No value added (NVA) is a management term loosely related to the

lean manufacturing Lean manufacturing is a methods of production, method of manufacturing goods aimed primarily at reducing times within the Operations management#Production systems, production system as well as response times from suppliers and customers. It is ...

movement as codified in the 1980s by a landmark MIT study of the automobile industry, which explained lean production for the first time. No Value Added programs can be formal or whimsical. Generally, they involved seeking input and opinion from every level of the organization about rules, processes or process elements which are said to be "no value added". In one form, the proponent of an activity accused of being NVA must defend it, or suspend it. In a milder form, the proponent (or process owner) of an activity accused of being NVA is simply informed that it is seen in that light. Oddly, this milder form is often effective because in a large organization, the original reason for an activity can be long forgotten, similar to '' cabooses'' which came into use in the 1830s, but eventually had no useful purpose and became NVA. Some claim that this NVA is a jibe at ''Net Value Added''

accounting methods In accounting, a basis of accounting is a method used to define, recognise, and report financial transactions. The two primary bases of accounting are the cash basis of accounting, or cash accounting, method and the accrual accounting method. A ...

, which were held in low esteem by some Lean advocates, and high esteem by others.

References

{{reflist Lean manufacturing

See also

References