Overall Equipment Efficiency Improvement through a Lean Approach in SME: A Case Study

Abstract

Lean manufacturing could enhance the overall equipment efficiency (OEE) by decreasing process setup, changing over time, and eliminating unnecessary activities. Meanwhile, Lean quality tools and standard work procedures implementation increase daily production. This study investigates the role of Lean manufacturing in enhancing environmental performance besides the operational one relating to small- and medium-sized enterprises (SMEs) in manufacturing firms through a Lean framework compatible with any firm's limited resources and experience. The study uses tools that small enterprises could apply, such as project charter, value stream maps, and 5S, accompanied by a Kano questionnaire and market analysis. The study has been validated in a small-sized Egyptian candle manufacturing enterprise and successfully implemented. It was possible to increase daily production by 31.95%, reduce cycle time by 19.82%, increase inspection and packaging overall efficiency by 10%, and decrease raw material waste by 29.6%.