Application of the Lean Tools towards the Process Improvements of the Label Quarantine Process in the Warehouse Operations– A Case Study Based on ABC Apparel (Pvt.) Ltd in Sri Lanka

Abstract

Lean manufacturing philosophy is a well-known business practice to use as a waste elimination strategy in many business organizations. This study is an applied study that focuses on applying the Lean Manufacturing philosophy to reduce the unnecessary movements which are considered as one of the “Muda” types in Lean in the label quarantine process in the warehouse practices in ABC Apparel company. The main objective of the study is to improve the Label Quarantine (LQ) process in warehouse operations by reducing the unnecessary movements using Lean Manufacturing Philosophy in ABC apparel company”. Two thousand four hundred and twenty-six LQ processes in the warehouse are drawn for the sample. After applying the Lean tools, samples of thousand LQ processes are drawn to check the improvement. The direct observation method was used to collect data from the sample. Under the Direct Observation method, Shop floor visits, and OHNO Cycle were used as data gathering strategic tools. Four international brands LQ Processes are included in the sample. And also, twenty-five warehouse employees were interviewed using the KAIZEN methodology and brainstorming methods. Descriptive analysis, Process flow analysis, Cause, and effect analysis are used to identify the causes for the issue and analyze the gathered data. Analyzed data revealed that all the considered labels have a high number of unnecessary movements in the foam of touchpoints in the LQ process. All the label’s LQ processes are improved to a considerable level by using the Lean Manufacturing system. The LQ process of Lebel x1 is improved by reducing its touchpoints by 39% and label x2 by a considerable amount of 89%, label x3 by 53% and label X4 by 8%. Overall LQ process is improved by reducing the Unnecessary movements in the viewpoint of reducing the touchpoints by 67%. Therefore, it can be concluded that the Kaizen method is an appropriate tool to use for the reduction of unnecessary movements and the Lean manufacturing philosophy is an applicable strategy to reduce the unnecessary movements in the form of reducing the touchpoints of the LQ Process of the apparel warehouse process.