Lean Manufacturing: Waste Analysis in Crude Palm Oil Process

Abstract

Lean Manufacturing is an approach to system efficiency by reducing waste. Companies need to identify value added activities on products, non-value added activities (waste) must be eliminated to decrease the production lead time. Palm Oil Industry produces 2 main products namely Crude Palm Oil and Kernel Palm Oil. This paper describes the waste analysis occur in the palm oil production process. Waste management activities are identified along the production process flow. Then investigates the waste root causes occur the most. The result obtained is value added activities of 47%, non-value added activities of 13%, and necessary non value added activities of 40%.