1st World Congress 2024 Detroit

Implementing Lean Six Sigma to Enhance Operational Efficiency and Reduce Waste in Essential Food Storage SMEs: A Case Study

Kenny Smith Hoces-Antesana & Cristian David Guerrero-Villa
Publisher: IEOM Society International
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Abstract

Small and medium-sized enterprises (SMEs) in the essential food storage sector play a crucial role globally, especially in Latin America and Peru. These businesses are vital for ensuring the availability and distribution of necessities, contributing significantly to community well-being. However, they face significant challenges, including low operational efficiency and high rates of defective products, which hinder their competitiveness and sustainability. Addressing these issues is essential for improving productivity, profitability, and overall economic development.

This research addresses these challenges by proposing a Lean Six Sigma production model integrated with 5S, Poka Yoke, and Standardized Work tools. The model aims to streamline processes, reduce defects, and optimize resource utilization. The study implemented these tools in a case study to demonstrate their effectiveness in enhancing operational performance and competitiveness.

Key findings include a significant improvement in operational efficiency and waste reduction. The 5S methodology increased compliant activities from 63.3% to 70%, while Poka Yoke reduced defective products by 59% and packaging time by 34%. Standardized Work reduced operation times by an average of 48% and product waste by 36%, demonstrating substantial improvements in process efficiency and quality.

The academic and socio-economic impact of this research is profound. It contributes to the field by providing empirical evidence on the effectiveness of Lean Six Sigma tools in SMEs, offering a practical framework for enhancing operational processes and reducing waste. The study's findings promote a sustainable and profitable business model, enhancing the competitiveness of SMEs in the essential food storage sector and ensuring a reliable supply of necessities to the population.

This research underscores the importance of continuous improvement and suggests further studies to explore the integration of Lean Six Sigma with emerging technologies such as the Internet of Things (IoT) and artificial intelligence (AI) for even greater operational efficiency. Future research should focus on the long-term effects of these tools and their impact on organizational culture and employee engagement, encouraging ongoing innovation and improvement in the sector.

Published in: 1st World Congress 2024 Detroit, Detroit, United States

Publisher: IEOM Society International
Date of Conference: October 9-11, 2024

ISBN: 979-8-3507-1729-7
ISSN/E-ISSN: 2169-8767