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Lean Management – Types of Waste

The Main One
Transportation Inventory Motion Waiting Over-production Over-processing Defects
Transportation
Definition: Any movement of materials, supplies or resources that does not add value to the internal or external customer needs
Characteristics
Extra carts, fork lifts
Multiple storage locations
Complex inventory management
Extra facility space
Improper facility layout

Inventory
Definition: Any supply in excess to process requirements necessary to produce goods or services just in time
Characteristics
Material between processes
Additional material handling resources
Additional investment / cost
Storage space
Perishable, damage and obsolescence
LIFO instead of FIFO
Motion
Definition: Any movement of people, resources or machines which does not contribute/add value to the product or service
Characteristics
Human motion
Lack of visual controls
Looking for tools
Material too far apart (walk time)
Machine motion
Waiting
Definition: Long period of inactivity for people, machine, or material waiting for each other
Characteristics
Improper scheduling
People waiting for machine or resources
Poor material planning
Late Deliveries
Unbalanced operations
Over-Production
Definition: Producing faster or excess quantity than the internal or external customer needs
Characteristics
Just-in-case reward system
Large lot size batch processing
Improper demand planning/Unbalanced material flow
Producing early
Inventory stockpiles
Over-Processing
Definition: Effort which adds NO value to a product or service. Enhancements which are not valued by customers.
Characteristics
Lack of clear customer specifications
Endless refinement
Redundant approvals
Extra copies or excessive information
Defect
Definition: Rework needed to rectify the defect in product or service to fulfill customer requirements
Characteristics
Quality problems
Extra resources to inspect/test/rework
Insufficient training
Inconsistent work methods, tools
Excessive variation

Other type of Waste
Underutilized Skills
Wrong Use of Automation
Wrong Use of Metrics

Underutilized Skills
Definition: Any skill that is not utilized to its full potential leading to customer value
Characteristics
Skills based compensation
Over qualification
Under performance
Morale
Wrong Use of Automation
Definition: Any automation that is taking longer than manual work or creating additional work
Characteristics
Over automation
Under automation
Unnecessary automation
Automation defects/rejects
Examples
Wrong Use of Metrics
Definition: Any metrics that is incorrectly measured, inappropriately used or misinterpreted is another type of waste
Characteristics
Incorrect data collection
Inappropriate use
Misinterpretation
Misaligned targets or goals
Examples

Summary
Seven Main Types of Waste
Other Types of Waste


To Be Continue

Comments

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