Mgt530 Critical Thinking: Lean Operations (130 Points)

Lean OperationsName:Institutional affiliationLean Operations: McDonald vs. StarbucksIntroductionLean is a Japanese model that focuses on improving customer value while minimizing waste within an organization. The approach has been used by Japanese auto-manufacturers over many years, following the realization that companies waste a considerable amount of resources to make alterations that go unnoticed by the buyers. Lean acknowledges that companies need customers and not vice versa. All efforts must, therefore, be directed towards satisfying the needs of the customers at the lowest cost possible. The model advocates for continuous process improvement to reduce or eliminate defects as well as reducing overproduction, waiting time, motion at the workplace, over processing, and transport. Contrary to traditional operating systems, Lean emphasizes on judging value from the customers’ point of view. McDonald and Starbucks have both made efforts to adopt lean. However, the two companies achieved contrasting results. This document compares the adoption of the Lean operating system in the two businesses and the outcome of adopting the method on inventory management, quality management, and process improvement. Commitment to quality and excellenceQuality management of coffee begins from the farm. Starbucks ensures