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Trimming to product size is a misuse of the enterprise paper resource. So is running waste. Likewise re-start waste and re-work, and sample pulls and blanket washes, and on and on. How many dollars were eaten by each of these misuse activities?
We need that two-by-four blow delivered as an In Your Face Report to take some action. That's what you get from activity-based costing—ABC—a component of Enterprise Resource Management—ERM. It's a discipline to enable competitiveness and survival. It's painful, but no pain no gain. It's acceptance of similar statistical rigors of ERP and ERM that's prompted our national productivity gains.
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