There are 7 wastes that every business should be looking at to try and reduce or eliminate as they influence the efficiency of your business. The 7 wastes were first identified by Taiichi Ohno who was a Japanese industrialist and father of the Toyota Production System also known as Lean. The 7 wastes that were identified by Ohno are:

1. Transportation
2. Inventory
3. Motion
4. Waiting
5. Overproducing
6. Over-processing
7. Defects

This can be remembered by using the acronym TIMWOOD

What does this all mean? We will break them down and give a summary of each of the wastes.

Transportation

Any form of transportation that does not add value to the process is considered a waste. Therefore, processes should be as close together as possible so that material flow can go from process to process without any significant delays. Poor layout tends to be the main contributor to transportation waste which includes multiple storage locations.

Inventory

Inventory waste is classed as all stock and work in progress that is more than the requirements necessary to produce goods or services. Excess inventory can be usually recognised by the amount of work in front of or after the process. This needs to be changed to a ‘Just In Time’ (JIT) requirement where inventory is produced as it is needed, and always work on FIFO (First In First Out) basis. This will help get the workflow through the processes quicker.

Motion

The waste of motion is basically any non-value-added movement by people or equipment that does not increase value to the product or service. This waste usually comes from a poor layout of the work area or station so there is excessive walking, reaching, bending etc. The term here is to work smarter not harder.

Waiting

Waiting is the idle time in between processes so people are standing around or work slower whilst waiting for the next job to come in. This waste comes about from poor synchronisation of the processes, incapable processes or not enough time is available to perform the work.

Over Producing

Over Producing is classed as the worst of all the 7 wastes as it causes other wastes and prevents the need for improvements. Overproduction is caused by producing things faster or more than is required. Therefore, batch sizes need to be reduced and the processes need to be made more reliable and the work needs to be done to demand not to forecast.

Over Processing

Over Processing is about putting more into the product or service than the customer demands. An architect, for instance, may call for all doors to have four hinges as it looks ascetically pleasing whereas three hinges would be practical, and the cost would be reduced. To avoid overprocessing standard work instructions should be produced so that people know what is required and should not deviate from it.

Defects

Defects is a waste where additional work is required for a product or service due to it being wrong. The cost of a defect may be low if caught at the start of a process but will be significantly higher if found by the customer as this can lead to warranty claims or court proceedings. This waste is usually caused by poor or non-existent work instructions or specifications, poor training, incapable process, or incapable supplier.

As many people work in an office or run their business from home we can see how these wastes can be applied to this environment.

Transportation – Interoffice Mail

Inventory – Full inboxes, Lengthy To-Do lists, long work queues

Motion – Walking to the copier/printer

Waiting – Delaying a meeting because someone is on holiday

Overproducing – Excessive email CCs

Over-processing – Documents going to different people for approval

Defects – Documents containing spelling and grammar errors

 

Summary

The 7 wastes can be seen in any business regardless whether it is office based or manufacturing the scale may be different, but they are still there if you look. By eliminating or reducing the 7 wastes you will find that your business will become more efficient therefore saving you time and money.