A system study on the Design, Engineering, and General Administration Department of Fruitas Holdings Inc.

• Main Authors: Cruz, Beatinna Kira S., Sy, Lance Christopher T., Sy, Joshua Erwin C.
• Format: text
• Language: English
• Published: Animo Repository 2019
• Subjects: System analysis; Root cause analysis; Food industry and trade—Production control; Beverage industry—Production control; Operations Research, Systems Engineering and Industrial Engineering
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/18657
• Institution: De La Salle University

A system study was conducted on the Design, Engineering, Fabrication, and General Administration Department (DEFG) of Fruitas Holdings Incorporated. The study focuses on the production and ingress of the carts, kiosks, inline, and take out counters from January 2018 to December 2018. Based on the objectives and performance measures discussed with the department manager, the department activities were analyzed to determine their strengths, weaknesses, opportunities, and threats. Then the group conducted a WOT-SURG analysis, and it was determined that the problem was related to the delay of ingress. The group formulated a problem statement which is the ingress of25 out of78 projects produced in-house fell short of the targeted opening date by an average of22.36 days. This delay has cost the company an opportunity loss of PHP 4,699,500 and rent cost of PHP 17,166.67. The problem was further investigated through a Why-Why diagram in order to determine the root causes of the problem. There were 5 root causes of the problem. Interdepartmental communication is non-existent, staff training was not scheduled properly, raw material delivery was not completed on time, details of the store are not finalized, and there is a difference in perspectives between MAN COM and the designers for the creation of a design. Each root causes had its own proposed solution but they are to be implemented altogether. To address the nonexistent interdepartmental communication, there should be documentation such as forms to monitor. In addition to this solution, the group created a VBA excel file wherein they can generate reports from a raw data so that they can easily track which projects need more time to know which project should be prioritized in order to reduce delays. To address the raw materials not being delivered on time, there should be an inventory system. To address the staff training not being scheduled properly, there should be an orientation for new brands wherein staff attendance is mandatory. To address the root causes there is a difference in perspectives between MAN COM and the designers for the creation of a design and details of the store are not finalized, the proposed solution for this is to streamline the design process by creating IO standardized designs for each brand. The proposed solution is being implemented by Fruitas, therefore the group gathered data from the month of September until the month of November and the delay with the proposed was reduced to 7.16 days from 19.86 days and the number of revisions were reduced to 0.61 days from 2.24. These solutions can be further improved in order to decrease the day numbers. The total expected profit which was calculated through a cost benefit analysis amounted to Php 3,896,360 for 12 months.