Manufacturing glossary of terms

Unlock the secrets of manufacturing with our glossary of terms developed over 40 years by George Donaldson, Shingo Prize recipient! Take a deep dive into industry jargon. Don't wait! Master your industry knowledge NOW!

The story of how this glossary was created and has evolved, in the words of author George Donaldson.

This glossary’s roots began in 2010 when I worked with Newsprinters Eurocentral Ltd. I noticed less emphasis on the practice and principles of Organisational Excellence in manufacturing and more on the language used to describe them.

Of course, people then became concerned about learning vast amounts of new words rather than paying attention to what they meant. Many terms also came about in the 1950s, and their original definitions weren’t applicable today. What we needed was a single reference point – a glossary. So, that’s what I created.

As I moved away from Newsprinters Eurocentral Ltd and worked with other businesses, I expanded the glossary to include all models and other tools and techniques. I was teaching courses in Continuous Improvement and realised manufacturing needed to be demystified; students were often overwhelmed with various acronyms.

Then, as manufacturing became about more than just improvement – and about leadership, management, and psychology too – the glossary grew once more. It now includes theories from the likes of Maslow, Herzberg, and McGregor, and even modern theorists such as Sinek. I’ve also included the GROW model to reflect manufacturing’s focus on developing people through coaching and mentoring.

Manufacturing is much more holistic today. And this glossary echoes that. Sitting at over 300 definitions, you’ll be able to find any term you need to achieve Organisational Excellence in the modern world.

Good luck on your journey.

Lean Five Principles

Identified by Womack and Jones (The Machine That Changed The World):

Understand value from the customer’s perspective.
Identify the process steps that create this value (value stream mapping).
Ensure the process flows (remove all waste).
Produce to demand (the customer pulls the product).
Drive continuous improvement.

(See Lean Manufacturing - Principles)

Lean Layout

Lean Layout work centres tend to be grouped by product families or groups of products that share common process routings. This type of layout enables smaller batch and run sizes. It requires less in-process inventory, less material handling due to shorter travel distances, and less physical space.

Lean Manufacturing

Lean Manufacturing is a business strategy to effectively eliminate or reduce all waste or non-value-added activities and optimise all processes in the company.

(See 7 Wastes - Value Work Type - Optimisation)

Lencioni’s Five
Dysfunctions of a Team

Patrick Lencioni, an American author and business consultant, focused on business management and teams. He is the author of The Five Dysfunctions of a Team. Lencioni argues that to be an effective or high performing team, you must overcome these five dysfunctions:

Trust: is the critical foundation of teamwork and it requires people to get vulnerable with one another so that they are open about: who they are, what they are good and not good at, and admitting and accepting mistakes. Without trust, we cannot build a team, specifically because without trust, we cannot overcome the second dysfunction, which is conflict.
Conflict: is not only good for a team, it is necessary. We must engage in conflict and when we have trust, conflict becomes the passionate pursuit of truth. Without conflict, we cannot overcome the third dysfunction of a team, which is a lack of commitment. Teams that do not engage in open honest conflict do not really commit to the decisions they make and they will become passive about it.
Commitment: is when everybody truly buys in because they have co-created the decisions. Without commitment, we are going to encounter the fourth and most common dysfunction of a team, which is the inability of people to hold each other accountable.
Accountability: is so important for a team because when people have committed, they’re going to have more courage to actually confront one another about shortcomings in their behaviour and performance. If people are not holding each other accountable, they are going to encounter the fifth dysfunction, which is inattention to results.
To focus: on the collective results of the team, we have to trust one another, we have to engage in healthy conflict, we have to commit to decisions and hold one another accountable for those and achieve true collective results.
(See High Performance Teams - High Performance Teams Characteristics PERFORM - High Performance Teams Characteristics SUCCEEDS)

Lessons Learned

Lessons Learned is based on the Japanese word ‘Hansei’, which means self reflections. Lessons Learned is a key continuous improvement technique/practice to reflect, look back, think or contemplate on what went well, what could be improved and what we learned.

(See Hansei)

Lewin (Kurt)

Kurt Lewin (1890–1947) was a German-American psychologist and is known as one of the modern pioneers of social, organisational and applied psychology in the United States. Lewin is often recognised as the ‘founder of social psychology’ and was one of the first to study group dynamics and organisational development. His other, similar, developments include: leadership styles, the force field analysis, the change model (unfreeze - mindset - re-freeze). The equation, B = ƒ(P, E), is a psychological equation of behaviour also developed by Lewin - it states that behaviour is a function of the person in their environment.

(See Lewin’s Leadership Styles - Lewin’s Change Model - Force Field Analysis)

Lewin’s Force Field
Analysis

Based on his research, Kurt Lewin introduced the Force Field Analysis, which is used to identify the forces (factors) for and against any change. He stated that to bring about any change, the balance between the forces that maintain the social self-regulation at a given level, has to be upset.

The Manufacturers Network Force Field Analysis tool steps:

Define the change you want to see: write down the goal or vision of a future desired state. Or you might prefer to understand the present status quo or equilibrium.

Brainstorm or mind map the driving forces: those that are favourable to change. Record these on a force field diagram.

Brainstorm or mind map the restraining forces: those that are unfavourable to, or oppose, change. Record these on the force field diagram.

Evaluate the driving and restraining forces: you can do this by rating each force, from 1 (weak) to 5 (strong) and total up each side. Or you can leave the numbers out completely and focus holistically on the impact each has.

Review the forces: decide which of the forces have some flexibility for change or which can be influenced.

Develop a strategy: create a strategy to strengthen the driving forces or weaken the restraining forces, or both. If you’ve rated each force, how can you raise the scores of the driving forces or lower the scores of the restraining forces, or both?

Prioritise action steps: what action steps can you take that will achieve the greatest impact? Identify the resources you will need and decide how to implement the action steps. Hint: sometimes it’s easier to reduce the impact of restraining forces than it is to strengthen driving forces.

(See Lewin (Kurt) - Lewin’s Three Step Change Model)

Lewin’s Leadership
Model

Kurt Lewin and colleagues undertook leadership decision experiments in1939 and identified three different styles of leadership, in particular, around decision-making.

Autocratic: in the autocratic style, the leader takes decisions without consulting with others. The decision is made without any form of consultation. In Lewin’s experiments, he found that this caused the most level of discontent.

Democratic: in the democratic style, the leader involves the people in the decision-making, although the process for the final decision may vary, from the leader having the final say to

them facilitating consensus in the group.

Laissez-faire: the laissez-faire style involves minimising the leader’s involvement in decision-making and hence, allows people to make their own decisions, although they may still be responsible for the outcome.

Lewin’s Three Step Change Model

Lewin’s Three Step Change Model is perhaps one of the simplest and oldest of the change models. Based on his research, the model focuses on factors that influence people to change.

This change model contains these three stages:

Stage 1 - unfreezing: involves improving the readiness, as well as the willingness, of people to change by explaining why the change is necessary. It involves ensuring people are aware of the need for change and improving their motivation for accepting the new ways of working for better results. Effective communication is essential in preparing the support and involvement of the people in the change process.

Stage 2 - change: is the actual implementation of change. It involves the unfreezing of previous habits, behaviours and practices and the acceptance of the new ways of doing things. Planning, effective communication and encouraging the involvement of individuals for endorsing the change is necessary.

Stage 3 - refreeze: the refreezing stage is where people accept or internalise and engage the new ways of working or change. This stage requires systemic changes and training to ensure behaviours, practices and procedures are sustained in the new way. People should be recognised, appreciated and potentially rewarded for working in this new way.

Likelihood Analysis

Likelihood Analysis is a simple technique used in problem solving to identify the most likely cause(s) for the effect.

Lone Working

Lone Working is performed by individuals who work by themselves without close or direct supervision to complete a task.

Manufacturers Network

Manufacturers Network (MN) is a performance consultancy specialising in business growth. Its aim is to provide an in-depth approach to organisational change and performance.

Maslow (Abraham)

Abraham H. Maslow (1908–1970) was an American psychologist who focused on the field of humanistic psychology. He argued that people are aware of their own motivations in pursuit of self-understanding and self acceptance. It was this thinking that led him to developing, in 1943, his theory of human motivation and his hierarchy of human needs. This hierarchy, best illustrated as a pyramid, shows that to achieve the highest levels of human potential, we must ascend through all levels of the pyramid.

(See Maslow’s Hierarchy of Human Needs)

Maslow’s Hierarchy of Human Needs

Abraham Maslow’s Hierarchy of Human Needs looks at the needs of people, not just to establish efficiency but rather to understand what is required for us to be our best or achieve our full potential. Although this paper was written in 1943, it is probably more relevant today than it ever was, especially when you consider recent crises - work situations, global markets, mental health and social networking.

The hierarchy is drawn as a pyramid and is based on importance. It is suggested that you must fulfil one level at a time, so you can’t jump or skip levels.

LEVEL 1 is meeting our basic or physiological needs, or what I have called survival needs - what’s required to survive.

LEVEL 2 is about creating or providing a safe, secure and stable environment - physically and mentally.

LEVEL 3 is about belonging and being loved - if you do not belong or feel loved, you cannot reach the next level. In a work sense, this would be feeling valued.

LEVEL 4 is about self-esteem or feeling good about yourself. This can only happen when you feel that you are appreciated, you belong, you have value, and/or you are loved.

LEVEL 5 is the final stage and is self or mutual actualisation, or achieving the best you can be and helping others to be the best they can be. This can only be achieved once all other levels are fulfilled.

(See Maslow (Abraham) - Motivation - McGregor’s Theory X and Theory Y - Herzberg’s Two Factor Motivation Theory - Motivation)

McGregor (Douglas)

Douglas McGregor (1906–1964) was an American management professor in the field of personal development and motivational theory. He is best known for his development of theory X and theory Y, a leadership theory on two different leadership styles. The idea that a manager’s attitude has an impact on employee motivation was originally proposed by Douglas McGregor in 1957. In his 1960 book, The Human Side of Enterprise, McGregor proposed two theories by

which managers perceive and address employee motivation.

(See Maslow’s Hierarchy of Human Needs - McGregor’s Theory X and Theory Y - Herzberg’s Two Factor Motivation Theory - Motivation)

McGregor’s Theory X
and Theory Y

McGregor’s Theory X and Theory Y is based on his research, where he identified that managers fall into two categories based on their assumption of employees:

Theory X employees:

Work is inherently distasteful to most people and they will attempt to avoid work whenever possible.
Most people are not ambitious, have little desire for responsibility and prefer to be directed.
Most people have little aptitude for creativity in solving organisational problems.
Motivation occurs only at the physiological and security levels of Maslow’s hierarchy of needs.
Most people are self-centred - as a result, they must be closely controlled and often coerced to achieve organisational objectives.
Most people resist change.
Most people are gullible and unintelligent.

Theory Y employees:

Work can be as natural as play if the conditions are favourable.
People will be self-directed and creative to meet their work and organisational objectives if they are committed to them.
People will be committed to their quality and productivity objectives if rewards are in place that address higher needs, such as self-fulfilment.
The capacity for creativity spreads throughout organisations.
Most people can handle responsibility because creativity and ingenuity are common in the population.
Under these conditions, people will seek responsibility.

(See McGregor (Douglas) - Maslow’s Hierarchy of Human Needs - Herzberg’s Two Factor Human Motivation Factors - Motivation)

Mehrabian’s Communications Theory

From the 1960s, Albert Mehrabian pioneered the understanding of communications. His research established an understanding of body language and non verbal communications.

His theory identified:

Face to face communications

7% of meaning is in the words that are spoken.

38% of meaning is paralinguistic (the way that the words are said).

55% of meaning is in facial expressions.

Telecommunications

16% of meaning is in the words that are spoken.

84% of meaning is in tone.

(See Schulz von Thun’s Four Side Communications Theory - Shannon and Weaver’s Communications Theory)

Mentoring

Mentoring can be described as helping others to achieve what they want to be in the future. Mentoring is personal and relationship orientated. It is generally based on the long-term interactions between two people, primarily focused on long term development of the mentee. The mentor is generally in a higher position (not a direct manager) and can be considered a trusted advisor who has the knowledge, skills and experience in an area where the mentee wants to develop. The mentor will support them to become the person they want to be.

Mission

The business mission focuses primarily on the organisation’s purpose - the reason why it exists - with reference to its products, services, customers and markets.

(See Purpose - Strategy Deployment - Organisational Alignment)

Motivation

Motivation is the reason we do things and can be described as the emotional and social forces or factors that drive, initiate, guide and maintain goal orientated behaviours. It can be separated into two different types:

Intrinsic motivations are those forces or factors that come from within the individual. They are motivated to perform a behaviour or engage in an activity through personal gratification, or it feels good and they find it rewarding.

Extrinsic motivations are those forces or factors that come from outside the individual. They are motivated to perform a behaviour or engage in an activity to earn a reward or avoid a punishment.

(See Maslow’s Hierarchy of Human Needs - McGregor’s Theory X and Theory Y - Herzberg’s Two Factor Motivation Theory)