Lean Systems

Wastes in lean systems: overproduction (manufacturing before needed), inappropriate processing (overutilization of expensive capital assets), waiting (unbalanced workstations make operations lose time), transportation (excessive movement and material handling), motion (bending, stretching, reaching), inventory (excess inventory hides problems), defects (results in rework and scrap, adds to wasteful costs) and, underutilization of employees (failure of the firm to capitalize on employee's knowledge).


Supply Chain:

Close supplier ties - a close relationship with suppliers
Small lot sizes - reducing the average level of inventory to prevent overproduction.
 - Constant deliveries arrive on schedule
- the number of cheesecakes that are prepared daily.

Process:

Pull Method (Lean) - A method in which customers demand activates the production of the services or items.
- When a customer doesn't want a certain item on their meal, they ask their waiter for them to take it off.

Push Method ( Not Lean ) - A method in which production of the item begins in advance of customer needs.
- Pre-made food, usually they have pre-made cheesecakes that are in a glass case.

Quality at the Source - A philosophy whereby defects are caught and corrected where they are created.
- Jidoka: if there is something wrong with the food, for example, if it's undercooked or
overcooked, the process is stopped and the chefs cook the food again.
- Just in time - cutting unnecessary capacity or inventory; receiving goods when
needed--making food when it's needed.

Uniform Workstation Loads - The use of reservation systems and deferential pricing of the service to manage the demand for it. - Takt time - keep track of customer demand, match the rate of production to rate of sales/consumption.

Standardized Components and Work Methods - Universal components and fixed way of performing tasks. - Standardized: their cheesecakes; work methods: order fulfillment.

Flexible workforce - Multi-skilled employees with the ability to shift among workstations without affecting productivity. - workers can do multiple things, highly skilled employees (Chefs, waiters)

5S - Methodology of organizing, cleaning, developing, and sustaining a productive work environment. - workplace practice conductive to visual controls and lean production.
1. Sort (Separate needed items from unneeded),
2. Straighten (neatly arrange),
3. Shine (clean and wash area),
4. Standardize (establish schedules),
5. Sustain (create disciplines whereby everyone understands)

Total Preventative Maintenance - (TPM) reduces the frequency and duration of machine downtime. - Replacing the product before it fails; if machinery like the stoves/ovens starts to have problems, it is time to replace it.


The Cheesecake Factory, the company implements a lean system because the inventory is ordered according to estimated weekly sales volumes. This ensures current appropriate stock levels are maintained and thus reduces waste. Ordering in batches allows the process to be maintained with a certain level of expected consistency. The company should aim to constantly increase value by striving to be as lean and efficient as possible. In the food industry, it is hard to account for prepared meals that have gone to waste. A new system that has been implemented includes the recycling of leftover bread to be donated.

Kanban Systems

The Cheesecake Factory uses the Kanban systems. There are various steps that they follow until they reach the order is complete. The first step is to have the customers seated at a table, the waiter asks the customers what they want, and puts it in the POS system. The POS system sends the order to the kitchen where the cooks will prepare the order. When the food is ready, it is brought to the table. After the customer completes their food, they pay and the order is complete.