Economic Analysis of Lean Wastes: Case Studies of Textile and Garment Industries in Ethiopia

In today's competitive world, customers are demanding better quality products with fast and reliable deliveries. To meet this demand, new manufacturing technologies are developing rapidly, resulting in new products and improvements in manufacturing processes. As part of this effort, lean production principles have been established and are in use in developed countries to minimize and/or remove wastes.
The purpose of this study is to identify and analyse lean wastes surfacing in production lines of four textile and garment industries. The information will make it possible for them to minimize or eliminate lean wastes using recommended tools and techniques. As a result, a smooth working environment will be created which will improve the plants’ ability to produce exactly the right quantity with the right quality and at exactly the right time, with a minimum of interruption. This study has followed qualitative and quantitative research approaches for collecting and analysing the data of the four cases chosen. The main methods used for data collection are questionnaires, shop floor visits, and check sheets. The empirical findings are analysed using appropriate tools of investigation and by theoretical concepts of lean production and economic cost analysis.
The aggregate data collected over time show that there is substantial waste in the production process from the start of producing products to the day of delivery, using all available resources. Furthermore, the result of the analysis mainly demonstrates that there is an inconsistent production rate per shift, and noticeable employee turnover.