Abstract
Reducing direct labor costs can be used to create a low operation cost as the way for winning future markets including injected automotive components. This paper aims to provide an overview of direct labor costs reduction in injected automotive components through a U-shaped cellular layout as part of the lean concept. Over a decade, many types of research had already used the lean concept to solve problems in production activity through lean tools. In this paper, several lean tools such as Takt time, value stream mapping, and U-shaped cellular will be used for reducing direct labor costs that have increased yearly in Indonesia since 2015. Those lean tools will be performed in a job-shop of injected automotive components. After performing the U-shaped cellular layout, the direct labor costs were reduced to 25 % by combining the job held by two operators to become one operator.
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