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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

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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 itsvery 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 chainin 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

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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.