Re: Lean Accounting?



Good for you Wayne. and if he had went thru the metrics involved in the
True Downtime Cost, he might of realized even more savings in fixing
the problem that was scraping parts.

While the metrics described at http://www.DowntimeCentral.com are
focused on equipment downtime, they do make one aware of what would be
other wise un-notice cost.

I immediately ask, did removing the scrap cause a delay in cycle time?
Did a quality person have to get involved down the line seeing what
could be reworked? Does it cost to dispose of the scrap? etc.

As you stated, one needs to develop a certain state of mind to make
wiser daily decisions. (It all how you look at it, and only considering
the labor hours is a management mindset of the past.)

.



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