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Leagile Strategy

The document discusses the Leagile strategy, which combines elements of lean and agile supply chain strategies. Lean focuses on eliminating waste in mass production, while agile focuses on being adaptable to changes. Leagile takes characteristics of both, acting to be cost effective while also responsive to market opportunities. It discusses how lean supply chains can be rigid, while agile focuses on mass customization, so Leagile presents an evolution that pursues responsiveness without particular focus on waste removal.

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Khyzer Nawaz
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240 views

Leagile Strategy

The document discusses the Leagile strategy, which combines elements of lean and agile supply chain strategies. Lean focuses on eliminating waste in mass production, while agile focuses on being adaptable to changes. Leagile takes characteristics of both, acting to be cost effective while also responsive to market opportunities. It discusses how lean supply chains can be rigid, while agile focuses on mass customization, so Leagile presents an evolution that pursues responsiveness without particular focus on waste removal.

Uploaded by

Khyzer Nawaz
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Assigment topic : Leagile Strategy

Submitted to : Sir Yalman Ansari

Submitted by: Khyzer Nawaz (Fa10-BBA-231)

Subject : Production and Operation Management

Leagile Strategy
Leagile strategy is the new paradigm of supply chain management. It has unique characteristics
as compared to lean and agile. In lean strategy the main focus is on the diminution of the waste
materials. In lean execution the manufacturing concern focuses on the reformation of the flow of
mixed model production because of this the mass production and to produce the great variety of
the products. The aim of the agile system is to be more fruitful and adaptive to changes in the
environment and it has the potential to use more resources.

The lean and agile paradigm has different aspects that are not related to one and each other.
Lean manufacturing systems and supply chains are quite rigid and it’s very difficult to adapt
changes according to market conditions. The agile concept is related to mass customization and
lean towards efficient mass production. For example, an excess inventory of raw material might
help to satisfy a market opportunity in an agile environment; where as a lean system would trim
the inventory as much as possible.
Researchers now combine the idea of lean and agile and introduce new strategy “LEAGILE”. A
leagile system has characteristics of both acting in an order for cost effectiveness.

Leagile supply chain is discussed at operational level and the feasibility of considering leagile
supply chain as a exclusive strategy. Leagile strategy focus on reconfigurabilty of supply chain
in responsive to the transient market opportunities and is a combination of abilities based on
various strategies. The leagile supply chain present the evolution from lean thinking to mass
customization and the pursue responsiveness without particular on waste removal such as
capacity buffer and inventory buffer.

A supply chain management practices and focuses on the relationships between two supply chain
strategies and these bundles. The elimination of lower level factors can help the investigation of
higher level constructs, if the lower level factors are included in the higher level constructs. In
order to keep the smooth operations of JIT system, the internal integration and supplier
integration are also important. The lean manufacturer should keep good relationship with his
suppliers in order to ensure the availability of the raw materials. On the other hand, the agile
manufacturer need to intensify the relationship and integration with customers in order to obtain
more accurate information of customer demand to provide personalized products and services.
An agile organization needs to focus on its own core competences and coordinate with its
partners, even with the competitors, to take advantage of their competences to satisfy the
changing market demand.

In order to respond quickly to changes, agile manufacturers should increase their production and
organizational flexibility through the use of advanced manufacturing and information
technology. The agility may be based on the leanness, although there are some apparent
confliction between the stability required by leanness and responsiveness required by agility.
Agility does not originate in a vacuum. One cannot become more agile without these
improvement efforts (JIT and TQM etc.), and they are milestones in the journey to increasing
agility”. Moreover, agile paradigm encompasses lean techniques, and the lean production is a
necessary but not a sufficient condition for the achievement of manufacturing agility.

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