“ Eliminating…waste is not the problem, identifying it is.”
developer of the
Toyota Production System (TPS)
The Real Problem:
Examples of Waste in the Office Motion Going to copy machine or fax, searching for files, extra key strokes, hand-offs, going to get signatures. Waiting (Idle Time) Waiting for system to come up, customer or supplier responses, handed-off file to come back, decisions. Transportation Retrieving/storing files, carrying or posting paperwork, loops. Defects Data entry error, missing information, re-work. Over-Processing Repeated entry of data, “Cadillac” report when something less would do, unneeded steps, duplication, layers of approval. Over-Production Doing more than is needed, doing things too far ahead of customer need, creating reports that no one reads, making extra copies “just in case”. Inventory Open projects, unread e-mails, office supplies, unused records in database, items waiting for attention. Misused Resources Not engaging everyone in improvement, not utilizing all skills available in the organization, unclear roles and responsibilities.
Learning to see waste..… If we hadn’t challenged the status quo, we wouldn’t have: microwaves, cell phones, Ipads, portable air conditioners, makes/model of cars, laptops.
Map out each process step within the boundaries of start / stop
Map flow of materials from one step to the next
Map flow of information from start to finish
Map takt time and cycle time
Identify non value-added steps
Identify opportunities for improvement
Current State Process Request to Proposal Invoice to Cash Receipt Order Confirmed thru Shipping Focus Area for improvement due to high number of wastes
Current State Process Effectiveness November 4, 2011 Process Metrics Starting Baseline Full Process Starting Baseline Focus Area Total Number of Steps 45 26 # Value Adding Steps 23 13 # Non-Value Adding Steps 22 13 Number of Approvals 2 0 Number of Hand-offs 19 12 Number of Recycle Loops 12 5 Number Error Proofing Minimal 0