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Lean Symposium 2016 (Part 1): The reasons of waste in production and business process solutions

30/11/2016

In the framework of the Lean Symposium forum, the experts and the representatives of Vietnam’s manufacturings and companies launched and discussed about 8 cores that made the waste in production processes and businesses. The 8 cores, which helps manufacturings and companies could reach and remove of the difficulties and problems when they apply Lean on their management system include:

• The prodigality of workforce resources and abilitis of workforce;
• The prodigality of materials, fuel and energy and the unnecessary inventory hoarding;
• The arrangement of tools and materials is inconsequential lead to the difficulties while moving items and waste of time;
• The transportation of products and the services are not planned and followed the schedule and the inconsequent of organization in activities lead to many unnecessary transportation and waste of time;
• Waste of time for waitting between the 2 part of processes and too much unessesary blank time;
• The weakness in the whole production and business processes and how to assign and get missions lead to the bad results in the qualification of products and services and unsatisfactory in request;
• The system of production and organization are overkill and unnecessary to compare with the market demand;
• The complex of the operational processes and service processes or designation in many of manufacturers and companies makes the distraction and does not fit in customer requirements.

According to experts, most of manufacturing sectors and businesses must pay a large of money for the hidden costs and the unnecessary costs. In European and America, the number of those hidden costs is in the average of 20-30% of total revenue. In Vietnam, this huge "damage" could reach to 40%.

Lean manufacturing or Lean is a reliable solution to find the root reason of wastefulness in production processes and businesses and to improve operational efficiency for enterprises. The enterprises which use Lean successfully can get a lot of advantages. Using Lean in all the systems of production processes and businesses are not only can reduce most of hidden costs, but also create a solid foundation for the development of production and business and get huge benefits of economies in the future.

CPSI