Lean Supplies Definition

In order to understand lean supplies, it is necessary first to understand the concept of lean. Lean is a philosophy and methodology used by businesses to streamline processes and eliminate waste. The goal of lean is to create value for the customer while minimizing waste throughout the organization.

There are many different tools and techniques associated with lean, but one of the most important is the identification and elimination of non-value-added activities (NVA). NVA activities are those that do not contribute directly to creating value for the customer. They may add cost or time to the process without providing any benefit.

An example of an NVA activity would be storing excess inventory. This ties up capital that could be used elsewhere and incurs costs for storage, but it does not create any value for the customer. In contrast, a value-added activity would be anything that contributes directly to creating a product or service that the customer is willing to pay for.

Lean supplies are those that are essential for carrying out value-added activities in the production process. They are typically characterized by three attributes: quality, timeliness, and reliability.

The goal is to have just enough inventory on hand to meet demand without incurring unnecessary costs. This can be a challenge since it requires accurate forecasting and planning. But it is essential for achieving lean objectives.