Elements and Performance Criteria

Customer features/benefits are those characteristics of the product or service which add value to the customer, this value may be assessed in financial or features terms. The customer may be internal or external.


Performance may be thought of as the rate of output of the plant compared to the rate required to meet demand.

Performance might also be thought of in terms of takt where takt time is the allowable time to produce one product at the rate and quality customers are demanding it. This is NOT the same as cycle time, which is the normal time to complete an operation on a product (which should be less than or equal to takt time).


Customer-related targets are the internally set financial and operational targets that contribute to meeting customer features/benefits.


Some costs incurred make a direct contribution to customer features/benefits. These costs continue to need to be incurred (although they may be minimised) in order to gain the customer feature/benefit. Other costs do not contribute to customer features/benefits (non-contributing cost components) and either must be maintained such as regulatory compliance and occupational health and safety (OHS) costs while other costs are not required and do not contribute to customer features and so should be eliminated if possible.

This is also defined in terms of


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.

Overview of assessment requirements
An employee will as part of their everyday routine aim to minimise waste and establish a focus in their work on meeting targets that contribute to customer features/benefits.

What are the specific resource requirements for this unit?
Access to a workplace implementing competitive manufacturing strategies. No other specific resources are required.

What critical aspects of evidence are required to demonstrate competency in this unit?
Evidence of being able to identify cost factors in employees work in terms of customer features/benefits and having made appropriate recommendations to reduce waste.
Evidence of implementing changes which reduce waste.

In what context should assessment occur?
Assessment will need to occur in a workplace or through a project in a simulated work environment.

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 improvement.

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 several episodes of analysis and implementation of recommendations to reduce waste and improve customer features/benefits.