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Analysis and Improvement of Service Level: Practical Case in a Luxury Leather Goods Component Manufacturing Company

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The 17th International Conference Interdisciplinarity in Engineering (Inter-ENG 2023)

Part of the book series: Lecture Notes in Networks and Systems ((LNNS,volume 928))

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Abstract

The demands of the business world increasingly challenge organizations to provide better Service Levels (SL). To monitor this performance, there are indicators such as the On-time-in-full (OTIF) and it is in this context that this project arises, which focuses on the analysis and improvement of the SL provided by the company under study.

This Portuguese company is part of an international group of luxury leather goods, dedicated to the production of leather goods components. OTIF is measured by the group through a percentage called Service Rate (SR). The target set for the group’s companies is 85% and, in 2022, the company had a SR of 72%.

In light of the action-research methodology, an analysis of the causes that lie at the origin of a service failure was started, and through the measurement and analysis of the potential for improvement, it was concluded that the cause in focus would be “KO Tool”. In this area, problems were identified, which triggered an action plan focused on the creation of a database and registry of occurrences, on acting on the causes of anomaly, on the creation of a dashboard to alert to ongoing blockages, and on the proposal for the regular purchase of tools.

There were registered gains in information traceability, space optimization, and organization of occurrences and, in general terms, data capture on the causes of service failure was improved. Considering the implemented solutions and future suggestions, an increase of 3.5% in SR is expected.

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Author information

Authors and Affiliations

  1. Department of Economics, Management and Industrial Engineering, University of Aveiro, Campus de Santiago, Aveiro, Portugal

    Ana Isabel Teixeira

  2. GOVCOPP/Department of Economics, Management and Industrial Engineering, University of Aveiro, Campus de Santiago, Aveiro, Portugal

    José Vasconcelos Ferreira

Authors
  1. Ana Isabel Teixeira
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  2. José Vasconcelos Ferreira
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Corresponding author

Correspondence to Ana Isabel Teixeira .

Editor information

Editors and Affiliations

  1. Faculty of Engineering and Information Technology, “George Emil Palade” University of Medicine, Pharmacy, Science and Technology of Targu Mures, Târgu Mureș, Romania

    Liviu Moldovan

  2. Faculty of Engineering and Information Technology, “George Emil Palade” University of Medicine, Pharmacy, Science and Technology of Targu Mures, Târgu Mureș, Romania

    Adrian Gligor

Appendix

Appendix

1.1 Appendix 1

See Fig. 9.

Fig. 9.
figure 9

Problem Tree for the Causes of Service Failure.

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1.2 Appendix 2

See Table 1.

Table 1. Resulting Action Plan to act on the tools.
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Teixeira, A.I., Ferreira, J.V. (2024). Analysis and Improvement of Service Level: Practical Case in a Luxury Leather Goods Component Manufacturing Company. In: Moldovan, L., Gligor, A. (eds) The 17th International Conference Interdisciplinarity in Engineering. Inter-ENG 2023. Lecture Notes in Networks and Systems, vol 928. Springer, Cham. https://doi.org/10.1007/978-3-031-54671-6_19

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  • DOI: https://doi.org/10.1007/978-3-031-54671-6_19

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  • Print ISBN: 978-3-031-54670-9

  • Online ISBN: 978-3-031-54671-6

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