Raw materials enter the factory on the left and exit as finished products on the right. The total time required for this process is the manufacturing lead time.

From the early 1900s through the 1990s, manufacturing lead times were often lengthy—typically 4 to 8 weeks or more.

Longer lead times mean more inventory (and cash) tied up within the factory.

Starting in the 1990s, companies began reducing lead times significantly by redesigning their factories into streamlined "flow" layouts. The goal was to move products through the factory in days or even hours, rather than weeks.

• Reduction in manufacturing lead times by up to 95%

• Inventory reduction by 50–90%, increasing inventory turnover by 2–4 times

• Improved on-time delivery rates, reaching 99%+

• Productivity increases of 15–45%

• Defect rate reductions of up to 70%

• Floor space reduction by 10–30%

Today, additional opportunities for significant improvements are available through the integration of cobots—affordable, collaborative robots with user-friendly software that easily integrates into existing systems.