Lean business principles lead to processes that minimize waste in delivering products or services to end users.
Lean Business Improvement focus on how you use your available resources in the most efficient way, without adding stress. Also providing effective methods and processes resulting in a calmer work pace since everyone knows what, when and how to do their job. To enable this it is important to have a company culture that sees every problem as an opportunity to become even better.
A lean organisation understands customer value and focuses its key processes to continuously increase it. The ultimate goal is to provide perfect value to the customer through a perfect value creation process that has zero waste.
To accomplish this, lean thinking changes the focus of management from optimising separate technologies, assets, and vertical departments to optimising the flow of products and services through entire value streams that flow horizontally across technologies, assets, and departments to customers.
Eliminating waste along the entire value streams, instead of at isolated points, creates processes that need less human effort, less space, less capital, and less time to make products and services at far less costs and with much fewer defects, compared with traditional business systems. Companies are able to respond to changing customer desires with high variety, high quality, low cost, and with very fast throughput times; information management also becomes much simpler and more accurate.
A popular misconception is that lean is suited only for manufacturing. Not true. Lean applies in every business and every process. It is not a tactic or a cost reduction program, but a way of thinking and acting for an entire organisation. Businesses in all industries and services; including healthcare and governments are using lean principles as the way they think and do.
From the standpoint of lean thinking, value begins and ends with the customer. Customers require a particular product or service from your business, and you must provide it in the amount necessary and on the customer’s schedule. Determining the product or service that provides value to the customer stands as the first task for the business.