Enhancing Production Capacity at Manufacturing Test Company Using Lean Six Sigma

Abstract

One of the things that generally happens is a growth in production capacity, and under ideal conditions, a corporation must have enough space to accommodate an increase in output. However, what if this occurs during a period of solid output demand and needs that must be optimized quickly? Of course, this is a significant difficulty that requires a higher level of analysis to achieve an effective and economical answer. Based on the past three years’ statistics, demand from customers will rise to 528,000 in 2023, up from the highest capacity/year of only 409,000. To find the best answer, businesses must examine aspects such as business competitiveness, changing circumstances, and large fluctuations. Improvement and optimization of low-output processes will aid in achieving output. Applying the Lean Six Sigma method in evaluation yields substantial results and leads to the best solution for selecting a productivity-boosting strategy. Strategies for increasing production capacity include eliminating non-value-added operations (lean concept) and integrating processes with other processes to reduce process variability (Six Sigma concept). The results demonstrate that the increase in production capacity exceeds the target (more than 20% from 2022). It is built on the theory of constraint concept approach, which solves the core problem while moving on to the next challenge.