One of the characteristic of the industrialization is the rise of the manufacturing and production industries. Many of the world economies today are thriving because of lean manufacturing and production strategies that they have implemented and also continually improved over time. There are many challenges that are faced by these industries especially in terms of the resources that they need in their implementation and also in some of the environmental responsibility that is present. Here are some factors that you need to consider when look at the key processes.
- Customization in manufacturing
It is until recently that there is the demand of customized metal work in most of the markets. Although initially there was the popularity of mass production, the current market is always in need of acquiring unique products. This means that there is need to have precision machines for lean manufacturing. Other process like casting, stamping and assembling are also part of the process. The process of customizing ensures that there is reduced cost of mass production which is most of the time to very effective. When the products are put in the market they are also not very competitive because there are standard in nature.
- The cost involved
In most of the manufacturing processes time is very important. This will also determine the cost of the final product and also affect other costs like labor. Products that take long to be produced tend to be expensive. This is also ensuring that there is production of quality in that record time. It is also important to consider that the price that is attached to every unit is going to snow ball down the chain of distribution. If the initial cost of relatively high, it is going to be expensive when it gets to the final consumer.
- Quality vs. quantity
This is something that is apparently very important in lean manufacturing and production. There is always an intricate balance that needs to be realistically attained. This is because the production of quality products has the opportunity cost of time that could have been used to produce more units. Therefore the optimization needs to be done to ensure that it is still profitable to product quality and quantity at the same time.
- Lead times
This is usually the time between the beginning and the end of a production process. This can be estimated per unit of time. When it comes to production there is need to ensure the times is reduced for profitability without sacrificing the quality. There is usually customer demand that always needs that there is short lead time for the products. This is to allow the products to hit the market in the right time. It is also used to determine the price of the products.
- Production volumes
This is very important in determining what can be profitably pumped into the market. Initially mass production meant that you need to have some sort of a ware house where you can store the stock. With customized production there is need to determine the volume of manufacturing and production volumes for profitability.