LEAN THINKING (Manufacturing Lean Tools) - Assignment Example

In other words, demand requests supply hence pulls the supply out of the company. It can, therefore, be argued that the market fuels the needs that stimulate the company to make an individual product, which in turn emerges as a reaction to the pull action of demand. A company is not in a position to develop complete knowledge of the market as well as its players, which are marked by the dynamism and changeability of their needs and actions (Sharma & Agrawal, 2009). As a result, planning for organizational activities becomes risky endeavour and hence cannot be carried out for very long spans of time.

The basis for the application of the pull strategy is hence an unstable context where the same business processes cannot be successfully reiterated (Sharma & Agrawal, 2009). Business competitiveness is not established with the creation of rigid cost structures that are steadily reduced with time. This means that the competitive force associated with pull strategies lies in the ability of the pull strategies to react to the market in rapid action. Additionally, experience in production and communications is not hyped (Sharma & Agrawal, 2009).

Rather, knowledge is created in flexible responses as per the manufacturing processes, and also to information and communications. For that reason, the competitiveness of pull systems is dependent on the ability to react afore the competition to the varying needs of demand. This applies not only to material flows but also to the flows of information and communications. It, therefore, appears that for the business sectors that experience elevated degrees of competitive intensity, only pull type policies are applied, considering the impracticality of long-term planning as well as the accentuated dynamism of demand and competitors.

However, this does not occur because, the type of pull strategy has to be recognized on the basis of the details of each business process. For controlled competition economies, pull