Product development lean thinking

This approach was originally developed, like lean thinking, in Japanese business practice and involves the creation of an extended networks of inter-linked suppliers within a supply chain, all of whom are focused on delivering innovation in products and services, either in the form of functional or cost reduction improvements. The practice normally involves the creation of extended long-term supplier associations focused on passing value improvements throughout the supply chain to the customer. 

Under the leadership of the General Manager, the Supply Chain and Operations Area had embraced the principles of lean thinking developed by Toyota (Liker, 2004) and applied them. Within 12 months the operational sections had been reconfigured into 7 value streams that represented the company s major product lines cross-functional teams had been established to eliminate sources of inefficiency such as waste, non-conformance and duplication communication channels had been unblocked and individuals had been empowered. 

Product development delivers new products or services that can be sold. This process is essential if an organisation is to have future success. Lean thinking can be applied to this process to make it more effective by supporting the development of products with desirable attributes and features and achieving this on time. It can also make the process more efficient and ensure that products are developed to cost. 

Underpinning the application of lean thinking is the need to influence design. Many of the wastes uncovered in the replenishment, make to order and product development cycles cannot be removed because they are inherent in the design of products, systems, processes and facilities. The design strategy employed in lean thinking is to incorporate the ability to undertake lean practices across the total life of a product or facility and also include flexibility to deal with unpredicted events. These issues are described more fully below. 

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