What is the definition of sub-optimization in a Lean context?

In the Lean context, sub-optimization refers to a scenario where individual functions or departments within an organization prioritize their own goals and performance metrics over the overall objectives of the organization. This often leads to a lack of collaboration and coordination among different areas, resulting in inefficiencies and barriers to achieving optimal performance across the entire system.

When each function operates independently and focuses solely on optimizing its own performance, it can create silos that prevent the organization from realizing the benefits of a more holistic approach to efficiency and waste reduction. Lean principles emphasize the importance of viewing processes as interconnected rather than isolated, and fostering teamwork across functions is key to achieving a streamlined flow of value to the customer.

The other options do not encapsulate the essence of sub-optimization in a Lean context. Focusing on waste reduction in a single area may indicate a form of optimization, but it lacks the broader perspective needed for overall system performance. Maximizing inventory turnover does not directly relate to sub-optimization since it can be a part of an optimized approach if done in alignment with other functions. Balancing production output is more about promoting harmony and efficiency in operations rather than the detrimental effects of sub-optimization.