ISBN: 978-628-95207-7-4. ISSN: 2414-6390. Digital Object Identifier: https://dx.doi.org/10.18687/LEIRD2023.1.1.

589

Production model based on Lean Manufacturing and

TPM to increase efficiency in a company in the textile
sector
Piero André Alcazar-Zamora, Bsc.1, Alonso Enrique Escalante-Cier, Bsc.1, and Martin Fidel Collao-Diaz, PhD.1
Industrial Engineering Program, Universidad de Lima, Lima, Perú
1
20173010@aloe.ulima.edu.pe, 20183863@aloe.ulima.edu.pe, mcollao@ulima.edu.pe

Abstract– The textile industry has been a participant in a global performance with a significant impact on the growth of the
transformation, where the use of new technologies and tools achieve country: the sector represents approximately 26.2% of the
greater effectiveness within the organization. However, the employed manufacturing population (2.3% to national level),
management of these tools in the MSEs, who represent 99% of textile close to 7% of industrial GDP, and employs close to 400
clothing in Peru are scarce, which reveals the various problems that
affect the production efficiency of this sector, where the main
thousand people throughout the country. However, national
problems are waste and production cycle times. That is why the statistical sources indicate that in 2020, the production level
purpose of this paper is to develop an improvement system through index had a drop in its performance of 32.1% [3]. This drop was
Lean Manufacturing tools, such as SMED and Standardized work, due to imports of low-value products, as well as the
and a TPM program, under the PDCA methodology, which increases undervaluation and smuggling of the informal sector due to the
the productive efficiency of a Peruvian textile company. Likewise, COVID-19 pandemic [5]. According to the literature, it can be
the execution of the improvement proposal will be validated through found that the low efficiency present in the studied sector can
the Arena simulator software; where positive results were obtained, be caused by inefficiencies such as poor-quality controls, low
with an increase in productive efficiency by 42% and a positive product quality or disorganized material flow [6], as well as
economic impact due a reduction of 73.81% for unproductivity and
waste of resources, whether expressed in money, time, or
shrinkage. To contribute to scientific knowledge, this study could be
used as a methodological basis for future research on the topic in goods, which entail invisible cost overruns [4]. The problem
question. appears in other international investigations, for example, in
Keywords- Lean Manufacturing, Deming cycle, Textile sector, India, unnecessary activities such as the flow of material and
TPM, Productive efficiency the movement of workers reduced the production rate of the
machines [7]. Likewise, low efficiency, lack of a defined flow
I. INTRODUCTION of materials and operator activities, excessive movement of
Throughout the last decades, the textile sector worldwide materials, supplies and people were identified; among others,
such as problems involved in the production process of a textile
has been involved in an unprecedented industrial and digital
transformation, because this industry has been facing many company in the country of Rio de Janeiro [8]. In the Spanish-
speaking region, non-compliance with orders is identified as the
challenges, where it is increasingly difficult to compete with the
global market. due to strong competition in the business [1]. To main problem identified in a textile company in Ecuador, with
special emphasis on those activities that do not generate value,
address these problems, in the present investigation, waste or
failures are highlighted as a point of improvement within the leading to problems with the efficiency and competitiveness of
the company [9]. What has been previously indicated shows
production processes, since these are the main causes of
alteration in any production line [2]. Situating ourselves in the that companies in the textile-apparel sector present processes
that do not meet the appropriate standards, so it is essential to
textile sector of Peru, where 99.9% of garment manufacturing
were identified as MSEs and the rest (0.1%) as large and continue researching and developing new alternatives to solve
the problems presented. In this context, it is necessary to give a
medium-sized companies [3], there is clearly an improvement
and innovation initiative for the application of the good greater focus to the development and improvement of the
national textile sector, for a greater ease of insertion and
practices of lean manufacturing, since Peru has a notable
recognition for its textile quality, which would allow greater competitive development, which would benefit both MSEs and
large companies.
ease of access to the international market and with high
competitiveness [4]. That is why this sector turns out to be one That is why this research aims to present the problems
of the most important in the Peruvian economy, having a faced by the textile sector in terms of efficiency in production,
which are tied to high leisure times, excessive stops of the
Digital Object Identifier: (only for full papers, inserted by LEIRD). machines due to their misuse or by the lack of ideal preventive
ISSN, ISBN: (to be inserted by LEIRD). maintenance; Likewise, these inefficiencies can be caused by
DO NOT REMOVE the poor quality of the raw material, which generates high
amounts of waste within the process, negatively impacting

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production costs. Given the previously described problems, a maintenance, one of the pillars of TPM, managing to reduce
combined model of improvement tools was developed, which machine downtime by 20% and an improvement of 15% in the
were proposed and developed based on success stories with general efficiency of a textile company [14]. Emphasis is also
similar problems, to increase production efficiency. Among the placed on the importance of implementing a robust TPM
implemented tools we have Total Productive Maintenance framework, as productivity can be significantly improved, as
(TPM), which will work hand in hand with the SMED tool, well as staff training to sustain the effects of continuous
through a standardized and systematized work system. To improvement over time [15]
disseminate the proposal presented in this academic article, it
C. Lean Manufacturing
has been organized into different sections: the State of the Art,
The implementation of lean manufacturing tools aims to
which will provide relevant background information for the
improve and control the productivity and sustainability of an
problem from different perspectives of previous authors. The
organization [19], through a reduction or mitigation of waste,
Contribution of the investigation where the theoretical
understood as anything that does not add value to the
foundation of the proposed model will be detailed, as well as a
organization [20]. In addition, the companies that opt for the
description of the model and indicators. The Validation section
implementation of such methodology are large companies, and
will show the results obtained before, during and after the
that the performance depends on the size of the manufacturer
intervention, during the implementation of pilots and
[21]. As part of the tools used to achieve the objective of
simulations, as well as the results after the intervention. Finally,
implementing the lean philosophy, three tools were identified,
in the Discussion and Conclusions sections, the reflections and
which are standardized work, SMED and 5S.
recommendations derived from the study carried out will be
As the first tool to consider, we find the standardization of
presented, which may guide future research in this field.
work, which is based on operational excellence, due to the
II. STATE OF ART definition of a single and optimal criterion, within a register or
process guide within the scope of the entire organization, for
A. TPM
the execution of different processes that this same has, in order
Total Productive Management (TPM) is a continuous
to improve the overall efficiency of the processes of the
improvement methodology that focuses on maximizing the
standard product [4]. Likewise, standardized work aims to
efficiency and effectiveness of equipment and industrial
increase planning and productivity, and reduce operating times,
processes, with the aim of achieving zero breakdowns, zero
through clear activities, optimization of movement, reaching
accidents and zero defects in production, as well as positively
the balance of production [12]. Under this methodology, defects
influencing in the Overall Equipment Efficiency (OEE) of
per year can be reduced with respect to poor material
machines or production lines [10]. The effectiveness of the
management by 68.84%; and with respect to defective products
methodology is evidenced in studies where, after its
by 68.86% [22].
application, it was possible to reduce the total production cycle
On the other hand, there is the Single Minute Exchange of
time by 300 seconds, reduce the number of defective products
Die (SMED), translated as "Die change in less than 10
by 5% [11], as well as increases in the OEE that vary from 11%
minutes", it is a tool made up of a collection of techniques based
[12] to 15% [13]. Authors choose to implement autonomous
on Lean Manufacturing designed to allow flexible production
maintenance, one of the pillars of TPM, managing to reduce
and minimize the times for both tool changes and preparations.
machine downtime by 20% and an improvement of 15% in the
The effects of the application of SMED can be seen reflected in
general efficiency of a textile company [14]. Emphasis is also
reductions in the configuration time of the machines by
placed on the importance of implementing a robust TPM
approximately 73.1% [23]. Likewise, the authors opt for the
framework, as productivity can be significantly improved, as
union of SMED together with Lean Manufacturing tools in the
well as staff training to sustain the effects of continuous
elaboration of their improvement models, allowing
improvement over time [15].
improvements in process efficiency, cost reduction and
B. Plant Distribution productivity increases [22].
Total Productive Management (TPM) is a continuous At present, the 5S improvement tool is a very widespread
improvement methodology that focuses on maximizing the improvement proposal and applied in research cases, since it
efficiency and effectiveness of equipment and industrial not only optimizes the organization's production, it also reduces
processes, with the aim of achieving zero breakdowns, zero the amount of waste and creates an orderly environment in order
accidents and zero defects in production, as well as positively to reduce waiting and delay times, and non-compliance with
influencing in the Overall Equipment Efficiency (OEE) of orders [11]. Just as the implementation of this tool is a potential
machines or production lines [10]. The effectiveness of the means for the elimination of waste, this in turn provides the
methodology is evidenced in studies where, after its organization with a more effective workplace, where the
application, it was possible to reduce the total production cycle handling of tools or materials will be easy to handle and access
time by 300 seconds, reduce the number of defective products [24], due to the delimitations assigned by each of the resources
by 5% [11], as well as increases in the OEE that vary from 11% that the company presents, this to simplify the work
[12] to 15% [13]. Authors choose to implement autonomous environment. This is how the impact of this tool is reflected in

3rd LACCEI International Multiconference on Entrepreneurship, Innovation and Regional Development - LEIRD 2023
Virtual Edition, December 4 – 6, 2023 2
a decrease of 25% and 26% for the number of defective to improve the current situation of productive efficiency in a
products and unfulfilled orders, respectively [25]. company in the textile sector. For the construction of the model,
a previous search of studies was carried out where proposals
D. Supply Management
based on a context or problem like that of the present study were
As is well known, supply management is the efficient
generated.
management of the production flow, to maximize delivery time,
quality, and customer service, as well as the profitability of any B. Proposed model
company. A fundamental factor that mainly affects the The following model is based on the Deming cycle, or also
productivity of the company is the control of production, where known as the PDCA cycle (Plan, Do, Check and Action), which
it is observed that, after having greater control of its resources, seeks to make constant improvement within any organization,
productivity can increase by up to 100% of its current value [6]. which in this case, will be carried out based on the tools
Given the existence of factors that affect the effectiveness of the previously mentioned. The current proposal consists of 4
production processes of an organization, tools of various kinds components. As the first component we have “Planning”, this
are used, among the most frequent, we observe the tools MRP- stage consists of collecting data to identify the specific
1, MRP-2, Kanban and JIT, which complement each other. problems that can be found in the execution of a process. As
Regarding one of the most frequented tools, we have the MRP- main tools we find the lane diagram, the Pareto diagram, and
1, which converts the master production schedule (MPS) into a the Ishikawa diagram. As a second component we have “Do”,
detailed schedule to guarantee the availability of raw materials with the information obtained in stage one about the problems
and components at the right time, with the necessary quantities encountered and their possible solutions, the start-up is given
[26]. One of the impacts implied by the absence of this handling for the implementation of the proposed improvement. For this
of materials and components, in turn, affects the operators, stage, the proposed tools are work standardization, the SMED
generating unnecessary waiting times due to the lack of said method, and the TPM tool. Once the execution of the
materials [27]. improvement project is finished, we proceed with the “Check”
Regarding the Kanban tool, the function of this tool is to stage, which seeks to measure and evaluate the results and
be able to indicate and monitor the progress of production flows compare them with the previously raised expectations. For this
in a visual and practical way, with the least allocation of stage, the processes to be carried out are audits, a simulation of
resources [28]. Likewise, given the waste due to waiting and the entire process after having implemented the improvement
overproduction, the Kanban tool is a very effective solution and finally an evaluation of the indicators that were determined.
[29], as well as reducing the level of inventory in transit [30]. Finally, we have the “Action” stage, which seeks to correct if
This can be seen reflected in an improvement of 31% with there is a problem within the implementation of the
respect to inventory in process [31], and 11% with respect to improvement, or to make improvements in case an opportunity
the number of orders fulfilled. is detected. Figure 1 shows the design of the proposed model as
On the other hand, there are other tools that optimize stated above.
supply management, such as Lean Warehouse and JIT [32].
C. Model Components
This can be seen in production capacity increased by 22%, line
1. Planning
target was 95% met, line efficiency increased by 17% and
In this first phase, the objective is to determine the specific
overall throughput increased by 20% [33].
problems found within the organization, for this a lane diagram
III. CONTRIBUTION was made to identify the main problems faced by the
organization. After the identification of the main problems, the
A. Model Justification
Pareto diagram is used to filter and order the problems
This research, based on the tools explored in the state of
according to their level of criticality. Finally, the problem tree
the art, will develop an integrated model as a value proposition,

Fig. 1. Model Proposed

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Virtual Edition, December 4 – 6, 2023 3
is used to determine the most critical root causes according to lubrication standards. For everyone to carry out their activities
the specific problems determined. in the same way, general inspection training is carried out and
2. Do autonomous periodic inspections are organized for the standard
The second stage is based on the implementation of the review. Finally, all work processes are standardized and
improvement to solve the problems found previously. As the visually managed, to conclude with the implementation of the
first tool implemented, we have the standardized work, where improvement through the implementation of autonomous team
it seeks to find the best practices for the various activities management.
carried out within the organization, achieving greater efficiency 3. Check
and quality of these. To do this, the activities carried out within As part of the third stage, we find verification, where
the organization will be monitored, the process of which will be possible problems that have arisen during the execution of the
reflected in a lane diagram, which will then be measured and improvement are identified. As the first point to be developed,
evaluated in the company of the operators to establish a an audit will be carried out, in order to be able to collect the
standard application for each activity. information and verify if the established standardized activities
Once the first tool has been defined and implemented, the are complied with. Subsequently, with the information obtained
SMED tool will be executed for greater control and better use and with the help of the ARENA software, a simulation of the
of setup and product preparation times. For this, use will be processes will be carried out, to measure each of their respective
made of the information of the process and its elements activities. Finally, the previously established indicators will be
obtained in the previous tool, for the conversion of internal used to compare the processes before and after the
elements to external ones, to be able to carry out the greatest implementation of the improvement, and the objective that was
number of change processes with little or no modification. set at the beginning.
Finally, as the final part of the implementation of the 4. Action
improvement, we find the TPM tool, a tool based on the Finally, in the act stage, corrective maintenance measures
elimination of losses, reduction of stops, quality assurance and are applied to improve some opportunities that may arise. This
cost reduction. For the execution of this tool, we have as a first stage seeks mostly to provide feedback in order to maintain
step the cleaning and inspection of the machines, for its good practices for continuous improvement.
subsequent elimination of the sources of the problem and
D. Proposed process
inaccessible areas. Likewise, together with the correction of the
Figure 2 shows a flowchart that graphically represents the
sources of the problem, we proceed to create cleaning and
process of the proposed model using the Bizagi tool.

Fig. 2. Proposed Process

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Virtual Edition, December 4 – 6, 2023 4
 TABLE I
INDICATORS
Indicators Formula
Production efficiency (actual production rate/standard production rate) *100
Leisure time (1 - actual operating time/planned time) *100
Machine performance (actual speed/planned speed)*100
Waste (1 - valid units/total units produced) *100
OEE (actual operating time/planned time) + (actual speed/planned speed) + (valid units/total units produced)

Likewise, the waste is sold per kilogram to third parties,

E. Model Indicators
obtaining a decrease in profit of 89.86% if the company
For this research, the considered indicators are shown in
maintains a waste equivalent to 5.77% with respect to the total
Table I.
finished product. In the same way, the unproductivity of the
IV. VALIDATION operators is equivalent to 4.39% with respect to the net profit of
the company. In a period of 6 weeks, at the general level of the
A. Initial Diagnostic company, there was a monetary loss due to unproductivity and
Low efficiency has a notable presence in the bulk of the losses, for a total value of S/.1,010.28, which is equivalent to
MSEs in the textile-apparel sector in the country, due to factors 10.05% of the net profit obtained.
such as the negative effects of Covid 19 [34], time of leisure, Along the same lines, figure 3 shows a lane diagram of the
among others. Other researchers point out: "the production
process to be investigated was made to identify the main
efficiency at the national level in Peru in this sector is on
problems, where it is observed that the production chain has 6
average 75.2%, while globally it is on average 80%, so we can main operations, which are spinning, overlocking, inspection,
deduce that Peru is below average" [35]. labeling, bagging, and boxing.
With this in mind, we proceeded to calculate the production
Figure 4 shows the main problems of the organization,
efficiency of the company over 6 weeks to compare the results
together with the causes that cause it, the stops of the machines
with the industry standard, obtaining 42.18%, ranking
have a significant impact, since this problem corresponds to
significantly below the sector with a percentage difference of 78.57% of the low production efficiency, while the lack of raw
33.02%. materials corresponds to 21.43%.
The company currently has a net profit margin of 43.9%, Based on the initial diagnosis, Table II shows a summary
this due to the high production waste and unproductiveness of of the selected KPIs, along with the expected goal after
the operators. Waste represents 13.14% of the company's net implementing the improvement.
profit.

Fig. 4. Problem tree

Fig. 3. Main Process

3rd LACCEI International Multiconference on Entrepreneurship, Innovation and Regional Development - LEIRD 2023
Virtual Edition, December 4 – 6, 2023 5
 As the first stage of the execution of the proposed tools, we
have the work standardization tool, which was developed for
the overlock and ironing operations, impacting positively with
respect to the current situation, allowing to shorten the cycle
times of the operations. In the same line, the SMED allowed to
shorten the configuration time for the change of threads of the
spinning machine, leading to an improvement of 21%. In the
same way, the application of the TPM was able to reduce the
waste by 25% and the number of 6 average daily stops to 4
average stops per day.
Likewise, just as there was an increase in the proposed
indicators, there was also an economic impact, which with an
Fig. 4. Problem tree increase in the net profit margin of 10.03%, this is due to an
increase in income due to the reduction of losses. Likewise, the
TABLE II
CURRENT SITUATION - INDICATORS unproductivity of the operator had a reduction from 4.39% to
Indicators Current Objective Variation 0.87%, with respect to the net profit of the company. Finally, in
view of the monetary loss caused by unproductivity and
Productivity efficiency 42,18% 75,20% 43,90%
shrinkage, it had a reduction in its value, to a final amount of
Waste 5,77% 3% 47,98% S/. 291.91, which is equivalent to 2.63% of the net profit
Machine performance 72,70% 95,00% 23,48% obtained, thus having a reduction of 73.81% compared to the
Leisure time 38,27% 10% 73,87% initial situation.
Overall equipment efficiency 42,29% 75% 43,62%
The Input Analyzer software was used to process data from
30 observations, generating the appropriate distribution for
B. Validation Design inclusion in the model. To determine the necessary number of
Figure 5 shows the simulation model of the process through replications for the simulation, an initial sample of 30
the Arena software, to demonstrate and validate the replications was taken. A target half-width of 10% was set,
contribution offered by the proposed model with respect to the leading to a total of 180 replications. A confidence level of 95%
efficiency of the different operations that our flow has. and a 10% margin of error were considered in the evaluation
process.
The indicators of productive efficiency, waste, machine Table III shows the results of the simulation of the
performance, leisure time and overall equipment efficiency proposed model applied.
were selected to evaluate the effectiveness of the proposed
model.

Fig. 5. Simulation of the process

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 TABLE III [6] L. Canales-Jeri, V. Rondinel-Oviedo, A. Flores-Perez, and M. Collao-Diaz,
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3rd LACCEI International Multiconference on Entrepreneurship, Innovation and Regional Development - LEIRD 2023
Virtual Edition, December 4 – 6, 2023 8