The Lean Edge: Capital is a resource of last resort

by Jamie Flinchbaugh on March 15, 2011

I have a new post published on The Lean Edge. See the full article on that site.

The question asked was “what is the lean approach to capital?” In some ways, this is the wrong question. The reason is that the lean organization and the lean thinker is not looking to put capital to work. Capital is just a solution to a problem. Capital is not just another budget line item that must be consumed and deployed.

It starts with the ideal state. When a team has a vision of the ideal state for a process, it seeks any solution that gets it closer to that solution. When a team lacks such a vision, it reaches and grasps. Spending capital is one of those straws that’s easy to grasp. Anyone can...


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