Research indicates Lean leads to best manufacturing

A recently released research report from Aberdeen Group revealed that best-in-class manufacturers realize  more on-time deliveries, have higher levels of OEE, and lower total inventory costs when compared to laggard manufacturers.


A recently released research report from Aberdeen Group revealed that best-in-class manufacturers realize 21% more on-time deliveries, have a 37% higher level of OEE, and their total inventory costs are 83% lower when compared to laggard manufacturers. The findings resulted from the analysis of more than 300 enterprises.
Putting the findings in context, Matthew Littlefield, a research analyst with Aberdeen’s Global Manufacturing Practice, said, “Enterprises are continually faced with the pressure to reduce operating costs. Our analysis has shown that in response, best-in-class enterprises are collaboratively sharing best practices across the enterprise and adopting an industry-specific approach to Lean.
“In addition, we have found that these enterprises are more likely to have extended these Lean across the enterprise, support these initiatives with both education and performance management capabilities, and adopt technology solutions at both enterprise and line of business levels,” Littlefield added.
The research offers the following recommendations:
• Best-in-class enterprises are 40% more likely to leverage external domain experts for Lean initiatives, and of the best-in-class currently leveraging consultants, 93% leverage consultants with industry-specific experience implementing Lean.
• Performance management is a key capability that differentiates best-in-class performance. The best-in-class are more likely to provide role-based real-time KPIs, link operational KPIs with financials, and leverage manufacturing analytics to provide actionable intelligence.
• Technology is the final differentiator of best-in-class performance. The best-in-class are integrating multiple technology solutions to extend the functionality of traditional enterprise applications supporting Lean. These technologies include: simulation, enterprise asset management, manufacturing intelligence, business intelligence, advanced planning and scheduling, and Lean software solutions.
Watch for more on this research in upcoming issues of Plant Engineering magazine and on the Web at

No comments
The Top Plant program honors outstanding manufacturing facilities in North America. View the 2013 Top Plant.
The Product of the Year program recognizes products newly released in the manufacturing industries.
The Engineering Leaders Under 40 program identifies and gives recognition to young engineers who...
A cool solution: Collaboration, chemistry leads to foundry coat product development; See the 2015 Product of the Year Finalists
Raising the standard: What's new with NFPA 70E; A global view of manufacturing; Maintenance data; Fit bearings properly
Sister act: Building on their father's legacy, a new generation moves Bales Metal Surface Solutions forward; Meet the 2015 Engineering Leaders Under 40
Cyber security cost-efficient for industrial control systems; Extracting full value from operational data; Managing cyber security risks
Drilling for Big Data: Managing the flow of information; Big data drilldown series: Challenge and opportunity; OT to IT: Creating a circle of improvement; Industry loses best workers, again
Pipeline vulnerabilities? Securing hydrocarbon transit; Predictive analytics hit the mainstream; Dirty pipelines decrease flow, production—pig your line; Ensuring pipeline physical and cyber security
Upgrading secondary control systems; Keeping enclosures conditioned; Diagnostics increase equipment uptime; Mechatronics simplifies machine design
Designing positive-energy buildings; Ensuring power quality; Complying with NFPA 110; Minimizing arc flash hazards
Building high availability into industrial computers; Of key metrics and myth busting; The truth about five common VFD myths

Annual Salary Survey

After almost a decade of uncertainty, the confidence of plant floor managers is soaring. Even with a number of challenges and while implementing new technologies, there is a renewed sense of optimism among plant managers about their business and their future.

The respondents to the 2014 Plant Engineering Salary Survey come from throughout the U.S. and serve a variety of industries, but they are uniform in their optimism about manufacturing. This year’s survey found 79% consider manufacturing a secure career. That’s up from 75% in 2013 and significantly higher than the 63% figure when Plant Engineering first started asking that question a decade ago.

Read more: 2014 Salary Survey: Confidence rises amid the challenges

Maintenance and reliability tips and best practices from the maintenance and reliability coaches at Allied Reliability Group.
The One Voice for Manufacturing blog reports on federal public policy issues impacting the manufacturing sector. One Voice is a joint effort by the National Tooling and Machining...
The Society for Maintenance and Reliability Professionals an organization devoted...
Join this ongoing discussion of machine guarding topics, including solutions assessments, regulatory compliance, gap analysis...
IMS Research, recently acquired by IHS Inc., is a leading independent supplier of market research and consultancy to the global electronics industry.
Maintenance is not optional in manufacturing. It’s a profit center, driving productivity and uptime while reducing overall repair costs.
The Lachance on CMMS blog is about current maintenance topics. Blogger Paul Lachance is president and chief technology officer for Smartware Group.