Publication: Productivity improvement of production operation to reduce manufacturing leadtime
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Date
2024-07-01
Authors
Chor Hau Wen
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Abstract
Manufacturing lead time is crucial for every company to thrive in competitive environments. It encompasses the time from raw material procurement to product delivery. Reducing lead times able to increase customer satisfaction, reduce inventory costs, and enhances market adaptability. Productivity is an important key at firm level to measure of efficiency and effectiveness. It involves in optimizing cycle time to improve efficiency, reduce costs, and enhance customer responsiveness. This study focuses on VC Ventures Resources Sdn. Bhd., a hardwood plywood manufacturer which located in Sungai Bakap, Penang. The company faced low productivity and excessive labour in the packaging plant. By applying lean manufacturing principles and conducting time and motion studies, we aimed to improve productivity and reduce manufacturing lead time.
The approaches included thorough time and motion study, lean manufacturing, and simulations to optimize the current layout. The results showed an 8.46% increasing in productivity, a 6.73% reduction in costs, and a 16.83% decreasing in total travel distance. These findings highlight the importance of continuous evaluation and optimization in manufacturing, demonstrating the significant impact of these approaches on operational efficiency and competitiveness. This study underscores the value of lean principles in achieving operational excellence and provides a reference for similar industries aiming to enhance productivity and reduce lead times