Analysis of Factors Causing Delays in the Diesel Engine Remanufacturing Process at an Indonesian Company

Erwin Soeseno and Ratih Dyah Kusumastuti
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Erwin Soeseno: Department of Management, Faculty of Economics and Business, Universitas Indonesia, UI Campus Depok 16424, Indonesia
Ratih Dyah Kusumastuti: Department of Management, Faculty of Economics and Business, Universitas Indonesia, UI Campus Depok 16424, Indonesia

Logistics, 2018, vol. 3, issue 1, 1-15

Abstract: HeavyEq is an Indonesian company that remanufactures diesel engines for the mining industry. The company experiences delays in the remanufacturing process that lead to a sales backlog. The main purpose of this paper is to identify the root cause of, and propose a solution to, the problem. A fishbone diagram is developed to identify the root cause, and the results show that delays in the remanufacturing process are mainly caused by uncertainty over cores (used engines) in terms of their arrival time, quantity, and quality. Based on a literature review and interviews with experts, an improvement in core acquisition activity, separating job orders for disassembly and recovery, and reassembly processes is proposed to reduce delays in the remanufacturing process.

Keywords: remanufacturing delay; diesel engine; root cause analysis; Indonesia (search for similar items in EconPapers)
JEL-codes: L8 L80 L81 L86 L87 L9 L90 L91 L92 L93 L98 L99 M1 M10 M11 M16 M19 R4 R40 R41 R49 (search for similar items in EconPapers)
Date: 2018
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