Lean, Green Manufacturing

According to a popular manufacturing concept, as waste is removed from the manufacturing process, quality is improved and production time and costs are lowered.

Written by Steve Katz, Associate Editor

Kaizen. Kanban. Heijunka. Muda. Sensei. For the uninitiated, these terms might conjure up thoughts of the Far East, or specifically, Japan. And they should, because they are Japanese terms. However, while the words are of foreign origin, they have and continue to be prevalent in the industrial world, as they are part of the Lean Manufacturing glossary. And as packaging industry professionals strive to streamline the workflow, become “green” and get rid of excess “muda” (waste), employing Lean Manufacturing concepts could prove to be the way to achieve their goals.

ORBiIS Corporation's FilPak lid distribution containers/totes are used to ship product from the distribution center to retail.

Lean Manufacturing has been a buzzword in a variety of industries for years, ever since the term was first coined in 1988. John Krafcik, at the time an MBA student at MIT and a former quality engineer for Toyota, had his master’s thesis titled “Triumph of the Lean Production System” published in the Sloan Management Review. Thus, the concept was born. Krafcik’s research became the basis for the book The Machine That Changed the World, which served as an historical account of Lean.

In essence, Lean Manufacturing refers to the set of “tools” or strategies used in identifying and eliminating waste from a manufacturing process. The idea behind it is that as waste is removed from the process, quality is improved and production time and costs are lowered. In a nutshell, reduce the waste and you’ll reduce costs while become a more efficient, productive operation.

There are dozens of terms and phrases in the Lean vocabulary. A few of the more prominent ones are 5S, Six Sigma, and Value Stream Mapping. Taking a look at how these terms are defined sheds some light on the core foundations of the Lean philosophy.

5S refers to the organizational method that uses a list of five Japanese words which, when translated into English, start with the letter S. The 5S’s are:

Sorting - Going through all of the tools and materials in the plant and work area. The idea is to keep only essential items.

Straighten - There should be a place for everything, and these places should be clearly labeled.

Sweeping (or Scrubbing) - Keep the workplace neat and clean. This makes it easy to know what goes where and ensures that everything is where it belongs.

Standardizing - Work practices should be consistent and standardized. Everyone should know exactly what his or her responsibilities are for adhering to the first 3 S’s.

Sustaining - Maintain and review standards. Once the previous 4 S’s have been established, they become the new way to operate. Maintain focus on this new way and do not allow a gradual decline back to the old ways.

A sixth S-phase, Safety, is also sometimes added.

Six Sigma is another key Lean term. It refers to the methodology of using data and statistical analysis to measure and improve a company’s operational performance by identifying and eliminating “defects.” Value Stream Mapping is the practice of highlighting the sources of waste and then eliminating these sources by implementing a plan that can become reality within a short time.

The above are just a few of a number of terms and phrases that serve as tools and strategies for improvement. Any industry can benefit from this concept, and the beauty packaging industry is no exception.

Rexam’s Lean Journey

Gobal consumer packaging group Rexam, is one beauty packaging firm that has incorporated Lean into its manufacturing environment. Within the company’s organization, there are even departments and personnel dedicated to Rexam’s Lean endeavors.

Ross Akers, Rexam’s Director of Quality and Lean Enterprise - Personal Care Division, says that Rexam applies a full range of Lean Tools including 5S and Six Sigma. “We not only apply Lean methodology in manufacturing but across our entire business. We have seen great benefit from leveraging our capabilities in Kaizen (Continuous, incremental improvement of an activity to create more value with less waste) and Value Stream Mapping within our transactional processes as well.

“Each Rexam site is audited to established “best practice” criteria on an annual basis. The plants are then awarded Bronze, Silver or Gold status relative to their achievements. We recently developed a Beyond Gold program within which Rexam sites that have exceeded Gold levels for two consecutive years may continue to drive established benchmarks and best practice to even higher levels,” he says.

Akers says that Rexam began its Lean journey a number of years ago. “It was our belief then, as well as now, that a robust Lean culture provides a means to foster the spirit of continuous improvement and deliver exceptional value to our customers,” he says.

Have the Lean efforts proven effective? “Absolutely,” Akers says, adding that it’s also served as a great way in getting the entire organization involved. He says, “In addition to the expected results relative to efficiency, Lean projects provide every member of the Rexam organization the opportunity to be actively involved in continuous improvement. Everyone within the organization participates and their individual contributions are significant.

“Within Rexam, Lean Enterprise is not simply something we do, it is a significant part of who we are. Lean is truly a cultural element. We are highly confident that the robust application of Lean methodology enhances our ability to deliver exceptional results for our customers.”

Lean Packaging

Focusing on the supply chain has become an emerging theme in beauty packaging. And with this, a spotlight now shines on reducing waste from the supply chain, not only as a way of increasing efficiency, but also as a means to becoming more environmentally friendly. For brand owners and packaging manufacturers, a concept, based in Lean Manufacturing, has emerged—Lean Packaging.

ORBIS's OPTEBulk collapsible bulk containers are used to ship “preforms” to blow molder and from the blow molder to the filling operation. (

Bret Carslon is director of engineering services for ORBIS Corporation, Oconomowoc, WI. The company, a division of Menasha Corporation, Neenah, WI, features a variety of products and services designed specifically to reduce waste. Carlson says that reusable packaging is an important concept behind Lean Packaging, and one that goes a long way in reducing waste.

“Lean packaging is simply one element of Lean Manufacturing, but it is a fundamental building block for Lean supply chains,” Carlson says. “Reusable packaging helps eliminate many forms of waste, including the most obvious waste being one-time or limited use expendable packaging. If you look deeper, other forms of waste may also be reduced upon implementation of a durable, right-sized reusable packaging system, including the elimination of shipping trailers that are not fully utilized, inefficient utilization of floor space, and excess product inventory due to too many days of supply,” Carlson says.

A key component of the ORBIS mission is to guide customers in their sustainability efforts to improve their business. The company offers products (containers, pallets and dunnage) and supply chain services (pooling, cleaning and logistics) to implement plastic reusable packaging systems.

Carlson believes that reusable packaging is a strong catalyst for the adoption of Lean Manufacturing, and it results in spreading the concept throughout the supply chain. “In order for reusable packaging to be a cost effective replacement for expendable packaging, a smaller system of containers should be in use. These containers circulate from suppliers where parts/products are packed into the containers and flow to a customer that consumes these parts and returns the empty containers in a B2B environment,” he says.

That entire filling-emptying-filling cycle might take, Carlson says, maybe 10 days, for instance, and include one or two days of inventory on the customers’ floor at any point in time. He explains: “Parts/products are received and used in finished products in a matter of days, reducing inventory carrying costs and creating improved cash flow for the entire supply chain. It all starts with defining the right-sized shipping and handling unit size,” he says.

Rackable pallets are used to store finished goods in distribution centers.

ORBIS has helped to implement reusable packaging for Lean Manufacturing initiatives in the health and beauty industry for years, Carlson says. “Many of the applications are for shipping empty bottles and closures of shampoos, conditioners, etc. from the primary packaging manufacturer into the filler. Customers also use reusable containers to pick and pull HBC products into reusable totes for store delivery. Some customers have implemented reusable plastic pallets and pallet support boards in their warehouse operations,” adds Carlson.

When it comes down to it, reusable packaging is lean and green. “Reusable packaging has the ability to address each major element of sustainability: People, Planet, Profit. Reuse of packaging in many supply chain applications can actually reduce solid waste, energy consumption and emissions (each application needs to be studied in detail). Finally, an engineered reusable packaging solution can lower total operating costs by reducing annual packaging expense and inventory carrying costs.”