What is identified as the waste of overproduction in lean management?

In lean management, the waste of overproduction refers specifically to producing items before they are needed. This concept is rooted in the idea that producing excess products increases inventory levels and associated carrying costs, without necessarily fulfilling actual customer demand. When production exceeds immediate requirements, it creates additional waste, such as excess stock, increased warehouse management needs, and potential obsolescence of products.

By focusing on producing only what is required when it is needed, organizations can better align their operations with actual market demand, streamline their processes, and reduce waste. This principle underpins the lean philosophy of efficiently utilizing resources to meet customer needs without overstepping into unnecessary production.