Lean refers to the concepts of Lean operations, Lean principle, Lean philosophy, etc. It is what people often talk about in operation management. Clean refers to the concepts of being green, environmental friendly, less environmental impact, etc. These two words seem to be unrelated, but somehow connected.

In this thesis, we explored the linking between Lean and environmental issues; analyze the possible benefits of coordination between Lean and environment. In the case study, we assessed the overall Lean performance of Alderholmens mekaniska, a local manufacturing company in Gävle, Sweden. This company was seeking for solutions of their environmental wastes in the production.

We found that Lean activities could be used to achieve environmental objectives. Lean methods are capable of reducing environmental waste. To coordinate Lean and environmental issues could foster an organizational culture of continuous improvement in order to encourage people to improve for better overall performance; this also benefits the environmental performance.

Based on the observation in the company, and the questionnaire made during an interview with their Lean specialist, we gave some proposals on Lean implementation with emphasis on environmental issues, in order to solve their problems of environmental wastes and, furthermore, improve the performance.