How productive is your factory?
Epirical data from, among others, Lean experts reveal that Danish companies on average use:
53 % of the time on production, the remaining 47% of the time is used on:
- Idle time
- Searching for things
– in other words: non-value-adding activities.
The time used in production is divided into:
Green time: Activities which, from the customers perspective, adds value to the product
Yellow time: Activities, which do not add value to the product, but are necessary. (Enabling processes)
Red time: Activities, which do not add value, and are not necessary (waste)
A productivity analysis is both a fast and effective method for:
- Breaking down how the costs for salaries are distributed
- Revealing potential optimizations within the factory
- Reducing the biggest causes for waste (Yellow + Red times)
- Involving the co-workers in identifying waste and listing potential solutions
How will your base line look line if your productivity increased with just 3-5%?