Organizational Waste-over Production
OVER PRODUCTION
Overproduction is producing more or faster than the required demand or speed. It usually starts by getting ahead of the work required. Overproduction is mainly occurred when; Tact time>Cycle time
Tact time=(time available)/(customer demand)
When the cycle time which is the time taken by the production line to create a unit of product is very much smaller than the tact time, the time which is expected to be taken by the production line to meet the demand, overproduction is occurred.
Reasons for overproduction Measuring productivity by calculating the amount produced Unreliable process Unstable schedules Unbalanced work load Lack of reuse and recycling Woking for inaccurate information on actual demand Installing new machinery but using the same process of manufacture
Consequences of overproduction The fall of the price of the product Difficulty of selling all of the goods Loss of business profit High utility cost Disposal charges Unnecessary waste handling cost Excessive raw materials Unnecessary inventory and storage costs The money is unnecessarily stuck in the warehouse
How to eliminate overproduction
First of all the waste of overproduction within the organization must be identified. Then mainly the cycle time must be matched with the tact time. The most successful way to reduce overproduction is to implement the principles of lean manufacturing, identify the value stream using tools such as value stream mapping, process mapping, spaghetti diagrams and a host of analytical tools that are available to us. Then the work place must be rearranged accordingly by reengineering new more suitable production systems designs using machinery with suitable technology, not high tech machines too advanced for the process. Also practise the just in time principle which will contribute to the reduction of
Overproduction is producing more or faster than the required demand or speed. It usually starts by getting ahead of the work required. Overproduction is mainly occurred when; Tact time>Cycle time
Tact time=(time available)/(customer demand)
When the cycle time which is the time taken by the production line to create a unit of product is very much smaller than the tact time, the time which is expected to be taken by the production line to meet the demand, overproduction is occurred.
Reasons for overproduction Measuring productivity by calculating the amount produced Unreliable process Unstable schedules Unbalanced work load Lack of reuse and recycling Woking for inaccurate information on actual demand Installing new machinery but using the same process of manufacture
Consequences of overproduction The fall of the price of the product Difficulty of selling all of the goods Loss of business profit High utility cost Disposal charges Unnecessary waste handling cost Excessive raw materials Unnecessary inventory and storage costs The money is unnecessarily stuck in the warehouse
How to eliminate overproduction
First of all the waste of overproduction within the organization must be identified. Then mainly the cycle time must be matched with the tact time. The most successful way to reduce overproduction is to implement the principles of lean manufacturing, identify the value stream using tools such as value stream mapping, process mapping, spaghetti diagrams and a host of analytical tools that are available to us. Then the work place must be rearranged accordingly by reengineering new more suitable production systems designs using machinery with suitable technology, not high tech machines too advanced for the process. Also practise the just in time principle which will contribute to the reduction of