Question from the Web 2

Why do so many companies which try to implement lean manufacturing fail?

When companies consider lean it is mostly for a few reasons.

1. I saw an implementation and it seemed the thing to do
2. I want cost reduction as quickly as possible
3. We need to change and lean seemed like a logical answer
4. If it is as good as it says then lets try it

Of course there are many other reasons but these 4 will give you reasonable insight into why lean could fail.

The first is the fact that most companies lack the will and the commitment to examine everything they do. Implementing lean can be accomplished by starting with the most elemental pieces but if you lack the will to question everything then the sacred cows will remain.

The second is the all too often presented reason for reducing cost and not concerned about all the other stuff. I have often said to audiences that if I told you that I have a great deal for you called lean and many of you are going to lose your job, then how much support would be garnered? The two initial questions asked by the entire organization say it all: “Why do I have to change?” and “What’s in it for me?”  These tell you that most people enter lean implementation with a well honed perspective of “I, me and my”. They are usually not ready to accept the invasive nature of lean and personal change, especially at the perceived risk of their job.

The third reason for failure is that the logic of lean is only seen in a system.  If you are just trying to imitate another company, then you will not learn to ask the right questions (systems questions) and lean will fail.

The fourth reason is the “I am almost committed” rationale. This leads to failure because commitment requires some inconvenience to be present. If you are only partially committed you tend to implement those aspects of lean that you agree with and fail to see the interconnect of the systems development.

The key, then, is wrapped up in one word: Leadership.  Leaders, in a failed lean manufacturing implementation, embody all of these shortfalls.  But, leaders, and their commitment and consistency, are also the key to overcoming these shortfalls.