Comparing lean and agile logistics strategies: a case study

Comparing lean and agile logistics strategies: a case study

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Comparing lean and agile logistics strategies: a case study
Ruth Banomyong*
&
Nucharee Supatn
Thammasat Business School
Thammasat University
BANGKOK 10200, THAILAND

Abstract
The purpose of this paper is to compare the effect of lean and agile strategies on the
manufacturing process of an aquarium manufacturer. Numerous studies has demonstrated the
benefits of lean and agile strategies in enhancing the competitiveness of firms but none has
really discussed or compared how performance differed when utilizing either strategies. Lean
strategy can reduce, or even eliminate waste in the production process but lean might not be
able to respond to fluctuation in customer demand while agile strategy enhance the
responsiveness of the manufacturer. The results of this research show that both strategies
provide different types of impact for the manufacturer. The findings also suggest that the
manufacturer should not select either a lean or agile strategy but rather to combine both
strategies.

Keywords: lean, agile, manufacturing strategy, case study, Thailand

*

Corresponding author. He can be contacted at: Banomyong@thammasat.net

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Background
The aquarium industry and in particular an aquarium manufacturer in Thailand has been
chosen in this paper as the study object for the implementation of a lean strategy versus an
agile strategy. The purpose of this paper is to compare the effect of lean and agile strategies
on the manufacturing process of an aquarium manufacturer.

Customers demand has changed significantly in Thailand since the economic crisis of 1997,
this has lead the aquarium manufacturer to adjust itself to be ready to serve all kinds of
customers’ demand by enhancing its capability to produce and distribute both made-to-order
and ordinary products while trying to lower production costs at the same time.

PD Aquarium manufacturing firm has been in the aquarium...

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