Waste Identification using Value Stream Mapping in Animal Feed

Industry

Erwin

, Khawarita Siregar

, Anizar

, Indah Rizkya

, Khalida Syahputri

and Rahmi M. Sari

Industrial Engineering Department, Faculty of Engineering, Universitas Sumatera Utara, Indonesia

Keywords: Waste Identification.

Abstract: The animal feed industry plays an important role in supporting the development of the livestock industry in

providing the availability of meat and derivative products. Feed also determines product quality, livestock

productivity and profits for livestock entrepreneurs. In general, the main raw material used in the process of

corn import. The dependence of animal feed on imported raw materials leads to increase production costs

and impacts the price of animal feed. To maintain the stability of production costs, the animal feed industry

capable to maintain and improve efficiency in the production process. The efficiency of the production

process improved by waste minimization. To minimize waste, it is necessary to identify the first waste in the

production process of animal feed to find out the most usual waste by categorizing all activities in the

production process into value added, necessary but non value added, and nonvalue added categories. This

identification done by using value stream mapping tools such as current state mapping. With current state

mapping, it is found that the VA percentage of 61.02% with total lead time of 7219.5 seconds, percentage of

necessary but NVA of 18.16% with total transportation and inspection time of 1220.8 seconds and 927.4

sec, while those included in the NVA of 20.82% with total delay and storage time respectively of 1463.3

seconds and 999.6 seconds.

1 INTRODUCTION

Business competition in the animal feed industry is

increasing strictly and growing demands every

company to always making improvements and

improvements in performance to develop and

compete better with other competitors. The domestic

animal feed industry plays an important role in

supporting the development of industry in providing

the availability of meat consumption and its

derivative products. Animal feed determines the

quality of livestock products, livestock productivity

and livestock profits.

Animal feed industry located in Medan City

produces various animal feed products. Products

produced include chicken feed, duck feed, quail

feed, cattle feed and pig feed. All products are

generated generally through the same process stages

of raw material pouring, raw material filtration,

drying of raw materials, weighing raw materials,

milling, mixing, pellet forming, crumble forming,

finage spraying, animal feed packaging. In general,

the main raw material used in the process is

imported corn.

This causes the price of animal feed will

continue the increasing of Indonesian market due to

the spike in the dollar exchange rate against the

rupiah. The dependence of livestock feed on

imported raw materials leads to increase production

costs and impacts the price of animal feed. In

addition, the production of animal feed which is

doing rework causes quality decrease and only be

sold with a lower grade. To maintain the stability of

production costs, animal feed industry must capable

to maintain and improve efficiency in the production

process. The efficiency of the production process

increased by waste minimization (waste) occurs

along the feed supply chain. To minimize the waste,

it is necessary to identify the first waste in the

production process of animal feed to find out the

waste that most often occurs and causing the

production process is disrupted and done

immediately. Waste identification done using

activity description during process production into

value added activity, necessary but non value added,

and non value added activity using lean

manufacturing (Syahputri, 2017).

200

Erwin, ., Siregar, K., Anizar, ., Rizkya, I., Syahputri, K. and Sari, R.

Waste Identiﬁcation using Value Stream Mapping in Animal Feed Industry.

DOI: 10.5220/0010075702000203

In Proceedings of the International Conference of Science, Technology, Engineering, Environmental and Ramiﬁcation Researches (ICOSTEERR 2018) - Research in Industry 4.0, pages

200-203

ISBN: 978-989-758-449-7

Lean is defined as a strategy in determining a

significant increase of all resources and time in the

total process (Neha, 2013). The term "lean" is a

concept that implies activities to eliminate waste and

non-value-added operation (Manzouri, 2014), (Wee

and Wu, 2009), (Marshall and Farahbakhsh, 2013).

The Lean manufacturing concept derives from the

method developed at Toyota, which is described by

authors such as Taiichi Ohno and Shiego Shingo.

But these concepts in the form of a Lean

Manufacturing System (LMS) are united with

international recognition, as a result of the book,

Machine Changes the World, written by researchers

Womack et al. One method used for lean

manufacturing is value stream mapping. VSM is a

powerful tool that allows visualization and

understanding of material and information flows

through the value chain. This is to provide a global

vision of activities involved in the production

process, and allow projecting of sources (Lacerda,

2016), (Pavnaskar, 2003).

The use of VSM has existed after the success of

the Toyota Company in Japan since the 1980s. It

was developed by the Toyota Company between

1960 and 1970. At the beginning, VSM was a

method that identified waste time and unnecessary

actions in the process. Now is the time for VSM to

work for operations process (Reddy, 2013).

Many researches have been done with lean

manufacturing approach. (Girish) Research was

conducted to create a case study in the foundry using

a value stream mapping tool. (Khannan and

Haryono) Research was also conducted on

companies producing lean manufacturing to

eliminate waste on production lines. (Wojcik and

Kocon, 2015) Other studies were also conducted

with lean manufacturing tools to improve operations

at paper companies. However, there is no much

research with the lean manufacturing approach was

conducted in animal feed industry in Medan. This

study aims to identify waste in the production line to

find out which is the most usual waste in production

lines and animal feed production process becomes

disrupted.

2 METHODOLOGY

The research was conducted on one of the company

produces animal feed in Medan city with the object

is the production line of animal feed making. The

research begins by making direct observations to the

production floor to collect information related to

animal feed production process. Activityat this stage

is observing formulation of the problem occurs in

the company. After the observation, then determined

the topic and research objectives in accordance to

existing conditions on the production floor. After

determined the topic and purpose of the research,

then conducted data collection needed to identify

waste occurs in the production line. The data needed

for the time cycle of making animal feed and the

process flow of animal feed production. After data is

collected, then the waste identification is done with

several steps.

The first stage is to map the flow of the overall

plant with current state mapping. Current State Map

(CSM) chart presents flow of information and

materials as a product through the manufacturing

process. This is an important thing to understand the

need for change and to understand lie's opportunity

(Goriwondo, 2011).

At this stage, each process is combined with

material flow and information flow into a single

flow in the factory. After mapping the flow of the

overall process in the factory is made, the next step

is to identify of waste in the flow of production

process. Identification is done based on the result of

current state mapping. From the current state

mapping results, obtained activities exist in the

production process of making animal feed. The

activities will be classified into three categories:

value added, necessary but non value added, and non

value added. Types of activities includes value

added are operations, the types of activities included

in the category of necessary but non-value added are

transportation and inspection of the types of

activities included in non-value added activity

categories are storage and delay. By grouping

activities by category, will be obtained percentage at

each category of activity and known the percentage

of waste exist in animal feed production line.

3 RESULT AND DISCUSSION

Research in identifying waste with value stream

mapping is done by describing current state mapping

first. Current state mapping is used to describe the

overall system belong to the value stream contained

in the company. With current state mapping, known

the information flow and physical in the system, the

lead time required at each process. Current state

mapping of animal feed production process can be

seen in Figure 1.

Waste Identiﬁcation using Value Stream Mapping in Animal Feed Industry

201

Figure 1. Current State Mapping of Animal Feed Production Process

Based on the mapping above, obtained activities that

exist in the process of making animal feed. The

activities are then classified according to their each

categories to see the percentage at each activity. The

result of activities identified by current state

mapping can be seen in Table 1.

Table 1. Recapitulation of Activity in Animal Feed

Production Process

Activity Category

Time

(Secon

)

Percentage

Operation 7219,5 61,02%

Trans

ortation 1220,8 10,32%

Ins

ection 927,4 7,84%

Dela

1463,3 12,37%

Storage 999,6 8,45%

Based on the table above, it is found that the

percentage of value added activity is 61.02%, the

percentage of necessary but non-value added activity

is 18.16%, and non value added activity is 20.82%.

Based on the results obtained, it can be seen that

there are 20.82% of activity in the process of animal

feed

production is an activity has no added value or

activity causing waste. This is related to the number

of waiting activities occurs between stations, causing

the overall process of animal feed production to be

large.

4 CONCLUSIONS

Value stream mapping is used to identify waste

occurring in animal feed production process by

categorizing activities in the production process into

value added, necessary but non-value added, and

non value added categories. By categorizing all

activities according to the three categories, it is

found that the percentage of value added activity is

61.02% with total lead time is 7219.5 seconds, the

percentage of necessary but non value added activity

is 18.16% with total transportation and inspection

time of 1220.8 seconds and 927.4 seconds, while

non value added activity is 20.82% with total delay

and storage time of 1463.3 seconds and 999.6

seconds.

ICOSTEERR 2018 - International Conference of Science, Technology, Engineering, Environmental and Ramiﬁcation Researches

202

ACKNOWLEDGEMENTS

This work has been fully supported by TALENTA

Research Program (Universitas Sumatera Utara),

No:2590/UN5.1.R/PPM/2018, March 16th, 2018

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