A research on Lean identifies four key factors for lean implementation. The factors are only at inter-organizational level:
1. Finance
The financial capabilities of the companies are one of the critical factors for successful implementation of Lean. Financial resources are needed for employee training programs, external consultants, etc. Sometimes even production of firms may be interrupted as a result of the employees training in the new techniques. The managers would rather refuse unnecessary loss of resources especially if they do not anticipate immediate returns.
2. Leadership
It is highly desirable to have a certain degree of communication skills throughout the company, long-term focus of management and strategic team while implementation of a new initiative.
3. Organizational culture
Organizational culture is an essential element in lean implementation process and high performing companies are those with a culture of sustainable and proactive improvement efforts.
4. Skill and expertise
Staying competitive requires the use of intellectual capital and ability to innovate and differentiate. Most companies experience difficulties after employing people with low skills levels, who do not foster the ideology of skill enhancement.
Most successful change efforts begin when some individuals or some groups start to look hard at a company’s competitive situation, market position, technological trends, and financial performance .The vision clarify’s the direction in which an organization needs to move. In more successful transformation efforts, executives use all existing communication channels to broadcast the vision.
