S4h Resource Waste Audit

Resource Waste Audit

In manufacturing, Toyota identified seven categories of waste. They apply equally to knowledge work — with a different surface appearance but the same underlying structure. The goal is to find where resources are consumed without producing value.

The Seven Wastes in Knowledge Work

Your Process

Step 1: Map the Workflow or Resource Allocation Describe how work moves through the system — the full path from input to value delivery.

Framing check: Confirm the specific workflow or resource area before continuing. State what you've identified — the system or team being audited and its primary resource inputs — in one sentence, then use AskUserQuestion:

• Question: "I'm reading this as: [your one-sentence framing of the workflow or resource area being audited]. Is that right?"
• Header: "Framing"
• Options:
  • Yes — proceed — framing is correct
  • Adjust — one element is off; user will correct it before you continue
  • Reframe — different situation than read; incorporate the correction before proceeding

Step 2: Scan Each Waste Category For each of the seven wastes: where does it appear in the workflow? Look for specific instances, not general impressions.

Step 3: Quantify Each Waste Estimate roughly how much resource each waste consumes — time per week, headcount, or percentage of capacity. Rough estimates are fine; the goal is to rank, not to audit precisely.

Step 4: Root Cause per Waste Why does this waste exist? Process design? Incentive structure? Unclear ownership? Identifying the root cause determines whether the fix is simple or systemic.

Step 5: Rank by Impact and Recommend Which waste removal would free the most resource?

Before narrowing: Show the complete set of identified waste instances to the user first. Use AskUserQuestion:

• Question: "I've identified [N] waste instances across the seven categories. Before I select the top three by impact, are there any you'd flag as especially important, or any I've missed?"
• Header: "Prioritise"
• Options:
  • Proceed with your selection — the set looks right
  • Flag one — user will name a specific waste instance to include in the top three
  • Add a missing one — user will describe a waste instance not yet identified

Prioritise the top three and propose specific actions.

Human Check-in

Before proceeding, use the AskUserQuestion tool. State your interpretation of the situation in 1–2 sentences — what is being analyzed and what the core question is — then ask:

• Question: "My read: [your 1–2 sentence interpretation]. How do you want to proceed?"
• Header: "Scope"
• Options:
  • Full analysis — Complete all steps, reasoning shown throughout
  • Key findings only — Bottom-line output, skip step-by-step detail
  • Biggest waste items only — Top 3 losses by magnitude, skip smaller inefficiencies
  • Reframe — The read is off; correct it and the analysis will follow the corrected framing

Proceed based on their selection. If the user reframes, incorporate the correction before running any analysis.

Output Format

Waste Inventory

Top 3 Waste Reductions (Ranked by Impact)

1. [Waste type] — [Specific action] — [Expected resource freed]
2. [Waste type] — [Specific action] — [Expected resource freed]
3. [Waste type] — [Specific action] — [Expected resource freed]

Notes

Rework and duplication are usually the most expensive wastes in knowledge work, but waiting is often the most demoralising. Address the highest-cost waste first, but don't ignore the one most affecting morale.

What's Next

After delivering this output, use AskUserQuestion to offer the next move:

• Question: "Waste audited. What's next?"
• Header: "Next"
• Options:
  • /s4h-resource-allocation-analysis — Reallocate resources freed by eliminating waste
  • /s4h-resource-leverage-mapping — Reinvest freed capacity into high-leverage areas
  • /s4h-decision-criteria-weighting — Weight decisions after waste is removed from the picture
  • Done — Wrap up and synthesise what we have so far