Business Report: Lean Management Principles and Lead Time at M&S

This report delves into the principles of lean management, emphasizing value creation, waste elimination, and continuous improvement. It analyzes these concepts within the context of Mark & Spencer (M&S), a multinational conglomerate dealing in clothing, food products, and more. The report examines how lean principles can enhance operational efficiency and customer satisfaction, focusing on M&S's products, target customers, and application of continuous improvement through the PDCA model. The report also includes a lead time analysis, calculating the time required to deliver a product and considering potential increases due to supply chain factors. The conclusion highlights the importance of continuous improvement and employee involvement in achieving lean management goals, emphasizing its role in reducing costs and improving employee engagement.

A Study of Lean
Management and
Lead Time

Table of Contents
Introduction.................................................................................................................................................3
Main body...................................................................................................................................................3
Task A.........................................................................................................................................................3
Concepts of lean management with their benefits....................................................................................3
Task B.........................................................................................................................................................5
Describe main products or services produced by the organization..........................................................5
Main customers for this products and services........................................................................................5
Task C.........................................................................................................................................................6
Apply one concept to chosen organization..............................................................................................6
Task D.........................................................................................................................................................6
Conclusion...................................................................................................................................................7
References...................................................................................................................................................8

Introduction
Lean management is an approach which help the organization in making continuous
improvement to make the small changes in the process of the operations to improve the
efficiency and quality of performance. The main purpose of the lean management is to create
value for the customers by providing them satisfaction through fulfilling their demand. It assit in
providing the visibility to the team in an organization and increase the productivity of the
employees by reducing the lead time(Agyabeng-Mensah, and et.al., 2021). In this report, Mark
and Spencer has been taken into consideration which is a multinational conglomerate that deals
in the clothing, foods products, home products and beauty products. The report will cover the
concept of lean management with their benefits that are delivered to the users in relation to the
organization. Further, it will explain that products and services that are produced by the
organization and the customers to whom it serves. Moreover, it will demonstrate how a concept
assist an organization in performance their operations.
Main body
Task A
Concepts of lean management with their benefits
Lean management provides assistance to a business concern in managing the efficiency
in performing the operations of a business so that it can gain the competitive advantage by
reducing the wastage with high quality products and services. This leads to the improvement in
the total productivity and enhance the profitability and revenue for the businesses(Tseng and
et.al., 2022). There are three main concept of the lean management which includes delivering
value by the customers, eliminating wastage and continuous improvement. The concept has been
demonstrated with examples which are as under:
Value: In lean management, value is a component that defines the willingness of the customers
to pay for the desired products and services. An organization strive to create more value for the
products that are made by it with limited resources. An organization provide solutions to the
customers by them good quality products which provide value to the customers. In relation to the
Mark and Spencer, an organization provide premium products to its customers for which they

show their willingness to pay valuable price for worth of the products of a company. Value is
all about the worth of the products that are made through the supply chain of an organization and
customers are able to pay fir the finished products. Mark and Spencer has maintained it supply
chain in an effective manner through having a good inventory management. It has various
intermediaries which help in managing the supply chain and make the products reachable to the
customers(Cano Murray and Kourouklis, 2022). It provides various benefits to the users such as
it increases the quality of the products as employees bring innovative ideas to make the products
and help in attracting the more customers to an organization. It provides assistance in improving
the lead time as an organization provide effective response to the fluctuations in demand and
other variables of market. Mark and Spencer has adopted the strategy of sustainability by using
the natural resources in order to reduce the carbon footprint. This enables a business concern to
engage the customers with the company. Mark and Spencer provides its customers premium
quality products and having a good brand image with many store across the various nations. This
facilitates a firm to establish a strong reputation and increase the productivity and sales. This, it
is difficult task to determine the value for the products for those who are not part of the
operations.
Elimination of wastage: It refers to the process where anything that doesn’t contribute to the
value of the products by the customers is considered as wastage. This concept is included in the
lean manufacturing where process of manufacturing is carried out without creating any wastage.
It can be in any form but an idea has been underlain to eliminate the things that does not create
value from the perspective of the customers. Once an organization has understood what the
customers value for so it should make process and create various steps to reinforce the value by
providing them finished and quality products. Wastage can be occur from any of the process
such as transportation, overstock of inventory to fulfill unexpected demand of customers,
wastage occur while processing through the machine and any injury cause to employees(Rundall
and et.al., 2021). It also includes over production, defects and over processing due to which an
organization have to face wastage in manufacturing process of the products. With reference to
Mark and Spencer, an organization monitor the process of manufacturing so that wastage can not
be occurred and set up the reducing time which help in reducing the set up cost and increase the
flexibility of fulfilling the demand of the customers by meeting with changes. It improves the

quality of the products by identifying all defects and provide it to the customers in an appropriate
manner.
Continuous improvement: In lean management, continue improvement refers to the process
where varieties of techniques are used by a business concern in order to manufacture the
products. It assist the organization in identifying what is needed to do when obstacles are arisen
in performance or manufacture the products. It also make the strategy in order to improve the
performance of the employees by ensuring that all the employees contribute their efforts in
making improvements. In relation to Mark and Spencer, it makes efforts to improve the
performance of the employees by providing them effective training and knowledge to use
various techniques so that they become more productive. It helps a business organization to
improve the use of resources and assist in decreasing the amount of wasteful activities and this
improved focus leads to efficient and productive workforce. It also provides benefits of working
together to create the company more flexible and address the requirements of the customers and
provide them premium quality products(.Lista and et.al., 2022). Altogether, lean management
create an effective production system which improves the performance of the company.
Continuous improvement enables shared leadership and responsibilities and ensures that all the
employees makes efforts to contribute in the process of improvement. Mark and Spencer has
good management methods that act as a guide to build a successful organization which progress
constantly by eliminating the errors and resolving all problems. It helps the business organization
in lowering the cost of the products and improve the engagement of the employees.
Task B
Describe main products or services produced by the organization.
Mark and Spencer provides wide range of options to the customers because it sell
premium quality products of numerous categories which includes clothing, cosmetics, food
products, home products, luxurious items and many more. The company have more than 1509
stores across the globe and have various websites to make online sell. A business concern also
provide a range of financial services to the customers which includes credit card, savings and
insurance(Crema and Verbano, 2021). It also provides renewable great value electricity to the
individuals. The company have good presence in various countries and have 70000 colleague

across the store that provide support to the customers and have warehouse and good supply chain
that assist in fulfilling the demand of the people.
Main customers for this products and services
Mark and Spencer is a well known brand and offer premium quality products to the
customers who have high income. The company also target it’s customers who are above the age
of 45 and also includes the social economic group in order to increase its market share so that the
profitability can be increased. The company also strive to attract the younger by providing them
good brand at reasonable price and also brings various discount offers in order to encourage
them to buy the products of a company.
Task C
Apply one concept to chosen organization
The concept of continuous improvement of lean management has been chosen in context
to Mark and Spencer which help the organization in improving the quality of the products and
services which by increasing the productivity of the employees through effective training and
development programme. It boosts the moral of the workers which leads to the continuous
improvement and also reduced the cost of manufacturing products(Baumann,and Arlinghaus,
2021). It also reduced the wastage and provide quality products to the customers which enhance
their experience. Basically, continuous improvement has been explained through a PDCA model
which is an approach to a continuous improvement to the business in relation to Mark and
Spencer which are as under:
Plan: This enables an organization to identify the problems and understand the opportunities for
developing an innovative products that provide better results to the company. Therefore, Mark
and Spencer need to explore information to generate new innovative ideas to make its products
more attractive and develop a good plan.
Do: After identifying the possible solution to the problem Mark and Spencer is required to test in
order to get the desired outcome.
Check: An outcome is analyzed by Mark and Spencer against the set criteria in order to assess
whether the idea is successful or not.

Act: This is the last step where the idea is implemented after analysing the outcome.
Task D
(a) Lead time = Preprocessing + Processing + post processing
= 2 + 1 + 4 + 2 + 1
= 10 Weeks
1. To design the bike 2 weeks
2. To raise the order for the parts for the bike 1week
3. To manufacture and deliver all the parts of the bike 4 weeks
4. To assemble the bike 2 weeks
5. To deliver the finished product to Alex’s shop 1 week
As per the calculation it is saying that there are taking about 10 weeks for the selling bike in
Alex shop because it is taking long time for manufacturing.
(b) What will be the week number when the Bike can be displayed?
There are taking 9 weeks for displayed because after the assemble bike is ready in manufacturing
company.
Estimate how the Lead Time be increased if the bike parts came from Italy, or from China?
Increased usage of suspension systems, similar to those used in vehicles, has improved bicycle
technology over the previous ten years. Suspension systems are "intended to optimise a
mountain-bike rider's power and performance while delivering enhanced speed, control, and
comfort."
If bike come from Italy and China so it will take long lead time because these countries are
taking long time for shipping and other activities. As per the calculation it is saying that it is
taking about 15 weeks.

Conclusion
As per the above report it ahs been concluded that The essence of lean management is this idea
of improving the work process by people who perform the work, by someone who is on-the-spot.
Shingo's concept of lean management involves asking the teamwork to analyze, test, and adapt
first from results. Management is modest rather than egotistical. Leadership is the one who
watches, promotes, pushes, and teaches. Lean is a changing objective since it is, at its core, a
continuous improvement activity. It can't be characterized as anything that is permanent or sitting
still. It's not just a carbon copy of what occurred at Volkswagen or elsewhere.

References
Agyabeng-Mensah, and et.al., 2021. Organisational identity and circular economy: Are inter and
intra organisational learning, lean management and zero waste practices worth
pursuing?. Sustainable Production and Consumption, 28, pp.648-662.
Baumann, L. and Arlinghaus, J., 2021. Algorithm-Use in the Field of Lean Management
Principles: State of the Art and Need for Research. IFAC-PapersOnLine, 54(1), pp.504-
509.
Cano, M., Murray, R. and Kourouklis, A., 2022. Can lean management change the managerial
culture in higher education?. Studies in Higher Education, 47(4), pp.915-927.
Crema, M. and Verbano, C., 2021. Simulation modelling and lean management in healthcare:
first evidences and research agenda. Total Quality Management & Business Excellence,
32(3-4), pp.448-466.
Lista, A.P and et.al., 2022. Soft and hard skills development in lean management trainings.
International Journal of Lean Six Sigma.
Rundall, T.G. and et.al., 2021. Adoption of Lean management and hospital performance: results
from a national survey. Health Care Management Review, 46(1), pp.E10-E19.
Tseng, M.L. and et.al., 2022. Exploring sustainable seafood supply chain management based on
linguistic preferences: collaboration in the supply chain and lean management drive
economic benefits. International Journal of Logistics Research and Applications, 25(4-
5), pp.410-432.