find the article here: https://www.ascm.org/globalassets/ascm_website_assets/docs/research/ascm_jom_2023_lean_macturing-whitepaper.pdf
In reflecting on the white paper Does Supply Chain Resilience Demand Alternatives to Lean? by Tyson Browning and Suzanne DeTreville, the authors argue that while lean manufacturing has its merits, it may not always be the best approach in today’s unpredictable environment. They highlight that modern supply chains, tested by global events like the COVID-19 pandemic, geopolitical instability, and natural disasters, often require additional strategies beyond lean to maintain resilience.
The traditional lean approach, focused on waste reduction and efficiency, excels in stable, predictable environments. However, in situations characterized by high variability, lean can leave supply chains vulnerable. As Browning and DeTreville note, resilience may require “buffers,” such as safety stock or additional capacity, which lean practices often seek to minimize. This “fat” in the supply chain allows for flexibility and the ability to absorb shocks, something lean systems might lack.
Key insights from the white paper include:
- Lean’s Limitations in Unstable Environments: The lean principles developed by Toyota were designed for repetitive, predictable contexts. However, in today’s volatile global supply chains, lean may lead to fragility if not paired with buffers to handle disruptions.
- Resilience Requires Buffers: In a highly variable environment, building capacity or inventory buffers can help mitigate disruptions. The authors argue that resilience sometimes demands a move away from lean principles to ensure continuity and maintain performance during disruptions.
- Alternative Strategies for Buffering Variability: The paper discusses the importance of balancing between lean and non-lean practices, depending on the specific risks a supply chain faces. Approaches like Quick Response Manufacturing (QRM) and the Theory of Constraints (ToC) offer alternative ways to manage variability while still promoting efficiency.
- Learning from Toyota’s Approach: While lean often focuses on reducing buffers, Toyota used this approach to encourage learning and improvement. By carefully managing inventory and time buffers, Toyota created opportunities for process improvement while maintaining high productivity.
- Buffering in Service Operations: The authors extend the discussion to service operations, where lean practices can sometimes lead to burnout and inefficiency. They advocate for adequate buffering to maintain service quality and prevent crises.
In essence, the white paper calls for a balanced approach to supply chain management, where the right combination of lean principles and strategic buffers can improve both resilience and performance in today’s complex environment.
