There are some well known benefits of lean manufacturing such as saving money and improving efficiency. There are also some lesser known benefits like reflecting the needs of stakeholders and engaging employees. Industry Week said, "'Lean' provides that because employees become stakeholders as they’re invited to participate in the Map and Redesign Processes. There is a fundamental shift in employee attitudes from fearing problems to celebrating and embracing them. That’s because employees engaged in the lean philosophy become frontline problem-solvers—a sustainable asset."
In practice, lean manufacturing is an operating philosophy that yields a number of long-term benefits that aren’t always obvious to those who are considering adopting it. The first thing most manufacturing entrepreneurs think when they hear the term, lean manufacturing, is “cost cutting.” This is especially true when a private equity investor is the first to raise the idea. But it’s just one of many misperceptions about “lean,” an approach that provides efficiencies to help a company grow and make it more investable. Based on research of high performance companies at the Center for Strategy, Execution and Valuation in the Driehaus College of Business at DePaul University (Center for SEV), there are at least three major unrecognized advantages of instituting lean principles. Read More