Application of Lean Methodology to Increase Productivity through Value Stream Mapping

Productivity plays a vital role for business because it controls the real income that is needed to meet obligations to customers, employees, shareholders, and government through taxes and still remain competitive in the marketplace. An effective way to increase productivity is to eliminate waste in the manufacturing process, therefore using lean methodology. This study aims to use one of the lean tools which are value stream mapping (VMS) to identify wastes and improve the efficiency of the sachet filling process in manufacturing company. In conjunction with state mapping, re-engineering of the manufacturing setup was also developed. The future state map shows that after the streamlining process non value added time was reduce by 43.13%. Total lead time was also reduced from 118.63 hrs to 64.96 hrs and total man-hours were reduced from 189.26 hrs to 105.93 hrs which provide significant savings to the organization with respect to labor cost.