Track: Case Studies

Abstract

Land Transportation Office (LTO) is the agency in the Philippines responsible for the issuance of license and permits. Queuing time has been a major issue faced by the agency for several years due to processes that were unnecessary that prolong the waiting time of a customer. The current queuing system implemented by the LTO, after numerous complaints, turns out to be ineffective and inefficient. This study aims to assess and modify the current queuing system implemented by the LTO for the renewal of license and to propose a simulated procedure as a conceptual implementation of the proposed queuing system. Lean Management was used to dissect the processes and to eliminate unnecessary steps in the current queuing system. The researchers applied both actual and optimized data in Monte Carlo Simulation to compare the current system from the proposed change. After comparing the results using paired t-test, the study concluded that there is a significant difference between the current queuing system and the proposed queuing system. Furthermore, Analytical Hierarchy Process (AHP) Method helped the researchers compare the criteria that impacts the system. The development of website, removal of waste-considered processes, and substitution of value-added procedures from a no-value added steps helped reduce the time spent of a customer for the renewal of license