Author(s)

Yaping Xu

Corresponding Author

Yaping Xu

Abstract

The implementation of lean production in small and medium-sized enterprises is an ineviTable choice for Chinese enterprises to integrate into the international environment and adapt to international competition. Facing the new changes and new demands of the market, the traditional production mode can no longer meet the current market demand. Now China’s economy is in the early stage of historic transformation. There may be two trends in the demand of domestic customers. The first trend includes the diversification and individuation of products and the short delivery time. It means that the demand for a single batch of goods is decreasing. At the same time, the demands for similar products in style and size are increasing; the price is getting stricter and the delivery time is becoming increasingly tenser. Small and medium-sized enterprises (SMEs) are indispensable driving forces for China’s economic development, but there are still some problems in the implementation of the advanced cost management model. This paper takes small and medium-sized enterprises as the research object, and analyzes the advantages of lean production. Through analyzing the current situation of the cost management mode of X Garment Company, the paper puts forward improvement strategies for the production process in view of problems encountered in practice. It forms a profound understanding that for small and medium-sized enterprises, the lean production mode is superior to the normal cost management mode. The paper also provides certain theoretical reference for solving problems existing in the same type of enterprises in China.

Keywords

Small and medium-sized enterprises, lean production, one-piece flow