Intelligent Tech Channels Issue 01 | Page 39

FUTURE TECHNOLOGY How businesses can restructure using lean approach Lean thinking demands that anything that does not add value to a customer must be eliminated. G overnments within the GCC have been making use of lean practices while providing government services for some time now. In UAE, for example, they have gone as far as to make lean administration one of the government’s four pillars of its Smart government strategy. Similarly, lean practices bring many benefits to businesses and now is the time for them to be embraced by enterprises within the region, given the lower oil prices and a stagnation in the regional economies. Lean is a systematic approach to identifying and eliminating waste through continuous improvement and covers the complete spectrum of a value chain. It is not, as some believe confined just to the manufacturing activities of high volume repetitive businesses. While, traditionally, lean has been the focus of high volume repetitive industries, engineer-to-order companies within project based manufacturing sectors, can also benefit from implementing lean principles and provide business modelling, enterprise operational intelligence, planning, execution, waste analysis and reduction capabilities. The benefits for adopting lean enterprise concepts in a complex engineer–toorder business depends on the level of integration that exists from design through engineering into build, installation and service. Lean enterprise benefits for companies include: • Improved bid management and win ratios from data re-use and business focus • Better project control, risk mitigation and cost management through the integration of project management activities with back office functions 39