Application of Value Stream Mapping for Responding Customer Order Time Reduction in a Precast Concrete Production Business
Constantly changing technology and fierce competition force companies to ensure those customers’ demands can be satisfied at the right time at the lowest cost. With an increasing focus on Industry 4.0, it is becoming more important to streamline communication using Internet of Services to allow greater interaction between vendors and their customers. This study uses a concrete factory in Northern Thailand as a case study. The company had long order cycle time, leading to the proposition of applying the Value Stream Mapping (VSM) in logistics operation to the company. The investigation found that the main sources of non-value activity are in the following activities: receiving orders, checking stock, and managing transport schedules. ECRS analysis showed that using a web-based application to make real-time information flow would reduce order cycle time and increase customer satisfaction. The study will be extended further to design a web-based application for reducing order cycle time in the company.
Index Terms—Efficiency Improvement, Value Stream Mapping, Order Cycle Time, Concrete Factory.