What is Lean Management?
The Lean methodology is a management system that combines practices, principles, and tools focused on a central objective – delivering customer value while using the fewest resources possible and eliminating anything considered waste (waiting times, overproduction, defects, unnecessary transport, etc.).
This approach often requires deep transformation of production systems, the company, and its culture. Lean principles must be reflected in the design of process flows, project management, team leadership, and daily decision-making – promoting accountability and continuous improvement.
The origins of Lean Methodology
The Lean methodology originated in the 1950s at Toyota, in Japan. After World War II, the company faced a resource shortage and a limited domestic market; it had to rethink its entire production system. Under the leadership of Taiichi Ohno and Eiji Toyoda, Toyota developed the Toyota Production System (TPS), a set of Lean practices aimed at producing better, faster, with less waste.
TPS is based on two pillars:
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Just-in-Time: This Lean technique consists in producing only what is needed, in the quantity needed, when it’s needed.
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Jidoka: It integrates quality into production processes by empowering operators to stop the supply chain in the event of a problem, addressing the cause at the root.
These pillars were shared globally and adapted to different contexts, eventually evolving into what is now known as the Lean movement. The term itself was popularized in the 1990s with the publication of the book Lean Thinking, by Daniel T. Jones and James P. Womack. Lean concepts were also expanded beyond manufacturing into areas such as software development and services.
5 Key Lean principles
Lean thinkers James P. Womack and Daniel T. Jones have identified and defined five core principles of Lean. They derived from the Lean culture developed through the Toyota Production System and serve as a framework for structuring process optimization and continuous improvement.
1. Identify value
What does the customer want? What brings them value? Value, in this context, represents a product or service that meets customer needs and expectations, a product or service for which they are willing to pay.
By gathering customer feedback to clearly identify this added value, a manufacturing company can align all activities, processes, and resources to meet customer demand.
2. Map the value stream
Value Stream Mapping (VSM) involves analyzing and visualizing all processes involved in producing a product or service. It helps identify and eliminate waste, and remove activities that do not add value.
3. Create flow
This Lean principle involves redesigning the production process so that a product or service moves smoothly through each step, without interruptions or delays. This helps reduce waiting times and inventory.
4. Pull the flow
The “pull” principle consists of producing only what’s needed, when it’s needed, to meet actual customer demand. Instead of mass production and stockpiling, a pull system ensures that each production step only begins when the previous one has been completed and the need is confirmed.
5. Strive for continuous improvement
Continuous improvement is a key principle of Lean Management. It involves engaging all employees in a constant quest for seeking and implementing process improvements. Whether it’s small, daily adjustments or larger projects, the goal is always to drive continuous process improvement, enhance quality, and increase customer satisfaction.
Lean Management tools
Lean Management relies on a variety of Lean tools that help to strengthen operational efficiency and continuous improvement:
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5S: A 5-step methodology (Sort, Set in order, Shine, Standardize, Sustain) for organizing the workspace to improve efficiency and safety.
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Six Sigma: A strategic model designed to help companies continuously improve by reducing errors and defects, without compromising quality.
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Kanban: A visual system (Kanban boards) for managing tasks and stocks to maintain a continuous flow of production and avoid overloads.
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Kaizen: A continuous improvement methodology where employees at all levels are encouraged to suggest improvements on a daily basis to optimize processes.
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SMED (Single-Minute Exchange of Die): A method that drastically reduces the time it takes to change tools or machine configurations.
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Value Stream Mapping: A visual technique representing in detail all steps of a manufacturing process to identify and eliminate waste.
Benefits of Lean methodology for manufacturing companies
Increased productivity
By reducing waste and optimizing each process step, the Lean methodology enables more production with the same, or even fewer, resources. This increased productivity translates into lower production costs and preserved margins, and ensures companies remain competitive in the market.
Greater responsiveness and agility
By reducing inventory, shortening cycle times, and streamlining communication between teams, Lean Management makes a company much more responsive. It can respond quickly to urgent orders or specification changes, and remain agile in responding to shifts in demand, unforeseen events, or market fluctuations.
Enhanced quality
Integrating quality into each step of Lean processes (via Jidoka) and solving problems at the source reduce defects, returns, and rework. The result is more reliable and compliant products, strengthening customer trust, satisfaction, and loyalty – often supported by customer success teams that ensure long-term engagement.
Increased employee involvement
The Lean methodology values employees' expertise and strengthens their sense of belonging by giving teams an active role in continuous improvement. Because it reduces daily sources of frustration (wasteful practices, recurring defects, disorganization), Lean creates a much healthier and more motivating work environment conducive to employee well-being and stronger team morale.
Strengthened safety
Reducing unnecessary movement, tidying workstations, and standardizing processes reduces the risk of accidents and improves working conditions for operators, both in terms of workplace safety and comfort.
Sustainability and environmental responsibility
Beyond the economic aspect, Lean practices work towards greater sustainability. Fewer raw materials consumed, less waste produced, and less energy used lead to more efficient and environmentally friendly production processes, aligned with sustainable development requirements.
Best practices to strengthen Lean Management every day
Involve frontline teams
The Lean methodology is based on an undeniable logic – those who do the work are best placed to improve processes. Lean teams and operators execute production processes daily and can quickly spot malfunctions and identify opportunities for improvement. Their experience of the shop floor is a valuable source of information that cannot be replaced by reports.
Involving frontline employees empowers them to report bottlenecks, suggest adjustments, and actively participate in their deployment, often working in cross functional teams to maximize impact. By doing so, a Lean organization fosters a culture where every employee influences performance and progress.
Recognize the importance of leadership
In the Lean Management system, leaders do more than supervise and control manufacturing activities. Their mission is to create an environment where initiative and collaboration thrive. They encourage speaking up, support creative ideas, and empower teams to implement solutions for Lean process improvement.
The Lean leader acts like a coach – they ask questions, listen, guide, and facilitate rather than impose. Such a stance requires strategic vision, effective strategy development, and authentic human connection. It’s based not on authoritative control, but on the ability to engage and inspire. This calls for trust, delegation, and celebrating team successes as well as individual growth.
Practice Gemba Walk
The Gemba Walk perfectly illustrates the essence of the Lean methodology – to understand an issue, you must go where the work is taking place. Leaders and managers must regularly walk the shop floor not to supervise, but to observe operations, engage with workers, and analyze the situation objectively.
Their presence on the floor allows them to detect what manufacturing KPIs don't reveal: inefficient movements, non-ergonomic workstations, waiting times between two steps, unused equipment, etc. This immersion allows management to initiate immediate improvements and detect trends that will guide long-term decisions.
Gemba Walks also establish direct and frequent contact with teams. Operators see that their realities are understood and their suggestions are considered, while managers gain a more precise and factual view of issues in the production environment. This proximity strengthens trust, involvement, and teamwork.
Incorporate human values
Beyond the adoption of Lean tools (5S, Six Sigma, Kaizen, etc.), the Lean methodology requires a cultural transformation. Lean enterprises that successfully implement such a project have one thing in common – they put people at the center. They cultivate transparency, trust, and collaboration, while encouraging autonomy, accountability, and a growth mindset at all levels.
Implementing the Lean methodology without first transforming the culture is like changing the equipment in a workshop without training operators – the results will be superficial and fleeting. Conversely, a work environment based on respect for people, active listening, and collective contribution to solutions becomes fertile ground for Lean methods to flourish.
Lean Management: A growth driver in the Industry 5.0 era
In Industry 5.0, the Lean methodology is more relevant than ever. Meant to maximize value and eliminate waste, it finds allies in emerging technologies (artificial intelligence, collaborative robots, augmented reality, digital twins, etc.) that help increase efficiency and pursue perfection.
Far from replacing the Lean approach, these new tools offer an ideal playground where real-time data refines analyses and facilitates update of production settings, connected systems efficiently streamline workflows, and collaborative robots free operators from tedious and repetitive tasks.
Industry 5.0 is a technological revolution, but it’s more than that. Like Lean methods, this new era places people at the center of operations and value creation.
At a time when personalization, environmental responsibility, and human-machine synergy are redefining competitiveness, the Lean philosophy isn’t following the trend; it’s driving it. Perfectly adapted to tomorrow's demands, this agile methodology is a valuable asset for building resilient organizations that are ready to excel today and in the years to come.