Application of Lean Manufacturing for Waste Reduction in the Chicken Cut-Up Production Process: A Case Study

Abstract

PT XYZ, an integrated poultry processing company and part of the chicken processing industry, faces production challenges such as bottlenecks, overtime, and product rejects that hinder efficiency. This study applies Lean Manufacturing using Value Stream Mapping (VSM), Waste Assessment Model (WAM), and Value Stream Analysis Tool (VALSAT) to the cut-up chicken production process, the company’s flagship product. This research aims to identify the types of waste in the cut-up chicken production process and determine the critical waste. Additionally, the study aims to categorize activities into value-added, non-value-added, and necessary non-value-added, analyze the root causes of critical waste, and design improvement proposals through the creation of Future State Value Stream Mapping (FSVSM) and calculate lead time reduction in the production process. The methods used in this study combine VSM analysis to map material and information flows in the production process, WAM to identify and measure the severity of waste, and VALSAT to analyze value-added and non-value-added activities. Data was collected through observation, interviews, and questionnaires completed by five employees knowledgeable about the overall production process. The implementation of the FSVSM design successfully reduced lead time in the production process. In Future State 1, lead time decreased by 2583 seconds, increasing the Process Cycle Efficiency (PCE) by 23.02% to 83.45%. Meanwhile, Future State 2 showed a reduction of lead time by 882.68 seconds, with a 6.29% increase in PCE, reaching 66.72%. These improvements accelerated the production flow, increased efficiency, reduced waste, resolved bottlenecks, eliminated overtime, and minimized product rejects.

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