Process Improvement and Increasing Efficiency by Using Lean Management Case study of GPS Tracking&IoT Solutions Company

Abstract

This article presented the feasibility study on alternatives for increasing operational efficiency, for reducing production and operation costs by using “Flow process chart” to examine and analyze processes that cause losses accordingly to the “7 Wastes” concepts. According to the existing information, it has been found that the delivery process frequently took long time, sometimes unable to complete as scheduled, which caused unnecessary operating costs, the delivery items will be returned to the head office for re-delivery process which unnecessary increased the operating costs. The study of spatial management by implementing QGIS program to allocate service centers and present the zoning guidelines for each service center has been introduced and applied to the researched groups. The study found that he delivery issues have been resolved and costs of production have been reduced after the concepts have been applied.   In addition, by applying ECRS concepts, the process of product delivery time has reduced from 7 days to 3 days. The solution has not only resolved the delivery issues and reduced 57,305 THB/year for overtime pay and 3,210,688 THB/year for re-delivery costs in 2019. Moreover, the delivery efficiency has been increased significantly and the benefit of applying technology has been acknowledged and introduced to customers. QGIS program is the solution for overlapping areas issue among multiple different service centers. It helps allocated service center to assign jobs to the most suitable and closest service site by using the Voronoi Polygon tool to create areas around service centers to divide the responsibilities of each and all service centers. As the results, the number of service centers has reduced from 18 sites to 7 sites and reduced the cost by 3,708,624 THB/year.