Waste and Operating Performance Measures Relationships and Effects: Developing the Relationship Between Waste Reduction and Elimination and Operating Performance Measures

For manufacturing and non-manufacturing operations, waste is an ever present concern that threatens, impaires and inhibitis efficiency and productivity while leading to increase in operations cost. To reduce or eliminate waste, organizations need to understand the relationships and effects of waste reduction and elimination (WRE) on operations performance measures (OPM). Understanding these relationships and effects and their potential impact on operations cost will encourage industry leaders to invest the resources required for implementation of performance measures that leads to waste reduction and elimination. The goal of this study was to develop these relationships and their effects.