Reduce Unique ICDs by Redesigning the Product or the Process

The objective of this activity is to reduce the number of ICDs by reducing the occurrence of an ICD in producing a unit of Output, or by reducing the number of separate ICDs used in the Output. A unique ICD is one of the key activities in the work center's contribution to the final product (O). It is separate and distinct from any other activity in the work center. For example, the fastening of a part onto a subassembly and a quality control check of the subassembly would be unique ICDs.

B. Redesign the process of producing the ICD or Output

Change the process used to produce the ICD or Output to eliminate activities.

6. Reduce use of Purchases and Capital ICDs

Reduce Capital ICDs:
Use insurance programs

No. Industry SIC Year Notes
1 1521 2004 The Syracuse program, called Home Equity Protection, protects about $4.6 million in home equity against declines in the value of an index of local house prices. It sells protection of as much as 150% of a home's assessed value for a one time fee of 1.5% of the value protected, which Home Headquarters Inc., the program's for not-for-profit administrator, can finance for low income home owners.
2 7900 2007 Small businesses are especially vulnerable to unforeseen weather events. offers derivatives-based contracts to businesses that suffer from adverse weather. Customers select the weather events they want protection against and terms of the contract. They can purchase it online. A golf course may pay a set amount and receive a payout for each day of rain within a set period.

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