ASCO Aerospace Canada - Business Consulting Project
|Project Client:||ASCO Aerospace Canada
|Project Description:||Finished Goods Storage Investigation
|Students:||Daman Kochar, Eugene Dong, and Kenneth Loi
|BCIT Program:||Business Operations Management|
The purpose of this project was to examine the current location of finished goods storage, and make recommendations based on lean methodology which would improve the efficiency of packaging finished goods to be shipped to the customer.
An analysis of the current Finished Goods Storage Area & Packaging Process indicated symptoms that needed to be addressed: excess material used in packaging, unorganized storage of packaging materials, unorganized process of storing finished goods, and contamination of the finished goods from unsanitary air particles from manufacturing machines.
The study identified through the use of, employee surveys, interviews, and job shadowing, the validity of these symptoms. Various Operations Management tools such as cause and effect diagrams and process maps allowed for determining root causes of the symptoms.
Based on the client’s needs, four alternatives were developed. In order to make the final proposal from the alternatives, the client was asked to rate criteria, and after evaluation, the highest ranked alternative was proposed as the solution.
Based on the solution of standardized operating procedures, fewer and more effective packaging materials, and a centralized finished goods area where packaging processes as well as storage of the goods could take place, an implementation plan was developed. A separate document laying out the standardized operating procedure for packaging finished goods was created as well. This implementation would later lead to reduction in footprint for employees in the shipping department, standardizing the packaging materials used and the process of packaging, and protection of finished goods when they are stored in the finished goods area. The savings expected from this implementation in a three year period are: $99,923.15.