Increasing utilization of owned scaffolding materials through improvement of the inventory management system at Shell Tabangao Refinery, Batangas City, Philippines

Date

6-2016

Degree

Bachelor of Science in Industrial Engineering

College

College of Engineering and Agro-Industrial Technology (CEAT)

Adviser/Committee Chair

Stephanie Caridad DR. Landicho

Abstract

Shell Tabangao Refinery uses 163.56 tons of owned scaffolding materials, yielding an average utilization of 71.88% only. This implies that the company has excess inventory on hand. Yet, the company still continues to rent scaffholding materials which are redundant of idle, owned stocks - translating to unnecessary rental expense of Php 111,912 per month. The study aimed to increase the average utilization of PSPC-owned scaffolding materials by at least 18.21%, specifically eliminating recurrence of redundant inventory, and improving visibility of owned stocks. Analysis of the inventory management system was performed to assess the effectiveness of processes in maintaining inventory control. The, why-why analysis was used to determine the root causes which led to non-utilization of owned materials. Proposed actions to identified root causes include policy changes in inventory allocation, addition of log sheets inside the stockyard, implementation of proper warehousing practices, re-design of processes, hiring a yardman, and improvement of the monitoring system and tool. When implemented, it is estimated to increase utilization of owned stocks by 25.2%. The company is expected to spend about Php 127, 145 during first year of implementation.

Language

English

Location

UPLB College of Engineering and Agro-Industrial Technology (CEAT)

Call Number

LG 993 2016 E66 /M36

Document Type

Thesis

This document is currently not available here.

Share

COinS