Track: Facilities Planning and Management

Abstract

The furniture sector of the Philippines presently accommodates approximately 15,000 manufacturers. The furniture market is a flexible industry that continuously strives to adapt to current trends and provide products that would be of interest to a broad range of people and lifestyles on a global scale. The subject of this research is a micro-company offering different furniture sets made with Mahogany and Gmelina, the enterprise also offers building materials. As a Company that produces products like furniture to a wide area, proper operations management should be practiced in order to achieve better customer service and reduce the cost in each process while increasing the profit, efficiency, and productivity.  

The study was conducted to evaluate the area for improvement in the Operations Management practices of the company in terms of Facilities Layout and Design using Lean Six Sigma Techniques, in particular Value Stream Mapping and 5S System. 

The researchers made use of desktop research, document analysis, distribution of the questionnaire, and virtual interview to collect necessary data for the study. The researcher also made use of discrete event simulation and process analysis software to predict the behavior of the system when changes in the process are made. 

The problems were addressed by relay-outing and rearranging the processes in manufacturing the furniture single bed. This increases the workflow efficiency by 19% in site 1 and 62% in site 2 and reduces the time spent in nonvalue-adding activity by 9.92%.