Hybrid lean–agile manufacturing system technical facet, in automotive sector

Abstract

In the automotive sector, planners have a difficult balancing act. They benefit from commonality of vehicle parts, yet they must meet more niche demands. The challenge is to strike a balance between these extremes in a cost-effective way without compromising quality. Lean strategies could increase competitiveness and profitability by reducing manufacturing costs. Concurrently, agile strategies could enable enterprises to cope with fluctuations. A hybrid lean–agile approach can be an optimal strategic blend for a manufacturing enterprise to meet this challenge. Flexible focused factory, globalized fractal E-manufacturing, innovative value chain strategies, and designing dynamic manufacturing strategies are the four technical pillars of the proposed hybrid lean–agile manufacturing system technical facet. The study shows that hybridizing the lean and agile systems together is technically valid and can be implemented in an industrial setting. It shows how strategically a hybrid lean–agile system can be implemented. It also shows that about one third of the variation in successfully dealing with the sources of competitive advantage in automotive industry can be explained by adopting the technical facet of the hybrid lean–agile manufacturing system.