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Reduction of Cost

Posted in Material Handling

Based on the ultimate goal of lean manufacturing, proper materials handling should also be able to reduce the costs caused by waste activities, layout and procedures. Cost reductions will be achieved with significantly if the activities that have been described in previous articles can be performed well.

Many companies are ignored by most owners because of the improvement is small and has no effect whatever on the financial condition. But lean manufacturing efforts are not reducing the huge costs, but small changes like that that gets attention. If a change is obtained by only 1 cent, because it is done continuously it will be hundreds of dollars.

In the concept of KAIZEN, improvement targets are achieved not be large, but no matter how small and should be done and there it goes for further improvement. little by little but an ongoing basis.

5S management in lean manufacturing highly influential to achieving it. While it may cost a little contribution to the reduction ought to be taken into account. Maybe if only 1 item that held the change will have no effect whatsoever. However, if the entire plant consisting of thousands of items, it would seem achievement that would be obtained.

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