Wastage Control Final

8/8/2019 Wastage Control Final

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Submitted to: Prof. Ganachari


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y The process of managing waste materials. It involves the

collection, transport, processing and/or disposal of waste

materials.

y The aim of waste management has been to preventor reduce the impact of waste materials on humanhealth or local amenity and reducing the impact of

waste on the environment and recovering resources

from waste materials.


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Waste can be classified in as

y UNAVOIDABLE WASTE(or natural waste), in which

the investment necessaryto its reduction is higherthan the economyproduced.

y AVOIDABLE WASTE:-when the cost of waste is

significantlyhigher than the cost to prevent it.


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5

Bio-degradablecan be degraded (paper, wood, fruits and others)

Non-biodegradablecannot be degraded (plastics, bottles, old machines,

cans, containers and others)


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y Hazardous wastes(HW):-The numberof industries thatgenerateHW are maximum in Maharashtra (30.38%)followed byGujarat (22.93%). Minimum HW is reported inChandigarh (0.0069%).

y Non-hazardous wastes:-Waste management for non-hazardous residential and institutional waste streams inmetropolitan areas is usuallythe responsibilityoflocal

government authorities. And for commercial and industrialwastes is usuallythe responsibilityof the generator.


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y Overproduction.

y

Substitution.y Waiting time.

y Transportation.

y Inventories.

y Movement.

y Production of defective products.


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Concept of Integrated Waste Management


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Presents waste minimization con


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yWasteControl

y ScrapControl

y SpoilageControl

y Control of Defectives


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y QuantityControl:- It involves maintenance ofdetailed records of quantities with an object todetect shrinkage, breakage, loss etc

y QualityControl:- Wastage may also occur fromloss of control on process or poor quality ofmaterial.


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Legitimate Scrap:-

Predetermined or anticipated in advance due to

experience in manufacturing operations.Administrative Scrap:-

Results from administrative decision e.g. change indesign or withdrawal from saleable lots or for some

otherreasons.Defective Scrap:-

Resulting from poor qualityofraw material,negligent handling of material etc.

Residue materialthathas arecoveryvalue


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Material specification at the product designstage.

Selection ofright material and equipment.Selection ofright type ofpersonnel with proper

training and experience.

Determination of acceptable limits of scrap.

Reporting the source of waste, quantum ofwaste.

Specific areas of responsibility.


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Productionthatfails to meet qualityordimensionalrequirements

Control through predetermined standards.

Control through fixation of individualresponsibility.

Prompt & systematic reporting of spoilage.


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Partofproductionthatdoes not meetdimensionalor quality specifications of

a product but whichcan be reworked by

additionalapplicationofmaterial ,

labourand processing

Control of defective requires a basis for evaluationof performance.

Standards maybe fixed foroccurrence of defectivework


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Poor qualityof material

Lackof skill or training

Inadequate supervision

Damage in material handling

Defective or improper tooling and equipment

Deficiencies in product design

Inadequate inspection


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Normal wastage is regarded as part of theproduction cost and distributed over good units.

Cost of abnormal wastage is excluded from totalcost and charged to costing prof i t&loss account.

Anyvalue realised from the waste is credited to

process account.


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Process P Process Q Process R

INPUT 2000 2000 1825

(-) NORMAL LOSS 40 100 183

EXPECTED OUTPUT 1960 1900 1642

ACTUAL OUTPUT 1950 1925 1590

ABNORMAL LOSS/GAIN 10(L) 25(G) 52(L)


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Value of scrap will be credited to the job or process

account and anyunrecovered balance in the scrapaccount will be transferred to costing profit & lossaccount.

If the scrap value is significant and it cannot beidentified with particularjob or process, then thenet sales realisation after deducting the selling costis transferred to either material or factoryoverhead account. This will have an effect inreducing the factorycost.

Ifvalue ofscrap is negligible, the goodunits

should bearthe costofscrap andanyincome

realised will be treatedas otherincome.


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If the cost of spoilage is normal then the cost ischarged to the specific order or treated asproduction overheads.

Cost of abnormal spoilage is charged to costingP&L a/c .

If spoilt units are reused as raw materials in thesame process, no separate accounting is required.If spoilage is used for any other process or job, aproper credit should be given to relevant processaccount orjob account.


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Cost ofrectification of normal defectives is chargedto good units.

If the defect is not identifiable to the particulardepartment, the rework costs are treated as general

overheads.If normal defectives are easily identifiable with

specific jobs, the rework costs are charged to thatjob.

Abnormal defectives costs are charged to the costingP&L a/c.


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Risk maybe shared between authorities.

Focuses on cost benefits from a holistic point ofview.

Operational efficiencies.

Economies of scale and reduced overheads.


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Loss of proximityprinciple.

Time and costs to secure funding and for procurementprocess.

Requires authorities to take on some risks impactingother partners.

External risks impacting on individual authorities maynot be shared.

Few economies of scale.


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Authorities can change contractors/services moreeasilyand frequently.

The scope of contracts maybe tailored to encouragegreater market appetite from smaller specialist orlocallybased companies.

Shared Targets.

Greater market appetite for larger contracts, morecompetition.


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Individual authorities constrained from influencingservices beyond its boundaries.

Likelytorequire more frequent tendering with lesslong term stability.

Short term focus maylead to higher costs in the longterm.

Potential loss of communityinvolvement and interest.


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yName of companies: Formoso,Isatto,Hirota.

y Brazilian companies.

y Formoso : Developers & Builders

y Isatto : Developers & Builders

y Hirota: Contractor for private clients.

y Small organization

y Sites are managed by a Civil engineer & Forman

y Under graduate: Responsible for data collection


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y Environment damage.

y Results in reducing the future availability

Scare resources.

y Identifyand controlling waste for future availabilityofmaterial and energy.


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Any inefficiency that results in the use of

y 1. Equipment,

y 2. Materials,

y 3. Labour

y 4. Capital

y in larger quantities than those considered as necessary

y in the production of a building.


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Incidence ofMaterial

Losses

Execution ofunnecessary

work

AdditionalCosts

Not add value to the product.Waste should be defined as any losses produced by activities thatgenerate direct or indirect costs but do not add anyvalue to theproduct.


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y Unavoidable waste : In which the investment

necessary to its reduction is higher than the economy

produced.

y Avoidable waste : When the cost of waste is

significantly higher than the cost to prevent it.


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y Overproduction

y Substitution

y Waiting time

y Transportation

y Processing

y Inventories

y Production of defective product


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y

The waste of building materials is far higher than thenominal figures assumed by the companies in their

cost estimates.

y There is a very high variability of waste indices from

site to site.y Company do not seem to be concerned about material

waste, since they do not apply relatively simple

procedures to avoid waste on site.

yNone of them had a well-defined material

management policy.


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y Most building firms did not know the amount of waste

they had before the development of the study.

y Problem in flow in the management system, and have

very little to do with the lack of qualification andmotivation of workers.

y waste is usually the result of a combination of factors,

rather than originated by an isolated incident.

y Inadequate design, lack of planning, flaws in the

material supply system.


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y Data collection was very expensive, involving a largeteam of researchers, including people who areheavily involved in monitoring the work on site.

y The results of data collection take a long time to

implement. This limits the impact of those studies interms of corrective action.

y The results of such surveys take a long time to beproduced, usually after the work being monitored hasfinished. This limits the impact of those studies interms of corrective action.

y Little involvement of people from the company inboth data collection and analysis. Because of that thelearning process tend to be very limited.


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y A protocol was developed for data collection, involvingthe application of quantitative and qualitativetechniques.

y

Feedback from the site must be as much transparent aspossible and the people directlyinvolved in theprocess.

y Those people could learn from theirown experiences

and commit themselves to the reduction of waste inthe process.


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y After identifying causes method used has to be pro-active, allowing the processes to be controlled duringthe life span of the production process.

y

Post method emphasizes on learning how to learnfrom process control in order to encourage thelearning process to happen in the whole system.


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Preliminarymeetingto present theobjective of study

Protocol used todefine and monitor

the productionprocess

Direction given to incharge of datacollection

Related to definitionof control cycle

Collectingproductivitydata ofworkers and usage

of materials

Gets informationabout the output ofeach activities.

Data: usage ofmaterial and man-

hours spent,Periodical inventory

Weeklydata,converted into

monthlyand thenanalyzed data

Audit


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No waste is best.

Waste has to be separated asdirected to use it.Find Resources in Waste.

No waste is best.

Waste has to be separated asdirected to use it.Find Resources in Waste.

THANK YOU

Wastage Control Final

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