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Is The Lean Production Or Just? Time? Essay

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Just-In Time or Lean Production The market is very competitive. Competition amongst businesses is not limited locally but globally as well. Companies are employing strategies to reduce costs and simultaneously increase their market share and bottom line. For example, Yahoo and Google are known to be competitors in the internet industry globally. However, these two companies formed an alliance explicitly for the Japanese market only. Likewise, Suzuki and Volkswagen entered into an agreement to advance their businesses cooperatively in the emerging markets of India and China (Yu, Subramaniam & Cannella, 2013). These examples are testament that in order for a business to thrive, it is essential that company managers are able to find ways and strategies to allocate and manage costs effectively while increasing their operating profit. Additionally, they must also be able to ascertain how to maximize any constraint resources they may have. The aim of this paper is to examine the Lean Production or Just-In-Time approach, one of the most popular approach of reducing costs employed by companies in varying industries. History of Lean Production or Just-In-Time One of the most well-known method of reducing costs is the Lean Production Approach or Just-In-Time which was popularized by Toyota Corporation. This system was set in motion by Sakichi Toyoda, Kiichiro Toyoda, Eijii Toyoda and Taiichi Ohno after World War II when the market share of Japanese auto makers was

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