Lean or the lean management model is currently an effective solution to help companies control and eliminate waste in production.

So, what is production waste? Waste in the model What is Lean?? Readers, let’s discover the 7 wastes of the Lean model and how to eliminate them through the following article by Ms. Uptalent!

CONTENTS:
1- What is production waste?
2- What are the 07 types of waste in the Lean model?
3- How to identify waste
4- What are the benefits of detecting 07 types of waste in the Lean model?
5- How to dispose of waste

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1- What is production waste?

By waste we mean anything that does not bring value to customers. Therefore, any activity, process, functionality or material that does not create value from the customer’s perspective is redundant, unnecessary and should be eliminated.

However, not all waste can be eliminated. One of these wastes is always essential to the production process. We can therefore divide waste into two types:

Necessary waste

This type of waste does not create value, but it is necessary to complete the production process. Some of these types of waste may involve training, planning, reporting, etc.

Unnecessary waste

This type of waste does not create value and is unnecessary. For example, redundant steps and stages in the production process.

2- What are the 07 types of waste in the Lean model?

Waste is inevitable in the production process. However, with Lean – Lean production management, you can easily identify and eliminate unnecessary waste.

In the Lean model, waste is divided into the following 7 types:

– Transport (transport).

– Inventory (inventory).

– Movement (redundant operation).

– Waiting waiting).

– Overtreatment (overtreatment).

– Overproduction (overproduction).

– Defect (defective or faulty goods).

3- How to identify waste

After understanding the 7 types of waste in the Lean model, we will learn how to identify this waste.

3.1- Transport waste

This type of waste often occurs when products are transported from one location to another. For example, transporting raw materials to the factory, transporting finished products from one factory to another or transporting products to the place of consumption.

The more times you transport the product, the more likely it will result in errors, reducing the efficiency of space and labor usage and potentially causing production delays.

Transport waste causes significant costs for businesses without generating profits. Additionally, customers do not have to pay for these unnecessary expenses.

3.2- Waste of stocks

Inventory can take many different forms such as raw materials for production, semi-finished goods in progress, or finished goods.

Inventory value represents the capital a business must spend without generating revenue. Therefore, once inventories exceed the necessary level, it will create waste for manufacturers and their customers.

3.3- Redundant operations

Redundant operations are considered unnecessary activities of workers during the production process. For example, having to move to many places to look for tools, performing redundant tasks, equipment placed too high or too low lead to inconvenience during work.

In general, redundant operations will slow down production progress, thereby reducing labor productivity.

3.4- Waiting waste

In many cases, workers have to wait for technicians to come and repair machines, wait for supplies, wait for raw materials, wait for feedback on a problem, etc.

It is this waiting that creates unnecessary waste. Because labor costs and equipment depreciation are still calculated while workers cannot work. This leads to increased costs per unit of product.

3.5- Waste due to excessive processing

As you learn about waste in Lean, you’ll see that overprocessing is also one of the most common types of waste.

The reason this waste occurs is because the company is processing in excess of customer requirements. For example, using more complex components, machining with quality that far exceeds requirements, generating many details that were not in the original design, etc.

3.6- Waste due to overproduction

Overproduction means creating more products than customers need. Overproduction will cause businesses to incur additional costs for storage, preservation, labor, etc. Therefore, overproduction becomes one of the causes of production waste.

3.7- Waste due to faulty or faulty goods

This type of waste is very costly as it leads to increased costs in many other aspects such as transportation, repair, changes in production schedules, labor, sales time of finished products, etc.

In addition to physical errors, there may also be errors in documents, incorrect specifications or incorrect product information, etc.

In general, waste from defective products can double the cost of making a product compared to the original. This is very disadvantageous for manufacturing companies.

4- What are the benefits of detecting 07 types of waste in the Lean model?

Waste detection in the production process is of great importance for companies. Specifically:

– It helps businesses find opportunities for improvement and reduce inefficient activities. From there, work productivity is improved and the achievement of set goals can be ensured.

– Minimize unnecessary waste to increase company profits as well as customer satisfaction.

– Promote employee empowerment to lead improvement activities. From there, companies will detect and eliminate waste, then synthesize, standardize and disseminate widely to all employees to create a quality cultural foundation.

– Help companies implement the JIT model – just-in-time production. With this, companies can ensure that production is always on time.

– Help companies arrange and arrange workplaces appropriately to achieve optimal production efficiency.

– Helps companies evaluate the production process accurately and comprehensively in order to efficiently use available resources.

– Ensure that businesses only purchase things truly necessary for production activities.

– Ensure that the rate of defective goods is minimal or that there are no defective goods.

– Ensure that companies only produce products that can be sold.

5- How to dispose of waste

Understanding the nature of the Lean model as well as identifying waste in production is the first step in helping companies improve and increase the efficiency of the production process.

The next thing they need to do is find ways to eliminate or minimize this waste. So what can you do to eliminate waste?

You can refer to some suggestions below to eliminate 07 types of waste in Lean model:

5.1- How to dispose of transport waste

Wasteful transportation can cause businesses to pay many large costs without making a profit.

To dispose of this type of waste, you can apply the following methods:

– Arrange the location of raw material warehouses, parts and production lines appropriately to minimize the need for excessive travel.

– Store best-selling products close to assembly and construction areas to save transportation time.

– Ensure the workspace is ventilated to minimize travel time.

5.2- How to eliminate inventory waste

Maintaining a reasonable inventory level can help businesses save a lot of costs and ensure the best product quality.

Here are ways to help you eliminate inventory waste:

– Properly plan the purchase of raw materials to reduce purchasing costs and avoid waste due to excessive stock.

– Plan effective measures to sell products to reduce the long-term storage situation.

– Use inventory management software to monitor and minimize inventory risks.

5.3- How to eliminate waste from redundant operations

Effective steps to help you eliminate waste from redundant operations include:

– Design a scientific and rigorous work process.

– Arrange the production workshop appropriately.

– Tools and supplies used for production must be placed in a reasonable location, avoiding having to move too far or too far.

5.4- How to eliminate waste due to overprocessing

Overprocessing is considered a type of waste that is quite difficult to detect. To quickly identify this type of waste, you can use the following methods:

– Use software to record and track changes in demand, design, sales trends, etc.

– Review the entire production process to find unreasonable steps and make quick adjustments.

5.5- How to eliminate overproduction waste

To eliminate overproduction waste, you can apply the following methods:

– Accurately collect customer demand statistics to plan reasonable production.

– Understand market demand to ensure adequate production, avoiding overproduction and not consuming everything.

5.6- How to eliminate waiting waste

Wastage due to waiting can delay production and result in unnecessary costs. To dispose of this type of waste, you can do the following:

– Regularly maintain machines and equipment to avoid unexpected damage during production.

– Use warehouse management software to ensure sufficient and timely supply of raw materials for production activities.

– Improve workers’ professional skills to ensure multitasking ability.

5.7- How to eliminate the waste of defective goods

You can eliminate the waste of defective goods by applying the following methods:

– Control the quality of raw materials.

– Plan maintenance and periodic upkeep of production lines.

– Train production workers in processes and the use of machines in production.

– Check the production process to detect errors and correct them.

Hopefully Ms. Uptalent’s sharing on the 7 wastes of the Lean model and how to eliminate them above will be helpful to you. This way, you will be able to better understand what Lean is and how to apply it to eliminate waste for your business. Good luck!

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