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Focused Factories &  Lean Manufacturing

The Focused Factory & Lean Manufacturing

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The Focused Factory

Wickham Skinner's Original HBR Article at Amazon

 

 What Is  A Focused Factory

A Focused Factory strives for a narrow range of products, customers and processes. The result is a factory that is smaller, simpler and totally focused on one or two Key Manufacturing Tasks.

Wickham Skinner lists several features of Focused Factories. For more on this, see Focused Factory Characteristics.

The Focused Factory rests on three underlying concepts:

  • There are many ways to compete besides low cost.

  • A factory cannot perform well on every measure.

  • Simplicity & repetition bring competence.

Benefits of Focus

At Strategos, we have seen the effects of focus- customer satisfaction, lower cost and less frustration. Several researchers have documented these effects with quantitative studies.

Key Manufacturing Tasks

Skinner's research suggests that a particular factory can excel with no more than one or two overall objectives. These might be quality, delivery reliability, response time, low cost, customization, short life cycle products, or another competitive dimension.

The Key Manufacturing Task(s) is the most important thing the factory must do or achieve for success. Terry Hill, in his book "Manufacturing Strategy" shows how to identify the Key Manufacturing Task(s) and link it to marketing and corporate strategies. 

Wickham Skinner is considered the father of Manufacturing Strategy. His book "Manufacturing In The Corporate Strategy", published in 1978, set out the principles on which most other work has been based. His seminal article "The Focused Factory" was published in The Harvard Business Review in 1974 and is still available from Amazon.com.

Dr. Skinner, a graduate of Yale, is an emeritus professor at Harvard University, where he taught and researched in the field of industrial management. Dr. Skinner has published three books, co-authored ten case books, and has written extensively for business magazines and journals.

Why Factories Lose Focus

Some factories are unfocused originally because designers fail to recognize the limits and constraints of technologies and systems.

Other factories are highly focused at first but lose it over time. Several forces and factors diffuse the original focus. Among these are:

  • Inconsistent Policies

  • Professional Isolation

  • Gradual Mission Change

  • Failure To Design The Task

  • Unrecognized Inconsistencies

  • Product Proliferation

  • Market Proliferation

 A Broader View of Focus

In recent years, we have extended Skinner's concept.  The strategic question is: "by what criteria shall we divide our space, people and machines into manageable work units?" A future issue of Lean Briefing will explore this in more detail.

"The focused factory will out-produce, undersell, and quickly gain competitive edge over the complex factory."

-Wickham Skinner

The Focused Factory Series

Characteristics of Focused Factories
Key Manufacturing Task
Focused Factory Example
Benefits
Plant-Within-Plant
Reader Comments

References

HAYES, ROBERT H. and WHEELWRIGHT, STEVEN C., Restoring Our Competitive Edge, John Wiley & Sons, New York, 1984.

HILL, TERRY, Manufacturing Strategy, Macmillan, London, 1985.

LEE, QUARTERMAN,  "How To Optimize Manufacturing Focus", Managing Technology Today, Vol. 1, No. 5, September/October, 1992.

LEE, QUARTERMAN, "Manufacturing Focus - A Comprehensive View", Operations Management Association (OMA) Conference Proceedings, Warwick, England, June, 1990.

SKINNER, WICKHAM, Manufacturing In The Corporate Strategy", John Wiley & Sons, New York, 1978

SKINNER, WICKHAM, Manufacturing: The Formidable Competitive Weapon, John Wiley & Sons, New York, 1985.

SKINNER, WICKHAM, The Focused Factory, Harvard Business Review, May-June, 1974.

STALK, GEORGE and HOUT, THOMAS, Competing Against Time, The Free Press, New York, 1990.

WRENNALL, WILLIAM, AND LEE, QUARTERMAN, Handbook of Commercial and Industrial Facilities Management, McGraw Hill, August, 1993.

 

 

 

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