PRODUCTION LEAD TIME REDUCTION OF HOT ROLLED COIL AND PLATE USING LEAN MANUFACTURING SYSTEM AT PT KRAKATAU STEEL

• Main Author: NUGROHO (NIM: 29110427) Pembimbing : Prof. Togar M Simatupang, UTOMO
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/19608
• Institution: Institut Teknologi Bandung

With the growing of national steel demand is rapidly especially for Hot Rolled Coil/Plate(HRC/P) product followed by steel global competition, it will require for PT Krakatau Steel (PT KS), The biggest Integrated Steel Industry in Indonesia, to develop competitive advantage. One form of perceived competitive adventage to be developed in PT KS is how to provide faster delivery time by improving lead time in order to maintain customer satisfaction and develop market share.The main objective of this final project is how to implement the principles of Lean Manufacturing System, in order to improve lead time production of HRC/P product in PT KS. Lean Manufacturing System is a systematic approach to eliminate wastes and improve the process. It is based on identifying and reducing waste coupled with continuous improvement.The term of lead time in this final project is limited only as a production process time of HRC/P. The production process HRC/P start from slab whether come from Slab Steel Plant (SSP) PT KS existing facility or come from imported slab, until HRC/P finish product as an output of direct Hot Strip Mill (HSM) main line or output of finishing process such as Shearing Line Number 1 (SL 1),Shearing Line Number 2 (SL 2) and Hot Skin Pass Mill (HSPM). Processes from order placement to order to cast in the SSP is not included into the term of lead time referred this final project . As well as the processing time after HRC/P finish product such as an administrative process, shipment process to customers are not included Supporting tools such Value Stream Mapping (VSM) is used. VSM is a tool that helps to see and understand the flow of material and information as a product makes its way through the value stream. Base on interview, observation, time motion study from the shop floor and paper work as a collecting data methods. Current state VSM was drawn base on data collected. From the current state VSM, different waste in some areas were identified. Large inventory work in process (WIP) in the finishing line and entry Scarfing area, low time utilization and low yield at finishing line, low productivity at Scarfing area and also some bottleneck in processing station at finishing line and <br /> <br /> <br /> Scarfing area which affect to increasing materials waiting time.Lean Manufacturing System is applied to eliminate wastes. Some solutions are recommended to reduce lead time, such as implementation of Total Productive Maintenance (TPM) to increase time utilization at SL 1, SL 2 and HSPM, improvement storage management at work in process (WIP)warehouses, improvement scheduling program, improvement wage employees system at Scarfing area and some others. The implementation of recommendation will be resulted in the creation of a future state VSM. The future state VSM shows the process as it should be in the future after implementing some specific changes. The most important step is to make the future state VSM work in practice and got the corresponding results, reducing lead time. Lead time production of HRC/P will be potentially decrease by 27.31% for product family A, 12% for product family B, 34.17% for product family C and 10.5% for product family D. Several recommendation have been implemented by the company.