Understanding Value-Added vs. Non-Value-Added Activities

Have you ever reached the end of a busy day feeling exhausted yet struggling to identify what you accomplished? You're not alone.

Research shows that approximately 90% of our activities—both at work and home—could be classified as Non-Value-Added (WASTE). This revelation from Lean Thinking principles might sound shocking, but it also presents an incredible opportunity for improvement.

What Exactly is Value-Added "VA"?

In its simplest form, a VA activity creates direct value for which customers are willing to pay, or in our personal lives, activities that genuinely contribute to our well-being and goals.

Think about your morning coffee routine, a customer ordering a product online, or someone checking into a hotel.

Value-Added Activities

• Moring coffee routine - Brewing the coffee to your desired strength, adding preferred ingredients (cream, sugar) to taste, and pouring the coffee into your favorite mug.
• A customer ordering an online product - Clicking on the desired product, customizing options (size, color, etc.), entering the appropriate shipping and billing address, completing payment, and receiving an order confirmation.
• Checking into a hotel - Verifying guest identity, assigning the appropriate room, providing room key(s), explaining essential hotel amenities, and getting to the room.

What are Non-Value-Added Activities "NVA"?

These tasks consume our resources without directly providing value to the customer or do not contribute to our personal goals. Let's consider the same scenarios as before and look for some of the associated NVA activities.

• Moring coffee routine - Searching for misplaced coffee supplies (cream sweetener, your favorite mug), waiting for the water to heat, walking back and forth between storage locations, cleaning up any spills, having to remake the coffee if it's too strong/weak, standing idle while the coffee brews, and disposing of used coffee grounds/filters.
• Online customer order - Creating/recovering forgotten account credentials, searching through multiple pages to find desired items, re-entering information due to timeout/errors, waiting for web pages to load, reading through irrelevant promotional content, and having to contact customer service for clarification or errors.
• Hotel check-in - Standing in line to check in, waiting for computer systems to respond, filling out redundant paperwork, waiting for the room to be ready, getting lost finding the room, and having to return to the front desk due to key card issues.

Some Non-Value Added Activities are Necessary Evils

While you might desire to eliminate?ALL?NVA activities, the truth is that some of these "wastes" are necessary evils. Think of them as the equivalent of stopping at red lights—nobody enjoys them, and they don't directly get you to your destination, but they can be essential during your journey for safety.

The key is to distinguish between two types of your Non-Value Added activities - the NECESSARY "NE" (like regulatory compliance) and the purely wasteful UNNECESSARY "UN" (like searching for misplaced tools/items). This distinction will help you focus on improvement efforts that will have the most impact by minimizing the necessary activities while aggressively trying to eliminate those that serve little to no purpose.

The Game-Changing Benefits

Understanding and acting on this value-added perspective can transform our professional and personal life.

Organizations that successfully focus on value-added activities often see:

? Dramatic increases in efficiency and productivity

? Significant cost savings

? Higher customer satisfaction

? Reduced employee burnout

? More innovation opportunities

In our personal lives, this same focus can lead to:

? More meaningful relationships

? Better work-life balance

? Reduced stress and anxiety

? Greater sense of purpose and accomplishment

? Improved physical and mental well-being

Your Value-Added Journey Starts Now

Here's your challenge: For the next week, become a "value detective." Start identifying which of your daily activities truly add value and which don't. Keep a simple log or notes on your phone. You might be surprised by what you discover.

Begin with these steps:

1. Document your activities for one typical day

2. For each activity, ask: "Would my customer/family/future self be willing to pay for this?"

3. Mark activities as Value-Added (VA) or Non-Value Added (NVA)

4. For Non-Value activities, categorize them as either necessary (NE) or unnecessary (UN)

5. Start eliminating unnecessary activities

6. Look for ways to streamline the necessary but non-value-added tasks

Remember, the goal isn't to become a productivity robot—it's about intentionally choosing where you spend your time and energy.

By understanding and applying these principles, you can increase the value of your work, strengthen your relationships, and live a more fulfilling life.

The potential for positive change is enormous. Start small, but start today.

Your future self will thank you.