A systems study on the production of plastics for sanitary care products of Cosmopack, Inc.

Cosmopack, Inc. is a manufacturing company that specializes in the production of plastics. Provided to be the core function of the company, the study focused on the production department covering the periods of January 2016 to December 2016. More particularly, the study emphasizes on the production...

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Bibliographic Details
Main Authors: Bengzon, Nicolo Carlo N., Pangco, Jesiree C., Yao, Ronald Michael G., Tangsoc, Jazmin C.
Format: text
Language:English
Published: Animo Repository 2017
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Online Access:https://animorepository.dlsu.edu.ph/etd_bachelors/9647
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Institution: De La Salle University
Language: English
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Summary:Cosmopack, Inc. is a manufacturing company that specializes in the production of plastics. Provided to be the core function of the company, the study focused on the production department covering the periods of January 2016 to December 2016. More particularly, the study emphasizes on the production of sanitary care products, which amounts for the largest share in sale revenue. With the use of the WOT-SURG analysis, the problem was determined to be a deviation between the required demand and delivered output. The company fails to produce an average of 2,907,502 pieces of plastic in 2016, which leads to a total opportunity loss of Php3,968,727.61. The deviation between the required demand and delivered output remains to be an urgent issue as it can affect the overall performance of the company with regards to customer satisfaction. The why why diagram was used to identify the initial root causes that led to the problem. The researchers performed a validation on the causes identified through the use of historical data, plant observations and interviews to determine the final root causes that contribute to the issue. It was found that the following caused the problem: (1) high material retrieval time and (2) inconsistency in producing required demand. Ten alternatives formulated for the said causes were evaluated with the use of the Kepner Tregoe decision analysis. To which, the solutions that were chosen to best fit the system include (1) introduction of 5S and addition of lifter, and (2) remove allotted machines and implement earliest due date scheduling. Implementing the said solutions would not require investment cost but would mean additional recurring cost amounting to Php220.366.86 monthly. With the proposed system, production is increased by approximately 2,561,500 pieces of plastic. From this, Cosmopack will be able to meet its customer demand and will not incur any more penalty. Thus, Cosmopack will be able to save Php2,184.26. It is proposed to start the initial implementation of the solution proposal on August 26, 2017 and fully implement it by December 14, 2017.