Eliminating waste … Learning to see
To be Lean you have to be able to eliminate the waste from your process. To be able to eliminate the waste you have to be able to see it. There are seven wastes to eliminate described by the acronym TIM WOOD. Tim Wood is all around.
|Product or Service
|You go through the gate to board the plane but it’s not at a stand beside the building, instead the carrier uses a bus to transport the passengers to the plane
|The airline has to cover the costs of the air side transport or pass it on to the passengers
|Due to a predicted heatwave, a food manufacturer increases its production of burger buns and rents additional freezer space to hold the stock ready for the BBQ season. Unfortunately, the weather forecasters got it wrong and torrential downpours wash away the profits.
|Generally, creating inventory only serves to lengthen the gap between paying money out for raw materials and receiving money for the finished product. It can also use up valuable space unnecessarily. It costs you money to make it and you won’t get money back until you sell it, if, of course you can!
|Filling the car with diesel or petrol
|You fill up at the pump but have to walk 30 metres each way to pay inside the kiosk – it takes you an additional 3 minutes on top of the 3 mins to fill the tank
|So just look at the % of value adding time to total time – you are “adding value” to the car for 3 mins out of the 6 in total it takes to get back on the road 50%! From the garages perspective it means the pump is only being utilised 50% of the time and in busy service stations, when queues form, people go elsewhere so; lost revenue
|Travelling by Coach
|It takes the express coach 5 hours to do 230 miles rather than 3. You lose 2 hours of your working day. So does the coach company & all the other passengers too
|Traffic delays costs the country approximately £200 billion per year equivalent to nearly 1% of GDP !!
|Returned food – did you know most people give back at least 25% of what they have been given!! Happy Pigs. Oink!!
|Air tickets costs are too high and so more people using budget airlines
|Due to 4 week print lead times, a theatre prints 500 programmes in advance of a show but only sells 350 tickets
|Excess programme booklets are binned, less profit from the show. If only programmes could be turned around in a week?
|Half way through building your swish Scandinavian sofa-bed you realise there is one M8 bolt missing – arrgghhhh!
|The supplier has to spend time dealing with your complaint and supplying you with a replacement at their cost