Goodbye to Inbound and Outbound waste : A case study at IKEA’s Distribution Centre,

Abstract: Authors        Jonathan Kölemo (890303) and Simon Jensen (870212)                         Title              Goodbye to Inbound and Outbound waste - A case study at IKEA’s Distribution                      Centre, Älmhult   Background The DC in Älmhult is working in two administrative teams; Inbound and Outbound. The relationship between and inside the Inbound and Outbound teams are complex and unclear. This increases the risk for bad and unnecessary work. The teams’ are handling tasks regarding planning and scheduling for unloading and loading shipments. The complexity at the DC in Älmhult also makes it difficult for managers to control and understand the whole flow within the two teams. The problem is based on complicated and unsynchronized tasks, poor utilization of IT systems and lack of integration and standardization within the teams work.   Purpose        The purpose with the thesis is to identify wastes within the teams’ work, and thereby provide suggestions for improvements.                 Method         A positivist approach has been used as a scientific perspective throughout the study. The scientific approach is deductive and the research strategy is qualitative. From the theoretical and empirical material an analysis has been designed that eventually lead to a conclusion.   Results            The study shows that both the Inbound and Outbound teams’ processes consist of a number of wastes. By using One-piece-flow, Standardization, Capacity and FIFO theories, the wastes can be reduced or completely eliminated.   Conclusions The most critical wastes have been chosen and by combining the four improvement theories, reductions of unnecessary activities can be made. By implementing the suggested improvements, the number of unnecessary activities can be reduced, and the total process and lead times will decrease. By doing this, the Flow planners can focus on more important activities and the same amount of staff can handle increased throughput of goods.