The disintegration of lean manufacturing and lean management

Lean management—in manufacturing, supply chains, healthcare, services—has lost its way. Telling evidence of lean’s dissolution shows up for inventory-intensive organizations in the form of worsening inventory numbers. My research of financial records of more than 1,500 global companies over 15 years shows growing inventories since the turn of the 21st century. Reduction of inventory is a concrete and visual marker of leanness and quicker customer response, while inventory growth is one of the more salient factors that degrades financial health. As to what has gone wrong with lean, the answer is nearly everything: ambiguous terms and concepts, trivializing the essence, botching the basics, going through the motions, analysis paralysis, puffery masking action, abetting organizational silos, discontinuity, and losing interest. This article addresses these in more specific terms with reference to key outcome measures, especially those most customer-relevant.