EvomatiQ Blog

7 Types of Manufacturing Wastes & How to Minimise Them with Sage X3 ERP

Written by Rahul Yadav | May 16, 2025 9:27:33 AM
 

Lean manufacturing identifies seven core waste categories-often called TIMWOOD: Transportation, Inventory, Motion, Waiting, Over-processing, Over-production, and Defects. Understanding these manufacturing waste types is the first step to reduce manufacturing waste effectively. With an integrated ERP like Sage X3 ERP, you gain real-time visibility, standardized workflows, and powerful analytics to attack waste at its root and drive continuous improvement.

Transportation

Definition & Impact:
Unnecessary movement of materials or products between locations adds no value and increases lead time and risk of damage.

Example:
Moving raw materials back and forth between storage and multiple work centers due to poor shop-floor layout.

Sage X3 ERP Solution:

  • Multi-site Inventory Planning: Balance stock levels across warehouses to minimize transfers.
  • Barcode-Driven Routing: Enforce optimal material paths with mobile goods-in/out terminals.

Inventory

Definition & Impact:
Excess stock hides process inefficiencies, ties up capital, and risks obsolescence.

Example:
Over-ordering safety stock "just in case," leading to overstock and storage constraints.

Sage X3 ERP Solution:

  • MRP Engine: Calculate precise reorder points (min/max) and safety-stock levels.
  • Batch & Lot Traceability: Track expiration dates and lot yields to reduce spoilage.

Waiting

Definition & Impact:
Idle time when materials, people, or machines are not ready-kills throughput.

Example:
A machine stands idle awaiting manual quality inspection sign-off.

Sage X3 ERP Solution:

  • Automated Scheduling: Dynamic sequencing and alerts for upcoming setups.
  • Integrated Quality Workflows: Trigger inline inspections and release parts automatically.

Over-processing

Definition & Impact:
Performing extra work or higher precision than required wastes time and resources.

Example:
Double-checking dimensions manually because inspection steps aren't enforced in the system.

Sage X3 ERP Solution:

  • Standardized Routings: Define operation steps and inspection points once, enforce everywhere.
  • Process Cards: Auto-generate work instructions with only the required quality checks.

Over-production

Definition & Impact:
Producing more than is demanded leads to excess inventory and hidden defects.

Example:
Running large lots to "save" setup time despite actual demand being lower.

Sage X3 ERP Solution:

  • Demand-Driven Replenishment: Blend forecast and actual demand for precise batch sizes.
  • Kanban Integration: Link physical kanban signals to automated order creation.

Defects

Definition & Impact:
Products failing to meet quality standards require rework or scrap, increasing cost.

Example:
High scrap rates due to lack of SPC (statistical process control) monitoring.

Sage X3 ERP Solution:

  • Non-Conformance Management: Capture defects, initiate corrective actions, and document root causes.
  • SPC Dashboards: Monitor process metrics in real time and trigger alerts when tolerances drift.

Continuous Improvement & KPIs With Sage X3 ERP

To sustain gains, track key metrics for each waste category:

Waste Category

Key KPI

Sage X3 Module

Transportation

Transfer cycle time

Inventory Management

Inventory

Days of Inventory Outstanding

MRP

Motion

Operator travel distance

Shop-floor Execution

Waiting

Machine idle time

Scheduling & Maintenance

Over-processing

Unnecessary ops per order

Manufacturing Routings

Over-production

Production-to-demand ratio

Demand Planning

Defects

Scrap percentage

Quality Management

 

Partner with EvomatiQ for Seamless Sage X3 Implementation

While change management and training are crucial, having the right Sage X3 ERP implementation partner can make all the difference.

Why EvomatiQ?

At EvomatiQ, we specialize in guiding businesses through smooth Sage X3 ERP transformations, ensuring: Tailored Change Management Strategies that align with your company culture and business goals. Comprehensive User Training Programs designed for all departments and learning styles. Ongoing Support & Optimization to maximize system efficiency post-implementation.

Our experts have successfully helped businesses across various industries implement Sage X3 with minimal disruption and maximum ROI.

Take the Next Step

A successful Sage X3 ERP implementation is not just about deploying software—it’s about empowering your people to embrace change confidently.

Let’s make your ERP transition smooth and impactful.

Get in touch with EvomatiQ today to discuss how we can tailor our change management and user training solutions for your organization!