Business – 9.3 Operations strategy – Lean production | e-Consult
9.3 Operations strategy – Lean production (1 questions)
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| Aspect | Traditional Production | Lean Production |
|---|---|---|
| Capacity Utilisation | Often high, leading to bottlenecks and excess idle time. | Balanced line flow; capacity matched to demand, reducing bottlenecks. |
| Flexibility | Low; changes require re‑tooling and large batch adjustments. | High; quick change‑over (SMED) enables rapid response to demand shifts. |
| Throughput | Limited by large batch sizes and work‑in‑progress inventory. | Increased due to reduced WIP and smoother flow. |
| Overall Efficiency | Lower; high levels of waste (over‑production, waiting). | Higher; waste minimised, value‑adding activities maximised. |
In summary, lean production aligns capacity with actual demand, improves flexibility, and raises operational efficiency by eliminating non‑value‑adding activities.