Furniture manufacturer optimizes production with support from UNDP and government of Sweden
Lean enterprise in action
December 16, 2025
Anshar Group, a well-known producer of furniture for educational and preschool institutions, libraries, and office premises, has been operating in Ukraine for more than six years. In addition to operating in Ukraine, the company exports its products to Moldova, Romania, Lithuania, Latvia, Estonia, the Czech Republic and Germany.
Producing school and preschool furniture is, of course, fundamentally different from manufacturing standard-sized furniture, as nearly all product parameters are strictly regulated to ensure the health and safety of children. This work involves numerous steps, but the team’s most pressing challenges have emerged on the painting and drying line — the need for repeated repainting of products has caused lost time, excessive paperwork, high paint and electricity consumption, and delays in product shipments.
As Serhii Panadii, Head of the Planning and Economic Department at Anshar Group, recalls: “We lived under the illusion that things would somehow sort themselves out. But life doesn’t work that way.” A decisive step toward overcoming these issues was enrolling company staff in the “Lean Production for Exporters” programme at the Smart People Business School. The training was organized with the support of the United Nations Development Programme (UNDP) and the Swedish International Development Cooperation Agency (SIDA).
The Anshar Group team joined the programme with a clear goal: to streamline their processes and learn how to identify the root causes behind recurring problems.
Training that yielded results
During the programme, Anshar Group specialists learned about practical tools for analysing and optimising production processes, including DMAIC (a five-stage methodology for business process improvement: Define, Measure, Analyse, Improve, Control), PDCA (Plan, Do, Check, Act), A3 (a concise format for visualizing challenges and solutions), and the Japanese business philosophy of Kaizen (continuous improvement through identifying inefficiencies).
After the first wave of improvements, the company recorded an almost 4.5% reduction in total costs. Particular emphasis was placed on decreasing the amount of repainting of products, which previously consumed significant time and resources. The team set a goal to reduce repainting by 25% within a month — and exceeded this target.
The first step was to apply the “5 Why” method, which identifies the root cause of an issue through repeated questioning. This approach revealed key sources of loss: periodic quality deviations caused by human error, which meant there was a need for repeated repainting. The team discussed these issues collectively and implemented several changes. They created a visual error-tracking board updated after each shift, introduced adjustments to drawings and product designs, and established a systematic approach to analysing quality deviations and repainting cases.
Thanks to this integrated effort, efficiency indicators improved significantly. Overall, the amount of repainting of products dropped by 43% – from 1,460 cases to 830 per month. The company also achieved substantial resource savings: paint consumption decreased by 45 kilograms, electricity use was reduced by 25%, preparation time before repainting was shortened by 16 hours per month, and the repainting process itself was reduced by more than six hours.
Next steps
The company plans to continue improving its processes. Immediate priorities include implementing full-scale planning between shifts, optimising the product preparation area, and reducing equipment setup time.
“My colleagues and I are extremely pleased that we were able to study at the Smart People Business School in the ‘Lean Production for Exporters’ programme,” says Panadii. “We’re grateful to UNDP and the Government of Sweden for the opportunity to participate, learn, and gain numerous tools that will help us improve our results and reach new levels. Despite it being wartime, we were inspired with renewed belief in the bright future of our company.”
The experience of Anshar Group demonstrates that the idea of lean production is not a one-time initiative but a gradual shift in mindset: It is not about one meeting or conversation, but about daily discipline, continuous improvement, and the ability to manage time effectively. At a time when Ukrainian businesses operate under significant uncertainty, these approaches help them remain competitive, efficient, and confident in the future.
This story was prepared within the Enhanced Partnership for Sustainable Recovery (EPSR) project, funded by the Government of Sweden through the Swedish International Development Cooperation Agency (SIDA), and implemented by UNDP in Ukraine.
Photo credit: Serhii Perepelytsia / UNDP in Ukraine