Understanding Lean Manufacturing Practices in the Automotive Industry

The provided content includes 20 research articles and one appendix on lean manufacturing, a methodology aimed at reducing waste and improving efficiency. The articles discuss various aspects of lean manufacturing, including its relationship with employee involvement, its impact on performance in a rigid continuous process industry, and its implementation in different sectors such as automotive and construction. Additionally, the appendix provides interview questions to explore the importance of lean production for growth in the UK automotive industry.

The Lean Production in the automotive industry of UK
Dissertation Report
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Abstract
The ‘Lean Production’ is a practice to reduce the inventory of the shop floor in a manufacturing
firm. It aims to zero down the defects, setup time, breakdowns, handling, lead time and surging.
The primary aim of this research is to understand the ‘model of lean production system’ along
with its application in the automotive industry of UK. This research is descriptive as it describes
the characteristics of the variable which is being studied i.e. the lean manufacturing. It will help
in studying the topic in depth, and it will also be able to describe the process of lean
manufacturing in the automotive industry of UK. The data has been collected using the
secondary sources only. There is immense literature available on this topic which will be studied
in this case. The literature on the process of lean manufacturing, its principles, application, etc.
has been studied, and hence the project has been done. The data will be analyzed with the help of
comparing and contrasting the information collected from the secondary sources. The
understanding level of the researcher will be used to analyze the data and hence draw the
conclusions for this project. The data has been analyzed with the help of comparing and
contrasting the information collected from the secondary sources. The understanding level of the
researcher will be used to analyze the data and hence draw the conclusions for this project. It has
been found and concluded that ‘Lean Production’ is a practice to reduce the inventory of the
shop floor in a manufacturing firm. The origins of this concept lie in the history of the Japanese
who carry out the manufacturing activities on the policy of tight material control, and thus they
aim to achieve such a production which is "stockless." This means that they aim to reduce the
inventories to the minimum possible level and mainly to the "zero" level. The specific tools and
techniques that help in the production and implementation of lean manufacturing are cellular
manufacturing, continuous improvement, just in time, production smoothing, work
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standardization and total productive maintenance. Apart from initial cost of installing, there is no
other drawback that has been identified related to the lean manufacturing. Hence, the system has
more advantages than the disadvantage.
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Contents
Chapter 1: Introduction....................................................................................................................5
1.1 Aim.........................................................................................................................................7
1.2 Objectives...............................................................................................................................7
1.3 Research Questions................................................................................................................8
1.4 Research scope.......................................................................................................................8
1.5 Problem Statement.................................................................................................................8
1.6 Research rationale..................................................................................................................9
Chapter 2: Literature Review.........................................................................................................11
2.1 Introduction..........................................................................................................................11
2.2 History of lean manufacturing.............................................................................................12
2.3Review of the concept of the lean production system..........................................................16
2.4 The models and techniques of lean in the automotive industry of UK................................20
2.5 Effectiveness of lean production in automotive industry of UK.........................................26
2.6 Process of lean production...................................................................................................30
2.7 The pros and cons of lean production system......................................................................34
Chapter 3: Research methodology.................................................................................................38
3.1 Type of research...................................................................................................................38
3.2 Data collection.....................................................................................................................40
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3.3 Source of data collection......................................................................................................41
3.4 Data Analysis.......................................................................................................................44
3.5 Supervision...........................................................................................................................45
3.6 Support used.........................................................................................................................46
Chapter 4: Analysis of data............................................................................................................47
Chapter 5: Discussion and interpretation of Results.....................................................................53
Chapter 6: Conclusions..................................................................................................................58
6.1 Recommendations and proposals for further work..............................................................59
References......................................................................................................................................61
Appendices:...................................................................................................................................69
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Chapter 1: Introduction
The ‘Lean Production’ is a practice to reduce the inventory of the shop floor in a manufacturing
firm (Shah, 2003). The origins of this concept lie in the history of the Japanese who carry out
the manufacturing activities on the policy of tight material control, and thus they aim to achieve
such a production which is "stockless." This means that they aim to reduce the inventories to the
minimum possible level and mainly to the "zero" level. It is also known `as seven zeros. It aims
to zero down the defects, setup time, breakdowns, handling, lead time and surging (Melton,
2005). Thus, the companies that target lean production strive to achieve a zero inventory, and
they do this by production what is required and when it is required. With this, the storage costs
get eliminated along with the possibility of the capital being tied up in the inventory.
The approach of the lean manufacturing is used so that the non-value added activities could be
transformed into the value added activities. The technology that is used in the lean
manufacturing has its own impetus, and it focuses on the entire operation. There are all
employees who are involved with the methods of lean manufacturing, and this concept has the
direct influence on the attitudes of the people that are a part of the company. The business
environment of the companies is very competitive these days, and the companies try very hard to
survive in that competition. They have to remain competitive in the environment no matter what.
In this process, if the companies get an opportunity to cut their cost, then it is very beneficial for
them. With the lean manufacturing methods and technology, the businesses get the golden
opportunity to downsize their costs, the lead time of the customers and cycle time too. there are
many companies in the country UK that are already using the lean technology , but still, there
are some areas that are yet to be permeated by the companies (Detty, 2000). Though the
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technology is very useful, but still there are some challenges that are faced by the companies like
the lack of scale, the amount of investment made in the technology and infrastructure etc. to
safeguard the interests of all the people and companies in the economy, the government of UK
must maintain the standards of quality and they must help the companies in implementing the
techniques in the systems of the company.
The projects related to lean management are launched in the companies with great enthusiasm.
The process starts with the appointments of the project leader and then he helps the company in
developing a vision for the future to all the team members. The team has to develop the aims
regarding how they have to make their company a lean factory. The source for these technologies
is no single; there are many techniques for this. For example, this concept has roots from the
days of Taylor and Henry ford. The techniques of lean manufacturing were then improved by the
car manufacturers of Japan. The Japanese developed the systems of Kanban material handling,
and then the same concept was reintroduced in the western world with different terms like the
Toyota production system, the Just –in-Time concept and the Kanban manufacturing.
There are many scientists and researchers who have worked on this topic previously like
Deming, Taylor, Skinner, etc. and hence the principles of the lean production are new, and they
can trace back to the work of these people (Pavnaskar, 2003). The models and the application of
the lean production are understood from this literature which the previous researchers have
given. But, the concept became popular when the study on the Japanese auto industry as carried
out. It became clear after that, and then it got extended to the entire spectrum of activities in the
business and to companies, particularly the automobile industry and the electronic companies.
Though there have been some voices that discontent the lean production because they doubt the
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effectiveness of the lean manufacturing, but it has been observed that companies are changing
their methods of production and the management practices to become leaner.
This paper discusses the process involved in the lean production system in the automotive
industry of UK of the UK, the models, and techniques of lean in the automotive industry of UK
of the UK and the prospects and constraints of the lean production system in the automotive
industry of UK. This will help in getting an overview of how this concept has traveled from
Japan to the UK and how much it has helped the automotive industry of UK. For knowing this,
the philosophy will focus on collecting the information for this concept ad developing a
pragmatic view that will help in improving the lean manufacturing activity in the UK.
1.1 Aim
The primary aim of this research is to understand the ‘model of lean production system’ along
with its application in the automotive industry of UK.
1.2 Objectives
The main objectives are as follows:
 To identify the condition of UK’s automotive industry before and after implementation of
lean production practices.
 To identify and study the models and techniques of lean in the automotive industry of
UK.
 To identify the process in which lean production works for automobile industry of UK
 To appraise the pros and cons of lean production system on the automotive industry of
UK in the UK
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 To recommend ways in which implementation of lean production practices can be
enhanced
1.3 Research Questions
The research will help in answering the following questions:
• What is the effectiveness of lean production system in increasing competition and improving
production in automotive industry of UK?
1.4 Research scope
This research topic selected by the researcher is vital and it helps the readers and researchers to
understand the importance of lean production practices in automobile industry of UK. This
research study provides effective knowledge associated with background of UK’s automobile
sector and its improvement since implementation of lean production practices. This study further
helps in gaining knowledge about working of lean production towards enhancement of
productivity and reduction in time for production. The selected topic is very wide and it provides
ample future scope to researchers to carry forward the study. Ideas in relation to reasons for lack
of lean production practices in industries are also provided in this research. There are several
challenges that are faced by lean production which the readers will get to know through this
study.
1.5 Problem Statement
The main problem associated with lean production practices deals with lack awareness with
regard to its benefits. Many organizations fail recognize the benefits which are associated with
lean production and opt for their old traditional business practices. Apart from this another
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problem which engulfs lean production practices in automobile industry of UK is presences of
resistance in implementation of lean production practices.
1.6 Research rationale
What is the issue?
On the basis of study, it has been observed that basic issue related to lean production practices in
automobile industry of UK deals with lack of awareness among people about the benefits. This
lack awareness is preventing UK automobile industry to bring innovation and enhance
competition in its market. This is only possible after reduction in time of unit car production
occurs and performance of employees improves.
What is the issue now?
Improper lean production practices are an issue because most people lack proper knowledge in
relation to its application. It is due to this reason they are unable to incur maximum benefits from
its implementation in automobile industry. It also faces several restrictions from employees; this
is one of major reason which is affecting proper implementation of lean production practices
which in turn will increase growth of profit and production of cars.
Why is it an issue?
This is an issue because it is very vital to implement lean production practices in automobile
industry of UK. It is evident from past that automobile industry of UK has been suffering to get
skilled and adequate labour in order to improve production as well as competition. It is only
through lean production practices that cost of production can be reduced and rate of
manufacturing can be enhanced. Hence lack of opportunities for proper implementation is
making it an issue.
What does research sheds light on?
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This research study sheds light on understanding the effectiveness of lean production system in
automotive industry of UK. It also throws light on ways through which implementation of lean
production can be improved.
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Chapter 2: Literature Review
2.1 Introduction
The rise of Japan to its current economic status is due to the concept of “lean production” which
was pioneered by Eiji Toyoda and Ohno (the people from the Toyota Motor company) in Japan
after the end of World War II. The best way in which the innovative production system of the
company can be defined is by comparing it with the craft and the mass production. In the craft
production, the highly skilled people are involved, and there are flexible tools that help in
making exactly what the customers want. But, the products of the craft method are very
expensive, and they incur a high cost (Sullivan, 2002). Thus, in the beginning, the concept of
mass production was used as an alternative to this system. There were many buffers that were
added by the mass producer because the machinery as expensive too and the disruptions could
not be tolerated. The designs that were kept in the production were standardized because the
changes made again and again were becoming expensive for the company (Meyers, 2002).
Thus, the customers got fewer costs but at the expense of the variety of products of the company.
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2.2 History of lean manufacturing
America began as a huge continent that offers unrivaled resources and unlimited opportunities
for development. Between 1700 and 1900, following the first industrial revolution, when the
United States adopted the new factory system, revolutionary concepts, but concepts from the
ancient world borrowed the new, where the needs were different (Hines, 2004). The "scientific
method" was one of the cultural forces that penetrate the American industrial system of the time;
the basic principle was the "reductionist" method. Through this procedure, we have analyzed the
systems division separated them into subsystems or components and analyzed, on the contrary,
the system as a whole. This contrasts sharply with the direction of the eastern end systems that
favor a systemic or holistic approach which ultimately leads to the development of the just in
time (JIT) in Japan) systems (Christopher, 2001). The difference between these processes for the
preparation of systems for analysis can be represented by, answers made by the USA and Japan a
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manufacturing problem sample time systems. Preparing time is the time to go to modifying a
machine with one product to another (changing matrices, for example). For decades the
preparation time restrictions were considered as industrial engineering literature. To develop a
number of leading mathematical models to determine the lot size "optimal," the cost / time to
offset it is wasted (because of the configurations in terms of accounting expenses). This view
American reductionist perspective in which the parameters were one considered for a system.
The Japanese, however, saw the manufacturing process systems in a holistic sense recognized
that the installation times are not they could be reduced. In addition, from the point of view of
systems, there was shortening the set-up time, the intelligent use of models, accessories, off-
cycle preparations, etc. One minute exchange was known to die (McCullen, 2001), allowed some
Japanese factories to achieve significantly shorter installation time than US factories. In
particular, the Japanese automotive industry of UK has become one of the Japanese most
productive in the world; these plants have become easier to handle and more flexible than your
American colleagues. Before the first industrial revolution, the production was on a small scale,
markets and labor instead of capital intensive (Da Silveira, 2001). The work in both systems - the
system of the house in which the material was "attracted" by the dealers in houses, in which
people made the necessary surgeries and innings it went from one business to another. The most
important innovation the industrial revolution was the steam engine, developed by James Watt in
1765 and it is said that Adam Smith and James Watt did more to change the world around you no
one else in the time of its history, as it was the modern factory Smith tells us why system, with
its work, was desirable, while Watt showed us how. Vertical integration is the first step in a
typical American style manufacturing (Dangayach, 2001). The second and most important step
was the manufacture of interchangeable parts in the production of the complex. Before the
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innovation of interchangeable parts, a complex manufacturing machine was entirely from a
craftsman built and designed every part. American style emphasizes mass production by vertical
integration and interchangeable parts. He began two important trends that have influenced the
nature of manufacturing management (Bhamu, 2014). First, the concept of interchangeable parts
greatly reduces the need for specialized knowledge through the workers. Second, integrate
specialized in machines instead of the American system has a higher premium on the general
intelligence than the given vocational training.
In the early twentieth century, integration, both vertical and horizontal, and he made America the
land of big companies, large series production working together in the process industry, such as
steel, aluminum, oil, chemicals, etc. Mass production of mechanical products such as sewing
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machines, typewriters and industrial machines, based on new methods interchangeable metal
parts by the assembly it was booming (Jasti, 2015).
The figure given below shows the Schematic representation of vertical and horizontal integration
in the automobile industry
The nickname "industries industry" by Peter Drucker is almost 60 years old. Auto production
steps as one of the largest manufacturing activity that produces a huge number of passenger
vehicles. Henry Ford stuck to the production of high-speed mechanical products, and he made
this innovation famous by moving the assembly line (Albliwi, 2014). After the end of World
War I, Henry Ford and Alfred Sloan moved the world manufacture from the centuries of the craft
production that was led by the firms in Europe into the age of mass production. The importance
of the throughput velocity was recognized by the company Ford and for speeding up the
production; the practice of the skilled workers was abandoned. The skilled workers did not
assemble the sub-assemblies, and the workers got gathered around the static chassis for
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completing the assembly line (Gupta, 2013). The product was brought to the worker in a non-
stop and continuous manner.
2.3Review of the concept of the lean production system
2.3.1 The philosophy of lean manufacturing
The main philosophy followed by the lean manufacturing is that the producers are able to
provide the products which are superior in quality and available at fewer prices so that a more
prosperous society can be made (Bhasin, 2006). Not only the automotive industry of UK, but all
the industries must work on this principle. According to (Shah, 2003), lean manufacturing has
endeavored to rationalize production as it:
 Eliminates the waste in the production process completely.
 The quality is built in the process of lean manufacturing.
 The improvements in the productivity happen when the costs are reduced.
 A unique approach gets developed with lean manufacturing towards the corporate
management.
 The integrated techniques have developed that help in contributing to the corporate
operations.
This is the concept of lean manufacturing.
2.3.2 The goals of lean manufacturing
(Fullerton, 2013) in his paper has described few of the goals of lean manufacturing which
are as follows:
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a. The first goal is to reduce the cost of the company by eliminating the waste. In this
process, the companies put a constant effort for reducing the costs so that they are able to
maintain the profits in the process of manufacturing. The prime way to do this is by
producing the products that are determined by the sales in a timely fashion so that the
excessive manufacturing is restrained and all the waste is eliminated in the methods of
manufacturing. When the waste is eliminated thoroughly, the employee’s self-respect
increases and the costs are reduced in a major fashion as the unneeded loss are prevented
(Fullerton, 2014).
b. The second goal is to create such conditions that guarantee the quality of the product. The
first commandment to any company (be it manufacturing or automotive) is to produce the
high-quality product. The definition of the “high quality” is related to the fact that the
components of the product do not fail and the parts are hassle-free.
There are many ways in which the concept enables the company to build quality into the
process. The quality of the product is checked at every stage of the process, and then the
product is inspected directly into the process so that the flow of the goods is not stopped
in the process and the defects are also extracted at the various points in the
manufacturing.
According to (Piercy, 2015), there are various considerations within this goal, that the
company takes care of:
 The quality comes first ad producing high-quality products is paramount for the
companies.
 The quality is ensured for all the products. This is done by undertaking a random
inspection of the sample goods produced and their quality is judged. The
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inspector has the responsibility to discover the defective products before they are
delivered to the final customer.
 Another consideration is that the quality is made to be built into every process so
that the flow of the defective parts downstream is prevented and the further
production process is not affected adversely.
 The work is inspected in which the defects are pointed out along with the analysis
of the cause of those defects. This helps in preventing the recurrence of the errors.
c. Another goal is to take measures so that the employees are able to enhance the value of
the products and this is done by standardization of the work. With the standardization, the
most effective sequential production happens without the creation of any waste as the
work is concentrated around the movement of the operators.
2.3.3 The key aspects of lean production
The leader in the lean production is Toyota, and in the pioneering works of Toyota, different
kinds of wastes were identified so that they can be applied to the operations of the business
(Goetsch, 2014). So, (Kalpakjian, 2014) has talked about the key aspects of lean production
which are important to study:
a. Time-based management- This approach recognizes the importance of time, and it seeks
to reduce the time which is wasted in the process of production. For this, the companies
require having the flexible production facilities that can help it to make the changes in an
easy manner. Along with this, the staff must be multi-skilled, and mutual trust must be
created between the workers and the managers.
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b. Simultaneous engineering- It is the approach of project management that helps the
companies in developing and launch the new products in a quick way. The planning of
the areas is done together rather than separately.
c. Just in time production (JIT) - This is a "pull" system of production where the actual
orders help in determining that when the product has to be manufactured. There are
demand pull enablers that help the companies in producing what is required in the
appropriate quantity and at the right time.
d. Cell production- In this, there is flow production line that is split into many self-
contained units. Each of the “cells” is responsible for the significant part of the finished
product and in this, the individual’s do not carry out the specific tasks. The members of a
team are trained to perform many different roles, and they become the expert in doing
many things.
e. Kaizen (Continuous improvement)- In this approach, the small incremental changes are
introduced continuously so that the quality and the efficiency keeps on improving here
the employees re-involved as they are considered to be the right people who can provide
the room for improvement. The changes which are made under Kaizen are small rather
than radical, and they usually arise from research and development.
f. Quality improvement and management- Here, the company is pushed to establish the
culture of quality so that the potential areas cab be prioritized for improvement. Here, the
product goes through various stages of production and at every stage, the quality test
happens so that the product reaches the end user in an effective way. This approach helps
in committing to an ongoing evaluation of the production of the products.
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2.4 The models and techniques of lean in the automotive industry of UK
(Chiarini, 2014) has found that the companies need to identify the major source of waste so that
the appropriate tool can be used to eliminate that waste. This helps in guiding the company
regarding the corrective actions that they can take to eliminate the waste. The overviews of the
techniques have been studied in the above-given section, but these will be studied in detail as
follows:
2.4.1 Cellular manufacturing
This is the concept in which the mix of products is increased with the least possible
waste. In the cell, the workstations and the equipment are present that are arranged in
such order that the smooth flow of the materials and components is maintained through
the process (Chiarini, 2014). The operators are assigned to the cells and that are well
qualified and trained to work there.
(Kant, 2014) says that when the people and equipment are arranged into the cells, it
provides the great advantage for the achievement of the lean goals. For example, this
ensures one-piece flow concept in which each of the product is moved through the
process at one time, and there is no sudden interruption in it. Then, the product mix can
be extended in cellular manufacturing, as pointed by (Dixit, 2013). The demand of the
consumers varies, and they demand the variety of the products at the short time. So, the
process must be flexible enough so that the needs of the customers can be accommodated
easily. Thus, (Irani, 2016) points that this flexibility can be achieved when the similar
products are grouped into families that can be processed on the same equipment, in the
similar sequence.
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2.4.2 Continuous Improvement
One of the fundamental principles of lean production is continuous improvement, and the
tool which is used to do this is "Kaizen" (García-Alcaraz, 2017). This approach is
gradual, systematic and orderly and it ensures continuous improvement. (Brunner, 2014)
has mentioned that there are many ways in which the companies makes the
improvements like they can reduce the inventory; they can reduce the number of
defective parts etc.
5S is the tool that helps in ensuring continuous improvement. It is comprised of 5 of the
Japanese terms namely, Seiri which means sorting, Seiton which means straighten, Seiso
which means sweep and clean, Seiketsu which means systemize and Shitsuke which
means standardize (Dennis, 2016). This concept looks for the waste and then tries to
eliminate it.
a. In Seiri, the items that are not used currently are moved continuously away from the
items that are used. (Edward, 2015) mentions that this makes the flow of the material
smooth and the movement of the workers and work is also smooth.
b. In Seiton, the right items are put in the right area and (Kanamori, 2015) writes that if
the items do not belong to a particular area, then they must be removed. For example,
if a tool is not used in a particular process, then it must be removed from the vicinity
of that process. (Gupta, 2014) further mentions that when this happens, the tools, jigs,
the noticeable resources, and fixtures become easy to use.
c. In Seiso, the cleaning and the sweeping of the workplace are done in a systematic
way so that when the next shift starts, the workplace is clean and ready to use.
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Basically, it ensures the maintainenice of the workplace on a regular basis (Dennis,
2016).
d. In Seiketsu, the high standard of the housekeeping and workplace arrangement is
required to be maintained and (Assad, 2015) mentions that regular audits must be able
so that people become responsible for the maintainence of the high quality of
housekeeping and cleaning. Scores are assigned to the areas of responsibilities.
e. In Shitsuke, the accountability of the management is established so that they train
people for following the rules of the company (Dennis, 2016). This can be done when
the management explains to the people that what they are expected to do and they are
rewarded if they follow the rules (Assad, 2015).
The tool of 5S has been used by (Al-Refaie, 2014) and they have reported showing good
results. The companies can reveal their potential strengths and capabilities that were
being hidden by them.
Business Process Improvement (BPI) is a space where you can help sections, help
businesses reduce costs, shorten cycle times and improve the efficiency of the process.
Automation NV can be used to your routine, eliminate waste, reduce cycle time, improve
quality and capacity to ensure a systematic approach to continuous improvement.
In the blog post, I discussed two methods could be used for business analysts to help
streamline and business partners to improve business processes. Improving the business
processes of all major projects should manually IT. Business process automation without
ever obtaining the solution temperature is performed. The conventional way of cattle in
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Texas, may in fact never the most effective line. Both my approach in this blog, 5S and
Kaizen, the Japanese chat.
5S is a method of production; the name comes from the initials of five Japanese words:
roads, Seiton, Seiso, Seiketsu, and Shitsuke. Method "was originally scheduled to
organize a work space for efficiency. Before examining each of the" S "and defines the
event. Carpenter - organized. Leaving in place the necessary resources or stay in a remote
area of storage items used less frequently, throw items, Emily.
Seiton - the destruction of the improvement is more realistic conditions. Have a place for
everything and everything in ICT should be there too. Everything put the game should
not be defined or clearly known. Articles will in a way that promotes efficient workflow
with the most commonly used tool is the easiest available ready. Bend over and over
workers' rights without having access materials.
Seiso - clear. Clear the area and all the equipment, and clean, keep it tidy and organized.
After cleaning the first in the implementation of 5S, need daily cleaning to keep
improving. Environment " brilliant "results in a significant increase in productivity.
Seiketsu - standard. Working method of the Convention should be confident. Pdf should
be the identique specific task. All staff should work each season thanks to Sami Sami
used locally for each station. Everyone should "immediately and responsibly sure.
Shitsuke - is stable. Since the S 4 above have been implemented, they will become the
new approach. Keep the focus on this new route will allow a gradual reduction in the old
days. The effect of improving the analysis results (Kaizen) waste less time and deliver
better quality, faster.
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5S originally planned to end production works well in "circles or administrative office or
the environment, even in" Environmental Health patient care. A book that I would
recommend to health professionals to age 5 Higher productivity, clinical product defects,
at least, means that long-term treatment of patients.
This is a safer place to work. "If you work for him, you realize that the end of a great
advantage to working continuously.
Now for Kaizen, it is a term approach that has been created in Japan after World War II.
The word Kaizen means "continuous improvement." Japanese 改 ("kai") What does it
mean to "change" or "unfair" and 改 ("zen") You say "good." It is pronounced "eye K-
arrested." is ongoing.
Companies, Japanese, like Toyota and Canon, usually 60-70 points a year, which is
written, shared and put into operation. In most cases, this is a major change theory.
Kaizen is based on the exchange of a few and regulate it.
2.4.3 Just-in-Time
This is the simple tool that that focuses on elimination of the manufacturing wastes by
producing the right part at the right place and at the right time. (Thomopoulos, 2016)
mentions that this comprises of the three elements:
a. JIT production- This is done by using the “pull system” in which the person who
generates the orders send the signal to the production team, and thus the production
gets pulled out of the assembly process. The necessary parts and the quantity are
withdrawn at the necessary time. This continues throughout the entire production
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process, and the coordination happens using the kanban system. Kanban system
controls the number of parts that are produced in every process (Rahman, 2013).
b. JIT distribution- In this, the small lots of items is exchanged frequently between the
suppliers and customers. This ensures that the distribution is never stopped and
neither it is in excess, not the shortage of material occurs.
c. JIT purchasing- The goods are purchased just before the delivery, and it is preceding
the demand of the consumer. Here, the material is not bought in advance, so that the
inventory is not stocked up and it does not get wasted of the demand, etc. changes.
2.4.4 Production Smoothing
In the system of lean manufacturing, the higher degree of the process control is moved so
that the wastes are reduced. The Japanese invented a word “Heijuanka” for this in which
the manufacturers keep the level of production constant. (İşler, 2014) found that this is
the very effective concept for the automobile industry because when the production cost
is decreased, the more cars have to be produced so that the products are produced
smoothly in the right quantity, and the manpower is also utilized efficiently.
2.4.5 Standardization of Work
This concept ensures that each of the jobs is organized and carried out effectively. When
the people perform the job, in the same manner, it is likely that they produce very less
wastage (hassle, 2014). In the automobile industry, this can extend to the time that is
required to complete the job the order of the steps followed in the job and the parts on
hand of users. The tool used in this is “takt” time (Ali, 2014). This refers to the frequency
of a part being produced in the family of products on the actual demand of the consumer.
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It is calculated by diving the available work time per day by the consumer demand per
day (Yassine, 2014).
2.4.6 Total Productive Maintainenece
The breakdown of the machinery happens at the workplace, and it hampers the entire
production process at the automobile industry. In this, there are three elements as
mentioned by (Singh, 2013):
a. Preventive maintainenece- In this, the equipment is regularly maintainedregularly
rather than random checks.
b. Corrective maintainenece- In this, the decision regarding the new purchase or the
fixation of old ones is taken.
c. Maintainenece prevention- This is regarding the purchase of the right machinery.
Again, the researchers (Afefy, 2013) and (Chan, 2005) have implemented the same, and
they have reported that the results were good.
2.4.7 Other waste reduction techniques
Some of the tools include zero defects, the setup reduction, and line balancing. All the
products are fault free in the zero defects process. In line balancing, all the workstations
are encouraged to produce the right amount of work so that it can be sent to the upstream
workstations without any stoppage (Calvin, 1983).
2.5 Effectiveness of lean production in automotive industry of UK
According to the findings of Afefy (2013), it has been observed that automotive industry of UK
has transformed itself to a greater extent since past decade. As per the findings in several literary
26

works it is indicated that earlier automotive industry of UK used to be a sector struggling from
turbulent relations with labor. It also suffered from poor reputation for productivity and quality
in automobiles. However with advancement in time and technology along with implementation
of lean production practices, automotive industry has witnessed a drastic change in its status and
competitive nature. As per comment of Singh (2013), automotive industry of Europe is the key
strategic player in European Union. It is having an estimate of 10 million people working in
automotive industry. Being a major employer, it is necessary for this section to maintain
competitive nature in order to keep its workforce engaged. In present day scenario, competition
level in international business is growing rapidly. Hence companies are placing are placing their
best foot forward in order to retain their position in competitive market. It is extremely necessary
for automotive industry of UK to remain in competitive market since it is providing employment
to larger section of people. Lean production practices provide automobile companies with
various benefits and golden opportunities like reduction in production cost involved and time
consumed for a single car. This reduction in time of production increases productivity of
industry.
At present nearly 250,000 workers alone are working in automotive manufacturing industry of
Britain. According to Kumar (2016), they altogether contribute around 1.1% of nation’s GDP,
with an added value of around £9 billion, representing about 6.1% of UK’s manufacturing unit.
However according to the findings of Singh (2013), there still exists a considerable gap between
automotive market of UK and its rivals. This gap is mainly because of late adaption to lean
production practices. As per the comment of Yassine (2014), it is through this production
practice only that automobile industry of UK will be able to bridge the existing gap in production
and quality. According to the findings from literature study it is evident that UK automotive
27

industry has been struggling to improve quality and production along with competitiveness in its
market. As per the studies, automotive industry of UK was put under competitive disadvantage
due to lack of skilled and adequate workforce and proper management of resources. It was only
after use of lean production practices by Toyota that UK realized its importance and made an
effort in order to implement it in their automotive industry. On basis of statistical data it has been
observed that competitive nature of UK’s automobile industry has improved nearly around 35%
from the condition it was in three decades back. This increase in production was seen despite of
UK’s struggle to get skilled and adequate labor (Ali, 2014). It is lean production practices which
being adopted by UK’s automotive industry helped it to overcome problems which were being
faced since decades. Implementation of lean production in automotive industry of UK has helped
it in various ways few of prominent benefits incurred by UK’s automobile manufacturing
industries are as follows:
Improved Quality - lean production involves various activities which are focused towards
improvement in product quality. According to Afefy (2013), with occurrence of problems related
to quality, problem solving techniques are utilized to find root cause of problem. After analysis
of root cause, the mistakes are rectified and it is ensured that similar problems do not recur in
future.
Improved visual management - According to the findings it is indicated that lean production
practice is effective in improving visual management of manufacturing enterprises. On proper
practice of lean manufacturing enterprises will be able to have effective vision over entire
operational area. This helps in keeping check over work environment within organization.
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Increase efficiency - According to İşler (2014), through lean production practices, enterprises
will be able to maintain line balance which in turn ensures that all employees associated with
manufacturing enterprise are working in most efficient manner.
Manpower relaxations - One of major benefits associated with lean manufacturing practise is that
helps enterprises to reduce manpower required for doing a particular work. Alongwith increase
in efficiency employees are acquiring skills which allows them to perform multitasks. According
to (), with reduction in manpower, automobile enterprises will be able to save on cost involved in
wages. This indicates cost effective nature associated with lean production practices which are in
turn increases the UK's automotive industry profit margin.
Eliminates problem - According to Hassle (2014), lean production practices are effective in
eliminating problems related to production or quality. It works over finding root cause and
eliminating them so that they do not reappear in future.
Enhancement of employee morale - According to İşler (2014), practicing lean manufacturing in
enterprise also enhances or boost morale of employees. This is a benefit which can be witnessed
during initial stages of application. As soon as employees working in enterprises get used to lean
production practices, boost in their morale and productivity can be witnessed.
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Figure: benefits of Lean production to automotive industry
(Source: Karim, 2013)
2.6 Process of lean production
(Dickson, 2009) has reviewed the process of lean manufacturing in the automobile industry of
UK in great detail. The techniques of lean manufacturing are applied on the basis of the five
principles. The first principle is “value” which is a foundation for the value stream and it defines
the price that the customers are willing to pay. The second principle is "value stream" which
maps and identifies the specific actions that are required for eliminating the non-value activities
from the concept of design to the usage of the customer. The third principle is "flow" in which
the process stoppages are eliminated so that the flow is maintained without any interruptions.
The fourth is the principle of “pull” where the products and the processes are streamlined from
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the concept. Finally, “perfection” is the last principle where the things are done in the right way
at the very first time and in this, the continuous improvement efforts are applied (Ward, 2014).
2.6.1 The activities involved in the lean production system
According to (Marin-Garcia, 2015), the application of the lean manufacturing depends on the
four thrusts that support the design of the lean manufacturing. These are:
a. Solid leadership- It helps in communicating the vision and facilitates the models of behavior.
The standards of the organization are set, and the workforce is assisted in adapting to the change.
b. Team base cultures- The empowerment concepts are used by them, and they leverage the
knowledge by using the highly skilled people. The employee accountability is promoted along
with the responsibility of work.
c. Communication systems- These advocates and develop the processes that help in identifying
the critical design issues as soon as possible. The immediate decision-making process is
encouraged in this, and very fewer resources are used so resolving the critical design issues. The
knowledge gets shared among the workers on the timely basis.
d. The development and continuous improvement happen simultaneously- The products are
designed in the right manner at the very first time, and the process of continuous improvement
ensures that the non-value added problems get identified. The commitment is driven so that the
problems are eliminated, and the JIT material control systems are advocated.
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The above figure shows that the process of lean manufacturing consists of five activities.
Initially, the companies in the automotive industry of UK identify the value that they seek to
create for their company. Then the value stream is mapped. The flow is created as described in
the above section and the pull is established using the above-given techniques. Finally, the
company seeks perfection in the process of production using the various tools discussed.
2.6.2 Implications of the lean production in automotive industry of UK
The process of production of automotive is very cumbersome and huge it requires a lot of effort
by the companies to establish the machines and work on the production facilities. In this process,
a lot of wastages occur, and this puts an additional burden on the cost of the company. But, with
the lean production techniques, the wastages are removed. The process ensures quality
performance with least possible defects and rework. Also, there are less machine and process
32

breakdowns that happen. The company is left with the lower level of inventory, and the level of
stock turnover rises too (Karim, 2013).
Further, (McCullen, 2001) writes that when the stocks are reduced, the company is able to save a
lot of costs and thus, there is a direct financial benefit to the company. If the selling price is very
high, then the customers are not willing to buy the products of the company. But, when the
companies implement the lean techniques and tools, they save the costs significantly and thus the
reduced costs are transferred to the consumers in the form of reduced car prices. Thus, the
market of UK can become competitive in relation to other companies all over the world.
Lean production practices in automotive industry of UK basically work by consideration of five
basic principles. These principles form guidelines for proper functioning of lean production
practices in automobile industry of UK. Lean production practices works by identifying the
aspects which helps in creation of values on customer’s perspective. Through this process
automobile companies in UK are able to understand as well as evaluate perception of people
regarding their product. According to Karim (2013), it is very necessary for a business
organisations operating in UK or any other part of world to understand the perception of people.
This will help companies by providing them estimate about the willingness of local population
and international population towards purchasing of product. It also provides estimate in relation
to extent by which business operation will be successful. Thus, it is helping the company to
prepare themselves accordingly and preventing occurrence of massive loses. The second
principle over which lean production focus in automotive industry deals with specification of
step by step process. According to Kumar (2016), this process allows automobile industry to
prepare plans and strategies from beforehand which it is going to utilise in order to gain success
and profit in business. Deciding over step by step process helps automotive industry of UK to
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stay focus on its goals, which deals with increase of competition and enhancement of quality
production with less consumption of time. Studies have shown that production rate of automobile
was 50 times slower than production rate of Toyota according to (TPS) system. Use of lean
production practice has reduced this gap to a considerable extent and very soon with proper and
effective utilisation of these practices it is estimated that the existing gap will be eliminated.
Value stream mapping is an effective tool which is utilised in lean production practice for
formation of step by step process. Third principle deals with process flow; after successful
planning of step is done it is vital for automobile industry to ensure proper flow of process. This
is so because; success of business and increase in production along with reduction in cost is only
possible through effective flow of processes. Fourth principle of lean production which works in
automotive industry of UK deals with production of automobiles with features as per request and
demand of customers (Yin, 2017). This is an effective way of increasing production and sale, as
employees of industry will be directly involved in production of car as per demand and
preference of customers. This helps in cutting their extra time involved in thinking over addition
of features. Study of market demand and preference of customers will enable automobile
industry to customize their production as per customer’s need. Moreover, development of cars as
per customer preference will reduce waste in the form of unnecessary inventory, overproduction,
excess motion and others to a greater extent. Apart from this lean production practices in
automobile industry of UK works towards perfection by continual removal of wastes. According
to Karim (2013), cutting of wastes in production is one of the most effective way in which
profitability can be increased. This is so because cutting down of wastes in production means
cutting of costs involved in production of car. Moreover, it also focuses on effective utilisation of
labour. Observation from study indicates that in case of occurrence of problem production is
34

stopped and entire team gets involved in finding root cause of problem. This is done in order to
ensure that similar problem never occurs again future. A team working together to produce as
single unit of car reduces time consumption. It also increases productivity which is the basic
concept on which lean production in automobile industry of UK works.
2.7 The pros and cons of lean production system
The basic benefit of lean manufacturing in the automobile industry is that the components are
delivered to the workstations of the teams Just in Time, and when the workers discover any fault,
they are asked to stop the work. The two-way exchange is promoted by the process of lean
production, and thus the people learn and implement the systems without any faults and
wastages. While applying the lean principles in the automobile sector of UK, the stoppages
happen due to the ironing out of the problems, and the process aims to reduce these stoppages so
that the problems becomes fewer (Kumar, 2016). When the lean production becomes mature, and
it stops the line, then the assembly line continues in a flow without much interruptions and
issues. Thus the production continues to happen and the wastages of time, resources and costs
are reduced. When the feedback is obtained from the production line workers and the
component suppliers, the process takes a lot of time, and the designers work hand-in—hand with
the workers and suppliers.
Eliminating the waste, lean philosophy focuses on the workplace in all its forms. 5S Workplace
Organization of specific methods by means of kanban, just-in-time rugby and other development
strategies "agile" programming software systems are simple to maintain. Toyota cars were made
in 1940 after the adoption of these concepts and many of the best practices in the automotive
industry of UK (Yin, 2017). The application of this principle in its production potential is used
35

for improved profitability and more complex. Direct manufacturing labor flexibility and highly
efficient manufacturing techniques have been developed to combine the low-series production
are the quality of the group.
Time, live plants, and a computer for each workstation, if an error is detected, all workers will be
asked to stop production. Lean manufacturing workers, designers, and administrators to
encourage two-way communication between the constant. Errors and get to know the workers
are encouraged to play an active role in determining the production line. However, the process is
completely avoided costly to stop and have a traditional assembly line; Workers have to know
what is wrong with the assembled and
In contrast to the simple principle of supply of waste materials designed to reduce the efficacy of
any ill workers. Whack-a machine that is the easy and accurate identification of multiple sources
of errors, enabling high volumes of waste. Other forms of waste, the environmental conditions
that affect the working efficiency are read in the light of the instructions can also help
construction workers; Eliminate the time to file an active employee.
Lean principles and practices in the workplace are essential in contributing to the production
crew. They usually look good to happen to the waste and inefficiency. In general the staff to
participate in the process of developing a positive impact on the efforts to respond diligently, not
only serves as a resource. They are suggestions and ideas that contribute to a sense of belonging
and satisfaction are more likely to follow.
Divorce is a strategy that shows that the JIT inventory. Cut off the cash flow to equity stocks of
raw materials and products. It saves money by reducing inventory costs. As soon as the line of
business and the ideal scenario, given the raw side of the JIT production needs, and the final
36

product will be delivered immediately (Simon, 2015). In this situation it is impossible to support
the philosophy, however, to make improvements to the ideal.
In addition to lower costs and increase productivity in the workplace lean manufacturing
techniques to deliver the lead and sales systems and improve their skills by working to support
the changes. Add new products to be stored in the storage space available (Razzhivina, 2015). It
is the employee gets a new job and quickly respond to changing customer needs is available to
save time. Without delay, short delivery iterations lead quickly to his work and its competitors.
Magra technical fees may apply. The pursuit of production efficiency and waste time, it begins to
affect the solution of the problem. If you implement Lean principles in the first place, you can
expect a better performance later on down the road. The drive is expected to be attractive, must
take into account the value of the development. If you have an earlier stage of the process, a
portion of the clock speeds from 500 to 1,000 per performance, improving their results (Antony,
2016).
JIT principles of the components of the fixed system work better. Launched in the delivery of
raw materials and products, and construction elements can be planned accordingly. The neck of
the bottle, it is more prone to aggressive JIT programming will be organized in the city. Delivery
problems, which can reduce raw material suppliers to disrupt workflow, care less about
emergencies.
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Chapter 3: Research methodology
The main objectives of the researchare as follows:
• To undertake an extensive review of the concept of the lean production system.
• To identify and study the models and techniques of lean in the automotive industry of UK.
•To investigate the process involved in the activities and implications of lean production in the
automotive industry of UK.
•To appraise the pros and cons of lean production system on the automotive industry of UK in
the UK.
3.1 Type of research
This research is descriptive as it describes the characteristics of the variable which is being
studied i.e. the lean manufacturing. It will help in studying the topic in depth, and it will also be
able to describe the process of lean manufacturing in the automotive industry of UK.
Descriptive research can be explained in terms of the statement of affairs as they are in the
present state and the researcher does not have any control over the other variables (Saunders,
2014). It is basically the attempt to determine and describe that what is. In contrast to this, the
analytical research establishes that why some concept or theory exists and how did it originate or
came to be. The main aim of this research is that it casts the light on the current issues and
problems with the help of data collection. This enables the researchers to describe the entire
situation that exists, and the study helps in making the analysis off that data in such a way that
38

that it was not possible to get the relevant information of the method would not have been
deployed (McMillan, 2014).
Basically, when the researcher has to describe the various aspects of a particular phenomenon,
then they use the descriptive studies, and all the characteristics or the behavior of the population
is described in this study (Ivey, 2016). In the current study, the characteristics of the lean
production in the automotive industry of UK are being studied, and hence the descriptive study is
very pat for this research.
There is an important distinction between the descriptive study and other studies. In the other
studies, many variables are required to be deployed for analysis and processing of the data. But,
in the descriptive study, the just single variable can help in analyzing the data. There is no need
and use of a lot of variables. In the current study, the lean manufacturing in the automobile sector
is being studied. Thus, a single variable is under study. Though there are various aspects of this
variable as the process of lean, the tools used in lean, the effectiveness of lean methods, the pros
and cons of the methods, but ultimately, one single variable is being studied. Hence, the
descriptive study is usable in this case. The descriptive study is associated closely with the
observational studies but they study is not limited to the observation method of data collection or
surveys or case studies (Leary, 2013). There are many methods that can be used to collect data
for the descriptive study like the secondary sources. In the present study, the secondary source
has been used.
This study has been used particularly in this report because it is one of the most effective
methods for analyzing the non-quantified topics and issues. It is very difficult to qualify the lean
production methods and systems. Also, it is very difficult to quantify the lean tools and
39

techniques because their application differs as per the requirements of the companies. This topic
is more theoretical, and it can be quantified only in terms of the reduction of the wastages in the
companies, their costs reductions and the rise in the profits of the company (Kim, 2013). Thus,
the qualitative topic was to be analyzed here hence the descriptive study is used.
Also, the descriptive study makes it possible to observe the phenomenon in a completely natural
manner and the environment is also unchanged for it. Thus, it was easier to observe the
application of the lean principles in the companies. Next is, the data analysis was based on the
qualitative study of various companies and concepts in the automobile industry (Chapelle, 1990).
But, the companies have shown the effectiveness of this concept by quantitatively.
3.2 Data collection
The data will be collected using the primary and secondary sources. There is immense literature
available on this topic which will be studied in this case. The literature on the process of lean
manufacturing, its principles, application, etc. will be studied, and hence the project will be done.
Many academic sources will be grounded for completing this project such as journal articles, the
books, the working papers, articles on the internet, etc. They will not only give the basic
understanding of the topic, but it will also help in creating the frame of reference for the project.
Though the credibility of the sources can be questioned in case of the secondary data collection,
but the main focus will not get shifted from obtaining the data from the authentic sources. Also,
the secondary data will be related to the automotive industry of UK.
Primary data collection will enable the researcher to get valid and authentic data from interview
of 3employees working in automotive industries of UK. This collected information from primary
source will enable researcher to conduct research study in an effective manner.
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There are many sources of data collection from the secondary sources. It is not necessary that the
data must be published, it can be unpublished too. Mostly, the published data has been used here
like the publication of the government and the companies on the lean production and the lean
techniques (Glass, 1976). Then the trade journals can also be used. The reports of the business
and companies who have used the lean manufacturing and they have benefited from these also
come under the published sources and they are used in the current study. Then there is
unpublished data too like the letters, biographies, etc. but these have not been used in the current
study.
Before the secondary data was used in the study, there were certain characteristics that were
taken care of, and they were checked for. The reliability of the data was checked. For this, the
collection of the data was validated along with the methods of collection. Also, the suitability of
the data is checked by analyzing the object, the scope and the nature of the original inquiry.
Finally, the secondary data must be adequate (Stewart, 1993). It was specifically taken care of
that the data is able to satisfy all the objectives of the study and it is related to the particular area.
3.3 Source of data collection
The most common method of collecting secondary research using secondary data collection is
commonly called. This process involves authors or distributors, from the original research or
data collection. In other words, the access information is collected.
In most cases, this type of market research reports, company websites, means that for third-party
sources such as newspaper articles and other sources of information. Marketing organization, old
sales reports, accounting documents and the like can be used, but in fact before any search for
41

information or market to access the documents in advance here from external sources in order to
collect the research trophy Secondary resources on internal resources.
Over the years, the best way to access the library or sent by email marketing support data needs
to wait. Since the early development needed to learn the rules and procedures of online access
for training options are different for each data source. However, all data sources (in many places,
such as online access), and research has changed the frequency using standard high school
methods with ease.This information and more and more research is required to achieve cheaper
because researchers often still attracted our research and secondary data.
The search for clarification, of secondary data is done before large-scale studies were devoted to
this study. For example, competitors are not familiar with the market; making it an analysis of
competition researchers can access secondary sources to identify a list of potential competitors.
As described above, the acquisition of ancillary data is generally used to help define the main
study period. They do, and therefore no longer have to hold their own research costs in the
search process for exact information seekers can be found by visiting secondary sources.
There can be two authors of the study to collect more information on duration. This may include
the difficulties you encounter will be discussed. For example, research reports written by the
Company may be an important research and secondary market studies. Information, disclosure
report such problems can often be obtained in human clinical trials, such as the high rate of
participation in the top-down branch for data collection, and includes a discussion of these
activities. Access to potential information may decide to read and question the potential value of
marketing research then.
While the second study, often useful, there are disadvantages, including:
42

As we will discuss the basic approach is largely controlled by a market study has been
completed. As for the data collected by the other, but this is not the case. The result may be
controversial because the information sources you should carefully check the quality of the
secondary research. As an important part (e.g., market research) on the basis of the organization
of secondary data of its decisions, the measures taken to evaluate how the information is
collected and critically assessed for effectiveness and The reliability of the analysis of
information.
Secondary data often fails to meet the needs of traders. For example, consider my feelings about
certain industry products for different groups. Unfortunately, the marketing company marketing
Times Group (for example, how to use is determined 16 (under 13 years, for example, 14-18, 19-
25, etc.) are incompatible may be disappointed to find that the research department Age, 17-21,
22-30, etc.). Therefore, the results can be useful for the poor.
The study cannot be specific to the needs of traders, because one of the reasons may be to see
that research spending is inefficient. Marketing is what we do not get a satisfactory amount.
The researchers found that the actual research by much promising information "teaser of"
regarding suppliers, published the study. This tends to explain that a small part of labor freedom
occurs, but the full report is often costly, requires the total value of the work.
Note that the foundation exercises secondary data may have been collected in the past. The last
ones
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3.4 Data Analysis
The data will be analyzed with the help of comparing and contrasting the information collected
from the primary and secondary sources. The understanding level of the researcher will be used
to analyze the data and hence draw the conclusions for this project.
The process of data analysis in this secondary research:
Initially, the research papers were read in detail that contained information about the lean
production, its tools, etc. All the aims and objectives were taken care of while searching for the
relevant literature. After the collection of all the research papers and journals, the thorough study
was made, and the papers were compared and contrasted. This helps in knowing and determining
the concept of lean manufacturing, its history, and origin, the process of lean and specifically the
tools were studied. The tools and techniques of the lean manufacturing differ as per the industry
application. So, the tools that were specifically used in the automobile sector of UK were
studied, and they were researched upon. The ideas and the knowledge of the previous researchers
helped in establishing a background of this study. Their findings helped in the development of
the entire literature of the present study. After this, the literature was developed as per the aims
and objectives of the study. For example, one of the objectives of the study was to identify and
study the models and techniques of lean in the automotive industry of UK. In order to satisfy this
objective, the literature review had a separate section and the content in that section has been
written after reviewing the work of many researchers. This content will be analyzed, and it will
then help in summarizing the findings of the study. Moreover, primary research will involve
conduction of interview process for 3 employees working in automobile industry of UK.
Interview questions are formed that will help in getting adequate information from employees
and in meeting objectives determined for research topic.
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3.5 Supervision
The supervision of the project will be done by the potential supervisor of the subject and the
University. The project will be made as per the guidelines of the University and as per the ethical
standards of the University. The data collection will be done in an ethical way, and the sources of
data will be trusted and are relevant to the topic. The supervision will help in meeting all the
deadlines, and it will help in completing the project on time. The meetings will be held with the
supervisor as planned and then the discussions will be done accordingly.
In the meetings, the weekly progress was discussed with the supervisor. It was discussed that
how the work has been carried out till now and what all things have been completed. The
feedback on the work done was collected from the supervisor so that the project is error free.
Also, the future direction was discussed to determine that how the further work will be done. In
addition to this, work was also discussed with the peers to get their feedback as an audience to
the report. It was basically done to get the review on the understanding of the project by the raw
set of people.
This helped in the completion of this project in an effective way because the project did not stop
anywhere in between due to incorrect work or any confusion. All the clarifications were taken
from the project guide so that a smooth flow of the work in maintained throughout the analysis
and the data collection part. In the case of any discrepancies, the essence of the research can be
lost. Hence it was taken care of with the help of appropriate supervision.
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3.6 Support used
The support which is required in this case is of the online sources from where the secondary data
will be collected and analyzed for completion of this project. The journals and research papers
are required to complete this project. Apart from this, the lean manufacturing activities are
required to be studied in the automotive industry of UK, and for that, the support of the
automobile industries is required in completing this project. They need to give the access to the
plant so that the processes and the activities can be studied closely and they can be analyzed in
relation to the lean manufacturing processes.
The support will prove to be relevant and successful when the project got completed on time and
when the objectives of the research were met.
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Chapter 4: Analysis of data
Meyers and Sullivan have mentioned mass production as an alternative to lean manufacturing
because when the goods are produced in bulk, per unit cost comes down. Hence the costs of the
company are saved, and the wastages are reduced. But it has been identified that the alternative is
not as effective as lean manufacturing because the tools and techniques used in lean production
are scientifically proved, and they are modern methods rather than traditional ones.
This concept began in 2000 after the introduction of mass production, then the production system
developed by Toyota, the JIT concept and the TQM, the Six Sigma introduction and finally the
lean manufacturing in 2000. This concept was developed after recognizing the fact that the
holistic view needs to be developed which can work in such a way that the costs of the
companies are reduced to great extent. This was developed when the competition with the USA
had progressed. It was initially developed in the automobile sector, and hence the principles and
techniques of the lean manufacturing are relevant to this industry.
Bhasin and Shah have written about the philosophy of this concept which is to produce the good
quality products at the affordable prices and most importantly, it must eliminate the wastes of the
companies, especially in the automobile sector. So the concept focus on making the companies
grow and earn more with the help of reduction in the wastages produced.
The concept of lean manufacturing also includes the goals of this concept which are being
mentioned by Fullerton. The main goals of lean are to reduce the cost of the company by
eliminating the waste which is done by producing the products that are determined by the sales in
a timely fashion so that the excessive manufacturing is restrained and all the waste is eliminated
47

in the methods of manufacturing. The next goal of lean is to guarantee the quality of the product
which is done by checking at every stage of the lean process, and then inspecting the product
directly into the process so that the flow of the goods is not stopped in the process, and the
defects are also extracted at the various points in the manufacturing. The third and final goal of
this concept is to enhance the value of the products which is done by standardizing the work.
Goetsch and Kalpakjian have talked about the key aspects of lean management without which
the project of lean cannot be started and implemented. For applying the lean concept in the
automobile industry of UK, the time management is very important. This is because the concept
focuses on reduction in the time so that the wastage is reduced. Also, the staff is trained so that
they become perfect in doing all the work and they can handle all kinds of functions in an
effective manner. Then, the lean manufacturing needs to be launched in a quick way so that the
new products are manufactured on time. JIT is the heart and souls of lean which helps in making
the products when required. The entire production process is divided into cells that are
responsible for its own parts. Kaizen ensures that the changes are introduced slowly so that the
efficiency keeps on improving. The product goes through various stages of production and at
every stage, the quality test happens so that the product reaches the end user in an effective way.
Further, it can be analyzed from the findings of Chiarini that there are some specific tools and
techniques that help in the production and implementation of lean manufacturing. He has talked
about the tool as cellular manufacturing, continuous improvement, just in time, production
smoothing, work standardization and total productive maintenance. Some other waste reduction
techniques have also been mentioned by the author in his paper.
48

After the study of these tools, it can be analyzed that lean manufacturing in the automobile sector
is practiced effectively when the arrangement of the workstations and equipment is very smooth,
and the flow is maintained. This is the part of cellular manufacturing. The research by Kant also
helped in analyzing that with the proper arrangement of the tools and equipment, the products
move from one process to another smoothly and without interruption. Thus, the time does not get
wasted and the resources too. Irani has also pointed out that this flexibility can be achieved when
the similar products are grouped into families that can be processed on the same equipment, in
the similar sequence.
In continuous improvement, there are 5S that help in making lean manufacturing success. The
application of the 5S principles in the companies has been successful as found by Al-Refaie.
Basically, it lists down the five words developed by Japanese that describes the way in which
workspaces are organized for the efficiency and the effectiveness. This is done by identifying
and storing the items that are used, by maintaining the area and the terms of production and by
sustaining the new order. It has also been analyzed that the companies can reveal their potential
strengths and capabilities that were being hidden by them.
Another tool which can be analyzed is the just in time production. In this, the right part is
produced at the right place and at the right time. The analysis of this tool shows that the “pull
system” is used here in which the person who generates the orders sends the signal to the
production team, and thus the production gets pulled out of the assembly process. The necessary
parts and the quantity are withdrawn at the necessary time. This directly reduces the number of
wastages.
49

From the tool of production smoothing, it can be analyzed that when the level of goods to be
produced is kept constant, the wastage is reduced because it is very much specified in advance
that how much goods are to be made or what quantity is to be produced. From this tool, it can be
analyzed that this tool is the very effective concept for the automobile industry because when the
production cost is decreased, the more cars have to be produced so that the products are
produced smoothly in the right quantity, and the manpower is also utilized efficiently. Thus, it
supports the lean manufacturing.
From the tool of work standardization, it can be analyzed that when the production of the
automobiles is standardized, the time that is required to complete the job and the order of the
steps followed in the job and the parts on hand of users are organized. With the proper
organization of things, the activities are performed effectively and efficiently. Thus the
automobile industry of UK can reduce their wastages by implementing the tool for work
standardization.
From the tool of total productive maintenance, it can be analyzed that due to the breakdown of
the machinery, the production processes stops in the companies. When this happens, a lot of
resources and time gets wasted in repairing the machine, in shifting the operations at some other
location. The delivery partners also get upset when the work stops due to the breakdown in the
machines. Hence, this tool maintains all the machines and tools of the companies that help in
manufacturing the automobile parts and help in compiling the same so that the work is continued
and there is no halt in between. This tool hence reduces the wastages that are likely to occur.
From the process of lean production in the automobile industry, as reviewed by Dickson, it can
be analyzed that the techniques of lean manufacturing are applied on the basis of the five
50

principles. The first principle is “value” which is a foundation for the value stream and it defines
the price that the customers are willing to pay. The second principle is "value stream" which
maps and identifies the specific actions that are required for eliminating the non-value activities
from the concept of design to the usage of the customer. The third principle is "flow" in which
the process stoppages are eliminated so that the flow is maintained without any interruptions.
The fourth is the principle of “pull” where the products and the processes are streamlined from
the concept. Finally, “perfection” is the last principle where the things are done in the right way
at the very first time and in this, the continuous improvement efforts are applied.
Finally, from the pros and cons of the lean manufacturing, it can be analyzed that this process is
mostly positive in its approach because it lowers down the cost of the companies. When the costs
are reduced, the company can earn the expected profits; it can capture the markets, and it can
become very effective in the future.
Primary research findings:
Interview Questions
Q1: Why do you think that lean production is important for growth of automotive
industry of UK?
Interviewee 1:
Answer: On the basis of this question interviewee 1 commented that “lean production is
important since it helps in improving quality of cars produced”. In context to this interviewee 2
commented that “not only improvement in quality but it also reduces the time taken for
production.” On contrary to this interviewee 3 commented that “apart from quality and time it is
51

the performance of employees and cost reduction in production which matters in profit margin
and it is achievable through this practice”.
Q2: What are the benefits incurred by your organization through lean production
practices?
Answer: On the basis of this question interview 1 said that “it has helped UK’s industry to
bridge the gap which was present since three decades between its rivals”. Interviewee 2 added
that “it has helped in increasing the competition level of automobile sector in UK”. Interviewee 3
said that the benefits incurred are ample but most prominent benefit deals with increase in profit
margin and production”.
Q3: Why do you think implementation of lean production faces resistance in UK
automotive industry?
Answer: According to interviewee 1 “major resistance from employees towards lean production
deals with feeling of job insecurity”. Interviewee 2 and 3 added that “job insecurity and
enjoyment of prior benefits are main reasons which effects proper implementation of practice in
industry.”
Q4: What are the ways in which implementation of lean production practices can be
improved?
Answer: Interviewee 1 commented that “spreading of awareness among people about benefits
associated with lean production will be effective in improving its implementation”. According
interviewee 2 “initiative taken by government to enhance productivity by lean production
52

practices can act as an effective measure”. As per suggestion of interviewee 3 “showcasing of
earlier record of success to automobile industries will urge them to opt for such practices”.
53

Chapter 5: Discussion and interpretation of Results
From the above analysis, it can be interpreted that the first aim, “to undertake an extensive
review of the concept of the lean production system” can be satisfied from the finding
‘Lean Production’ is a practice to reduce the inventory of the shop floor in a manufacturing
firm. The origins of this concept lie in the history of the Japanese who carry out the
manufacturing activities on the policy of tight material control, and thus they aim to achieve
such a production which is "stockless." This means that they aim to reduce the inventories to
the minimum possible level and mainly to the "zero" level. It is also known `as seven zeros. It
aims to zero down the defects, setup time, breakdowns, handling, lead time and surging.
Thus, the companies that target lean production strive to achieve a zero inventory, and they
do this by producing what is required and when it is required. With this, the storage costs get
eliminated along with the possibility of the capital being tied up in the inventory. This
concept began in 2000 by Toyota. It was recognized that the holistic view needs to be
developed which can work in such a way that the costs of the companies are reduced to great
extent. The philosophy of lean manufacturing is to produce the good quality products at the
affordable prices and most importantly, it must eliminate the wastes of the companies,
especially in the automobile sector. So the concept focus on making the companies grow and
earn more with the help of reduction in the wastages produced. The main goals of lean are to
reduce the cost of the company by eliminating the waste which is done by producing the
products that are determined by the sales in a timely fashion so that the excessive
manufacturing is restrained and all the waste is eliminated in the methods of manufacturing.
54

The next goal of lean is to guarantee the quality of the product which is done by checking at
every stage of the lean process, and then inspecting the product directly into the process so
that the flow of the goods is not stopped in the process, and the defects are also extracted at
the various points in the manufacturing. The third and final goal of this concept is to enhance
the value of the products which is done by standardizing the work. Some key aspects of lean
have also been foundlike, for applying the lean concept in the automobile industry of UK, the
time management is very important. This is because the concept focuses on reduction in the
time so that the wastage is reduced. Also, the staff is trained so that they become perfect in
doing all the work and they can handle all kinds of functions in an effective manner. Then,
the lean manufacturing needs to be launched in a quick way so that the new products are
manufactured on time. JIT is the heart and souls of lean which helps in making the products
when required. The entire production process is divided into cells that are responsible for its
own parts. Kaizen ensures that the changes are introduced slowly so that the efficiency keeps
on improving. The product goes through various stages of production and at every stage, the
quality test happens so that the product reaches the end user in an effective way.
The second aim, “to identify and study the models and techniques of lean in the
automotive industry of UK” can be satisfied from the finding thatthere are some specific
tools and techniques that help in the production and implementation of lean manufacturing.
These tools arecellular manufacturing, continuous improvement, just in time, production
smoothing, work standardization and total productive maintenance.In cellular
manufacturing, the time does not get wasted and the resources too. Flexibility can be
achieved when the similar products are grouped into families that can be processed on the
55

same equipment, in the similar sequence. In continuous improvement, the 5S method
identifies and stores the items that are used, by maintaining the area and the terms of
production and by sustaining the new order. It has also been found that the companies can
reveal their potential strengths and capabilities that were being hidden by them.In just in
time, the necessary parts and the quantity are withdrawn at the necessary time. This directly
reduces the number of wastages. In production smoothing, level of goods to be produced is
kept constant, the wastage is reduced because it is very much specified in advance that how
much goods are to be made or what quantity is to be produced. In work standardization, the
time that is required to complete the job and the order of the steps followed in the job and the
parts on hand of users are organized. With the proper organization of things, the activities are
performed effectively and efficiently. Thus, the automobile industry of UK can reduce their
wastages by implementing the tool for work standardization. In the tool of total productive
maintainenece, thecompanies takes care of all the machines and tools of the companies that
help in manufacturing the automobile parts and help in compiling the same so that the work
is continued and there is no halt in between. This tool hence reduces the wastages that are
likely to occur.
The third aim, “to investigate the process involved in the activities and implications of
lean production in the automotive industry of UK” can be satisfied from the finding that
initially, the companies in the automotive industry of UKhas to identify the value that they
seek to create for their company. Then they map the value stream. The flow is created by the
company and the pull is established using the techniques of lean production. Finally, the
company seeks perfection in the process of production using the various tools. The
56

techniques that the company useincludes the technique of cellular manufacturing. In this, the
workstations and the equipment are present that are arranged in such order that the smooth
flow of the materials and components is maintained through the process. Then, continuous
improvement is another technique which can be used in lean manufacturing. Continuous
improvement uses the 5S tool of the Japanese terms namely, Seiri which means sorting,
Seiton which means straighten, Seiso which means sweep and clean, Seiketsu which means
systemize and Shitsuke which means standardize. Then, there is the method of just in time
production where the right part is produced at the right place and at the right time and hence
the manufacturing wastes are eliminated. The fourth is the technique of production
smoothing where the level of production is kept constant so hat least possible waste is
created. The fifth technique is work standardization where to complete the job; an order of
the steps is followed in the job and the parts on hand of users. The final technique is the total
productive maintainenece in which the breakdown of the machinery is avoided so that work
does not get stopped.
The implications of lean manufacturing are also found from the study. The process ensures
quality performance with least possible defects and rework. Also, there are less machine and
process breakdowns that happen. It helps in reducing the tocks and when the stocks are
reduced, the company is able to save a lot of costs and thus, there is a direct financial benefit
to the company
The fourth aim, “to appraise the pros and cons of lean production system on the
automotive industry of UK in the UK” can be satisfied from the finding thatthe biggest
benefit that companies get from this system is that the people learn and implement the
systems without any faults and wastages. While applying the lean principles in the
57

automobile sector of UK, the stoppages happen due to the ironing out of the problems, and
the process aims to reduce these stoppages so that the problems becomes fewer. The process
guarantees the flow of production and the production continues to happen. A positive impact
is seen on the efforts to respond diligently, not only serves as a resource, but they contribute
to a sense of belonging and satisfaction is more likely to follow. Apart from initial cost of
installing, there is no other drawback that has been identified related to the lean
manufacturing. Hence, the system has more advantages than the disadvantage.
The findings from primary research have provided a lot of vital data which is effective in
meeting the aim and objective of research. From the primary findings it has been analyzed
that lean production practices are having several benefits, however, it is external resistance
from employees and lack of awareness regarding benefits which are affecting the
implementation of this practice. It also provides recommendation will be effective in
improving implementation of lean manufacturing in automotive industry of UK.
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Chapter 6: Conclusions
The study explored the history of lean manufacturing in the country UK and the differences in
the traditional manufacturing and lean manufacturing have been compared. The main part of this
production is the techniques that the companies use and out of all the techniques, just in time is
the one which is used most frequently and is one of the most effective techniques out of all. It
can also be concluded that the lean manufacturing has been explored from just in time and the
company Toyota introduced it first. The main goal of the study was to understand the concept of
lean manufacturing, understand its applicability in the automobile industry of UK, study the
techniques used in this system and to determine the pros and cons of the same. Thus, from the
above research and findings, it can be concluded that an enterprise level view is required in the
system of lean manufacturing and this is from the value stream i.e. from the raw materials o the
finished good in the form of vehicle which is delivered to the final customer. In this system, the
operational details matters the most and this is very strategic for the organizations. The
comprehensive polices may not be offered by the process of just in time or the lean
manufacturing for managing the production facilities, but the automobile companies like Toyota
have shown that the creative solutions can be given to the specific problems. This includes
having a control over the production environment, controlling the work in progress and giving
more importance to the flexibility of the processes, the training of the workers and redesigning
the layout of the plant. When the ideas like these are implemented in the automobile industry, the
improvement in the processes will come in the form of quality of the product and the variety of
product. But, most importantly, there are reductions in the costs of the goods sold and the time
spent on the production and setting up of the facilities.
59

It can be said that implementing lean production system is not an easy thing to do. There is
extensive work that is required to be done inside the companies and outside it. But, the end result
is surely long term benefits to the company. to attain this, the companies must use and apply the
techniques and tools and they must fulfill the objectives of lean production system. To achieve
this, the integrated approaches can be taken. Also, the companies need to be systematic about
eliminating the wastages. This will enable the automobile companies to sustain the momentum
when someone will be engaged in this process and the wastages in the work will also get
eliminated. The companies must reduce the size of the queue if it wants to lower down the
wastages of waiting. Along with this, the companies must also reduce the point use of the
storage and the visual systems must be deployed. Thus, the planning and load will get improved.
Some of the obstacles in the implementation of the lean manufacturing practices have been found
but, successful planning by the companies can help in overcoming all of them.
The current research has been successful in fulfilling all the objectives of the research.
6.1 Recommendations and proposals for further work
It is recommended to the automobile industry of UK that if they want to implement this system
in a more successful manner, they must make their communication programs customized so that
the employees are able to work beyond the regular perspectives.Also, the employees will be able
to understand the things better and they will stay committed to the initiatives. When the effective
communication plan will be built by the companies, the people will buy in and they will stay
involved at all the levels of the company. The management of the automobile companies must
train and educate their people so that they align the systems, processes and approaches of
60

management with their thinking and work accordingly. This will help the company in achieving
a positive change. The automobile companies are recommended to use the talents of their staff
members and must empower them so that they can manage the areas of work.
Furthermore, initiative taken by government through passing of rules and regulations will help
lean manufacturing practices to be implemented more effectively and in more numbers. This in
turn will be helpful in increasing competition in automobile industry and in increasing profit
margin of industry.
If has been found that when there are defects in the quality of the work, the customers do not
accept the defected product. The things like reworks, scarps, corrections etc. come under the
category of waste and when defects happen, the company loses a lot of money. Thus, it is
recommended that the companies must use the prevention detection systems so that the problems
are resolved at the right time.
For the future, the methods of lean manufacturing must be applied to some other industry like the
ship building industry and the airplanes manufacturing industry. A comparison of the costs can
be made in these industries. There would be differences in the costs and the reasons for these
differences can be identified in the further research. Also, the techniques can be explored apart
from the general techniques that are used by almost all the automobile industries. The concepts
of Toyota production system and the JIT can be used to explore and apply the further concepts
and this will also ensure that the method will hold well in most of the manufacturing settings to a
great extent.
61

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Appendices:
Appendix 1:
Interview Questions
Q1: Why do you think that lean production is important for growth of automotive
industry of UK?
Q2: What are the benefits incurred by your organization through lean production
practices
Q3: Why do you think implementation of lean production faces resistance in UK
automotive industry?
Q4: What are the ways in which implementation of lean production practices can be
improved?
70