Integrating Value Stream Mapping and Business Process Reengineering to Improve Operational Efficiency in Sustainable Teak Forest Production
DOI:
https://doi.org/10.62710/1nd0fx65Keywords:
Business Process Reengineering; Value Stream Mapping; Operational Efficiency;Abstract
The purpose of this research is to identify inefficiencies in the sustainable teak forest production process and to optimize the business process by integrating Value Stream Mapping (VSM) and Business Process Reengineering (BPR). This research is important because improving production efficiency is essential to support sustainable forest management and enhance the effectiveness of business operations. The approach used in this research is an embedded mixed-methods case study, with data collected through observations, interviews, and documentation of operational activities within the company. The findings indicate that the major causes of inefficiency are time wasted due to waiting, overprocessing, and lack of coordination between work units, particularly during the legality verification process and the distribution of information. These conditions result in delays and reduce the overall efficiency of the production process. The use of VSM was successfully carried out to identify bottlenecks and non-value-added activities, while the implementation of BPR was able to reduce process complexity and integrate business processes. The redesign process resulted in an improvement in flow efficiency from 47.4% to 74.2% and a reduction in production lead time. These findings demonstrate that the integration of VSM and BPR can provide a systematic approach to improving production flow, reducing waste, and supporting more efficient and sustainable business processes.
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