even if everyone involved within a given organization is committed to lean thinking, to creating value while (and by) eliminating waste, the process requires specific strategies and tactics to succeed. Hence the importance of the last chapter in this book., "Institutionalizing the Revolution." I presume to suggest that the process of lean thinking never ends. Inevitably, success creates abundance; abundance often permits waste. I also presume to suggest that priorities must first be set so that the implementation of lean thinking process does not inadvertently create or neglect waste in areas which influence the creation of value for customers.

Although highly readable, this is not an "easy read" because it requires rigorous thinking about what is most important to a given organization, rigorous thinking about the root causes (rather than the symptoms) of that organization's problems, and rigorous thinking about the most prudent use of resources to eliminate those problems. Because of the importance of the material which Womack and Jones share, I strongly recommend that decision-makers read and then re-read this book before getting together to exchange reactions to it. Out of that discussion, I hope, will come both a collective commitment to lean thinking and the personal determination of each executive to apply what she or he has learned from this book in operational areas where waste has most diminished value.

In an easy to read style it sets out the steps taken by different people as they first faced a looming crisis and then journeyed down the road to Lean and reaped the success that was achieved by their hard work.

For any manager or improvement agent it is an excellent introduction as it tells the stories of several companies from different industries and dispells some of the myths of Lean.
For me it has been an inspiration as I now work educating and helping companies implement Lean as described in this book.

One thing is certainly true, survival is optional, and as this book shows with Porsche, a big name and fantastic quality are no defence if you can't keep your costs down. Lean methods saved them and it can do the same for your company, you need to be convinced? Read Lean Thinking, I still dip into it on a regular basis!