Little's Law: The Transaction Costs of (Re)Drawing Lines
About this episode
The episode discusses how transaction costs influence production processes and the importance of flexibility in manufacturing.
Send us Fan Mail A conversation with Andrew Wagner, production and manufacturing engineer, now in aerospace, but with experience also in the auto industry. We trace how transaction costs shape production, from Adam Smith’s pin factory to Toyota’s SMED, and why empowering workers and redesigning tools can raise quality while cutting cost. An aerospace manufacturing engineer joins us to unpack Little’s Law, line reconfiguration, and the culture that makes flexibility real. • division of labor ...
People in this episode
Host: Michael Munger
Guest: Andrew Wagner
Mentioned in this episode
Organizations: Toyota
Books & works: Adam Smith’s pin factory, SMED
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