The term 'lean production' usually refers to an efficient production system that, from inventory management to downtime in processing, trims away every ounce of fat and redundancies in the production process.
But there is also another meaning to the expression, which perhaps should be better translated as 'frugal production': it is a question of re-engineering products so that they are cheaper and more accessible to the masses of emerging countries. It may be a charcoal cooker or an ultrasound machine, but in each case many success stories have led to major innovations, making the product cheaper without sacrificing the essential features of functionality. In Indonesia this approach has been extended to the pick-up, an open van which is the 'workhorse' of farmers and artisans.
Industry Minister MS Hidayat said in Jakarta that the government will promote cheap pick-up trucks, with an engine capacity of 700 cc, which will be sold at a price of 60 million rupees (about 5000 euros). The pickups will be manufactured by a state-owned enterprise, PT Industri Kereta Api Indonesia (INKA). An unfortunate protectionist twist underlines that the production of these vehicles excludes foreign investment and the components will have to be sourced locally.
