The local biscuit industry as a potential partner in the agricultural sector continues to grow rapidly. The development of local industries, including the coconut biscuit industry, must be continuouslyoptimized as an approach to empowering local agricultural sector that indirectly play a role in reduce vulnerability of the global food crisis. This makes the industry continue to try to find and adopt efficient and effective ways to increase product value and expand market share, one of the ways is the application of lean manufacturing. In this article, a case study is used in the coconut biscuit industry using the DMAIC analysis method and several tools such as VALSAT, fishbone diagrams and FMEA. Based on the analysis conducted, it is known that in the coconut industry there are several wastes such as unnecessary motion, defects and rework, and waiting with non-value added (NVA) activities for 784s. Therefore, further analysis is carried out regarding the proposed improvements that might be implemented. Some of the suggestions for improvement that can be given are the preparation of a buffer tank that is integrated with aload cell and transfer using a piping system, determine standardization of temperature and treatment of ovens as well as stipulation of work instructions and briefings during the initial process of the production line, analysis and evaluation of capacity, line layout, and lifetime on sugar water silo pumps and adjustments size and maintenance of dough tubs so as to reduce waste and NVA in the production process area.