APPLICATION OF LEAN PRINCIPLES AND VALUE STREAM MAPPING FOR WASTE REDUCTION IN AUTO PARTS MANUFACTURING FLOW

Abstract

Improvement of product flow by means of applying lean principles, including value stream mapping tool has become an important component in an attempt of many companies worldwide to make transition from traditional production to the lean manufacturing system. The topic of this master thesis takes Pakistan Springs Private Limited as a case that produces different high quality components of auto parts market. This report is an attempt to understand and analyze the problems in the product flow using the example of Pipe Fork family of products used in manufacture of front shock absorber of Atlas Honda motorbike. The purpose of this case study has been to identify, analyze and propose solutions for wasterelated problems in the Pipe Fork product flow within the facility, by applying the lean thinking principles and the data collection methods. The proposed case study methodology combines both theoretical and empirical approach. Data collected in interviews with the management and workers, and observations on the workshop floor have constituted the input for the value stream mapping and process activity mapping methods. The value stream mapping method has been applied to construct the current state map of the Pipe Fork value stream and identify the wastes. As a result future state value stream map has been developed alongwith implementation framework for transition to lean manufacturing. It has been concluded from the constructed current state map of Pipe Fork value stream that the most critical wastes are waiting, transportation, unnecessary inventory, unnecessary motion and defects. Furthermore, the improper workshop layout has been recognized as the main reasons for the wastes. The measures to reduce the identified wastes have been pointed out. It has been proposed that by reducing variations in the production processes i.e. unplanned machine downtime, skill of workers, quality of machine parts, power breakdowns and unwarranted fluctuation in customer demand schedule not only can reduce product lead time and cost but also improve over equipment effectiveness. Application of pull production techniques, slight improvement in machine layout and forming machine cells can improve flow of pipe fork product family within the facility.