Waste Analysis: Concept of Waste in Lean

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CITOOLKIT
Waste Analysis
Lean Concept of Waste
Muda

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Introduction
In a Lean culture, waste is anything that doesn’t add value from the
customer’s perspective. It...

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Introduction
Wastes according to Lean are non-value-added unnecessary activities
which add cost to the produ...

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Definition
Waste Analysis is one of the core principles of Lean thinking that involves
identifying, quantify...

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Definition
Many Lean concepts and tools focus on continually
identifying and eliminating waste.
In fact, one...

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Waste Analysis 6
Total elimination of waste is the basic principle of the
Toyota system, and if one cannot u...

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Location of Wastes
Much of the focus in Lean and Kaizen is on the identification and the
removal of waste, a...

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Benefits
Waste Analysis 8
Improves productivity, flexibility
quality and safety
02
Improves morale and pride...

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Benefits
The nice thing about focusing on waste is that the benefits are immediately
visible, which will get...

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Applications
Waste analysis is applicable in manufacturing, service and office
environments.
Waste Analysis ...

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Waste Classifications
Waste takes many forms and can be found at any time and in any place.
There are many c...

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Waste Classifications
A waste can be described by the Japanese word Muda. Muda is any activity
that consumes...

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Waste Classifications
Muda is closely related to other terms . . .
Waste Analysis 13
Muda
NVA
Mura
Variation...

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Waste Classifications
Waste Analysis 14
Mura
Unevenness, fluctuating and
variation in the operation
Examples...

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Waste Classifications
Waste Analysis 15
Muda
Muri
Mura
No waste

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Waste Classifications
Practically, it is recommended to reduce process variation first (Mura), and
then elim...

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The Eight Wastes
One of the most basic and widely used models across many industries
around the world is the...

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The Eight Wastes
Waste Analysis 18
In the 1990s, the seven wastes have been changed
into eight wastes with t...

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Waste Analysis 19
The most important objective of the Toyota system has been
to increase production efficien...

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The Eight Wastes
Waste Analysis 20
Unused Skills – Wasting human talent,
creativity, enthusiasm.
Over-proces...

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The Eight Wastes
An easy way to remember these eight types of waste is with the following
acronyms . . .
Was...

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Unnecessary Transportation
The unnecessary movement of products, materials, supplies or information
from one...

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Unnecessary Transportation
Moving things costs money, causes production and
delivery delays, and may include...

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Unnecessary Transportation
While a product is being transported, it is not being worked on and no
value is b...

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Unnecessary Transportation Examples
Storing raw materials far away from production
lines.
Having the raw mat...

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Ideas to Reduce or Eliminate Unnecessary Transportation
Waste Analysis 26
Try to transport in bulk and in bo...

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Unnecessary Movement
Refers to the movement performed by people that is not required and will
not add value ...

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Unnecessary Movement
While moving materials and products from one location
to another is a transportation wa...

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Unnecessary Movement Examples
Moving too much or travelling farther than necessary to
accomplish a task.
Hav...

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Ideas to Reduce or Eliminate Wasted Movement
Waste Analysis 30
Relocate the required tools at the point of u...

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Waiting
Refers to the idle time that occurs when there are unnecessary delays
within the process.
Waste Anal...

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Waiting
Any time a person or a product is waiting:
There is no value being added.
Lead times are increased.
...

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Waiting Examples
Waiting for materials, parts, inspection, decision,
approval or people.
Waiting for the mai...

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Waiting Examples
A customer waiting for a service.
Waiting in line at a grocery store.
Waiting for a meeting...

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Ideas to Reduce or Eliminate Waiting . . .
Waste Analysis 35
Measure waiting time and make it visible
Observ...

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Excess of Inventory
Excess of inventory is having more materials or information than what is
actually needed...

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Excess of Inventory
Why it is a waste?
Takes up valuable working space.
Creates the need for more manpower a...

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Excess of Inventory
Inventory can be . . .
Waste Analysis 38
RAW
MATERIALS
FINISHED
GOODS
WORK IN
PROGRESS
R...

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Excess of Inventory
Inventory can be . . .
Waste Analysis 39
RAW
MATERIALS
WORK IN
PROGRESS
FINISHED
GOODS

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Excess of Inventory
Inventory is harder to see in an office or
transactional environment.
Inventory in offic...

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Inventory Examples
Keeping more materials than needed.
Storing raw materials ahead of requirements.
Expired ...

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Inventory Examples
Archiving documents that are not required and will never be used in the
future.
Storing c...

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Ideas to Reduce or Eliminate Inventory
Waste Analysis 43
Reduce unnecessary safety stocks
Keep track of inve...

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Over-Production
Producing greater quantities or making more of something than is required
by the customer.
W...

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Over-Production
Over-production occurs when . . .
Making things before they are
required (early production)....

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Over-Production
Increases lead times.
Consumes more materials.
Promotes a batch and queue system.
Hides qual...

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Over-Production Examples
Creating parts or information not needed by the downstream process.
Producing faste...

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Over-Production Examples
Printing multiple versions of the same publication
hoping that you will distribute ...

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Ideas to Reduce or Eliminate Over-Production
Waste Analysis 49
Produce as close to the schedule as possible
...

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Over-Processing
Processing beyond what the customer requires and providing more value
than what he or she is...

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Over-Processing
May result from . . .
Complex processes.
Poor product or service design.
Unclear requirement...

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Over-Processing Examples
Painting areas that will never be seen or that are exposed
to dirt or corrosion.
Us...

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Over-Processing Examples
Duplication of work and filling multiple forms with
repeated data.
Reinventing the ...

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Over-Processing Examples
How many bolts are there?
Waste Analysis 54

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Ideas to Reduce or Eliminate Over-Processing
Waste Analysis 55
With every task try just do it once
Find ways...

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Defects and Errors
Occurs when the product or service does not serve the purpose it was
created for.
Waste A...

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Defects and Errors
Whenever a defect occurs during a production process, extra costs are
incurred as a resul...

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Defects and Errors
Defects are caused by errors in the process which is normally caused by . . .
Waste Analy...

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Defects and Errors Examples
A manufacturing faulty part that requires
rework or needs to be scrapped.
Held-f...

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Defects and Errors Examples
Any rework activity including repair, recheck, return, reorder, replace.
Misdiag...

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Defects and Errors Examples
Typos and spelling mistakes in a cover letter or
resume.
Mislabeled envelops.
Mi...

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Ideas to Reduce or Eliminate Defects and Errors
Waste Analysis 62
Analyze root causes
Find where the errors ...

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Unused Human Skills
The eighth waste can be described in several ways . . .
Unused creativity.
Wasted ideas ...

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Unused Human Skills
Organizations employ people for the specific skills they possess, and it is
wasteful not...

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Unused Human Skills
Many companies now realize that their biggest assets are their employees.
Waste Analysis...

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Example of Unused Human Skills
When employees are not effectively engaged in the
process.
When the right per...

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Ideas to Reduce or Eliminate Unused Human Skills
Waste Analysis 67
Implement an idea system and encourage
em...

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Service Environments
All forms of waste can be present in the service environment and offices as
well as in ...

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Other Forms of Waste
There are other forms of waste beyond the eight wastes . . .
Waste Analysis 69
Wasted e...

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Capital Waste and Wasted Money Examples . . .
Waste Analysis 70
Renting a warehouse to
store extra inventory...

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Identify and Eliminate Wastes
The Eight Wastes is an analysis tool . . .
It is not enough to just identify t...

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Tools and Techniques to Identify and Eliminate Wastes
Lean provides the required methodology, tools and tech...

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Waste Walks
Enables to understand how the processes work and helps to quickly identify
waste and continuous ...

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Waste Walks
It is highly encouraged to regularly walk the process and look for
opportunities to reduce waste...

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Steps for Conducting a Waste Walk
Waste Analysis 75
Clearly describe the objective of conducting the waste w...

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Steps for Conducting a Waste Walk
Waste Analysis 76
Walk the flow of the process and look for each of the ei...

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Waste Recording Forms and Waste Logs
Waste Analysis 77
Process step Waste category Description Possible caus...

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Summary
Remember, eight kinds of waste at workplaces and offices.
Waste Analysis 78
Waste creates no value a...

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Further Information
The more visual you make a process, the more
visible the waste tends to become.
Waste An...

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Further Information
Another method is using the 5MQS model which is useful to understand
the root causes.
Wa...

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Further Information
It is good to think in terms of the eight wastes or the 5QMS, however, does
it really ma...

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Further Information
Do you have
any of these
Issues in
your area?
Waste Analysis 82
Quality is the
responsib...

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Further Information
Common Causes of Waste . . .
Waste Analysis 83
Variability in processes or machinery
Mis...

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