Identifying Opportunities For Improvement
Takeaways:
There are eight types of waste and is known as TIMWOODS (Transport, Inventory, Motion, Waiting, Over-production, Over-processing, Defects, and Skills).
Transport is unnecessary movement of resources between locations.
Inventory is producing unnecessary stock.
Motion is unnecessary movement of people between locations.
Waiting is a delay between operations.
Over-production is producing something that's not requested.
Over-processing is performing work that's not required.
Defects are failure to deliver the product or service correctly the first time.
Skills is failure to utilize capabilities of staff.
The first seven wastes are easy to spot in a process map and are the starting point for process improvement initiatives. Create an inventory of the wastes and prioritize using the Pareto Rule because it helps keep you focused on the "vital few".
Skills require cross-functional collaboration and upskilling of staff. No person is a master of everything. If that is the case, then this person will be obsolete in a matter of time as the world is ever evolving.
Solutions are hard and are tied to people, process, or technology. Identify the root cause with the Subject Matter Expert (SME) using a Fishbone Diagram and 5 Whys to determine the best solution. Determine the cost-effective option for your business needs and not the price.