Whether they’re building bicycles, making apparel, or preparing produce, manufacturing facilities around the world all have one problem in common:

How do you reduce waste and other by-products from the production processes?

The first step is knowing and identifying the types of waste a manufacturing facility creates. Manufacturing waste is categorized in the following types:

  1. Overproduction: Producing more than what is needed, simply to store it
  2. Waiting: Idle machines and technicians, bottlenecks in production
  3. Transport: Moving parts and products multiple times
  4. Processing: Performing unnecessary processing steps in the production of products
  5. Inventory: Overstocking supplies leads to manufacturing overheads in storage and inventory management
  6. Motion: Inefficient workflows and routing manufacturing lead to technicians spending energy looking for tools etc.
  7. Correction: Producing defective products or employing a process that produces a lot of scrap

According to Forbes, manufacturers waste 10% of the GWP (Gross World Product) every year. While making up to half of the world’s GWP at $40 Trillion, 20% of every dollar spent in the industry is wasted – adding up to $8 Trillion, or 10% of the GWP.

Not only is this wasteful, but it also increases manufacturing costs, reduces profits, and impacts the environment. With so much waste produced, there’s a strong focus on changing how processes work. And establishing the right practices and systems to minimize this excess. But how?

Unfortunately, waste isn’t something that can be 100% avoided – leftovers, excess, useless. However, you want to describe it, waste is an unavoidable part of the manufacturing process. But that doesn’t mean it can’t be minimized.

With Sage 100, manufacturers can minimize waste to cut costs, help the planet and remain compliant, as they support sustainability. Streamline operations to get the most out of valuable resources through reduced waste and automated environmental compliance.

Your Next Steps

Do you want to learn more about a solution that not only streamlines your daily business operations, but minimizes waste and supports growth? Contact our team to learn more about Sage 100.

When you team up with ACC Software Solutions, you’ll receive a team of experts with over 25 years of industry experience to help determine the right solution for you and your business. Contact our team for your FREE consultation!

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