Lean Management – The End of Management By Exception

As I have always emphasized on this blog lean is not just a set of tools. It is a process based on lean thinking. Management in a lean environment is not an exception. Lean management is the force behind any successful lean manufacturing implementation.

What is Lean Management?

Question above can be a tricky one to answer. But simply put lean management can be defined as using lean concepts in managing the organization. For an example managers will be looking at the value stream of the organization and question the none value adding activities continuously. They will define the value in the eyes of customers in the process, unhiding huge amount of waste in the system. A lean manager will not misuse lean to reduce their head count.

What is Management By Exception?

If put simply management by exception says “if everything is going OK, managers do not have to interfere. They will act if the system faces an exception”. This is an old management technique followed mainly by managers of larger organizations. This will reduce workload for the managers and will build a sustainable system.

Lean Management Vs Management by Exception

When it comes to management by exception, processes will run without any hindrance if they are bringing in the expected results. They will be questioned if they are not performing up to the expectations. But lean management is about continuously removing waste from the system. So even the best processes will be questioned. They will be changed and reengineered to remove waste from the system and to realize value to the customers. But in the case of failure, processes will stop immediately and problems will be solved.

In lean management, involvement of a manager is very high. A lean manager will not stop just at developing a strategies and policies, he will have to come to the work floor and make it happen. This thinking is eminent with the lean tools like “Go and See for Your Self”.

So in a lean environment management by exception is not applicable. Management by involvement or lean management is the way to go.