OPS 571 Week 3 rewriting

In various industries today whether manufacturing or supply chain companies they are looking for waste to eliminate waste while at the same time making money. One of the top ten countries today that uses lean manufacturing is Nike also known as “Just Do It” organization. In this paper, the goal is to evaluate Nike uses lean strategies, how the lean technique has improved their productivity. We will then look at the ways the company can continue to improve using lean techniques and close by taking the information from Nike and putting it to use in a company that does not use lean techniques.

How Nike Use Lean Strategies

Nike the famous shoe manufacturing company whose emblem is the swoosh became famous when the Chicago Bulls player Michael Jordan became one of the great faces for the company. The company is one of the top organizations to implement lean manufacturing and offering best practices. Nike adopted Toyota three-pronged model of “attract, develop, and empower” (Kettering University, 2016) as a means of striving for lean manufacturing and continuous improvement for a vast number of organizations. The company began with their human resource department and speaking to the workers to get insight on the issues and opportunity for positive improvements. The company uses “the Manufacturing Index (MI) they utilize scores each factory regarding lean, labor, health and safety, energy and carbon, and sustainability” (Kettering University, 2016). Using this index, it allows management to see where more time, training, resources, and management so the company can continue to operate lean. Nike has two goals they strive towards “being lean make today better and innovate design for the future” (Ufuture Investment Group, 2018). The company desire is to produce the best quality product while eliminating waste at the same time; the staff of the organization trained in teamwork and given the opportunity to solve any problems they come across. By doing so, there is a sense of ownership by the employees.

How Lean Techniques Improved Nike Efficiency

With the implementation of lean manufacturing, the result exposed the sweatshop scandal for the organization in the overseas factories - the lean adoption related to a “15% reduction in noncompliance with labor standards that primarily reflect factory wage and work hour practices” (Distelhorst, Hainmueller, & Locke, 2016). When the organization exposed for their imperfections, the boycott allowed consumers to see that they have a voice and can demand big companies to do the what is right. The believes that the reason for their continued success is due in part of lean manufacturing because it opened the door to new opportunities for suppliers while holding them accountable for being more efficient and improve productivity at all their facilities. Based on personal experiences although a company is striving to provide a quality product while eliminating waste the first step is to include employees in the process. At the end of the day your staff is the eyes and hears of the organization and they can keep you aware of what is going on first hand when you empower them to not only report the problem but be apart of the solution the company will move forward to success just the way Nike advanced within the industry. “Nike reported a range of benefits resulting from the program concerning business performance. For example, for the financial year 2010 - 2011, it indicated it achieved:

· 50% reduction in defect rates

· 40% faster lead times

· 20% improvement in productivity

· 30% reduction in time taken to introduce a new model

While the program itself focused on lean management systems and practices, it also led to improvements in working conditions” (International Labour Organization, n.d.).

Nike Further Improvements Using Lean Techniques

The organization realizes that lean and innovation go hand in hand because with the release of new products one should want to remain a lean manufacturer. It is one’s thoughts that when it comes to the face of the company that individual must also understand what it means to be lean and not just making money. As the company continues to grow it is imperative that from recruiting of human resource department that all possible candidates have some knowledge as to what it means to be a lean organization. Somethings can be taught to staff, but the individual must agree with the motto of the organization training will teach the person, but belief is a part of integrity.

Lean Techniques in a Physician Office

Conclusion

In conclusion, Nike the household name in athletic wear and shoe vision is to provide quality items and eliminate waste. The organization realized that to accomplish both would involve the employees paying a vital role in the process because they are the reasons the tasks and vision turn into reality. Although the organization faced problems when the process revealed their treatment of employees in the overseas factory the company was able to turn it around and recover. It is the observation that if the company continue to monitor the facilities, listen to the employees and make changes in any area including staffing the company will continue to experience the benefits each year. The healthcare industry is an area that tends to avoid being lean based on the information lean techniques can and will result in higher patient and employee satisfaction.