Lean management: Cost reduction and operational efficiency in manufacturing

Lean management: Cost reduction and operational efficiency in manufacturing

Lean Management – Cost Efficiency and Operational Excellence in Manufacturing Systems

Program Introduction

The manufacturing sector in Azerbaijan is rapidly developing.
However, increasing competition, rising costs, and growing market pressure highlight a critical reality:

Producing is no longer enough.
Production must be efficient, structured, and competitive.

The Lean Management approach teaches organizations how to create more value with fewer resources, eliminate waste, and build a culture of continuous improvement.

This program is not just a collection of tools –
it is a comprehensive transformation model designed to structurally enhance manufacturing systems.

What Will You Gain from This Program?

• Identify and eliminate the 7+1 types of waste in manufacturing
• Build flow-based production systems and analyze bottlenecks
• Optimize inventory through JIT and Kanban systems
• Reduce setup and changeover times using SMED
• Identify root causes of problems and implement sustainable solutions
• Establish KPI-driven performance management systems
• Build a quality culture through TQM principles
• Improve equipment efficiency and increase OEE through TPM
• Develop a structured Lean transformation roadmap

Most importantly:

You will learn how to build a manufacturing system that operates independently of individuals and relies on sustainable processes.

Who Is This Program For?

This program is ideal for:

• Plant and production managers
• Operations and workshop supervisors
• Maintenance and technical department leaders
• Process and quality engineers
• Logistics and planning specialists
• Company leaders planning to initiate Lean transformation

In short:

For anyone responsible for manufacturing results and committed to building a system-driven organization.

 

Trainers
 

Tarkhan Abdullayev

He is a certified Lean Six Sigma Black Belt professional.

He directly led and implemented Lean and WCOM transformation processes across 19 factories operating under Azersun Holding. He established Kaizen teams within manufacturing facilities and ensured the development of a continuous improvement culture. He systematically implemented Value Stream Mapping (VSM) projects based on structured methodologies.

At both strategic and operational levels, he designed and implemented KPI systems and led the development of OEE (Overall Equipment Effectiveness) measurement and management systems. He possesses extensive practical and leadership experience in applying OEE, FMEA, Standard Work, Root Cause Analysis (RCA), and structured problem-solving methodologies within real manufacturing environments.

He has executed numerous cost optimization initiatives focused on systematically measuring, analyzing, and reducing manufacturing losses. He specializes in the results-driven implementation of Lean tools in real production settings, ensuring sustainable performance improvement.

Arzu Mahmudov

Senior Expert in Quality Management & TQM

Industrial Engineer with extensive leadership experience at Azersun Holding. Served as Quality Assurance Director and Department Head, establishing internal and external audit systems. Certified auditor in ISO 9001, ISO 22000, ISO 31000, and other international standards. Led supplier quality improvement and continuous improvement initiatives. Possesses strong expertise in building organization-wide quality culture.

Natiq Mammadov

TPM and Manufacturing Leadership Practitioner

Industrial Engineer with extensive experience as Factory Director, TPM Manager, and Technical Leader. Actively involved in implementing OEE, TPM, Hoshin Kanri, and Lean systems in major manufacturing enterprises. Strong background in equipment efficiency, energy optimization, and loss reduction. Led KPI system development and operational excellence initiatives. Hands-on experience in implementing Toyota Production System and Lean methodologies in real factory environments.

Conclusion

This program is designed not merely to understand Lean philosophy —
but to implement it.

If your goal is to:

• Reduce costs
• Stabilize quality
• Eliminating equipment idle time
• Build a structured, system-driven manufacturing organization

then this program is for you.

LEAN METHODOLOGY – TARKHAN ABDULLAYEV27 Hours

Introduction to Lean Manufacturing (4.2 hours)
Learning how to eliminate waste and create more value with fewer resources.

• History and evolution of Lean philosophy
• The concept of customer value
• 7+1 types of waste (Muda)
• Flow and Pull principles
• Value-based thinking system
• PDCA (Plan-Do-Check-Act) cycle
• Lean culture

5S Methodology (2.5 hours)
Organizing the workplace systematically to increase efficiency and productivity.

• What is 5S?
• 5S audit system
• Visual management

Kaizen Philosophy (3 hours)
Building a culture of continuous improvement and achieving significant results through small incremental changes.

• Principles of Kaizen
• Before-and-After Kaizen
• Suggestion system

VSM – Value Stream Mapping (2.75 hours)
Identifying hidden losses within processes and optimizing value flow.

• Current state mapping
• Takt time concept
• Lead time and cycle time
• Material and information flow
• Bottleneck analysis

JIT – Just-In-Time Production (4.5 hours)
Minimizing inventory and producing the right product at the right time.

• Pull system (Kanban)
• Flow balancing and bottleneck elimination
• Standard Work
• Work instruction development
• Zero-defect approach (Poka-Yoke)
• Heijunka (production leveling)
• FIFO concept

Kobetsu Kaizen & A3 Reporting (3 hours)
Solving strategic problems through structured analysis and ensuring sustainable improvement.

• A3 report structure
• What is Kobetsu Kaizen?
• SMART goal setting

RCA & Problem-Solving Methods (3 hours)
Identifying root causes and implementing sustainable corrective actions.

• Root Cause Analysis (RCA) methodology
• Selection of appropriate problem-solving tools
• FMEA (Failure Mode and Effects Analysis)
• Decision Matrix
• SWOT Analysis

SMED (2 hours)
Reducing setup and changeover times dramatically to build a flexible and competitive production system.

• What is SMED?
• ERCS methodology

KPI – Key Performance Indicators (3 hours)
Measuring performance effectively and building a results-oriented management system.

• Difference between KPIs and metrics
• SMART objectives
• Department-specific KPIs
• Visual performance boards

 

Video Footage from Trainings Delivered by Mr. Tərxan

1. Kaizen Philosophy in Production

A brief overview of the Kaizen philosophy and its role in improving efficiency and continuous improvement in manufacturing environments.
https://www.youtube.com/shorts/7Wwoh5rX-zA

2. 5S Japanese Management Philosophy

An introduction to the 5S Japanese management system and its practical application in organizing and optimizing workplaces.
https://www.youtube.com/shorts/7YO4m6oZbcs

3. Application of the Gemba Philosophy in Production

Insights into how the Gemba philosophy is applied in production processes to enhance operational control and on-site problem-solving.
https://www.youtube.com/shorts/UKNLIXP8HV0

TOTAL QUALITY MANAGEMENT – ARZU MAHMUDOV – 2 Hours

TQM – Total Quality Management (2 hours)

Building an organization-wide quality culture and achieving customer satisfaction through continuous excellence.

• Concept of quality
• 8 principles of TQM
• Quality circles
• Quality KPIs

 

Video Footage from Trainings Delivered by Mr. Arzu

Quality Management System

An overview of the Quality Management System (QMS), its fundamental principles, and its role in ensuring continuous improvement, standardization, and organizational effectiveness.
https://www.youtube.com/shorts/CxlO6GWMSHw

TPM & LEAN TRANSFORMATION STRATEGIES – NATIQ MAMMADOV – 5 Hours

TPM – Total Productive Maintenance (2.5 hours)
Establishing a structured maintenance system to ensure maximum equipment efficiency, minimize production losses, and improve OEE performance.

• Preventive maintenance
• Corrective maintenance
• Predictive maintenance
• Breakdown maintenance
• Technical department KPIs
• MTTR, MTBF, OEE
• Critical equipment assessment

Lean Transformation Roadmap (2.5 hours)
Developing a strategic roadmap for Lean implementation, defining priorities, and building a sustainable improvement culture.

• Lean deployment and expansion strategy
• Lean and performance management system

Video Footage from Trainings Delivered by Mr. Natiq

Standards in Production Systems

An overview of standards applied in production systems, focusing on structured processes, operational consistency, and performance improvement within manufacturing environments.

https://www.youtube.com/shorts/HFhoqsK1q0E

 

Final Examination – 2 Hours

The training program will commence at the beginning of April.

The program will run for 5 weeks, with a total of 8 training hours per week.

Classes will be conducted twice on weekdays in the evenings from 19:15 to 21:15, and once on the weekend for 4 hours.

The detailed training schedule will be shared upon registration.

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