““A key technique in implementing this approach is the concept of takt time,3 which precisely synchronizes the rate of production to the rate of sales to customers. For example, for a bicycle firm’s high-end titanium-framed bike, let’s assume that customers are placing orders at the rate of forty-eight per day. Let’s also assume that the bike factory works a single eight-hour shift. Dividing the number of bikes by the available hours of production tells the production time per bicycle, the takt time, which is ten minutes. (Sixty minutes in an hour divided by demand of six bikes per hour.) Obviously, the aggregate volume of orders may increase or decrease over time and takt time will need to be adjusted so that production is always precisely synchronized with demand.””
