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Nike reduces lead times through lean manufacturing

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Nike has reaped the benefits of moving to ‘lean’ manufacturing with shorter lead times and fewer product defects in its supply chain.

The sportswear brand’s FY10/11 Sustainable Business Performance Summary, explained by adopting a lean approach - which it described as ‘better manufacturing’ that reduced wasted materials and time - the company’s supply chain has operated more efficiently. The report explained the company had worked to eliminate waste, lost time and lost material from its processes as part of its sustainability agenda.

The report said contracted factories which adopted the lean approach showed defect rates 50 per cent lower than those that didn’t. It also revealed delivery lead times from lean factories were, on average, 40 per cent quicker. Productivity increases of 10 to 20 per cent and a reduction in the time taken to introduce a new model by 30 per cent were also reported from lean factories...Read more on supplymanagement.com

 

Last modified on Thursday, 23 August 2012 12:20

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