How can you quickly identify the root cause of waste and inefficiency?

1 Use the 5 Whys method

The 5 Whys method is a useful technique for identifying the root cause of waste and inefficiency. For example, if production output is lower than expected, asking "why" five times can help you drill down to the underlying reason. You might find that the machines are not maintained properly due to a lack of regular maintenance schedule. Further questioning can reveal that this is caused by a lack of management support for maintenance. By asking these questions, you can pinpoint the root cause and propose solutions such as hiring more maintenance staff, creating a maintenance plan, and communicating the importance of maintenance to the management.

2 Use the fishbone diagram

The fishbone diagram, also known as the cause-and-effect diagram or the Ishikawa diagram, is a useful technique to identify the root cause of waste and inefficiency. This tool helps you visualize the possible causes of a problem and their relationships. To use it, you need to define the problem clearly at the right end of the diagram, then identify the main categories of causes, such as materials, methods, machines, people, environment, and measurement. Brainstorm the possible causes for each category and use the 5 Whys method to dig deeper into each cause. Analyze the diagram and identify the most likely root cause or causes of the problem with data and evidence. The fishbone diagram not only helps you organize your thoughts and see the big picture of the problem but also allows you to involve your team members and stakeholders in the problem-solving process.

3 Use the Pareto principle

Using the Pareto principle, also known as the 80/20 rule, is a useful technique to identify the root cause of waste and inefficiency. This principle states that 80% of the effects come from 20% of the causes, meaning a few causes are responsible for most of the problems. To use this principle, you should collect data on the frequency, severity, and cost of the problems you are facing, then rank them from highest to lowest. Plotting this data on a Pareto chart will help you identify the problems that account for 80% of the effects. Analyzing their root causes and prioritizing solutions will have the most impact. The Pareto principle helps you prioritize your efforts and resources and focus on the most critical problems, while avoiding wasting time and energy on trivial many problems.

4 Use the Gemba walk

The Gemba walk is an effective technique used to identify the root cause of waste and inefficiency. Gemba is a Japanese word that means "the real place", and it involves going to the place where the work is done and observing the process first-hand. To use the Gemba walk, you should first define its purpose and scope, and plan when and where you will go. Then, prepare a checklist of what you want to observe, such as the flow of materials, the workspace layout, the condition of equipment, worker behavior, and output quality. When at the Gemba, observe without interrupting or judging; ask open-ended questions to understand the current situation and challenges faced by workers. Take notes and pictures as needed. Review observations to identify gaps, wastes, and inefficiencies in the process; use other techniques mentioned above to analyze root causes and propose solutions. Follow up with workers and management to share findings and recommendations; implement solutions and monitor results. This approach helps gain a realistic view of the process and problems; it also builds trust with workers and management, engaging them in the improvement process.

5 Use the PDCA cycle

The PDCA cycle is a framework for continuous improvement that can help identify the root cause of waste and inefficiency. This cycle stands for Plan, Do, Check, and Act, and requires you to define the problem and goal, develop a plan of action based on root cause analysis, execute the plan and collect data on the results, compare the results with the goal while evaluating the effectiveness of the plan, and standardize or adjust the plan depending on the outcome. Repeating this cycle allows you to test your assumptions and learn from your experience while monitoring your progress.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?