Recent trends in Lean Manufacturing have an implied optimal target of zero inventory levels at all stages of the manufacturing system. Some volume of inventory however, may be necessary to smooth production flow inside the factory while reducing lead times, thus increasing overall profitability. One approach may be to introduce optimum levels of Work-in-Process (WIP) inventory at key stages of the manufacturing system. This paper presents a Lean Manufacturing Model (LMM) which can be used in teaching Manufacturing Engineering students about computer simulation. This efficiently links flexible, low-cost manufacturing planning to customer requirements. Through computer simulation and modeling, the concepts of WIP deployment and management utilizing real production data from a worldwide manufacturer and distributor clearly demonstrates that flexible, low-cost manufacturing can be achieved through the implementation of a hybrid push-pull production and distribution system and strategically deploying work-in-process inventories at key points within the system.
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