Overproduction means producing more than customer demand or producing it too early. It is simply everything that is produced but not yet required by the customer. As a result, overproduced items need to be stored. During storage, products can use shelf life and potential changes in specifications/ requirements can cause a need for rework or scrapping. This is clearly waste.
- Producing in batches larger than the demand
- Producing to stock (Make-to-Stock production strategy)
- Production without customer order
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