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Follow the links below to find material targeted to the unit's elements, performance criteria, required skills and knowledge

Elements and Performance Criteria

1. Analyse customer benefits and determine waste
   • Determine features/benefits perceived by customer in product
   • Analyse cost components and determine those which deliver customer features/benefits and those which don't
   • Analyse waste cost components
   • Determine alternative ways of reducing waste costs
   • Select actions which maximise customer benefits and minimise costs
2. Analyse production performance variance
   • Analyse required performance to meet customer pull
   • Determine actual cycle time/s and variability of cycle time
   • Analyse cause of waste in throughput
   • Analyse costs and determine methods of reducing costs/waste
   • Take actions required to achieve cost/waste reduction/s

Required Skills

Required skills

calculation communication problem solving analysis numeracy literacy planning and organising

Required knowledge

customer benefits from products performance and cycle times for products made major costs which are controllable and how to control them types of waste muda methods of reducing waste muda methods of reducing cycle time desirability of improving performance and methods of reducing cycle time

Evidence Required

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria required skills and knowledge the range statement and the assessment guidelines for this training package
Overview of assessment requirements	The employee will select a productrange of products to analyse and determine waste in terms of any cost which does not contribute directly to an identified customer benefitfeature and then proceed to determine and implement methods of reducing this waste
What are the specific resource requirements for this unit	Access to a workplace implementing competitive manufacturing strategies No other specific resources are required
In what context should assessment occur	Assessment will need to occur in a workplace
Are there any other units which could or should be assessed with this unit or which relate directly to this unit	This unit may be assessed concurrently with appropriate units on continuous improvementkaizen
What method of assessment should apply	Assessors must be satisfied that the person can consistently perform the unit as a whole as defined by the Elements Performance Criteria skills and knowledge A holistic approach should be taken to the assessment Assessors should gather sufficient fair valid reliable authentic and current evidence from a range of sources Sources of evidence may include direct observation reports from supervisors peers and colleagues project work samples organisation records and questioning Assessment should not require language literacy or numeracy skills beyond those required for the unit The assessee will have access to all techniques procedures information resources and aids which would normally be available in the workplace The method of assessment should be discussed and agreed with the assessee prior to the commencement of the assessment
What evidence is required for demonstration of consistent performance	Evidence should be available from a number of minor changes or from a single large change which had multiple facets and which was implemented over a period of months

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Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Waste	Waste (also known as muda in the Toyota Production System and its derivatives) is any activity which does not contribute to customer benefit/features in the product. Within manufacturing, categories of waste include: excess production and early production delays movement and transport poor process design inventory inefficient performance of a process making defective items. Waste for this unit may include activities which do not yield any benefit to the organisation or any benefit to the organisations customers.
Performance	Performance may be thought of as the rate of output of the plant compared to the rate required to meet demand.
Cycle time	Cycle time is the normal time to complete an operation on a product.
Pull	Pull is the concept of producing to demand, rather than for stock or some forecast.

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