1. Waste

2. Understanding Value & Waste
Value Added Activity
Any activity that changes the form, fit, or function of a product/transaction
— OR —
Something customers are willing to pay for
Eliminate
Minimize
Unnecessary
Waste
Necessary
Waste
Value
Any activity that absorbs resources but adds no value is a Waste
Waste is a Symptom; need to find root causes and eliminate them
Waste points to problems within the system
Non-Value Added Activity
Any activity that absorbs resources but adds no value is a Waste
Maximize

3. Waste doesn’t add value to patient, healthcare provider or staff
7 wastes originate from Toyota (Taiichi Ohno – founder of TPS)
2 further wastes identified
Transport
Inventory
Motion
Automating an inefficient process
Waiting
Overproduction
Over processing
Defects
Skills appropriate to task
Waste doesn’t add value to patient, healthcare provider or staff

4. Transport (Moving Things)
Unnecessary movement of items and materials
Examples:
Transporting samples from one location to another
Transporting slides from one rack to another
Poor layouts lead to things being moved multiple times
Movement doesn’t equal work!

5. Inventory Inventory is work in progress and stock Examples:
Over-ordering consumables & paper
Different batch sizes at each process step
For example
Stock
500,000 sheets of paper – 4 years
9 years bleach
14 months printer cartridges
Out of date stock
Catheters, scalpel blades, reagent
People
Tests waiting to be performed
Patients on waiting list

6. Motion Motion that does not add value to the process Examples:
Location of specimen reception
Poor layout of lab / rooms
Searching for equipment
Location of computers, printers, faxes & copiers
Stretching & carrying
Searching
Walking

7. Automating an Inefficient Process
Buy technology without redesigning process
Examples:
Systems/processors implemented without process changes

8. Waiting Unbalanced activities – waiting for previous/next process
Examples:
Staff waiting for other members of staff
Staff waiting for machines & deliveries
Waiting for shared equipment (computer, telephone)
Waiting for decisions

9. Over Production Processing too much, too early, just in case Examples:
Batching samples
Repeating tests before next test is due

10. Over Processing Things we do that do not add value, but add cost
Inappropriate processing / steps / activities
Examples:
Duplicate / inappropriate testing
Duplicate data entry
Duplicate QC checks

11. Defects Defective work – get it right first time, every time No rework
Examples:
Chasing missing / illegible information
Inappropriate referrals
Repeated checking

12. Skills & Creativity Poor utilisation of workforce Examples:
BMS staff processing samples
Data entry by screening staff
Managers doing admin duties
Staff ideas not captured

13. Waste Summary By identifying & eliminating waste: Safety is improved
Quality levels rise
Staff engagement & productivity is improved
Costs may be reduced