What does the term 'Lean' refer to in a business context?

In a business context, 'Lean' refers to a methodology focused on eliminating waste and enhancing efficiency within processes. The primary goal of Lean is to streamline operations by identifying and removing non-value-added activities, thereby improving the flow of work and increasing overall productivity. This approach emphasizes maximizing customer value while minimizing resources, thereby enabling organizations to deliver better products or services faster and at lower costs.

The concept encompasses various principles, such as continuous improvement, respect for people, and leveraging employee insights to identify areas of waste. By adopting Lean practices, organizations can achieve a more efficient and responsive operation, which ultimately leads to increased satisfaction for both customers and employees.