Implementing Lean Approach to Eliminate Non-value-added Activity - Essay Example

Comments (0) Cite this document
Summary
This paper tells that as there is no open research on Lean implementation in the paperboard industry, this study aims to answer three research questions: (1) How the Lean can be adapted to the paperboard industry; (2) How the Lean benefits the industry;…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER95.9% of users find it useful
Implementing Lean Approach to Eliminate Non-value-added Activity
Read TextPreview

Extract of sample "Implementing Lean Approach to Eliminate Non-value-added Activity"

Download file to see previous pages With regard to the second question, it was determined that the JIT significantly decreases the total NVA in the WSS when the huge stock level is declined. This causes the obvious reduction in the variable costs; for example, opportunity costs and warehousing costs. By contrast, the TPM results in better productivity and product quality due to the higher effectiveness of the machine, which is caused by better maintenance systems and practices. Concerning the third question, both external and internal factors are the obstacles and limitations of the Lean application. Ultimately, this pilot research study functions as a guidepost for manager’s of paperboard companies, as well as other continuous operation companies lacking adequate sufficient models, that are seeking means of applying Lean production mechanisms to their firm’s supply chain system.
The term, ‘Lean Production’ or ‘Lean Manufacturing’, was first introduced in the seminal book, The Machine that Changed the World by Womack et al. (1990) in order to represent the evolutionary approach against traditional thinking from the 1920s, ‘Mass Production System (MPS)’. This method intends to add values on products or services from the customers’ perspective and enhance efficiency by eliminating wastes or non-value-added activities (NVAs) in the production or supply chain. It requires all people, both management and operational level, in the organization to take part in the improvement (Womack and Jones, 2003; Liker, 2004).
The Lean was previously known as ‘Toyota Production System (TPS)’ after the company that developed it in the 1940s. This approach was behind the successful growth of Toyota and other Japanese manufacturers, especially in the 1980s (Ohno 1988; Shingo 1989; Liker, 2004). ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Implementing Lean Approach to Eliminate Non-value-added Activity Essay”, n.d.)
Retrieved from https://studentshare.org/marketing/1569966-implementing-lean-approach-to-eliminate-non-value-added-activity-a-case-study-of-paperboard-industry-in-thailand
(Implementing Lean Approach to Eliminate Non-Value-Added Activity Essay)
https://studentshare.org/marketing/1569966-implementing-lean-approach-to-eliminate-non-value-added-activity-a-case-study-of-paperboard-industry-in-thailand.
“Implementing Lean Approach to Eliminate Non-Value-Added Activity Essay”, n.d. https://studentshare.org/marketing/1569966-implementing-lean-approach-to-eliminate-non-value-added-activity-a-case-study-of-paperboard-industry-in-thailand.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Implementing Lean Approach to Eliminate Non-value-added Activity

The effect of Value-Added Activity Based Costing and Economic Value Added Measure and their impact on Process Improvement & Busi

...?Activity Based Costing & Economic Value Added Measure and their impact on Process Improvement & Business Profitability Introduction The concept of Activity based costing hinges on allocation or apportionment of cost lay emphasize on allocation or apportionment of the direct costs as far as practicable to the concerned activities without leaving a room for estimation. The consumption based approach in this process lends interplay of the scientific approach to the process strictly on the basis of cause-and-effect relationship to the processes, rather than ’ guestimation’ (guess and estimation) in the process of allocation...
4 Pages(1000 words)Essay

Value Added

...? Value added. Value added This is an accounting measure that assesses the net worth of a business or an activity. It often excludes suppliers’ wealth creation in a business hence it assesses the net rather than the gross output. It can be applied by companies, factories and also a country. The calculation the value added is quite similar irregardless of the size of the firm. The calculation in the records of an individual country’s government is similar to those of a small firm. The difference is usually seen in the quantity of the components included when calculating the value added. Two ways have been suggested when obtained the value added for an organisation. First, there is the subtraction method where purchases are deducted... i.e....
5 Pages(1250 words)Essay

Economic Value Added (EVA) Statement

...?Economic Value Added (EVA) ment Affiliation with more information about affiliation, research grants, conflict of interest and how to contact Economic Value Added (EVA) Statement Introduction of Economic Value Added: In order to raise the value of shareholders, today most of the firms are focusing more on the importance of introducing new measures for improving the compensation and financial performance of the firm, thereby increasing the wealth of the shareholders. Economic value- added (EVA) is a residual income, introduced to improve the internal and external performance of the...
3 Pages(750 words)Research Paper

Economic Value Added

...is very expensive and time consuming activity. A serious obligation is required in optimizing the company’s approach for value creation and shift from to value-added dimensions as stated by Pratt and Grabowski (2008). Extensive training and communication for every individual in the corporation is also required and this proves to be very expensive and time consuming. In addition education on the basic theory basic for the idea of creating economic value is essential for all these involved in the corporation hence EVA proves to be a heavy task. References Albrecht, W., Stice, E., Stice, J. & Swain, M. (2010). Accounting: Concepts and...
3 Pages(750 words)Essay

Value Added

...Value Added The determination of value added involves various methods of calculation, which are compatible with the different definitions that attend to the concept. Although the concept remains the same, certain accounting approaches tend to exclude more items in the calculation than others, which often lead to different results. The challenge lies in the fact that there is no universal standards of determining value added (Hansen, Mowen, & Guan, 2009). Value added is usually obtained by adding the unit profit, unit labor cost, and the unit depreciation cost (Hansen,...
6 Pages(1500 words)Essay

Value Added Tax

...Introduction The intimacy of economies, particular those to liberalization through multilateral regional agreements such as the European Union (EU), has brought home the impact of legislation and taxation on a new scale. Together with the development of electronic ales and distribution channels, many states and economic organizations have sought to respond to the challenge of governing these non-traditional markets more effectively. At the same time, there is a realization that though the provisions are limited to commerce in the EU, its implications extend beyond the borders of the union. One of the more controversial of these initiatives has been in the modernization of Value Added Tax (VAT) obligations for financial services... the...
10 Pages(2500 words)Essay

Economic Value Added

...Economic Value Added (EVA) Introduction The primary goal of most firms is to maximize the wealth of shareholders. The goal not only benefits the shareholder, but also ensures that scarce resources are allocated efficiently. Two performance measures are generally used for this purpose, the MVA – Market Value Added and the EVA- Economic Value Added, which is discussed below. EVA is a measure of managerial performance. Today, it is being used by more and more firms to tie executive compensation (for their performance) with the wealth maximization of stockholders. This method is used to measure a firm’s true profitability. There are two...
2 Pages(500 words)Assignment

Value added

...Comparison of Value Added Operations There has been a great fragmentation in the operation of trade in the recent decades. This means production in one strategic location has been split into various tasks and spread across the whole globe. Value-added is the term that describes differences between price of inputs and cost of outputs. It should be duly noted that the greater the value-added is directly proportional to greater efficiency. Processing raw materials within the same location of extraction is more efficient and long sighted than exporting the same raw materials to be processed else where. Although some view this exporting of...
1 Pages(250 words)Coursework

Value added

...Value-added Value-added Nike is an American corporation which is a multinational and it is engaged in the designing, manufacturing and developing, marketing and even selling footwear worldwide. Its headquarters are in Beaverton, Oregon and it is a major supplier of athletic shoes and one of the best manufacturers of sports equipment. It was valued at $19 billion in 2014 making it most valuable sports brand in the world. Such a global business needs to add value to ensure that customers remain interested in it for longer. This enables the company to maintain a competitive position in the industry. There are various ways that Nike adds value to its products. One of them is through the development of their products using high level... of...
1 Pages(250 words)Case Study

The Factors before Implementing Economic Value Added

...The Factors before Implementing Economic Value Added Table of Contents The Factors before Implementing Economic Value Added 1 Introduction 2 Factors that must be considered 2 Conclusion 4 References 6 Introduction Economic Value Added which is better known as EVA is one of the most important concepts of in the field of financial management. The core concept of EVA is deep rooted in theory of classical economy. According to James Lawrence Grant, the idea of EVA is based on two important assertions – (1) a company cannot be described as a truly profitable company unless the return on capital investment...
4 Pages(1000 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Implementing Lean Approach to Eliminate Non-value-added Activity for FREE!

Contact Us