Lean and agile manufacturing differ in manufacturing style, inventory levels, and customization capabilities. Lean relies on manual labor and mass assembly lines, while agile uses automation and modular pieces. Lean requires high inventory storage, while agile uses standardized parts to reduce supply levels. Customizing a lean product is expensive and interrupts production, while agile can quickly adapt or add modules to fulfill custom orders. Both processes can meet customer needs, but affect the cost of the final product.
There are many differences between lean and agile manufacturing, including manufacturing style, inventory levels, and customization capabilities. A lean manufacturing technique is based on a mass assembly line strategy with a combination of workers and machines that create products from the smallest components to the largest external assemblies. Conversely, agile manufacturing mostly depends on manufacturing automation and modular pieces to form a desired product.
One of the main differences between lean and agile manufacturing is the manufacturing setup. Lean manufacturing relies heavily on employees to physically build a part or group of parts; that portion of product is passed on to another employee for fixing additional components. Automated machines can be added along the employee assembly line for more precise manufacturing, such as aligning electronic components on a printed circuit board (PCB).
By comparison, agile manufacturing uses automation as its primary manufacturing strategy. The number of employees is reduced, to save on labor costs; the workers who remain along the production line are usually there to fix or repair the robotic machines when needed, rather than physically create a product. As a result, the production line is efficient and cost-effective for businesses and consumers.
Inventory levels vary greatly between these two styles of manufacturing. Lean manufacturing requires many small parts, from washers to screws, to build a product; the abundance of various parts contributes to high inventory storage costs. Conversely, agile manufacturing depends on a modular construction of parts. This standardized parts structure allows different products to be built with the same few modules kept in stock, which helps reduce supply levels.
Lean and agile manufacturing processes also differ in how easily products can be customized in each system. Modifying any part of a lean product to customize its function or appearance requires a redesign of the internal and external parts, as well as the generation of prototypes to verify its functionality. Custom products are extremely expensive due to the high costs of this research and design. In addition, the production line is interrupted while upgrading to produce the customized product, which negatively affects the normal production time and cost.
Conversely, agile manufacturing can fulfill custom product orders as modular construction can be changed quickly. The production line simply has to adapt or add new modules to the existing product. As a result, the consumer can purchase a customized product at a competitive price without hindering the normal business production line. Many consumers will seek out products from companies that can specialize in this way. Both lean and agile manufacturing processes can meet customer needs, but with a direct effect on the cost of the final product.
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