Abstract

Purpose: This study aims to improve Process Cycle Efficiency (PCE) by reducing waste in the assembly production line. This research is a case study conducted in a four-wheel vehicle manufacturing company to create a Lean production system. Methodology/Approach: This study uses the Waste Assessment Model (WAM) and Lean Automation integration methods carried out by 5 expert judgements in the selected four-wheeled vehicle industry. Findings: Based on the WAM method, this study found the biggest waste on the assembly line, namely transportation with a percentage of 20.44%. Improvements made with Lean Automation can increase the value of PCE from 56.76% to 63.62%. Research Limitation/Implication: This research is limited to one model, namely Multi Purpose Vehicle (MPV). This research provides benefits for companies related to waste reduction. For similar companies, this research can be input for manufacturing practitioners in improving manufacturing performance to compete in the global market. This Lean production can reduce manpower which has an impact on saving production costs. Originality/Value of paper: This paper provides added value related to the application of Lean terminology which aims to improve industrial automation-based manufacturing companies.

Highlights

  • Indonesia, Thailand, Malaysia and the Philippines are known as the “ASEAN-4 cluster” and are the dominant automotive players in Southeast Asia (Irawati and Charles, 2010)

  • The data is obtained directly to observe the real conditions in the company such as the four-wheeled vehicle assembly process which is described on the Value Stream Mapping (VSM) map

  • The analysis begins by making a VSM based on initial observations in the field

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Summary

Introduction

Thailand, Malaysia and the Philippines are known as the “ASEAN-4 cluster” and are the dominant automotive players in Southeast Asia (Irawati and Charles, 2010). Indonesia is a country that has developed rapidly as an exporter of fourwheeled vehicles and is the world’s leading automotive producer (Syah, 2019). Manufacturers of four-wheeled vehicles strive to continuously improve the efficiency of the production system by reducing non-value-added activities (NVA) (Swarnakar and Vinodh, 2016; Garza-reyes et al, 2017; Chaurasia, Garg and Agarwal, 2019). This is one of the best ways to be able to compete in the global market

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