You might not have paid attention to the waste your organization produces. Waste minimization provides companies with environmental and social benefits.

Benefits of Addressing Waste

Until recently, you might not have paid much attention to the waste your organization produces. Waste minimization strategies not only provide companies with environmental and social benefits, but they also provide cost-effective solutions to the production process as well.

Waste is anything that provides no value to the customer, contributes nothing to your bottom line, but has a definite cost. It exists at every level of your company, in every department, and within virtually every activity that takes place.

Businesses are constantly seeking ways to increase competitiveness and boost productivity. One way to cut costs is to use resources more efficiently. Preventing waste and pollution before they are generated makes more than economic sense — recycling and environmental purchasing can boost employee morale, improve worker safety, and reduce liability.

Although implementing these programs may seem intimidating, the benefits to the environment and your company’s bottom line make it worthwhile.

Table of Contents

Key Benefits

• Reduce Costs

• Labor Costs

• Minimize Unbillable Hours Paid

• Minimize Overtime

• Improved Productivity

• Material Cost

• Lower Purchase Price

• Less Quantity Required

• Less rework, scrap volume, etc.

• Repurposing Materials

• Production Cost

• More Efficient Processes

• Eliminated Non-Value_added Steps, Delays, Redundancy

• Minimized Errors & Non-compliance

• Established Clear Responsibilities for each step

• Space Savings — freeing up significant storage space in your business. This can help you maximize available space for other revenue-generating purposes and also save on outside storage rental.

Applying the Principles of Eliminating Waste typically leads to:

• Increasing Brand Image & Power
• Developing Competitive Advantages
• Gaining New Cusomers
• Improving Environmental Support
• Good Corporate Stewardship
• Increasing Net Profits

Examples

Cost Savings

According to the University of Central Florida, waste reduction methods in the workplace can help reduce overall operating costs on many levels. Printing on both sides of a piece of paper cuts the cost of paper in half; sending correspondence via email instead of postal mail reduces the cost of paper and postage; using ceramic coffee cups and dishes in the break room in place of paper cups and plates saves money as well as trees.

Using efficient measuring techniques, setting a proper layout, and using the best tools designed for the specific production or fabrication (for example, a CNC (an automated software-controlled machine)) will minimize defects, reduce scrap material, and save time, thus lower your production/fabrication costs.

Since you are using efficient products, you have the opportunity to reduce your cost when purchasing material, which significantly affects your financial investment.

Repurposing materials also has a positive environmental impact and saves a small business money. Examples include transforming scrap paper into notepads, shredding used paper to use as packing material, and using supply shipment boxes for document storage.

To be continued…

Want to learn more? Then email us at info@DIADconsulting.com and request our complete White Paper, “Waste is a Major Problem and a Great Oppertunity”.

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