[12] R. Shah and P. T. Ward, “Lean manufacturing: Context, practice bundles, and performance”, Journal of Operations Management, Vol. This was based on the idea that addressing these topics would lead to realization of the five lean principles. According to Ohno [14], only the activities that are needed to produce the product are called as real work, and the rest is defined as waste. “Waste” is defined as material or resources in excess of customer requirements, on the path to the delivery of a product or service. Causes of information wastes are due to: poor hand-offs, translation, missing information, irrelevant information, and inaccuracy. Womack and Jones introduced two new categories „complexity‟ and „time lag‟ to Toyota‟s seven categories of waste in manufacturing and deleted „over processing‟.

Value-added components are defined as the expenses or efforts that directly lead to products or services for which a customer is willing to pay. 2, pp. Below are the definitions of these wastes and where they can be commonly identified in a warehouse setting. The remainder of the paper is structured as follows: First, the author presents a brief overview of lean wastes. For example, a high level of inventory causes waiting times. It is in the organization’s best interest to create programs that will continuously challenge the staff to accomplish newer and bigger things as time progresses. 1. 6, pp. [15] L. Koskela, “Application of the New Production Philosophy to Construction”, Center for Integrated Facility Engineering Technical Report # 72, pp. In addition, lack of immediate access to other developers and other representatives disrupts concentration. Brief History Henry Ford & Lean Lean Today Principles of Lean Manufacturing Identify value Map the Value Stream Create Flow Establish pull Seek Perfection 4. 2, pp.

The 8 Wastes of Lean. [8] D. I. Ben-Tovim, J. E. Bassham, D. Bolch, M. A. Martin, M. Dougherty and M. Szwarcbord, “Lean thinking across a hospital: redesigning care at the Flinders Medical Centre”, Australian Health Review, Vol.

There are some waste activities which are similar in nature but there are other non-vale added activities, which are different from manufacturing wastes. These service wastes are classified as: The finding of the study reveals that waste activities and the classification in non-manufacturing are not same as manufacturing waste activities. [22] C. Bauch, “Lean Product Development: Making Waste Transparent”, Diploma Thesis, 2004. Instead, it ties up resources. Identification and elimination of waste or non-value added activities are at the core of lean philosophy and are often referred to through discussions involving „muda‟ - the Japanese word for waste [3], [6], [7], [8], [9],[10], [11], [12]. Lean concepts, originated first in the automobile factory floor of Toyota as Toyota Production System (TPS) was the beginning of Lean practices in manufacturing and subsequently it was developed further to reduce and eliminate wastes in the processes within the organization [1],[ 2],[ 3]. Relearning wastes, resources that add no value for the customer. According to Maleyeff [24], the most common problems included a lack of standard procedures, long service times, communication breakdowns, and poor personnel management. These are just a few examples of how one can identify wastes within their warehousing operations. Definition: More work or higher-quality than is required by the customer. The definition of categories of waste has continuously been discussed by exploring the differences between manufacturing and product development environment. 420-437, 2007. It is important to increase the awareness of employees on the concept of waste, as well as on the ways to identify and reduce waste. 18, No. This is the true nature of the economic machine. The key to success therefore, is to minimize any wastage in the supply chain from supplier to customer, to facilitate this objective.

The customer is always king. The car manufacturing industry has managed to minimize this waste to a science. It was based on the idea that non-synchronization leads to low performance in product development processes. The term is applicable to both services and products, as there is an item either physical or intangible that is being transformed via each stage. These new waste categories are behavioral waste – human behaviors that add no value and can be eliminated, complexity, dangerous working practices, excess information, figuring what to do or how to do it, making do [18], not taking advantage of people‟s thoughts, wasting good ideas; not using people‟s talents, under-utilization of people‟s skills and capabilities [19] .
Later on, Poppendieck and Poppendieck [26] suggested a classification of waste as follows: Partially done work, is „inventory of software development‟. 31, No. Warehousing Examples: Reaching repeatedly for a tool to use during a task, excessive walking to reach a work area, walking within the work area.

Definition: The time associated with waiting for the next step in a process to occur. This is related to the movements of physical items, not people. Petersen., C. Wohlin and D. Baca, “The waterfall model in large-scale development - state of the art vs. industrial case study”, Proceedings of the 10th International Conference on Product Focused Software Development and Process Improvement, pp. Information wastes arise from inefficient data flow between activities and across connections.

The Post-It was born from a culture of innovation. The possible causes of process wastes are: checking, work-around, non-standard, unbalanced flow, and sub-optimization. According to Polat and Ballard [16], waste is any activity which can be eliminated without reducing customer value. For example, painting a car black is a value-added component. 25, No. As an organization, it is in your best interest to tap into your human capital, because they are the future of the organization. wastes), which areconcealed in any kind of process. 674-689, 2006. There can be two types of wastes [17]: In many instances, when lead-time is critically examined, the composition of value-added activities and non-value-added activities are found to be 5 and 95 per cent, respectively.

Minimizing the aforementioned process wastes, and optimizing organizational human capital utilization, will enable your organization to operate from a leaner perspective, and allow for more competitive and profitable operation. 55-60, 1996. 24-37 , 2004. Storage also has additional costs and it is in the best interest of the management to minimize these associated costs. Oil consumption varies across the year due to seasonal demand. He also analyzed each category‟s effect on value. In … The fundamental concept of lean is to help businesses establish what is valuable for their customers and then optimise their value creating processes by cutting out waste and to perfect the entire operation so that the service flows smoothly.. While aiming for absolute elimination of wastes, the following two points must be borne in mind. The essence of lean production is elimination of all types of wastes for fulfillment of customer requirements in a better way [13]. Definition: Having excess products and materials that are not currently being processed. Some practitioners include an 8th waste, unutilized talent. Koskela [15] defined waste in construction sector as “any inefficiency that results in the use of equipment, materials, labour or capital in larger quantities than those considered in the production of a building”. One of the tenets of Lean Manufacturing is a Just-In-Time system which facilitates the minimum inventory in an ideal theoretical operation. One attribute of a successful company is a culture of continuous improvement – striving to systematically identify and reduce wastes within your processes will ultimately improve the quality of the products and services while positively impacting the bottom line for your business. To reduce waste, the lean manufacturing iscapitalizing on various tools at its disposalincluding regular process review.

27-32, 2005. “Lean” has become a business buzzword over the last 20 years – but many people do not understand what it really means or how the concepts relate to their business. Over-production occurs in instances where product generation exceeds product demand. There are opportunities to do further study to understand and find out the relationship among various waste categories. Warehousing Examples: Having fast-moving SKUs located near the back of a facility, conveyors that wind around unnecessarily through a building, interfacility product moves to balance inventory, distance travelled to reach customer demand locations. [26] Mary Poppendieck and Tom Poppendieck, “Implementing Lean Software Development: From Concept to Cash”, Addison Wesley Professional, 2007. [3] T. Melton, “The Benefits of Lean Manufacturing: What Lean Thinking has to Offer the Process Industries”, Chemical Engineering Research and Design, Vol. Inventory is critical because: It hides defects that are thus discovered late in the process [27]. Waiting for people to be available who are being busy in other areas causes waste. He introduced 11 categories of waste, replacing all but „waiting‟. [32] D. Sarkar, “Lean for service organisations and offices: a holistic approach for achieving operational excellence and improvements”, American Society for Quality and Dorling Kindersley Publishing, 2008. Krafcik, first used the word “Lean” to describe the new production techniques introduced at Toyota after World War II [4]. “Waste” is defined as material or resources in excess of customer requirements, on the path to the delivery of a product or service. This categorization of wastes would be useful while applying Lean principles in different industry settings. Waste is a serious issue facing the healthcare industry today. Having wasteful activities can lower profitability, increase customer costs, decrease quality, and even employee satisfaction. [2] James P. Womack, Daniel T. Jones and Daniel Roos, “The Machine that Changed the World”, Free press publisher, 1990.

One way to minimize this waste is to keep all the unit operations in close proximity to each other, as well as in sequential order so that no steps are re-traced. Ignoring knowledge that people bring to the workplace, in its turn, destroys utilizing their potential. 241-252, 2001. 386-400, 2009.

9, No. Unnecessary movement by employees during the course of their work. Type of wastages from Serv ices (Qu et al. Definition: The expenses and efforts associated with rework, scrap and incorrect information. The key to success therefore, is to minimize any wastage in the supply chain from supplier to customer, to facilitate this objective. 255-262, 2006. 41-47, 2005. Table 1. [11] S. A. Rooney and J. J. Rooney, “Lean Glossary”, Quality Progress, Vol. With the advent of robotics, the precision can be improved even more, and higher consistent quality output sustained. The term “waste” can be applied to a number of areas, from wasted resources and finances to wasted time and human potential. [29] C. T. Formoso, E. L. Isatto and E. H. Hirota, “Method for waste control in the building industry”, Proceedings of the 7th International Group for Lean Construction-7, 1999. 1, pp. [28] K.