This project investigates the implementation of Lean in Arla’s production, and how Lean affects the logistical efficiency and Arla’s value chain. Furthermore the project surveys what competitive advantages Arla can get from the implementation of Lean.
The study of Arla showed that dairies could achieve improved efficiency up to 10-30%. The result of efficiency is that Arla's logistical efficiency will be improved significantly in the delivery of service, although logistical costs increase slightly.
The introduction to Lean in the value chain can be seen by the creation of flow in their value chain using Lean tools-SMED and 5S.
Arla has been more focused on the development of their products, because it makes the company stronger, more competitive and flexible in the market so they meet their customers' requirements more efficiently.
Arla introduced a Kaizen culture in their dairies, which gave the company more efficiency.
The results show that Arla has managed to gain competitive advantages by strengthening their competitiveness. The company has succeeded in placing greater focus on the product, which will keep and even expand Arla's position in the future both in the national and international market.
Arla has improved their competitiveness through their increased productivity and reduced costs.
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