Abstract
The problem addressed by this research is to implement lean manufacturing in a material handling system of a petroleum drill bit manufacturing company. Lean manufacturing has been mandated by higher level management as a tool to be used in waste reduction. Operational group must define the objectives of lean manufacturing and deploy the tools to specific work cells. A methodology that provides operational group with a tool to assist in defining the objectives of lean manufacturing is developed. A case study is used to demonstrate the lean implementation in material handling operations.