Lean and 8 Wastes
Lean Management is simply a method of streamlining a process, resulting in increased revenue, reduced costs and improved customer satisfaction.
Lean is achieved by removing “WASTE” , which is activity not required to complete a process.
A Lean process:
- Is faster;
- Is more efficient and economical;
- Delivers satisfactory quality
After removing every waste, only the steps required to produce a product or service that is satisfactory to a Customer will remain.
What is a WASTE?
A waste is any step or action in a process that is not required to complete a process (called “Non Value-Adding”) successfully. When Waste is removed, only the steps that are required (called “Value-Adding”) to deliver a satisfactory product or service to the customer remain in the process.
These are the 8 Wastes:
1. Defects – Products or services that are out of specification that require resources to correct;
2. Overproduction – Producing too much of a product before it is ready to be sold;
3. Waiting for the previous step in the process to complete;
4. Non-Utilized Talent – Employees that are not effectively engaged in the process;
5. Transportation – Transporting items or information that is not required to perform the process from one location to another;
6. Inventory or information that is sitting idle (not being processed);
7. Motion – People, information or equipment making unnecessary motion due to workspace layout, ergonomic issues or searching for misplaced items;
8. Extra Processing – Performing any activity that is not necessary to produce a functioning product or service.