Towards Improving Banking Services Quality - 16 - Waste Walk

Towards Improving Banking Services Quality 

16.

Waste Walk

Introduction to Waste Walk

A waste walk is a structured approach to observe work processes, identify waste, and propose actionable solutions to improve efficiency. It is a cornerstone activity in Lean management, emphasizing the importance of "going to the Gemba" (the actual place where work happens) to uncover inefficiencies. Often, individuals working within a system become desensitized to waste over time. A waste walk provides a fresh perspective, making waste visible again. By actively involving a team and methodically observing processes, organizations can systematically eliminate waste, enhance value delivery, and foster a culture of continuous improvement.

A waste walk is simply a planned visit to where work is being performed to observe what's happening and to note the waste. It is a maxim in lean thinking that to fix any problem you must first see the waste. However, the longer you have worked in a system, the harder it is to see the waste around you. Taking a “waste walk” is one way to make the waste visible again.

A waste walk is a primarily a group activity to identify wasteful practices taking place within a business process. First gather a group together; agree on a route and then walk the process. On the way round look for the common wastes associated with the business, as described above. Depending on the group's size it is better to choose to have some people focusing on specific wastes types, which can certainly improve the rate of spotting wastes. A waste walk supports Lean management. A waste walk can be effective if following points are take due care.

Before the Walk

To ensure the effectiveness of a waste walk, certain preparations are essential:

·       Understand the Process:
Team members should familiarize themselves with the process being observed, including key steps and objectives.

·       Have a Process Flow Diagram Handy:
A flow diagram serves as a visual guide for understanding the workflow and identifying bottlenecks.

·       Keep a Waste Walk Form:
The Waste Walk Form is a tool to record observations of waste and suggested solutions systematically.

During the Walk

The waste walk itself is an interactive process involving team members, operators, and managers. The following practices ensure a successful observation:

·       Introduction:
Begin by explaining the purpose of the visit to the process operators. A respectful approach builds trust and cooperation.

·       Ask Relevant Questions:
Engage the operators with thoughtful questions about their workflow and challenges they encounter.

·       Listen Actively:
Carefully note the operators’ inputs and perspectives, which can provide unique insights into hidden inefficiencies.

·       Document Findings:
Record all observations, including types of waste and possible solutions, in the Waste Walk Form.

·       Express Gratitude:
At the end of the walk, thank the operators for their time and input.

Types of Waste Identified

During the walk, the team may encounter various forms of waste, such as:

·       Poor layouts affecting process flow.

·       Ineffective maintenance causing delays.

·       Bureaucratic processes that add no value.

·       Excessive reporting or redundant documentation.

These issues reduce performance and profitability and must be documented for further analysis.

After the Walk

The waste walk does not end with observations. Post-walk activities ensure the findings translate into actionable improvements:

·       Share Observations:
Discuss findings with the process operators to validate observations and refine proposed solutions.

·       Mark Wastes on Visual Tools:
Update the flow chart or value stream map to highlight wasteful areas and track improvement opportunities.

·       Plan and Prioritize Improvements:
Develop an action plan to implement changes and monitor their impact on the process.

After the Walk

-          Team should share observations and findings with the operators

-          Mark wastes on the flow chart / value stream map

Waste Walk Form

A Waste Walk Form is illustrated in the Figure 10. 

Figure 8 - Waste Walk Form

Waste Walk in Banks

In banks, waste walks should ideally be conducted by a cross-functional team comprising individuals from different levels of the organization. The key participants may include:

1.       Process Owners

·       These should be managers or officers responsible for specific processes (e.g., loan processing, customer service, account management).

·       They should have in-depth knowledge of the process and can provide valuable insights during the walk.

2.       Lean Experts

·       Lean expert professionals are trained in Lean principles and can guide the team in identifying and categorizing waste effectively.

·       They are able to bring a structured approach to spotting inefficiencies and proposing solutions.

3.       Senior Management Representatives

·       Involvement of senior officers (e.g., department heads or branch managers) may demonstrate commitment to Lean principles.

·       They can ensure that identified improvements align with the bank’s strategic goals.

4.       Frontline Staff / Process Operators

·       Employees who perform the actual work (e.g., tellers, loan officers, customer service agents) are critical participants.

·       They have firsthand experience with inefficiencies and can provide practical insights.

5.       Internal Auditors   

·       These team members bring an objective perspective to the walk and ensure compliance with regulatory requirements.

6.       IT and Support Team

·       Banking processes often rely heavily on technology. Including IT professionals helps identify waste related to systems, such as software inefficiencies or bottlenecks in digital workflows.

7.       External Consultant

·       If the bank lacks in-house Lean expertise, hiring external consultant can provide a fresh perspective and expert guidance.

Key Considerations:

·       Team Size: Keep the group manageable (4–7 participants) to ensure focus and efficiency during the walk. The team should not be too big.

·       Training: All participants should have basic training in Lean principles and waste identification.

·       Collaboration: Promote open communication and teamwork to ensure a comprehensive view of the process.

By involving the right mix of individuals, banks can conduct effective waste walks that identify inefficiencies and drive meaningful improvements in customer satisfaction, compliance, and operational efficiency. During the waste walk team members should also interact with customers to understand their needs and expectations.

Conclusion

A waste walk is more than a diagnostic activity—it is a collaborative exercise that strengthens team awareness and involvement in continuous improvement efforts. By using tools like the Waste Walk Form and adhering to Lean principles, organizations can identify inefficiencies, engage employees in problem-solving, and achieve operational excellence. For the banking sector, where precision and customer satisfaction are paramount, the waste walk provides a pathway to leaner, more efficient processes that directly benefit customers and stakeholders alike. 

I welcome your comments, questions and suggestions.

Warm regards,

Keshav Ram Singhal