Enterprises aim for lean production

Lean production is a model comprising a system of principles and improvement tools based on the philosophy of continuous improvement and the optimal use of resources to manufacture products or deliver services. According to experts, this model focuses on minimising waste in production processes and improving operational efficiency.

The application of modern machinery and technology is indispensable in enhancing production efficiency for enterprises. Illustrative photo: Van Gia

To increase productivity and optimise operation effectiveness, enterprises are paying greater attention to and applying solutions to streamline production, thereby enhancing the competitiveness of their goods and services.

Solutions adopted to improve business performance

During production, certain stages still witness wastefulness; if enterprises can limit this situation, productivity will improve.

Le Phuoc Van, Director of Hanh Gia Management Consulting Co., Ltd. (Ho Chi Minh City), noted that in the wood industry alone, up to 80% of production activities and costs previously generated no value added or were wasted. Such waste is often closely interconnected, including overproduction, excessive inventory, unnecessary transportation, defective products,… among others. Other forms of waste in production include waiting time, operational inefficiencies, or process deviations. Businesses are compelled to streamline operations to minimize these issues.

Sharing the same view, Huynh Minh Quoc, General Director of Athena I&E Joint Stock Company (Ho Chi Minh City) and an expert in applied lean management, stated that researching and applying a comprehensive Lean 4.0 enterprise management system, combined with a digital transformation strategy planning, is a necessary step in the current context. This approach helps streamline the workforce, raise labour productivity, improve operational efficiency, and achieve rapid and sustainable development both extensively and intensively. Digitalisation enables businesses to go further and faster through the application of modern science and technology. Each enterprise has different production management methods and processes, so they can proactively develop tailored solutions for higher efficiency.

To achieve lean production and greener operations, managers and business leaders need a long-term vision and roadmap, rather than short-term measures. They should also focus on training human resources who share the same philosophy to enhance the effectiveness of implementation.

Nguyen Van Thu, Chairman of the Board of Directors of G.C. Food Joint Stock Company (Ho Nai Industrial Zone), emphasised that increasing productivity enables enterprises to better meet strict environmental requirements. The company aims to establish an operational system that is capable of risk monitoring, ensuring transparency, and facilitating long-term growth. Five key factors, including organisation, supply chain, products, people, and customers, are the foundation for implementing sustainable development solutions.

Expanding applications to optimise production

Binh Tien Consumer Goods Manufacturing Co., Ltd. (Biti’s) runs its factories in Dong Nai, Ho Chi Minh City, and other localities. According to the company’s General Director, Vuu Le Quyen, Biti’s has been optimizing factory space, reducing costs, improving productivity, and shaping an efficient operational model. The greatest achievement has been the transformation in mindset and capacity among staff, laying the foundation for sustainable success. After more than five years of practising lean production, the company continues to apply this model to develop new products and plans to expand it further in the future.

Similarly, Nguyen Tan Loc, Chairman of the Board of Directors of GSB Steel Structure Joint Stock Company (Tan Trieu Ward, Dong Nai Province), said that the company is gradually greening its production processes to improve business efficiency. The enterprise has worked to develop optimal construction solutions that reduce partner costs while creating sustainable and environmentally friendly projects. GSB has partnered with Australian firms to leverage their technology and advantages in its production processes, achieving high work efficiency and green factory construction solutions for partners.

Sharing his experience, Le Phuoc Van explained that in order to produce efficiently, enterprises should go through three stages: first, they should invest in equipment and use external resources to increase productivity; second, they need to standardise production and resource allocation; and third, the enterprises must focus on innovation. Currently, most enterprises tend to emphasise technological equipment without paying sufficient attention to other factors. They are placing too much weight on external resources while neglecting internal ones that can be actively improved. Ultimately, personnel factor is the most important, as people can decide how to select suitable equipment, operate production processes, and optimise costs, since productivity metrics remain the ultimate goal for businesses.

By: Van Gia

Translated by: Quynh Nhu - Thu Ha