ABSTRACT

Inventory, the readily visible manifestation of cash flow in a company, is normally a controversial topic in companies converting to Lean. The sales force will be the first to "sound the alarm" about the possibility of reduced inventories. One of the common misconceptions about "Lean" is that it is almost exclusively an inventory and operations "system" with minimal involvement from other departments in the company. The sales department needs to think in terms of total company profit-ability when it comes to sales. The engineering departments, both design and applications, also have a role in Lean to work with the operations department to design for manufacturability to the customer's specifications, with reduced process waste. The marketing department or product manager can also discuss specific needs for product launches or special marketing programs targeting specific products.