ABSTRACT

In this chapter, we will discuss the different facets of planning in a lean organization. We will see that planning happens at several organizational levels and over time frames of different lengths, and that planning and control are intricately linked. Lean planning is an integrated process that is based on the learning that occurs throughout the plan, do, check, act (PDCA) cycle. The different levels of planning are linked through a mechanism that attunes long-term strategy to daily organizational activities. At all levels of planning, the ultimate purpose is to deliver to the customer the right product at the right time with the least amount of waste. In order to do this, a lean organization must be able to both anticipate future customer demand for products and services and establish the capacity to meet this customer demand. A lean organization also allows for flexibility in demand and continually monitors available capacity and the rate of demand or pull from the customer.