Improving material handling in a production process : An application of Total Quality Management and Lean Management in a manufacturing industry

In a more globalised world, organisations face higher demands for quality and seamless processes and Lean Management has gained a significant role in modern industry. This case study was carried out at the organisation, a global company operating within the energy sector. The organisation has identified a problem with missing material and has traced the problem to the Final Assembly process. The purpose of this case study is to examine the current state of the process, identify the causes and propose improvements for the Final Assembly process where these deviations occur and which have been shown to generate high costs. The case study has a qualitative approach where data collection was carried out through semi-structured interviews, observations and analysis of internal documents. The theoretical framework for the analysis of the results is based on Total Quality Management, Lean Management, Manpower & Motivation and the PDSA cycle. The results, analysed through coding of the interview responses and an Ishikawa diagram, shows technical and organisational causes to the problem. These include shortcomings in the handling of material wagons, marking of material and assembly instructions, as well as challenges related to the employees, communication between departments and training of new employees. The study concludes that the process largely functions, but some smaller areas require improvement. Concrete improvement proposals are presented targeting working procedures and routines, alongside enhanced communication and employee commitment. The findings provide a foundation for future development work for the organisation in order to reduce the problem of missing material.