2nd GCC International Conference on Industrial Engineering and Operations Management

Significant Efficiency Gains in Construction SMEs through Lean Procurement Practices: A Case Study on Integrating Kanban, Systematic Layout Planning, and 5S

Brayaham Angel Pineda-Pomachagua & Renzo Joaquín Núñez-Romero
Publisher: IEOM Society International
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Abstract

The construction sector, particularly SMEs in Latin America, faces critical challenges in material planning and supply chain management, leading to inefficiencies. This study proposes a Lean Manufacturing-based procurement model tailored to these SMEs, integrating Kanban, Systematic Layout Planning (SLP), and 5S methodologies to optimize material flow and space utilization. The model resulted in a 58% reduction in inventory levels, a 22% decrease in material handling time, and a 20% reduction in operational costs, yielding an annual saving of $265,055. The research significantly contributes to the academic understanding of Lean applications in SMEs, offering a practical framework for enhancing efficiency and competitiveness in the construction industry. The study underscores the necessity of adopting Lean principles to improve operational performance. Future research should explore the model's applicability across various sectors to further validate its impact and extend its benefits.

Published in: 2nd GCC International Conference on Industrial Engineering and Operations Management, Muscat, Oman

Publisher: IEOM Society International
Date of Conference: December 1-3, 2024

ISBN: 979-8-3507-4442-2
ISSN/E-ISSN: 2169-8767