BM1708

Names of Students Salazar, Richelldee M. Section BSBA OM-3A

Date 12/10/22

ACTIVITY

Case Study: Automotive Company

You are a newly hired manager of Automotive Company. Since it is part of a manufacturing
industry, the company operates day and night. During your first few weeks with the company,
you have noticed a problem area in the shifting schedule of the employees. You have observed
that changing from one shift to another creates long periods of low or stopped production which
became a costly and destructive routine. Also, you have noticed that the manufacturing process
of Automotive Company is longer compared to your previous car manufacturing company since
the placement of the inputs for car production is relatively far from the actual production units.

QUESTION 1: What type/s of waste that Lean Approach targets to eliminate is/are present in
the case?

 At Automotive Company there is a problem with employees’ shifting schedule which

became a problem for their production which takes long period furthermore due to
shifting this can cost and made the employee more unproductive. However, as the
manager of the company to perform Lean approach must target to eliminate are waiting
waste and Underutilization waste. The Automotive Company has no problem on the
place more on the people who was in it, knowing the people and employee are the main
assets of the company they lack surveillance which underutilization is sole waste, and
the company doesn’t overlook their talents and limitations. In addition, due to
employee’s lack of having rights and clear process regard in terms of unproper shifting
schedule which stopped the production or take period of time to finished it which cost lot
on money. And the other waste as the manager noticed was Wasting waste that the
manufacturing process of automotive company is longer compares to it previous car
manufacturing company since the placement of the inputs for car production is relatively
far from the actual production units this cause and idle time on units. As the manager
applying for new job first must observe the company itself then it’s employees, always
observe the employees’ talents and limitations, look for problem that create waste on
production and what create the slow processes, as much as possible Managers must
avoid creating waste/reduce waste or eliminate.
QUESTION 2: What is the most effective Lean approach tool/technique that should be
employed to resolve the problem areas in the Automotive Company?

 The effective Lean approach technique as a manager performs to eliminate the waste of
the Automotive Company in this study is Layout. The Layout will be the guide for the
employee moreover it will help the company to reduce the waiting waste and lessen the
waiting waste produced by having separate and distant arrangement of inputs for
automobile manufacture from literal production units. The company must perform or plan
a well-designed layout that connects production and process. The firm layout must sync
the two interdependent operations, the layout of inputs for car output and the actual
supply unit must be located near one another so that they can lessen and afterward
eliminate the waste that might ensue. This tool aims to achieve the ideal plant layout so
that mobility and transportation waste are reduced. The idea is to get work that is input
for another process as close as possible to that process to reduce unnecessary motion and
transportation. Having well planned layout will result in improved efficiency, a reduction
in manufacturing cycle time, cost reduction, increases the inventory turnover and
ultimately improved customer satisfaction.