I have been reading the blog written by Michel Baudin for a few months. It is a source of great information for those with an interest in lean principles (derived from the Toyota Production System). He started examining in depth each of … [Read more...]
Why semi-automation is better than full automation
As everybody knows by now, in China labor costs have been rising quite fast over the last few years, and this trend is here to stay. What is the typical Chinese response to higher labor costs? Hire less employees, of course. And how to … [Read more...]
Creating a pull system in a service business
I guess most of my readers work in a service business (importing company, trading company...). Did you know that service activities tend to be more inefficient than manufacturing activities, for the simple reasons that (1) one doesn't … [Read more...]
Different types of production organization
All factories are not organized the same way. I have explained this concept to tens (hundreds?) of buyers. It is absolutely fundamental if you want to understand how production works. Organization in lines In most Chinese factories that … [Read more...]
5 steps for a Chinese factory to improve its efficiency
The attitude of many Chinese manufacturers can be very frustrating. The boss is usually focused on negotiating favorable prices and pushing production out the door. Not on learning from mistakes and looking for solutions. I explained all … [Read more...]
Why few Chinese factories are adopting lean principles
A few days ago, I wrote that yes, lean production IS possible in China... But it will take a long time to become as widespread as in Japan. In the 1970s, everyone in the Japanese car industry was wondering what allowed Toyota to resist … [Read more...]
Yes, lean production is possible in China
The Supply Chain Management Review just published a really lame article (Why China Is Not Ready for Lean Projects). The author is Rosemary Coates, an American consultant. I gave only 2 stars out of 5 to her book about China sourcing (see … [Read more...]
Troubleshooting process in a Chinese factory
I have been to Chinese factories a few times for solving problems. In one case, the factory pretended the goods really couldn't be made as intended by the importer (that was true). In another case, the QC inspector found many defective … [Read more...]
DFM for importers in China: Q&A with an expert
One of the most common mistakes made by importers is to let a Chinese factory take care of a new product development (that's true for most product categories, with a few exceptions such as apparel). Fortunately, more and more Western … [Read more...]
Is your factory improving its processes?
Chinese factories tend to focus on "making production", rather than working on improving their processes. In their vast majority, they try hard to get new customers and grow their business, even when a few improvements in their processes … [Read more...]