Lean manufacturing is lacking in the aerospace and defense industry. According to a 2009 Cincom report, only 23% of aerospace and defense (A&D) manufacturers surveyed have implemented demand-driven manufacturing tactics such as electronic Kanban, lean manufacturing techniques and shared business processes.
When I asked Lou Washington, fellow Cincomer and co-author of the report, what this all meant he said that redundant input processes not only increase the likelihood of errors, but translate to multiple payments for the same process. “A&D manufacturers should focus on getting order-capture, order-status and order-management processes as efficient as possible first and then automating them. This frees up one of the most valuable resources companies have ― the time to address customers’ unmet needs and invest in becoming a trusted advisor.”
Lack of Lean Project Management
“Not having integrated project management to guide lean manufacturing is a lot like trying to steer a ship across the Atlantic without a compass,” said Washington. Yet, only 8% of those surveyed use integrated project management with lean manufacturing. This egregious gap could be filled by the other 92% implementing some form of real-time reporting with their project-management process.
Most Don’t Integrate with Other Crucial Systems
Slightly more than one-third of aerospace and defense (A&D) manufacturers surveyed (38%) have project-management integration with accounting, finance or customer-management systems. However, this means that nearly two-thirds (62%) have no project-management integration with these systems. This creates a gap between advanced manufacturers who can create profit and loss statements per project and those who lack insight into their projects’ profitability.