Introduction of Value Stream Mapping Principles in Bag MSME Management for Reducing Inventory Costs
DOI:
https://doi.org/10.37010/kangmas.v3i2.739Keywords:
inventory, value stream mapping, waste, MSMEAbstract
Micro, Small and Medium Enterprises (MSMEs) are proven to have the ability to respond to financial crises. This proves that MSMEs are an important part of a country's economy. This community service activity aims to study how raw materials are managed in the MSME supply chain of the bag craft industry in the Serang Regency, Banten Province, as well as provide an introduction to Value Stream Mapping (VSM) to minimize these wastes. The purpose of community service This is to find out the things that play a role in increasing competitive advantage and how to save on raw materials and production. Value Stream Mapping (VSM) is a method used to find out whether there are seven types of waste in the flow process. For six months, data collection and analysis of community service were carried out through discussions, direct and indirect observations, and reading about the subject. In the supply flow, there are five types of waste: overproduction, waiting, transportation, overstocking, and overprocessing of components. About 5% of the total cost of raw materials can be wasted because of this type of waste.
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