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Q. 7DQ

Operations And Supply Chain Management
Found in: Page 368
Operations And Supply Chain Management

Operations And Supply Chain Management

Book edition 14th
Author(s) F. Robert Jacobs
Pages 800 pages
ISBN 9780078024023

Short Answer

What are the roles of suppliers and customers in a lean system?

Lean involves suppliers and customers as an important part of the process. Suppliers are the ones who supply the raw materials to the company and then the company uses those raw materials to produce the finished goods to deliver them to its end consumers. Suppliers and customers have an indirect relationship with each other. They are indirectly connected through the company and both of them have different roles and responsibilities.

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Step by Step Solution

Step 1: Role of Suppliers in a lean system

The buyer has to make sure that the suppliers have the materials to satisfy their condition or to fulfill the need for the raw materials. A lean organization helps the suppliers or guides them in training and implementation and also guides them in value creation.

Step 2: Role of Customers in a lean system

As per the lean organization, customers are the reason for exiting their business. One of the major reasons that the lean system works so effectively is that it focuses on value creation in the eye of the customers. They believe that customers are those who work with the organization from outside of the organization.

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