Guide To The 7 Wastes of Lean

A GUIDE TO THE
7 Wastes of
LEAN
Shishir Singh
Origin of Lean
The roots of Lean can be traced back to the post-World War II era in Japan.
The country was in the process of rebuilding its economy, and this period
laid the foundation for the Lean philosophy we know today.
At the heart of Lean's inception was Sakichi Toyoda, the visionary founder
of Toyota Industries Corporation and often regarded as the father of the
Toyota Production System (TPS). The TPS would later become the
cornerstone of Lean manufacturing. Sakichi Toyoda's pioneering work was
instrumental in the development of key Lean concepts, most notably the
identification of the "7 Wastes" of Lean.
Sakichi Toyoda's insights into waste reduction were groundbreaking. He

identified the "7 Wastes" as the primary sources of inefficiency in
manufacturing processes.
While Toyoda laid the foundation for Lean, the journey toward perfecting
Lean principles continued with the contributions of Taiichi Ohno, an
engineer at Toyota. Ohno and his team took up the mantle, driven by a
commitment to enhance manufacturing processes, reduce waste, and
maximize both efficiency and value.
Connect & follow me on LinkedIn for more insights.

Introduction to Lean and 7 Wastes
Lean is a philosophy, a way of thinking, and a set of practices that have
transformed industries across the globe. At its core, Lean aims to eliminate
waste, enhance efficiency, and create value for customers. A fundamental
concept within Lean is the identification and elimination of the "7 Wastes."
These are seven common sources of inefficiency that can be found in both
manufacturing and service industries.
It emphasizes the elimination of anything that doesn't add value to the

product or service. The 7 Wastes, often remembered with the acronym "TIM
WOOD," are:

Explanation of 7 Wastes
Lean's goal is to minimize or eliminate these wastes by optimizing
processes. This can involve reorganizing workspaces, streamlining
workflows, and improving process efficiency.
The 7 wastes of Lean can be explained in more detail as follows:
Transportation: Transportation is the waste of unnecessary movement of

materials or products. This can occur when the layout of a workplace is
inefficient or when products are transported between different locations
unnecessarily.
Inventory: Inventory is the waste of storing more materials or products

than necessary. Excess inventory can lead to increased storage costs,
spoilage, and obsolescence.
Motion: Motion is the waste of unnecessary movement of people. This can

occur when the layout of a workplace is inefficient or when tools and
equipment are not properly organized.
Waiting: Waiting is a waste of idle time for people or machines. This can
occur when there are bottlenecks in a process or when there is a lack of
coordination between different departments.
Overprocessing: Overprocessing is the waste of adding more features or

functionality to a product or service than the customer needs. This can
lead to increased costs and longer production times.

Explanation of 7 Wastes
Overproduction: Overproduction is the most obvious form of waste. It
occurs when more products are produced than the customer needs. This
can lead to excess inventory, which can tie up capital and lead to spoilage.
Defects: Defects are the waste of producing products or services that are
not of the required quality or specification. This can lead to customer
dissatisfaction, rework costs, and even product liability claims.
Advantages/Benefits
The advantages of Lean are numerous and include:
Cost Reduction: Eliminating waste reduces operational costs, improving

profitability.
Faster Delivery: Streamlined processes mean faster delivery times to

customers.
Improved Quality: By reducing defects, Lean enhances product and service

quality.
Enhanced Employee Engagement: Empowering employees to identify and

eliminate waste boosts morale and job satisfaction.
Improved Customer Satisfaction: Lean's focus on value creation leads to

happier customers.

Use Cases
The 7 wastes of Lean can be identified and eliminated in a variety of

manufacturing and service industries. For example:
Manufacturing: In a manufacturing setting, Lean principles are applied to

reduce setup times, improve production flow, and minimize defects. For
example, Toyota famously reduced setup times on their production lines,
which allowed them to produce smaller batches and reduce inventory
waste.
Service (BPO): In Business Process Outsourcing (BPO) companies, Lean

principles can be applied to streamline administrative tasks, reduce
waiting times, and eliminate errors. For instance, a BPO might use Lean to
optimize its invoice processing by reducing unnecessary handoffs between
teams.
IT Industries: In IT, Lean principles can optimize software development

processes. Lean helps minimize unnecessary features, improve
collaboration among development teams, and reduce defects in the final
product. For example, a software company might apply Lean to create a
more streamlined software development pipeline.

Industry Examples
Transportation
Manufacturing: Excessive forklift movement in a factory, moving materials

between distant workstations.
Service (BPO): In a call center, unnecessary routing of calls to multiple

agents, causing longer call times.
IT Industries: Excessive data transfers between servers, leading to latency

and inefficiency.
Inventory
Manufacturing: Storing large quantities of raw materials that may become

obsolete before use.
Service (BPO): A BPO provider has too many customer records on file,
which makes it difficult to find the information that is needed.
IT Industries: Accumulating unused software licenses or outdated

hardware.

Industry Examples
Motion
Manufacturing: Workers frequently reach, bend, or walk to access tools or

materials.
Service (BPO): Employees have to physically move between departments

to get information or complete a task.
IT Industries: Frequent movement between workstations to access

different software or hardware components.
Waiting
Manufacturing: Idle time between manufacturing process steps due to

poor scheduling.
Service (BPO): A customer is On Hold for a long time because the

employee they need to speak to is busy with another customer
IT Industries: Waiting for approvals, feedback, or resources that slow down

software development.

Industry Examples
Overprocessing
Manufacturing: A manufacturer applies a special coating to its widgets,

even though customers do not need or want it.
Service (BPO): A BPO provider collects more information from customers

than it needs, which frustrates customers and wastes time.
IT Industries: Using overly complex software solutions for tasks that could
be achieved with simpler tools.
Overproduction
Manufacturing: Producing excessive units beyond customer demand,

leading to excess inventory.
Service (BPO): A service provider processes more customer orders than it

has staff to handle, resulting in long wait times for customers
IT Industries: Developing software with features that users don't require,

resulting in complexity and waste.

Industry Examples
Defects
Manufacturing: A manufacturer produces widgets that are not the correct

size or color, or that have other defects.
Service (BPO): Errors in data entry that necessitate correction, resulting in

extra time and cost.
IT Industries: Software coding errors that lead to debugging and patching,

delaying project completion.
By identifying and eliminating these wastes in their respective industries,

organizations can optimize their processes, reduce costs, improve
efficiency, and enhance overall quality, leading to increased customer
satisfaction and competitiveness.
Lean is a powerful approach to improve efficiency and reduce waste in

manufacturing, service, and IT industries. By identifying and eliminating the
7 wastes of Lean, organizations can significantly improve their bottom line
and deliver better value to their customers.

Hi, I am Shishir Singh, a Business Excellence and
Digital Transformation Leader. Lean Six Sigma MBB,
RPA, and BI Analytics Expert, and a Six Sigma Trainer
& Consultant
I am a LinkedIn top voice in Six Sigma, Management

Consulting, Leadership, Technology Innovation, and
Continous Improvement.

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A GUIDE TO THE

Sakichi Toyoda's insights into waste reduction were groundbreaking. He

Connect & follow me on LinkedIn for more insights.

It emphasizes the elimination of anything that doesn't add value to the

Connect & follow me on LinkedIn for more insights.

The 7 wastes of Lean can be explained in more detail as follows:

Transportation: Transportation is the waste of unnecessary movement of

Inventory: Inventory is the waste of storing more materials or products

Motion: Motion is the waste of unnecessary movement of people. This can

Overprocessing: Overprocessing is the waste of adding more features or

Connect & follow me on LinkedIn for more insights.

The advantages of Lean are numerous and include:

Cost Reduction: Eliminating waste reduces operational costs, improving

Faster Delivery: Streamlined processes mean faster delivery times to

Improved Quality: By reducing defects, Lean enhances product and service

Enhanced Employee Engagement: Empowering employees to identify and

Improved Customer Satisfaction: Lean's focus on value creation leads to

Connect & follow me on LinkedIn for more insights.

The 7 wastes of Lean can be identified and eliminated in a variety of

Manufacturing: In a manufacturing setting, Lean principles are applied to

Service (BPO): In Business Process Outsourcing (BPO) companies, Lean

IT Industries: In IT, Lean principles can optimize software development

Connect & follow me on LinkedIn for more insights.

Manufacturing: Excessive forklift movement in a factory, moving materials

Service (BPO): In a call center, unnecessary routing of calls to multiple

IT Industries: Excessive data transfers between servers, leading to latency

Manufacturing: Storing large quantities of raw materials that may become

IT Industries: Accumulating unused software licenses or outdated

Connect & follow me on LinkedIn for more insights.

Manufacturing: Workers frequently reach, bend, or walk to access tools or

Service (BPO): Employees have to physically move between departments

IT Industries: Frequent movement between workstations to access

Manufacturing: Idle time between manufacturing process steps due to

Service (BPO): A customer is On Hold for a long time because the

IT Industries: Waiting for approvals, feedback, or resources that slow down

Connect & follow me on LinkedIn for more insights.

Manufacturing: A manufacturer applies a special coating to its widgets,

Service (BPO): A BPO provider collects more information from customers

Manufacturing: Producing excessive units beyond customer demand,

Service (BPO): A service provider processes more customer orders than it

IT Industries: Developing software with features that users don't require,

Connect & follow me on LinkedIn for more insights.

Manufacturing: A manufacturer produces widgets that are not the correct

Service (BPO): Errors in data entry that necessitate correction, resulting in

IT Industries: Software coding errors that lead to debugging and patching,

By identifying and eliminating these wastes in their respective industries,

Lean is a powerful approach to improve efficiency and reduce waste in

Connect & follow me on LinkedIn for more insights.

I am a LinkedIn top voice in Six Sigma, Management

Connect & follow me on LinkedIn for more insights.

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