Optimization in Critical Work Center Using Theory of Constraints

Abstract

Many companies experience problems or problems in the production process. One of the problems disturb the production process is the bottleneck. The pellet industry has problems in pellets production. The capacity imbalance available between the drying station and the milling station causes the pellet making process to accumulate resulting in a bottleneck. Therefore, an analysis is carried can be done to overcome these problems by overtime. Overtime is carried out for 1 hour on each shift and 2 hours on certain shifts in July 2019 period and September 2019 and the number of working hours becomes 18 working hours and 19 working hours from the previous one which is only 16 working hours at the milling work station because it is seen from a negative variance value and the percentage of load is below 100%. This shows that overtime can be effective to eliminate constraints.