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Chapter 15 Lean synchronization 447
Lean synchronization applied throughout the supply network
Although most of the concepts and techniques discussed in this chapter are devoted to the
management of stages within processes and processes within an operation, the same principles
can apply to the whole supply chain. In this context, the stages in a process are the whole
businesses, operations or processes between which products flow. And as any business starts
to approach lean synchronization it will eventually come up against the constraints imposed
by the lack of lean synchronization of the other operations in its supply chain. So, achieving
further gains must involve trying to spread lean synchronization practice outward to its
partners in the chain. Ensuring lean synchronization throughout an entire supply network
is clearly a far more demanding task than doing the same within a single process. It is a
complex task. And it becomes more complex as more of the supply chain embraces the lean
philosophy. The nature of the interaction between whole operations is far more complex
than between individual stages within a process. A far more complex mix of products and
services is likely to be being provided and the whole network is likely to be subject to a less
predictable set of potentially disruptive events. To make a supply chain lean means more than
making each operation in the chain lean. A collection of localized lean operations rarely leads
to an overall lean chain. Rather one needs to apply the lean synchronization philosophy to
the supply chain as a whole. Yet the advantages from truly lean chains can be significant.
And essentially the principles of lean synchronization are the same for a supply chain as
they are for a process. Fast throughput throughout the whole supply network is still valuable
and will save cost throughout the supply network. Lower levels of inventory will still make it
easier to achieve lean synchronization. Waste is just as evident (and even larger) at the level
of the supply network and reducing waste is still a worthwhile task. Streamline flow, exact
matching of supply and demand, enhanced flexibility, and minimizing variability are all still
tasks that will benefit the whole network. The principles of pull control can work between
whole operations in the same way as they can between stages within a single process. In fact,
the principles and the techniques of lean synchronization are essentially the same no matter
what level of analysis is being used. And because lean synchronization is being implemented
on a larger scale, the benefits will also be proportionally greater.
One of the weaknesses of lean synchronization principles is that it is difficult to achieve when
conditions are subject to unexpected disturbance. This is especially a problem with applying lean
synchronization principles in the context of the whole supply network. Whereas unexpected
fluctuations and disturbances do occur within operations, local management has a reasonable
degree of control that it can exert in order to reduce them. Outside the operation, within the
supply network, it is far more difficult. Nevertheless, it is generally held that, although the task
is more difficult and although it may take longer to achieve, the aim of lean synchronization
is just as valuable for the supply network as a whole as it is for an individual operation.
Lean supply chains are like air traffic control systems 8
The concept of the lean supply chain has been likened to an air traffic control system, in that
it attempts to provide continuous, ‘real-time visibility and control’ to all elements in the chain.
This is the secret of how the world’s busiest airports handle thousands of departures and
arrivals daily. All aircraft are given an identification number that shows up on a radar map.
Aircraft approaching an airport are detected by the radar and contacted using radio. The
control tower precisely positions the aircraft in an approach pattern which it coordinates.
The radar detects any small adjustments that are necessary, which are communicated to the
aircraft. This real-time visibility and control can optimize airport throughput while maintaining
extremely high safety and reliability.
Contrast this to how most supply chains are coordinated. Information is captured only
periodically, probably once a day, and any adjustments to logistics, output levels at the
various operations in the supply chain are adjusted, and plans rearranged. But imagine what
would happen if this was how the airport operated, with only a ‘radar snapshot’ once a day