Saint Louis College

College of Engineering and Architecture

Department of Industrial Engineering
City of San Fernando, La Union

Workplace Improvement Of Logistics Department In

Universal Leaf Philippine. Inc.

In Partial fulfilment
For the requirement in
On-the-Job Training

Researcher:

JONATHAN R. VALLESTERO

Submitted to:

Engr. Marilou Basilio, MSME

Noted By:

______________________
RAFFY UBALDO
Production Supervisor
 ABSTRACT

The main objective of this project is to perform a study on

how to make the facility flexible so it can meet thedemand of
customers and eliminate the cause of delays in the production
to maximize the productivity. Thisstudy includes
considerations of the departments and relationships with each
other that will support the production line.

Usually, production delays are the result of delays for

the product development schedule. The company is
experiencing delays in shipping the products. There is a 20%
rate of late shipping. The companyis expecting that the demand
of the product may continue toincrease in coming years. The
researchers are trying to eliminate the problem to meet and
improve the company’s productivity. The researchers
conducted a facility evaluation and interview some workers
about the work load and assignments assigned.

The researchers conclude that it is better to improve the

overall capacity of the production because due to the lack of
workerstheir production output is limited. The increase of
demand in the market is also a problem and it is forecasted
that there will be a continuous increase of demand in the
coming years that is why the researchers proposed a new plant
location that will help the company with the expenses.

CASE STUDY

I. Introduction

The researchers of this case study have agreed to conduct

a ergonomics design or arranging the workplaces and system
so that they fit the people who use them and to improve
people's interaction with the system and environments and to
minimise risk of injury or harm. So that as technologies
change, so too does the need to ensure that the tools we access
for work are designed for our body's requirements.

II. Production Information

Company Profile

In 1918, Virginia tobacco baron Jacquiline P. Taylor ,

pursuing a bold vision to build the largest tobacco leaf dealer
organization in the world, led the consolidation of six
prominent leaf merchants to form Universal Leaf Tobacco
Company, Incorporated. Universal’s original charter stated that
the Company’s business was “to buy, sell and deal in leaf
tobacco whether for its own account or on commission.”

Universal Leaf Philippines Inc. Sta. Rita Norte Agoo, La

Union. A multinational corporation engaged in growing and
processing of tobacco. It was established in Philippines in1963
under its old name Lancaster Philippines, Inc. In August 26,
2005, SEC approved the change of Lancaster Leaf Tobacco Co.,
which is an affiliate of Universal Leaf Philippines Tobacco Co.,
Inc. with headquarters at Richmond, Virginia, USA. Originally,
operations were restricted to the local dark air-cured business
but soon Universal Leaf Philippines Inc. started to take a keen
interest in developing the burley crops in the Philippines. This
reflects ULPI’s strategy of further developing different type of
tobacco crops in the Philippines and the need to improve the
products in markets. The company is headed by its president
Mr. Winston P. Uy. The company has four branches entire
Region 1 and Region 2 and National Capital Region, Agoo Main
Plant, Candon Branch, Pasig City and in Reina Mercedes,
Isabela. The Agoo Main Plant is located at Sta. Rita Norte,
Agoo, La Union.

Products:
 BEDDINGS  CURTAINS
 CUSHIONS  PLACEMATS
 TOWELS  POUCH
 TOTE BAG  DECORATIVE
FABRICS
Material Sources

The materials that are being used in the production

come from different places. They are being bought locally in the
nearby town or province like Candon, Sta. Cruz. and
Pangasinan.

III. Problem Analysis

The production process is running slow which causes late

deliveries, excessive manufacturing costs and lead time. The
scheduling and communication issues due to ineffective
process planning were the roots of late delivery problems. The
design of the facility does not support the production line.

IV. Facilities Planning

BILL OF MATERIALS
Part no. Part Drawing Quantity Make or Buy
Name no. per unit
1 Packaging 001 1 Buy
Materials
2 Threads 002 1 Buy
3 Fabric 003 1 Buy
4 Leather 004 1 Buy
5 Foils 005 1 Buy
6 Appliqué 006 1 Buy
Glue
7 Zipper 007 1 Buy
 FLOW PROCESS CHART OF TOWEL

Symbol Description

The worker will get the fabric.

The worker will stamp the body, appliqué

and cut the piping.
The stamped fabrics will go to straight
sew department.
The worker will cut the appliqué and glue
the appliqué.
The product will go to embroidery
department.
The worker from embroidery will outline
the appliqué.
The fabric will go back to the straight sew
department.
The worker from straight sew will attach
and close the piping
The product will be transferred to the
finishing department
 The product will have aninspection

The worker will brush and iron the

product.
The fabric will have a final inspection

The worker will pack the product

manually and use automatic strapping
system for final packaging.
ASSEMBLY CHART OF TOWEL

Stamping Ink

SA-1
Fabric

Appliqué

Glue
SA-2 A-1
I-1

Thread

I-2

Box

Sealers
SA-3 A-2
 Strap

Process Machine Operations Setup Time Operation

Time/ Unit

ROUTE SHEET FOR TOWEL

 1 Stamp the 45 sec. 61.12 sec.
fabrics body
and appliqué

2 Cut the 0 54 sec.

piping
Process Machine Operations Setup Time Operation
3 Appliqué 0 90.59 sec
Time/ Unit
cutting
4 Appliqué 25 sec 61.42 sec
gluing

5 Sewing Embroider 5mins. and 7mins. and

machine the outline. 17 sec. 49 sec.
6 Sewing Attach piping 58 sec. 5mins.and
machine and close 42 sec.
piping

7 Trimming 0 2mins. 13
sec.
8 Brushing 0 4mins. 3
sec.
9 Iron Ironing 0 1 min. 53
sec.
10 Inspection of 0 1 min. 20
the product sec.
11 Automated Packing 48 seconds 34 seconds
strapping
machine

TOTAL 8mins and 28mins.

22 sec. And 2 sec.

ROUTE SHEET FOR PILLOW CASE

 1 Stamp the 3mins and 14mins and
fabrics body 2 sec. 9 sec
2 Sewing Embroider 4mins and 18mins and
machine the butterfly 24 sec 43 sec
3 Iron Iron 16sec 2mins and
3sec
4 Inspect the 0 52 sec
product
5 Stamp 1min and 54 sec
border of the 24 sec
fabric
6 Sewing Sew the 8mins and 16mins and
machine backside and 31sec 28sec
outline
7 Sewing Make the 47secs. 10mins and
machine final outline 13secs.
8 Cut the 5mins. And
excess 3 secs.
fabrics
9 Inspection 1min. and
11secs.
10 Trimming 23mins.
And 3secs.
11 Brushing 7mins. And
19 secs.
12 Iron Ironing 4mins. And
10 secs.
13 Inspection 2mins. And
37secs.
14 Packing 1mins. And 23secs.
45secs.
15 TOTAL 20mins and 107mins
15secs. and 13secs.
FLOW PROCESS CHART PILLOWCASE

Symbol Description
 The worker will get the fabric from the
stock of fabrics.
The same worker will stamp the fabric.

The stamped fabrics will be transported to

embroidery department.
The worker will embroil the butterfly
design of the pillowcase.
The embroidery department will forward
the product to finishing department.
The worker from finishing department will
iron the product.
The fabric will go back to the embroidery
department.
The worker of embroidery department will
now inspect the product.
The product is going back to stamping
department.
The worker from the stamping department
will stamp the border of the fabric.
The product will be transported to
straight sew department.
The workers from the straight sew
department will now attach the back side
 of the pillowcase and outline the border.

Another worker from the straight sew will

do the final outline.
Another worker will cut the excess fabrics.

The product will be transported to

finishing department.
The worker will first inspect the product if
there are any defects or holes.
After inspection, it will be trimmed.

After trimming, it will be brushed.

After brushing, it will be ironed.

The product will have its final inspection

before packing.
The product will be pass to the packing
section and it will be packed and stored.

Activity Relationship
 Code Closeness Line Code Numerical
Weights
1 2 3 4 5 6

A Absolutely
Necessary 4
E Especially
necessary 3
I Important 2
O Ordinary 1
U Unimportant 0
X Undesirable -1

ACTIVITY RELATIONSHIP DIAGRAM

The activity relationship diagram shows the relationship of

every department, office, or service area with every other
department and area. It helps to organize departments that
need to be close to each other in relevance of importance.
1 - 4 1 1 0 2
2 - 4 4 1 2
3 - 4 1 2
4 - 1 2
5 - 0
6 -
Value Chart

Grid Diagram

6 4 3
5 2 1

Nodal representation

This is the nodal representation that we computed that has the

lowest interactions of activities that willeliminate the delays in
the production. It also helps the production flow more stable.

Proposed new facility location

Factors Weight Manila Pampanga Laguna Baguio
Air service 0.10 90 85 75 65
Shipping 0.10 85 85 80 75
modes
Community 0.15 70 80 80 85
environment
Wage rate 0.15 90 85 70 60
People to 0.10 70 80 80 85
Car ratio
Labor 0.25 90 85 85 75
availability
Weighted Scores
Factors Manila Pampanga Laguna Baguio
Air service 9 8.5 7.5 6.5
Shipping modes 8.5 8.5 8 7.5
Community 10.5 12 12 12.75
environment
Wage rate 13.5 12.75 10.5 9
People to car 7 8 8 8.5
ratio
Laboravailability 22.5 21.25 21.25 18.75
TOTAL 71.5 71 67.25 63

 We identified the location factors and categorize them as

dominant or secondary. We also consider the alternative
regions and narrow down the choices to alternative
communities and find specific sites that can help the
production work if it’s accessible of water, electricity, and
workers. After we analyse the data we make quantitative
factors pertaining the site and evaluation. The result our
computed data and its location in Taguig Manila.

CENTER OF GRAVITY
Quezon
(14.68’ N, 121.
04’ E)

Marikina
(14.65’N,
121.10’ E)
 Binondo (14.60’
N, 121.08’ E)

Manila (14.61’ N,
121.02’ E)

Pasig (14.57’
N, 121.09’ E)

Propose location
NAIA III (14.51’ N, (14.52’ N, 121.03’ E)
121.02’ E)

Alabang (14.42’ N,
121.04’ E)

COMPUTATION:
X- AXIS = Y- AXIS=
(10)(121.0851)+(8)(120.9750)+(40)(12 (10)(14.5764)+(8)(14.6091)+(40)(14.6
1.1029)+(70)(121.02230)+(150)(121.0 507)+(70)(14.6091)+(150)(14.6760)+(
437)+(300)(121.0385)+(400)(121.016 300)(14.4184)+(400)(14.5123)
5)

30+40+70+150+300+400 30+40+70+150+300+400
EXISTING LAYOUT

1. Illumination

STAMPING AREA QC SECTION

Tim Dat Dat Dat Averag
e a1 a2 a 3 e
180 176 181 179 Time Data Data Data Average
9:00 1 2 3
168 165 169 167.33 9:00 794 787 792 791
3:00 3:00 754 746 753 751
7:00 198 195 186 193 7:00 813 807 814 811.33

STORAGE
Time Data Data Data Average
1 2 3
9:00 131 136 140 135.67
3:00 114 119 116 116.33
7:00 150 139 154 147.67

The three tables’ shows the data gathered for the illumination
in the stamping department with the time frame for gathering
the data is 9:00, 3:00 and 7:00. The data gathered is expressed
in Lux. The highest data is in the QC section considering that it
is the QCsection which requires a greater illumination and
there is also a secondary source of light coming from the
window. The lowest data is in the storage that doesn’t have a
fluorescent above it and it is place in corners. The data
gathered shows that the working area has met the standards
recommended for illumination levels.
2. Sound Intensity

STAMPING AREA QC SECTION

Time Data Data Data Average Time Data Data Data Average
1 2 3 1 2 3
9:00 67 67 63 65.67 9:00 67 62 66 65
3:00 76 73 75 74.67 3:00 75 73 75 74.33
7:00 74 72 75 73.67 7:00 72 72 74 72.67

STORAGE
Time Data Data Data Average
1 2 3
9:00 63 61 65 63
3:00 75 76 72 74.33
7:00 73 75 75 74.33
The data gathered for the sound intensity is in terms of
decibels. Stamping area has the highest sound intensity
because this area has the most number of workers and the
lowest is in the QC section because there is no much sound
created as they just check for defects and this is also the place
where they receive issues and no machine is being used at that
time. In the afternoon, the sound intensity went up because
they play the radio inside the company.
 3. Temperature

STAMPING AREA QC SECTION

Time Data Data Data Average Time Data Data Data Average
1 2 3 1 2 3
9:00 24.7 24.3 24.2 24.4 9:00 23.3 22.7 23.2 23.07
3:00 21.3 21.3 20.9 21.17 3:00 20.2 20.4 20.2 20.27
7:00 20.4 20.5 19.9 20.27 7:00 19.4 19.7 19.6 19.57

STORAGE
Time Data Data Data Average
1 2 3
9:00 24.4 23.9 23.8 24.03
3:00 21.7 21.2 21.4 21.43
7:00 20.1 20.1 20.4 20.2
The temperature gathered is in terms of degrees Celsius. The
temperature is not much a problem in the workplace as it is in
Baguio and the worker feels more comfortable because they will
not sweat and it will not affect their performance. The highest
data is in the stamping area because the workplace is more
packed with workers and the light is not that high. The lowest
data gathered is in the QC section as there is a window that
provides cooler air coming from outside.
General Hazards

 Hanging objects: The fluorescent lamps that are hanged

are too low and have a metal guard that has sharp edges
 and can cause head injury. They also have a pallets stock
along the way and it results to the blockage of way.
 Awkward positions:
1. Standing – the worker does their work while
standing.
2. Sitting- the chair that they use are improper for the
workers since they cannot straight their backs.
3. Lifting- when they carry tobacco especially heavy
ones they carry it manually.Use a device to lift and
reposition heavy objects to limit force exertion.
Require that heavy loads are only lifted by two
people to limit force exertion

 Establish systems so workers are rotated away from tasks

to minimize the duration of continual exertion, repetitive
motions, and awkward postures. Design a job rotation
system in which employees rotate between jobs that use
different muscle groups.
 Recommendations

 The design of the table should be foldable.

 Proper storage of patterns, fabrics and cones.

  The fabrics must be stored properly. Those that are
heavy should be place below and the fabrics that they
use more be place in the waist level and to those that
light or not much needed be on top.
 They should label the patterns and store them
according to use/group.
 The height of the light and table should be adjusted
higher.

 When lifting heavy objects they should use cart especially

when transporting them.
  They should place those that they use more often closer to
the work area.

ALTERNATIVE LAYOUT 1
ALTERNATIVE 2
ADVANTAGES OF THE NEW FACILITY DESIGN AND
LOCATION

 The use of subcontracts

 The new facility support the production
 Adaptable and promote ease of maintenance
 Provide the employees safety and job satisfaction
 Utilize the people, equipment, and space.
 The delivery time of the product to the customer will be
lessen
 Eliminates bottlenecks
  Proficient communication between workers and
supervisors

NEW LAYOUT DESIGN

V. Recommendations
After conducting the case study the researchers come up with
the following recommendations:

 Increase the capacity to produce.

 Invest for new equipment.
 Have a better location of the facility for faster receiving of
raw materials and shipping finish products.
 Make a better facility layout to remove the bottleneck that
causes slow production
 Proper product development scheduling
 Improve communication between the employees and
supervisors
 Flexibility of the worker and workplace so it can adjust or
adapt with new product.
 Reduce lead time
 Additional manpower for a greater workforce.
 Acquire skilled workers.
 Eliminate loops.
 Use of colour coding system in the production.
 FOR PRODUCTS
 GREEN- not within the monitoring time frame.
 YELLOW- requires timely attention.
 ORANGE-requires immediate attention.
 RED- requires critical attention.
 FOR DEPARTMENTS
 GREEN- the department is meeting the
scheduled deadline of the product.
 YELLOW- the department is on a slight delay.
 ORANGE- the department is slowing down the
production flow.
 RED- the department is way behind the set
deadline and will lead to late shipment of
products.j
 VI. Conclusions

Layout enhancement of a production plant is a common

problem. It is generally considered as slow and time consuming
process. The new layout is designed to increase the overall
productivity of the facility. The results will improve the
productivity which ultimately reduces lead time and increases
value addition. The proposed layout also emphasize on better
integration of production departments of the facility

REFERENCES:
Tompkins, James A., Facilities Planning
https://www.osha.gov/

https://www.osha.gov/SLTC/ergonomics/
https://ehs.unc.edu/workplace-safety/ergonomics/