ABSTRACT
This chapter aims to shed more light on the efficiency/flexibility trade-offs and offers a framework for balancing the two in manufacturing environments. It examines how to effectively integrate Lean and flexibility. The chapter considers the beginnings of a flexibility strategy framework for a Lean operation. It reviews a real-world case study detailing the targeted use of flexibility in a Lean manufacturing operation. H. Zhang "value chain flexibility" considers several flexibility competency categories for an entire company operation: product development, manufacturing flexibility, and logistics flexibility. The chapter also reviews the organizational competencies that promote flexibility in non-Lean contexts. Toyota develops both specialized and broad-based skills through the four organization mechanisms discussed in the organizational section: meta-routines, job enrichment, switching and partitioning. Toyota uses capacity slack as a quick solution for volume uncertainty. Manufacturing is typically constrained to two shifts so that overtime production can fulfill unexpected volume demand.
