Friday, December 7, 2007

Advantages and disadvantages of reorganization

1. Time is saved and productivity is increased

In order to gain the motivation to follow through with the 5 S’s it is important to know the reasons how “reorganization? will be of benefit.

It is seen in offices and work shops with “Reorganization-Maintenance-Clean up- Cleanliness-The Proper Attitude “ posted on the wall in large letters. The warehouse, however, will be in total disarray, without a label on anything, defective products are piled high, rusty books are lying here and there; there are no signs of any improvements.

When inquiries are made it was told that “If we have time to reorganize, we should use that time to produce? or “we are too busy to do reorganization and maintenance? These people probably do not really understand reorganization and maintenance. It is these people who must know the real meaning of the terms

Reorganization means dividing and categorizing necessary things (materials, items and clerical work) and unnecessary things (materials, items and clerical work), getting rid of and stopping the unnecessary in order to make the work easier. By doing this more time will be gained than what has been used for reorganizing, and productivity will improve and cost will reduce.

2. Productivity

A unit of measuring the effective use of operational resources such as labor, materials, capital, etc. It refers to the ratio of input for producing an item and the amount of output.

Productivity = Output / Input

Measuring the effects of improvements

If making improvements in an office or a workshop, which was already too busy, produced no good results and made work no easier, nobody would be interested in such efforts. It follows, then, that in order to put a plan for improvement into action it must promise good results.

In order to get results and put a plan into action, you must have an understanding of the waste and loss currently being generated. Once you have this, you will automatically know what needs improving, be able to set an objective and you will also be able to predict the result. Next, you can start thinking about how to make improvements.

By understanding problems and losses, setting objectives, predicting results, making improvement according to the “reorganization? method, and going the improvement on problems which consequently become obvious, you can guarantee benefits and work will become easier.

The problems and losses occurring in the above three categories will be dealt with.

3.Waste and Losses Related to Unnecessary and Surplus items

When “reorganization? is not done correctly, material, parts, tools, cutting tools, papers, documents, and office supplies build up, resulting in unnecessary surpluses which create waste and loss as described in the following chart.

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