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Lean Management
Types of Waste
Agenda
The Main Ones
Others
The Types of Waste
4
Transportation
• Definition: Any movement of materials, supplies or resources that does not add value to
the internal or external customer needs
• Characteristics
o Extra carts, fork lifts
o Multiple storage locations
o Complex inventory management
o Extra facility space
o Improper facility layout
Inventory
• Definition: Any supply in excess to process
requirements necessary to produce goods or
services just in time
• Characteristics
o Material between processes
o Additional material handling resources
o Additional investment / cost
o Storage space
o Perishable, damage and obsolescence
o 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
o Human motion
o Lack of visual controls
o Looking for tools
o Material too far apart (walk time)
o Machine motion
Waiting
• Definition: Long period of inactivity for people, machine, or material waiting for
each other
• Characteristics
o Improper scheduling
o People waiting for machine or resources
o Poor material planning
o Late Deliveries
o Unbalanced operations
Over-Production
• Definition: Producing faster or excess quantity than the internal or external
customer needs
• Characteristics
o Just-in-case reward system
o Large lot size batch processing
o Improper demand planning/Unbalanced material flow
o Producing early
o Inventory stockpiles
Over-Processing
• Definition: Effort which adds NO value to a product or service. Enhancements
which are not valued by customers.
• Characteristics
o Lack of clear customer specifications
o Endless refinement
o Redundant approvals
o Extra copies or excessive information
Defect
• Definition: Rework needed to rectify the defect in product or service to fulfill
customer requirements
• Characteristics
o Quality problems
o Extra resources to inspect/test/rework
o Insufficient training
o Inconsistent work methods, tools
o Excessive variation
Other Types of Waste
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
o Over automation
o Under automation
o Unnecessary automation
o Automation defects/rejects
o Examples
Wrong Use of Metrics
• Definition: Any metrics that is incorrectly measured, inappropriately used or
misinterpreted is another type of waste
• Characteristics
o Incorrect data collection
o Inappropriate use
o Misinterpretation
o Misaligned targets or goals
o Examples
Summary
Seven Main Types of Waste
Other Types of Waste
© Simplilearn Solutions
Knowledge Check
Knowledge
Check
A.
B.
C.
D.
1
Which of the following is not one of the seven wastes?
Overproduction
Transporting
Excess machine capacity
Waiting
Knowledge
Check
The correct answer is
A.
B.
C.
D.
1
The main seven types of waste do not include excess machine capacity. While it is in some form of potential waste of
resource, but it is not part of the seven main waste types.
C
Which of the following is not one of the seven wastes?
Overproduction
Transporting
Excess machine capacity
Waiting
Knowledge
Check
A.
B.
C.
D.
2
What are the main seven types of waste?
Transportation, inventory, motion, waiting, over-production, over-processing, defects
Money, software, entertainment, waiting, resources, under-utilized machines, excess machine
capacity
Inventory, storage, misalignment, overheating, electricity, chatting, communication
Transportation, inventory, motion, waiting, underutilized money, over-processing,
communication
Knowledge
Check
The correct answer is
A.
B.
C.
D.
2
The main seven types of waste are Transportation, inventory, motion, waiting, over-production, over-processing, defects.
A
What are the main seven types of waste?
Transportation, inventory, motion, waiting, over-production, over-processing, defects
Money, software, entertainment, waiting, resources, under-utilized machines, excess machine
capacity
Inventory, storage, misalignment, overheating, electricity, chatting, communication
Transportation, inventory, motion, waiting, underutilized money, over-processing,
communication

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Lesson 2 - Types of Waste

  • 4. The Types of Waste 4
  • 5. Transportation • Definition: Any movement of materials, supplies or resources that does not add value to the internal or external customer needs • Characteristics o Extra carts, fork lifts o Multiple storage locations o Complex inventory management o Extra facility space o Improper facility layout
  • 6. Inventory • Definition: Any supply in excess to process requirements necessary to produce goods or services just in time • Characteristics o Material between processes o Additional material handling resources o Additional investment / cost o Storage space o Perishable, damage and obsolescence o LIFO instead of FIFO
  • 7. Motion • Definition: Any movement of people, resources or machines which does not contribute/add value to the product or service • Characteristics o Human motion o Lack of visual controls o Looking for tools o Material too far apart (walk time) o Machine motion
  • 8. Waiting • Definition: Long period of inactivity for people, machine, or material waiting for each other • Characteristics o Improper scheduling o People waiting for machine or resources o Poor material planning o Late Deliveries o Unbalanced operations
  • 9. Over-Production • Definition: Producing faster or excess quantity than the internal or external customer needs • Characteristics o Just-in-case reward system o Large lot size batch processing o Improper demand planning/Unbalanced material flow o Producing early o Inventory stockpiles
  • 10. Over-Processing • Definition: Effort which adds NO value to a product or service. Enhancements which are not valued by customers. • Characteristics o Lack of clear customer specifications o Endless refinement o Redundant approvals o Extra copies or excessive information
  • 11. Defect • Definition: Rework needed to rectify the defect in product or service to fulfill customer requirements • Characteristics o Quality problems o Extra resources to inspect/test/rework o Insufficient training o Inconsistent work methods, tools o Excessive variation
  • 12. Other Types of Waste
  • 13. 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
  • 14. Wrong Use of Automation • Definition: Any automation that is taking longer than manual work or creating additional work • Characteristics o Over automation o Under automation o Unnecessary automation o Automation defects/rejects o Examples
  • 15. Wrong Use of Metrics • Definition: Any metrics that is incorrectly measured, inappropriately used or misinterpreted is another type of waste • Characteristics o Incorrect data collection o Inappropriate use o Misinterpretation o Misaligned targets or goals o Examples
  • 16. Summary Seven Main Types of Waste Other Types of Waste © Simplilearn Solutions
  • 18. Knowledge Check A. B. C. D. 1 Which of the following is not one of the seven wastes? Overproduction Transporting Excess machine capacity Waiting
  • 19. Knowledge Check The correct answer is A. B. C. D. 1 The main seven types of waste do not include excess machine capacity. While it is in some form of potential waste of resource, but it is not part of the seven main waste types. C Which of the following is not one of the seven wastes? Overproduction Transporting Excess machine capacity Waiting
  • 20. Knowledge Check A. B. C. D. 2 What are the main seven types of waste? Transportation, inventory, motion, waiting, over-production, over-processing, defects Money, software, entertainment, waiting, resources, under-utilized machines, excess machine capacity Inventory, storage, misalignment, overheating, electricity, chatting, communication Transportation, inventory, motion, waiting, underutilized money, over-processing, communication
  • 21. Knowledge Check The correct answer is A. B. C. D. 2 The main seven types of waste are Transportation, inventory, motion, waiting, over-production, over-processing, defects. A What are the main seven types of waste? Transportation, inventory, motion, waiting, over-production, over-processing, defects Money, software, entertainment, waiting, resources, under-utilized machines, excess machine capacity Inventory, storage, misalignment, overheating, electricity, chatting, communication Transportation, inventory, motion, waiting, underutilized money, over-processing, communication