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[Indent] Supply chain is an established network of processes that starts from procurement of raw material; conversion of raw material into final product and then distribution of that finished product to customers. Over last two decades, the concept of lean supply chain management has gained great importance from both academics and practitioners. To gain competitive advantages and to survive in this dynamic environment, firms are in need of delivering quality product with minimum wastage of resources. Therefore, the concept of lean Supply chain management is more practical nowadays than before. Lean production is an integrated activity in SCM that is aimed at achieving high volume production with minimum wastage of raw materials. It focuses on improving the efficiency of processes on continuous basis, minimizing wastage and eliminating almost all activities that does add any value in overall supply chain. Lean production is considered an innovative way of thinking and thus it includes the integration of firm’s vision, culture and strategy in such a way that it can serve the customer by providing high quality product with low cost and on short time delivery. Alabama Technology Network, 1998; Inman, 1999; Davis and Heineke, (2005) cited by Agus& Hajinoor (2012). [This reference is not shown with both these names in the reference list. Follow the APA rules for citations.]

[Indent] Lean production is such a socio-technical system that is aimed on removing wastage by minimizing supplier, customers and internal variability among firm’s operations. Lean production is not only element that helps in achieving goals of Lean Supply Chain, it also includes product development phase and aspects of [the] distribution channel. Firms that want to implement LSCM must also manage variable supply of product, processing time, demand and also manage relationships with all parties in value chain. In lean production the major factors are to manage external relationships rather than internals (Jurado,2012)). [The name in the citation should match the name contained in the Reference list.]

1.1 What is lean? [Do not indent the entire narrative. Follow the APA style rules.]

[Indent] According to Ohno,1998; Monden,1983 Cited by Turner, Parry, &Mills (2010). [Again, the authors’ names in the reference entry are not complete.] Lean is derived from Toyota motors who firstly introduced this concept by improving its processes not only on shop, but also in its design and development. Lean is a value system that is based on company customers and chain partners. Womack and Jones in 1996 cited in Turner, Parry, &Mills (2010) [Very poor practice to cite such dated sources that were used in more recent articles. Your paper is to be a report on current trends in Logistics, not a recap of old data and findings.] described the lean to eliminate wastage and increase efficiency. They also identified its five principles that are:

· Specify value

That is defined by customers in term of their satisfaction in shape of product for price they are giving.

· Identify value stream

Actions that are used to transform product and services through problem solving, information technology etc.

· Make the value flow

Reducing cycle time and batch size to make production more visible

· Customer pull

Customers make demand about special product or service.

· Pursuit perfection

Improvements will be made to make product or service perfect for customer. [Ref citations are needed at the end of all such lists. Be consistent]

[Remove extra space between sections. Double space only.]

2-Why leans supply chain is needed?

[Indent] Lean supply chain improves the firm’s performance and also produce superior quality product to customers. A comparison was conducted by Nightingale (2005) Cited in Zai, Manzouri, & Rahm (2013) between conventional SCM practices and lean SCM practices. They also highlighted numerous issues when companies shift from conventional to lean practices. Lean SCM practices helps in achieving goal of superior quality with minimum resources. To survive in this dynamic environment, it is necessary for firms to adopt lean SCM practices to gain better performance.

Characteristics Conventional practices Lean practices

1-Competition No competition among members Competition exists

Of supply chain

2-Role of supplier less involvement Greater involvement

3-Data interchange less interaction very frequent at

&interaction Operational level

4-Structure vertical clustered

5-Procurement personnel large limited

6- Outsourcing cost based strategic

7-Nature of interaction adversarial; zero sum cooperative: positive

8-Realtionship focus transaction focused mutually beneficial

9-Selection criteria low cost performance

10-Contract length short term long term

11- Price changes upward downward

12-Quality inspection-intensive designed in

[Follow the APA rules to label, number, and cite such tables, figures, and charts.]

Above table is complete comparison between conventional practices and lean practices. Lean SCM is required because to superior quality, customer focused on approach and cost effectiveness. according to Zai, Manzouri, and & Rahman (2013). In lean SCM there is collaboration at all that improves firm’s process and performance in turn.

3-Benefits of lean supply chain management

Lean production is a philosophy that is based on many practices like TQM, JIT to remove wastage and improve performance. The use of Lean production practices results in the following outcomes (Hofer et al, 2012). [The ref entry for Hofer shows only one author. No “et al” is needed unless there are actually additional authors.]

· Improved operational performance

· Higher quality

· Lower inventories

· Less lead

· Improve financial performance

· Increase collaboration between all parties

· Less usage of raw material

· Less cost of finished goods

4-Implementation of Lean SCM:

[Indent] The term lean production is mainly associated with Toyota production system where it was firstly implemented with JIT to improve quality and delivery time. [Elaborate, or omit. Avoid one sentence paragraphs. Integrate your comments into a coherent theme.]

Health care sector:

An example from real life is implementation of lean processes in health care organizations. Supply chain in hospitals is interconnected within its all departments. As due to less budget available, hospitals has to cut its budget by implementing lean manufacturing techniques. The tendency to reduce supplies especially in hospitals is a difficult task. Hospitals are notorious in wastes and misuses of supplies that is less attention, towards these issues and limited qualification of professional in field of management. To implement lean practices is difficult task because processes are more complex in hospitals and required a different combination of product and services for each patient (Machado, 2014).

The main changes that were made in health care organizations especially hospital are the modification in work structure by building multidisciplinary teams and tasks are divided that who is responsible for what. In this way administrative work is made more easily, so time is left for other tasks. Following steps were made:

· Modifying work structure by making teams

· Involving staff at initial stage

· Head of hospital cut down staff i.e. potential use of staff to full extent.

· Standardizing work-it means documenting in same way and making same forms for visitors(Hansan,2012). [Check spelling. Be consistent and precise.]

By implementing the lean production system in hospital, organization culture is changed and team (doctors, nurses worked is promoted to satisfy end customers i.e. patients.) satisfaction is only possible if the entire supply chain is integrated into coherent way.

[Again, remove extra space between sections.]

Pork sector:

Another example of practical implementation of lean production is pork sector, that has adopted demand management techniques. This implementation is example of greater collaboration of supply chain collaboration to gain competitiveness in market. Members of this sector directed their future strategies on innovation and collaboration to gain desired outcomes. Pork system has cultural capability to apply lean system (Castro, 2010). [You introduce a topic here, but omit any details of how demand management is applied or used by pork producers. Elaborate or omit the discussion.]

5-Challenges faced while implementing lean SCM:

A study conducted by Womack et al. (1990) Cited by Agus& Hajinoor (2012). [Edit for sentence structure.] Despite the benefits of lean production system there are many implementation challenges faced by organizations. These are:

· Lean production changes the way people works, but it does changes their minds to adapt this new processes. So, workers especially Blue collars find their jobs more challenging for them as lean processes are implemented. Workers may find their job more stressful at that time than even before.

· A study conducted by Alabama Technology Network (1998) cited by Agus& Hajinoor (2012) stated that it takes time to distinguish value added activities from non-value added activities i.e. elimination of wastage. Wastage include overproduction, defects in product, waiting for transportation, underutilized people etc.

· Cultural difference

· Lack of skilled work force

· Lack of interest in implementing Lean SCM by supplier

· Lack of commitment from top management [Citation needed here, too.]

[The list above is derived from data and findings from 17 to 25 years old. Find current information to present in your paper.]

A company can cope up with these challenges by arranging the training session for workers, making their minds that new processes are beneficial for all stakeholders. By streamlining all processes from manufacturing to distribution non value added activities can be avoided. So lean SCM is customer oriented.

6-Best practices that supports Lean SCM process:

According to Shah and Ward, 2003, 2007; Bhasin and Burcher, 2006; Pettersen, 2009; Agus and Hajinoor, 2012 as cited by (Jabbour, 2014) main practices that support Lean SCM, especially lean manufacturing is:

· Continuous flow

For reducing in production size, it is important to make better control over production by continuous flow of processes that reduces wastage.

· JIT

By using Kanban cards, it is easier to plan and control production flow to the extent that production is done only when needed. It is produced only in required quantity.

· Reduction in setup time

By using SMED techniques, machine setup time is reduced and a combination between production quantity and variety is made.

· Total production maintenance

By doing minor daily repairs or keeping machinery up to date can help avoiding unnecessary stops during production. This reduces wastage and saves time.

· Employee involvement

The main pillar of lean manufacturing and SCM is automation. This concept involves employees in proposing suggestion for better performance and in this way in tough or hard time, employees provide support in achieving objective of minimizing wastage and delivering of high quality.

· Continuous improvement

According to Naslund, 2008; Arnheiter and Maleyeff, 2005 cited by (Jabbour, 2014) by using quality management techniques like total quality management and PDCA (plan do check act), it is possible to find causes that are barrier in cyclic flow and it is also possible to find their solutions. Companies are using an integrated approached between lean manufacturing and six sigma to gain required performance. Six sigma is a tool for process improvement by defining, measuring, analyzing and controlling the production process.

· Supplier development

According to Liker (2005) as cited by (Jabbour, 2014), supplier development is a main principle of lean manufacturing that is supporting and challenging the partner i.e. supplier in a way that it improves its own processes. It can be achieved by collaborative efforts from supplier and manufacturer.

Logistic management

Logistic management is the main component of Lean SCM practices; timely delivery of product is an important for firm. For this purpose, logistic network should be designed in best way and should be greater collaboration with logistic services provider. Logistic network should have flexibility of providing services according to demand. Smooth flow transportation eliminates the need of buffer stock at all (Kodali ,2015).

· Information technology management

EDI are used to communicate between different departments. There is centralized database for documenting. ERPS are employed at customer based for effective communication. Effective and transparent flow of information is base for lean SCM.Computer based decision aiding systems are used by firms (Kodali, 2015).

While in lean SCM there should be good collaborative network among all parties i.e. suppliers, distributors and customers, so that desired goals can be achieved (Jabbour,2014). Toyota motors was first to implement the concept of lean manufacturing and followed all above practices.

7-Concluding remarks

Implementing lean SCM practices leads towards minimization of wastage, improved performance, greater productivity, lower cost and best quality. To gain desired results in lean production is well structured, well developed and collaborative relationship between customers and suppliers. The success of lean production depends upon long lasting relationship with partners in supply chain. Lean production implementation in health care is discussed in this report. A lot of the activities in a lean environment is geared towards improving quality. As quality issues arise, problem solving techniques are used to root cause the problem. Therefore, implementing lean helps the organization to remain competitive both in terms of prices and effectiveness of the services offered. It enables the organization to win more business and grow at a rapid pace.

References [Include all authors in the reference entry. The name used in citations should match exactly the name listed in the reference entry.]

Agus, A. H. (2012). Lean production supply chain management as driver towards enhancing product. International Journal of Quality & Reliability Management, 29 (1), 92-121.

Ana Beatriz Lopes de Sousa Jabbour, J. C. (2014). Extended lean manufacturing in supply chains: A successful case in Brazil. Benchmarking for Quality & Technology, 21(6), 1070-1083.