Evaluate whether the introduction of lean production techniques will be sufficient to improve efficiency at WSC.

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2021). The mark or mark type is shown in brackets.

1. [Knowledge] Lean production – techniques that aim to eliminate or minimise waste, while maintaining high quality
2. [Knowledge] Lean production techniques including: Kaizen - continuous improvement
3. [Knowledge] JIT inventory management – reducing inventory held
4. [Knowledge] simultaneous engineering
5. [Knowledge] total quality management (TQM)
6. [Knowledge] cell production
7. [Knowledge] quality circles
8. [Knowledge] Efficiency relates to maximising the quantity of outputs from a given quantity of inputs
9. [Knowledge] Effect on quality of output
10. [Application] WSC has knowledge and expertise in spice processing and recipes, employees have little involvement, but some are highly skilled in production and tasting.
11. [Application] Current problems include increasing labour turnover and inventory wastage. Inventory is perishable and deteriorates over time.
12. [Application] Link to new ready meals project and possible Options A and B.
13. [Application] Links with (long, multi-country) supply chain and availability of ingredients.
14. [Application] Relevant references to 'fair trade' and supply chain.
15. [Analysis] Kaizen groups may gather ideas by involving employees and improve productivity and therefore increase efficiency.
16. [Analysis] Kaizen, by involving employees which is currently an issue, may motivate employees and therefore reduce labour turnover.
17. [Analysis] TQM and benefits to making quality everyone's responsibility – getting things right first time will reduce wastage and make better use of spices and so increase quantity of output from given inputs.
18. [Analysis] Lean production will include increasing labour flexibility through multi-skilled labour and can therefore reduce labour as an input.
19. [Analysis] JIT will reduce the large amount of space needed for storage, lowering costs, and reducing wastage and therefore increasing efficiency.
20. [Analysis] Cost of training in short term in both in time and money. Transition may reduce output initially.
21. [Analysis] Lean production is more demanding of labour resources which can result in dissatisfaction and stress and therefore reduced productivity and increased labour turnover.
22. [Analysis] Variations in demand and problems with suppliers can result in stock-outs due to JIT and result in customer dissatisfaction.
23. [Evaluation] JIT stock management will need excellent supplier relationships.
24. [Evaluation] Implications of suppliers in many countries.
25. [Evaluation] Ability of managers to engage employees in this process, e.g. in introducing TQM.
26. [Evaluation] How realistic is LP, given the number of specialist suppliers and the distances involved?
27. [Evaluation] Judgement as to how important lean production may be – what other methods may be more important to improve efficiency?
28. [Evaluation] Investing in capital equipment as a means of increasing efficiency.