Lean Production: The production system for less waste and greater productivity
How many optimisation programmes has your company seen so far – and how many of them have actually stuck? Many companies launch improvement initiatives with high expectations, only to find that the impact fizzles out after a short time: whilst key performance indicators may show short-term improvements, the standards set fade away and the organisation reverts to its usual ways.
With Lean Production, we’re changing that:
Ingenics Consulting helps you establish a production system that is underpinned by the structures, culture and leadership within your organisation – whether you are rebuilding from scratch or revitalising existing structures. We support you every step of the way, from the initial analysis right through to the point where your teams are able to implement Lean Management independently. The result is stable processes, measurably higher productivity and significantly lower manufacturing costs, the effects of which extend far beyond the duration of the project.
What is lean production?
Lean production involves establishing or revitalising a lean production system that reduces stock levels, material usage and effort, whilst ensuring a sustainable, continuous improvement process (CIP). This is underpinned by Lean Management, which works towards two company-wide objectives: maximising value creation for the customer and consistently reducing waste. Lean Production applies this approach to production using methods, control loops, management principles and key performance indicators that are also effective in day-to-day operations.
How to tell if your production system is becoming less effective
Production managers are familiar with this pattern: process standards are documented, CIP boards are displayed on the wall, communication between shift staff and management has been established as a fixed rule, staff have been trained – and yet these changes do not translate into day-to-day operations.
We hear similar comments in our discussions with decision-makers too:
The underlying problem is clear:
Initiatives are only effective for as long as they command special attention – through a project team, a kick-off meeting or a deadline. As soon as this focus wanes, the organisation reverts to its old habits, because the new way of working has so far merely been an isolated measure running alongside day-to-day business, rather than an integral part of it.
If a company’s production system is inefficient, this is often evident in day-to-day factory operations through the following symptoms:
- Target output figures remain out of reach despite full capacity.
- Stock levels rise faster than on-time delivery rates can be improved.
- Scrap and rework rates fluctuate unpredictably.
- Plants within the same company show significantly different levels of performance.
- Optimisation projects drag on for months before any effect becomes apparent.
- Managers only react to deviations once they have long since occurred.
These symptoms rarely occur in isolation. Their common cause lies in how deeply rooted they are: only when structure, culture and leadership work together as a whole does a production system emerge that is consistently effective.
Lean Production: The six core principles of a lean production system
Ingenics Consulting addresses this issue with a bespoke service: the targeted revitalisation of stagnant production systems. To this end, we carry out a focused analysis to identify where existing structures have lost their effectiveness – whether in leadership, the embedding of control loops, or the continuity of improvement work.
Based on this analysis, we work with you to develop a target vision that realigns the existing elements and infuses them with fresh energy.
Based on the same six principles that guide every lean production project at Ingenics Consulting, isolated measures are transformed back into a system that sustains itself autonomously in day-to-day operations.
Getting here
To implement a lean production system, Ingenics Consulting embeds the following six principles within your organisation:
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Production smoothing:
To ensure a stable production cycle, peaks in workload and periods of inactivity are avoided, and capacity and resources are utilised evenly.
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Reducing waste:
The eight types of waste are systematically identified and eliminated, ranging from overproduction to unused knowledge.
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Zero-defect approach:
Errors are prevented rather than corrected afterwards. This reduces the need for rework and ensures reliable quality right from the start.
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Continuous improvement (CI):
Staff take the lead in developing their areas of work. Improvement becomes an integral part of their work.
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Transparency:
Key figures and variances are visible to everyone involved. Problems are identified at an early stage, before they affect production.
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Leadership on the shop floor:
Managers are regularly present on the shop floor and involved in day-to-day communication. This shortens decision-making processes and strengthens the bond between management and the team.
Each of these principles, taken individually, already has a positive impact on your production. Together, they form a sustainable production system that orchestrates and measurably optimises organisation, culture and leadership.
"Lean production is not a toolkit of isolated measures, but the result of continuously improved, high-performance production."
Timo Feilner
Division Director, Ingenics Consulting
Lean management in production: the right method for every type of waste
The choice of the appropriate method depends on the type of waste, as each requires its own approach: high stock levels can be addressed differently from long set-up times or unplanned plant downtime.
During the assessment, Ingenics Consulting evaluates which types of waste hold the greatest potential in your plant and derives the appropriate methods from this. We then embed these in a control loop – a fixed cycle of measurement, evaluation and adjustment. In this way, we can guarantee that the benefits of the lean production system will continue to be felt even months after its introduction.
These six methods focus on areas where material flow and consumption can be directly observed: on the production line itself. However, just as much untapped potential lies in areas that are rarely the focus of attention in practice.
Value Stream Analysis & Value Stream Design: visualising and redesigning the value stream
Using a value stream analysis, Ingenics Consulting identifies where value is actually being lost (across material flow, information flow and lead times). The subsequent value stream design then defines the target state: the flow that the production system is intended to support in future. We usually apply this method at the start of a project, as it provides the basis for all subsequent decisions.
Standard processes & 5S: the foundation for reliable operations
Standard processes define the most effective, repeatable approach for each step in the workflow, thereby laying the foundations for continuous improvement. 5S (Sorting, Setting in order, Shining, Standardising, Sustaining) organises workstations and tools and makes deviations visible at a glance. Both methods form the foundation for the use of more advanced Lean tools.
Kanban and the pull principle: managing material flow according to actual demand
Kanban controls the flow of materials directly based on actual consumption at the point of use. The underlying ‘pull’ principle turns the control logic on its head: each station only starts production once the downstream process or the customer actually signals a need. For companies with high stock levels and long lead times, this is usually the most effective lever.
Set-up time optimisation: greater flexibility with smaller batch sizes
Set-up time optimisation reduces the time taken to change over between product variants and makes smaller batch sizes economically viable. Where product changes are frequent and the range of variants is growing, this method directly enhances flexibility and capacity utilisation.
Total Productive Maintenance (TPM) and Poka Yoke: Ensuring plant availability and error prevention
TPM embeds preventive maintenance into the day-to-day work of production teams and reduces unplanned downtime. Poka Yoke (Japanese for ‘prevention of unintended errors’) designs work processes in such a way that errors cannot technically occur in the first place. Together, they ensure plant availability and process quality.
Continuous Improvement Process (CIP): Embedding optimisation in day-to-day operations
CIP drives the day-to-day development of the system: staff identify opportunities for improvement directly at the point of value creation and implement them independently. Ingenics Consulting embeds the continuous improvement process in such a way that it continues to run autonomously even after the project has ended.
Lean Office and Lean Administration: Reducing waste in planning, procurement and administration
In work preparation, planning, procurement, quality assurance and maintenance, it is information rather than materials that flows. Waiting times, duplication of effort, queries and data discontinuities also arise in these areas; however, in practice, these are rarely systematically recorded.
Our analysis here follows the same logic as in direct production: standards for recurring processes are established, clear handover points between departments are defined, the work queue is managed visually, and a control loop for improvements is set up.
One of our lean production projects in the automotive industry clearly illustrates the impact of this approach in practice:
Practical example
One of our lean production projects in the automotive industry clearly illustrates the extent to which this approach has an impact in practice:
Ingenics Consulting carried out a systematic, detailed analysis of two plant systems at a manufacturer in the automotive industry, involving 86 staff members from production, maintenance and quality assurance, over a period of six weeks.
The result: a potential saving of twelve person-years and a 14 percent increase in efficiency even in the first phase of implementation.
This result is not an isolated case: the impact is often greater than expected in indirect areas, as this part of manufacturing costs is rarely the focus of attention. Ingenics Consulting’s analysis therefore covers both direct and indirect areas equally and captures value creation across the entire plant. The next step shows how we develop a concrete approach based on this analysis.
From assessment to handover: How Ingenics Consulting implements lean production in your manufacturing operations
A sustainable production system is developed through a clear sequence of steps, from the initial assessment right through to handover to your organisation. Ingenics Consulting supports you through five coordinated steps.
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1. Assessment:
Ingenics Consulting assesses your existing production system against external benchmarks from comparable sectors and highlights where value is being lost. Comparing your system with independent benchmarks reveals further potential for improvement and prevents improvement targets from being set too low.
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2. Target scenario:
Based on the assessment and your individual production strategy, we develop a vision for your future production system.
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3. Implementation
Ingenics Consulting will initially implement this system in full within a pilot area, including methods, management procedures and control loops. This will enable the system’s performance to be tested under real-world conditions before it is rolled out to other areas and plants.
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4. Efficacy testing
The effectiveness of the pilot scheme is tested directly on the shop floor. Control loops are fine-tuned until they can be reliably implemented in day-to-day operations.
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5. Authorisation & handover:
We equip your staff and managers to take charge of the production system independently. The improvement process then continues under your own steam, even without external support.
These five steps are interlinked like the links in a chain and are already yielding the first measurable results in the pilot phase.
The following results, which we typically achieve for our clients in lean production projects, illustrate how this pays off in detail:
Results such as these translate into tangible benefits for your organisation in the form of transparent management, measurably higher productivity and consistent standards across departments and sites. The continuous improvement process continues actively, ensuring stable processes and shorter decision-making paths, so that your organisation can keep an eye on both direct and indirect areas in equal measure. Optimised cost transparency and reduced stock levels complete the picture.
The first step is to take a dispassionate look from the outside: how does your production system compare, and which measures have the greatest impact? This is precisely where we come in – drawing on our experience from hundreds of production projects and our commitment to ensuring that the impact is measurable in the long term.
Timo Feilner
Division Director, Ingenics Consulting
Why Lean Production consultancy from Ingenics Consulting will help you get ahead
We are familiar with direct and indirect value-added areas from decades of experience in factory, production and organisational planning. As a consultancy specialising in lean production, Ingenics Consulting combines strategic vision with the ability to deliver results right down to the shop floor:
- An objective ‘outside-in’ perspective based on external benchmarks.
- Extensive shop floor expertise through detailed knowledge of real-world production processes and value-added structures.
- Manufacturer-neutral and independent of technology providers.
- All concepts are developed in collaboration with your teams.
- A holistic approach: production system, organisation, leadership and shop floor – all from a single source.
Lean Production as a component of Operational Excellence
As the fifth service area within the framework of Operational Excellence, Ingenics Consulting implements the Operations Improvement & Execution level through Lean Production. Within this framework, the following service areas complement one another:
Operational Excellence
Consolidates governance across all areas of operation, from lean production to cost optimisation.
Cost optimisation
Incorporates the savings achieved through lean production into the structural cost analysis of the entire plant.
Operations Strategy
Provides the overarching vision from which the prioritisation of lean management measures is derived.
Performance Management
Translates the impact of lean production into key performance indicators that extend right down to the shop floor.
Industrial Engineering
Complements Lean Production with the technical design of workstations and processes.
Production concepts
Combines lean production with the strategic design of entire factory structures.
Common misconceptions about lean production
There are some persistent misconceptions surrounding the concept of lean production, which can make it difficult to get a project off to a good start. A look at the most common misconceptions helps to clarify the issue:
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Common misconceptions
Lean production means staff cuts.
Ingenics Consulting Perspective
The focus is on reducing waste, not cutting jobs.
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Common misconceptions
Lean is only relevant to the shop floor.
Ingenics Consulting Perspective
Lean relates equally to strategy, organisation, leadership and culture.
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Common misconceptions
Lean production is only suitable for the automotive industry.
Ingenics Consulting Perspective
Lean is effective across a range of sectors, from aerospace to medical technology.
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Common misconceptions
5S and Lean Production are one and the same.
Ingenics Consulting Perspective
5S forms the basis for a holistic approach to lean production.
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Common misconceptions
Lean and digitalisation are separate concepts.
Ingenics Consulting Perspective
Lean production systems specifically link these two levels together.
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Common misconceptions
Lean and digitalisation are separate concepts.
Ingenics Consulting Perspective
Lean production systems specifically link these two levels together.
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Common misconceptions
Lean Production funktioniert nur in der Serienproduktion.
Ingenics Consulting Perspective
Lean wirkt mit angepassten Methoden auch bei hoher Variantenvielfalt.
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Common misconceptions
Produktionscontrolling entspricht bereits einer Lean Production.
Ingenics Consulting Perspective
Produktionscontrolling schafft zwar Transparenz, diese allein erzeugt aber noch keine Verbesserung.
FAQ: Frequently Asked Questions about Lean Production
How long does it take to implement a lean production system?
The duration of the project depends on three factors: the number of sites, the maturity of the existing processes, and whether a system is being set up from scratch or revitalised. We will be able to provide you with a specific timeframe for the implementation of your lean production programme as soon as the assessment is complete
How can I build acceptance for lean production within my organisation?
Acceptance and trust are most easily fostered through visible results: Ingenics Consulting therefore deliberately focuses on a clearly defined pilot area at an early stage. Through this, managers and teams experience the impact of Lean Production in the form of transparency and clear control loops, which noticeably simplify day-to-day management.
What are the seven types of waste?
The classic classification includes overproduction, inventory, transport, waiting time, unnecessary movement, inefficient processes and errors requiring rework. Ingenics Consulting adds an eighth type of waste to this list: employees’ untapped knowledge. When employees identify potential for improvement but are unable or not allowed to contribute their ideas, the very knowledge that is urgently needed at the point of value creation remains untapped – with the result that sources of error and opportunities for optimisation remain undiscovered, even though the solution has long been available within the organisation.
How much does it cost to implement a lean production system?
The cost depends on the number of sites, the scope selected and the proportion of the implementation carried out in-house. Ingenics Consulting limits your investment risk right from the start: an initial assessment of the existing production system, including benchmarking and a potential analysis, forms a clearly defined, manageable first package. It is only on this sound basis that we jointly determine the implementation effort. This means you retain a full overview of investments and the expected benefits at all times.
What sort of consultancy support is provided during the implementation of a lean production system?
Ingenics Consulting combines strategic lean production consultancy with operational implementation expertise right down to the shop floor, is manufacturer-neutral, and has over 45 years’ experience in production and supply chains. Unlike pure strategy consultancies, Ingenics Consulting supports implementation end-to-end and directly on-site, from the assessment of the existing system through to empowering your organisation.