Lean Manufacturing (LM) is known as an effective methodology utilized by manufacturing organizations to increase productivity, improve quality, and decrease costs. On the other hand, Industry 4.0 (I4.0) transforms a traditional
factory into a smart one by integrating its machines and processes using advanced information technology and robust communication systems. Simulation and production optimization have proved to be an effective tool to analyze
the dynamic nature of the processes and statistically justify modifications paybacks. Currently, there is no decision-making tool that integrates LM and I4.0 using hybrid simulation and production optimization models to
benefit the manufacturing processes. For that reason, a framework integrating the LM and I4.0 is developed and implemented on a local window manufacturing plant using simulation and optimization tools to improve the overall
productivity of their manufacturing process. The developed framework is able to investigate process improvements and optimize the outputs to identify the bottlenecks and resources utilization, provide a useful tool to test
the effectiveness of any proposed process improvements, and identify non-value adding tasks and analyze time breakdown. The framework can be applied to any manufacturing company to not only identify and eliminate the waste
but also to statistically forecast the resulting benefits before changes are implemented.