CHAPTER 1: INTRODUCTION

1.0 Introduction

This study was design to cater the requirement of the Final Year Project
(FYP) in order to complete the study in Bachelor of engineering technology
(Hons.) in Quality engineering. The duration of this project is two semesters
and being held in and out of University Kuala Lumpur.

A research is about the implementation of lean elements to improve

the service of workshop in order to removes and/or minimizes non-value
work activity from the manufacturing process.

To achieve continuous process improvement, an organization needs a

proven method for uncovering the root cause of nonconformances. A
workplace inspection checklist can incorporate a wide range of quality
methods that ultimately help identify what, how, and why an event occurred
so that you can take the necessary steps to ensure that it does not repeat.
Lean manufacturing is a continuous improvement philosophy which is
Synonymous with Kaizen or the Toyota Production System. The history of
lean management or lean manufacturing is traced back to the early years of
Toyota and the development of the Toyota Production System after Japan’s
defeat in WWII when the company was looking for a means to compete with
the US car industry through developing and implementing a range of low-cost
improvements within their business. In brief, lean management seeks to
implement business processes that achieve high quality, safety and worker
morale, whilst reducing cost and shortening lead times.
1.1 Organization Information

1.1.1 Company Background

GAMBAR

Figure 1: Overview of company M52 BM GARAGE

M52 BM GARAGE is a BMW car workshop that provides a variety of services

for BMW car such as service of engine, gearbox, maintenance, inspection
and solving all problems related to BMW car which is located at Taman Sierra
Perdana, Masai, Johor Bahru.

1.1.2 The Product

The workshop provides a variety of services which is:

Engine & Oil Service Inspections and checking

 Replacing engine oil and oil  Brake pads, discs and sensor
filter checking
 Air filter  Brake fluid level
 Fuel filter  Overall vehicle condition and
 Spark plugs systems
 Electrical system
 Body damage and corrosion
 Coolant/fluid levels
 Steering, tires and shock
absorbers

Table 1: Workshop services

 1.1.3 Process Flow

This figure shows the process flow in this company.

Replacement of engine Check brake pad (front

Replacement of air filter
oil, oil filter and spark and rear) thickness level
and fuel filters.
plugs. and handbrake
condition.

Checking of the car Checking tires for wear

battery for optimal Safety check on
and tear and tire wall
power output. electrical systems.
damages

Checking for coolant Checking car

and fluid levels to undercarriage for body
ensure that they are at damage or corrosion
acceptable levels that might impact
structural integrity of
1.2 Project Description

1.2.1 Problem Statement

M52 BM GARAGE is a BMW car workshop that provides a variety of services

for BMW car such as service of engine, gearbox, maintenance and solving all
problems related to BMW car which is located at Taman Sierra Perdana,
Masai, Johor Bahru. The problem statement that can be highlighted is the
late services in the workshop. As an example, service of overhauling engine
take 4 or 5 days to be completed when there are not many cars but it will
take a half week when there are a lot of cars. Late service is a waiting waste
that is no good for the operation of workshop. Solution to this problem is
improvement need to be made in other to speed up the process of service.

1.3 Objectives

The purpose of this project is to search for the services problem in the
workshop as well as implement lean manufacturing in order to improve the
productivity and efficiency of the workshop operation. Regarding to this
project, to achieve the overall aim of the research, the following objectives
were set:
- To study about development of car service
- To investigate the value added and non – value added of each
processes in the workshop
- To implement lean elements based on the discovered factors that
occur in the workshop.

1.4 Scope

The scope of this research focuses on the time consume by the workshop to
complete BMW car service at the research area. Due to the time constraints,
this research will focus on Lean manufacturing improvement projects. From
the implementation result, Value Stream Mapping (VSM) concept will be
applied. So, the output in this research is the process yield and also scraps
cost incurred due to yield loss.

1.5 Expected Findings

After complete the project, it is expected to improve the car services which
can help the workshop to achieve productivity. As a result, this company can
reduce the number of customer complaint and waiting waste that could lead
to unproductivity .Besides that, by doing this research can enable me to know
the causes of late service at the workshop.

1.6 Limitations

There are few problem uncounted when do this project such as

transportation, cost and time.

Transportation:

Cost:

Time:
 CHAPTER 2: LITERATURE REVIEW

2.1 Introduction

This chapter will provide a general description of the literature related to the
research problem. The bibliographic review was obtained from the journals,
the article and. Furthermore, all data collection for literature review are
related to this search. The literature review also helped as a guide during the
investigations.

2.2 Existing study

2.3 Lean manufacturing

According to the … the advent of recession at the beginning of twenty-first

century forced many organizations worldwide to reduce cost and to be more
responsive to customer demands. Lean Manufacturing (LM) has been widely
perceived by industry as an answer to these requirements because LM
reduces waste without additional requirements of resources. This led to a
spurt in LM research across the globe mostly through empirical and
exploratory studies which resulted in a plethora of LM definitions with
divergent scopes, objectives, performance indicators,
tools/techniques/methodologies, and concepts/elements.

The purpose of this research is to review LM literature and report

these divergent definitions, scopes, objectives, and
tools/techniques/methodologies. There are a lot of LM definitions with
difference objective and scope. Theory verification through empirical and
exploratory studies has been the focus of research in LM. One of the critical
implementation factors of LM is simultaneous adoption of leanness in supply
chain. LM has become an integrated system composed of highly integrated
elements and a wide variety of management practices.

Tools and Techniques Used In Lean Manufacturing

Lean Manufacturing is an umbrella under which many manufacturing
improvement tools are housed. These tools and techniques used in Lean
Manufacturing is 5S, standardized work instructions, value stream mapping
(VSM), total productive maintenance (TPM) , kaizen, Poka Yoke (mistake
proofing) , Just In Time (JIT), Single Minute Exchange Of Die (SMED),
Theory Of Constraints (TOC) and Kanban implementation. The below is the
tool that will be used in this research.

2.3.1 Value stream mapping (VSM)

Value stream mapping (VSM), also known as an end-to-end system map,

was a tool that was used to systematically draw out the flow as a product or
service moved its way from one function to subsequent functions throughout
the supply chain. A value stream map took into account not only the activity
of the product, but the management and information systems that supported
the basic process. By taking a value stream perspective, the big picture was
being worked on, not just individual processes, and improving the whole
system instead of just optimizing bits and pieces of it.

Work done by Jones et al. (1997) showed that VSM enabled the detailed
understanding of the waste or inefficiencies that laid in existing systems, and
that the understanding was required so that radical or incremental
improvements could then be made in the development of a Lean system.
Work done by Hines and Rich (1997) indicated that there were a few variants
of VSM methodologies and the selection on which to use would depend on
which what type of waste that needed to be eliminated. Further work by
Hines et al. (1998) compared the strength and weakness of these VSMs.
There were seven components that made up VSM: the process activity
mapping, the supply chain response matrix or time compression matrix,
production variety funnel, quality filter mapping, demand amplification
mapping, decision point analysis and physical structure mapping (Hines and
Rich, 1997).

Value stream mapping has been widely used in various manufacturing and
service industries (Hines and Rich, 1999). An example would be an
application in the distribution company, which had, with the help of VSM,
developed from a situation where it had only a very limited supplier
integration process to a strong system with a well charted future development
plan that was selfsustaining without significant outside facilitation support.
 2.4 Literature Review On Tools And Methodology

2.4.1Check sheet

A check sheet is a structured, prepared for collecting and analyzing data.

This is a generic tool that can be adapted for a wide variety of proposes
(T.Ravichandran, 2000). Check sheet is commonly uses in the situation as
the following list

 When data can be observed and collected repeatedly by

the same person or at the same location.

 When collecting data on the frequency or patterns of

events, problems, defects, defect locations, defect cause
and etc.

 When collecting data from a production process.

2.4.2Pareto Chart

A Pareto chart is a bar graph. The lengths of the bars represent frequency or
cost and arranged with longest bars on the left and the shortest to the right
(Margeret Rouse, 1998). In this way, the chart visually depicts which
situations are more significant. Pareto chart is normally used in the following
situation:

 When analyzing data about the frequency of problem or

causes on a process.

 When there are many problems or causes and you want to

focus the most significant.
  When analyzing broad cause by looking at their specific
components.

 When communicating with others about the data.

2.4.3Cause and Effect Diagram

The cause and effect diagram is to identify many possible causes for an
effect or problem that occur. It can be used to structure a brainstorming
session. It immediately sorts idea in to useful categories. Cause and effect
diagram normally used to identify possible cause for a problem. Especially
when a team`s thinking tends to fall into roots. There are several types in
category in cause and effect diagram which is:

 The 4M`s uses in manufacturing:

 Machine/equipment.

 Method, process/inspection.

 Material, raw, consumables.

 Man power which are related to physical work or mind

power brain work.
 The 8P`s used in service industry:

 Product  people

 Price  Process

 Place or plant  Physical evidence

 Promotion  Productivity and quality

 The 4S`s used in service industry:

 Surroundings

 Suppliers

 Systems

 Skills
 CHAPTER 3

RESEARCH METHODOLOGY

3.1 Research Method

This research used both qualitative and quantitative method that it is a

research method that relies on interviews, observations, subjective reports,
case studies, collection and analysis of numerical data and statistics. The
research was structured in a way that it is capable of commemorating all the
possible sources that are able to at least improvise the current conditions
within organization. On this research methodology, the quality issue faced by
BMW 52 Garage will be defined by using a tool from a solution integrating
Lean Manufacturing. In order to do so, Define, Measure, Analyze, Improve
and Control (DMAIC) methodology is use and flow of work structured (Figure
3) was outlined towards achieving intended result
 Define the highest
service defect Define

Measure the problem

area that can cause a Measure

defect

To sustain the Analyze &

Analyze and select the Control
improvement process improvement
correct lean tools (Value
Stream Mapping)

Figure 2: Research Methodology

DMAIC is a data-driven quality strategy used to improve processes. It is an

integral part of a Six Sigma initiative, but in general can be implemented as a
standalone quality improvement procedure or as part of other process
improvement initiatives such as lean. The Define processes include identify
customer critical to quality parameter which is out of specification while the
measure stage include measuring the customer output. For the analysis and
improve stage, the Value Stream Mapping tool is use and finally in the control
stage, the critical to quality parameter is being continuously monitored.

Define : the problem of the production

Measure : the frequency of the service defect

Analyze : to find the root cause of the problem

Improve : to eliminate the problem

Control : by using Value Stream Mapping (VSM) approach

 3.1.1Define The Problem In The Production

In the first stage, the foremost step to do is to identify the problem that
appears in the process which may impact the quality and the cost. The
quality problem can be traced from critical to quality parameters. In this
research, the focus is on the critical to quality parameter which is the defect
of the service that will affect the service output.

3.1.2Measuring the frequency of the service defect

In this phase, it means to gather data on the problem. So, in this project, it
will collect the data by observing the operation of the workshop to know the
total productivity output in the production. The yield of productivity output will
divide into productivity input to know the productivity level.

3.1.3Analyze the data to find the root cause

Next phase is to examine the data and process maps to characterize the
nature and extent of the problem. It will use cause and effect diagram, pareto
chart and another tools from the 7QC tools to analyze and find the root cause
of the problem.
 3.1.1Improve to eliminate the defects

The purpose of this phase is to eliminate defects in both quality and process
velocity. Which means is to do the improvement method to eliminate the
defect or the problem.

3.1.2Control by using Value Stream Mapping (vsm) approach

The last stage in this method is to lock in the benefits achieved by doing the
previous phases. Value Stream Mapping (vsm) approach will be used in
order to ensure an improvement can be achieved and also the problem at the
workshop can be terminated or reduce.

3.2 Respondent of the study

The respondent number that use in this study is 5 people. The people were
around in the workshop in which there are involve to all the working process.
The respondent is use to get the data by using observation and interview.
The data are consist quantitative calculation and qualitative data.

3.3 Collecting data

To do the research, the related data must collect in order to find the problem
in company. The data was collect from observation at workshop and
interview session. There are two types of data which is primary and
secondary data.

23
 3.2 Project Progressive

Each of the activities and discussions conducted for this project should be
reported and recorded in the project log book and each task assigned to be
completed within the stipulated time as shown in figure 4. This method can
help solve some of the problems found by carefully and systematically.

Figure 3: Project Log Book

 3.2 Schedule Description

This is an early preparation before any work is performed. After getting a

consensus, it will conduct a study on the project. At the same time I will carry
out several activities such as flow charts and Gantt charts. The chart has
spread into two sections. First section is for final year project 1 as shown in
figure 5 and second section is for final year project 2 as shown in figure 6.

Week/Activity 1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1
0 1 2 3 4 5 6 7
Preparation
for research
proposal
Defend title
Chapter 2
(literature
review)
Chapter 3
(Methodology
)
Chapter 1
( Introduction
)
FYP report
presentation
Submission
FYP report

Figure 4: Research Plan for Final Year Project 1

Week/Activity 1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1
0 1 2 3 4 5 6 7
Chapter 4
- Data collection
- Data analysis

Chapter 5
- Conclusion
- Recommendation

Submission FYP report

Submission FYP report

Figure 5: Research Plan For Final Year Project 2