The Integration of True Lean and Industry 4.0 to Sustain a Culture of Continuous Improvement

Abstract

Recent advances in information and communication technology and the Internet of Things (IoT) are driving the development of Industry 4.0. Its objective is to enable real-time information exchange between people, machines, products and resources, providing new opportunities for improved safety, quality, productivity and cost factors which can be applied in all stages of Product Lifecycle Management (PLM). The application of lean principles and practices where Industry 4.0 is deployed can leverage real-time processing visibility into even greater productivity improvements if implemented correctly. To do this, companies need to go beyond the implementation of the familiar lean tools and practices such as 5S, visual management and management directed kaizen activities etc. to consider the thinking behind the tools, especially the role of the team members. An over-reliance on technology risks undervaluing the importance of human innovative capacity which can significantly impact the ability to conduct systematic problem solving, adversely effecting daily operational performance and significantly reducing continuous improvement (CI) capacity. This conceptual paper introduces the major elements and thinking of the Toyota Production System (TPS), also referred to as ‘True Lean’, which are often hidden or underdeveloped within the popular understanding of lean. This paper illustrates how TPS-thinking can be operationalized to support and sustain a CI environment while leveraging the improved visibility possible with Industry 4.0 to integrate all stages of PLM.