CHAPTER 7: EIGHT AREAS OF
WASTE. OVERPRODUCTION.
Refers to the production of a given
output in excess of what is required.
WASTE. Another definition: Excessive production
Is anything done or acquired that is not of goods beyond actual demand,
required to successfully complete an leading to inefficiencies and
activity or support a process. unnecessary costs.
Wastes does not add value and can Causes and risks:
lead to inefficiencies.
It can strain resources, hinder decision o Overproduction is common in
making, and even push companies manufacturing, especially batch
toward in solvency if left and checked. production, which aims to benefit
from economies of scale.
o Economies of scale: Are the cost
EIGHT AREAS OF WASTE. advantage obtained with the
increased output of a product.
It discusses the importance of
Quantity produced and
minimizing waste to maximize resource
fixed/variable cost per unit
efficiency.
has inverse relationship.
The definition of waste, according to
o Excess production increases
Merriam-Webster dictionary, show that
storage, handling, and security
waste occurs because more resources
costs.
than necessary are being used, or the
o Storing surplus inventory raises the
resources are not being used in the
risk of theft and damage.
most effective and appropriate manner.
It highlights the importance of: proper Solution:
planning and proper execution.
o Organizations use cycle counts
physical count, climate-control
THREE KEY CONCEPTS TO REDUCE storage and access controls to
WASTE: manage overproduction.
o Aligning production with demand
According to Toyota Production System minimizes waste and extra cost.
(TPS) and Toyota Way.
a) Muri (overburden) – avoiding excessive
strain on workers and processes. WAITING.
b) Mura (inconsistency) – ensuring stable
and predictable operations Speed has become a key differentiator
c) Muda (waste) – eliminating among competing organizations.
inefficiencies in processes. Waiting is the delayed action that
happens until some other productive
action is done on the item produced.
It is usually non-value added.
Causes:
o Lack of coordination and timing The concept of a paperless workplace
between complementary activities. has existed since the 1970s, but paper
o Delays in obtaining necessary usage remains widespread.
information or approvals. However, advancements in computing
o System or departmental tools, software, and digital record-
inefficiencies slowing down workflow. keeping or making the transition to a
paperless office more feasible.
Necessary vs. unnecessary waiting:
Benefits of going paperless:
o Some waiting is unavoidable, such
as allowing paint primer to dry or o Cost savings: Reducing paper and
concrete to cure. ink usage lowers expenses.
o Unnecessary waiting of yours due to o Productivity boost: Digital
missing information, approval battle documents make information sharing
next, or system incompatibilities. and retrieval faster.
o Security improvements: Digital
storage with access controls and
TRANSPORTING. backups protect against data loss
from accidents, theft, or natural
Refers to the action of moving an item disasters.
from one location to another. o Environmental impact: Decreasing
Transporting waste is the unnecessary
paper use benefits sustainability
movement of parts, excessive handling
efforts.
of materials, or shuffling of inventory to
get access to the correct components. Challenges of paper-based systems:
This can lead to inefficiencies, increased
o High maintenance cost: Physical
costs, and safety risks.
storage requires space and upkeep.
Causes and effects: o Inefficiency: Paper records are
harder to sort, update, and
o Poor physical layout in workplaces
synchronize with electronic records.
leads to excessive transportation.
o Security risk: Paper documents can
o Moving parts and manufacturing due
be lost damaged or intercepted.
to inefficient layout increases fuel
and time costs. Technologies supporting paperless
o In healthcare, unnecessary workflows:
movement causes nurse fatigue and
o E-forms
reduces patient care time.
o Workflow applications
o Large batch sizes and shared office
o Web services
machines lead to delays and security
o PDFs and digital signatures
risks.
UNNECESSARY PAPERWORKS OR EXCESS MOTION.
PROCESSING. It occurs when unnecessary physical
movements are required to complete a
task.
It is often caused by poor workspace
layout, misplaced items, and lack of
ergonomic design.
Causes of defects:
Impacts:
o Human errors: Lack of training, and
o Financial and time waste:
clear specifications, or simple
Additional steps slow processes and
mistakes.
increase costs.
o Machine issues: Equipment
o Physical strain and health risks:
malfunctions or improper
Leads to repetitive motion disorders
maintenance
such as carpal tunnel syndrome,
o Defective processes: Poor design,
tendonitis, and muscle fatigue.
weak quality control or inconsistent
o Increased costs for employers:
standards.
Lost productivity medical expenses,
and workers compensation claims.
Solutions:
o Ergonomic improvements:
Optimize workspace design to
reduce unnecessary movements.
o Spaghetti mapping: A technique to
track movement patterns and
eliminate inefficiencies in workflows.
o Reducing distance and time:
Shortening travel distances in
processes can save significant time
and effort.
DEFECTS.
According to Merriam-Webster
dictionary, defect is a physical problem
that causes something to be less
valuable, effective, healthy, etc.,
something that causes weakness or
failure and an imperfection that impairs
worth or utility.
Defects reduce quality and effectiveness
of a product.
They increase costs by requiring pre-
work, corrections, and additional
resources.
Poor quality negatively affects customer
satisfaction and purchasing decisions.
