International Conference on Information Technology Applications and Systems (ICITAS), ICITAS2018

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Lead Time Reduction Through Production Process Analysis of XYZ E-Commerce Company Using Simulation Model
Fabio Jeremia Sunarjo, Mursyid Hasan Basri

Last modified: 2018-05-11


XYZ is an e-commerce company which offers a fashionable product from clothes, shoes and accessories for Indonesia’ mass market, women and man customer. Recently, company would like to increase its competitiveness in Indonesia. One of the way is by increasing its production constraint for producing style collection, such as lead time. According o interview session with production division, the lead time for producing style collection is 60 days. However, the data is different between expected and analysis. Based on the data, the lead time of producing style collection is 73.7 dan 82.7 days. Therefore, business issue is long lead time in producing style collection and unpredictable lead time. The business process is drawn by using Business Process Modelling and Notation (BPMN) diagram, while Igrafx software is used for analyzing and resolving business issue. The objective of this research is to reduce lead time of producing style collection for at least 60 days. The research shows that there are three root causes for long and unpredictable lead time: (1) design; (2) unmonitored process; (3) limited resource. Thus business solution has been developed for resolving issues which are: (1) moving sample room; (2) adding overtime in working days; (3) improving dashboard.

Keywords—lead time, e-commerce

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