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Saad Archane

In partial fulfillment of INT 4300 Internship

School of Business Administration


How can Eubest reduce Its Production Lead Time

Internship coordinator: Mme Sanaa Wakkas


Internship professor: Dr. Lahrech Abdelmounaim

Fall 2016

EXCECUTIVE SUMMARY

This report is the result of my eight weeks experience at Eubest Company located in
Casablanca, Morocco. The purpose of this report is to analyze the business problematic and
come up with new strategy for Eubest to reduce its production lead-time.
This report will include two main sections. The first one will be focused on the organization
as a whole; it will include a description of the company as a whole, its organization structure,
its mission, vision, its major markets, its major suppliers and main partners. . The second
section of this report will deal with the business problematic. In order to answer the business
problematic many analyzes were made using my knowledge and what I studied in logistic
classes.
Based on the analysis, its clear that Eubest has many opportunities for the future thanks to its
strong national networking, huge experience in the sector and also its management strategy.
However, Eubest has also some limitations that it is important for the company to work on it.
Therefore, some recommendations will be developed in the last part of the report to describe
the actions of the company for the future.

ACKNOWLEDGEMENTS

By the end of this internship, I am using this opportunity to express my deepest


gratitude and special thanks to my Internship supervisor Mrs. Sanaa Wakkas
who took time out to hear, guide, advice and keep me on the correct path and
allowing me to carry out my project. Her guidance helped me a lot as I heavily
learnt from him on the professional aspect as well as the personal one.

I would like also to thank my fellow coworkers in Eubest Company for


stimulating discussions as well as their knowledge sharing.

TABLE OF CONTENT

Excecutive summary....................................................................................1
Acknowledgements............................................................................................2
Table of content...........................................................................................3
introduction.....................................................................................................4
Part I: Overview of the company: EUBEST..............................................................5
Part II: Business problematic..............................................................................10
Part III: Recommendations and conclusion.............................................................16

INTRODUCTION

This report is the result of my research realized during my eight weeks Internship in
Eubest Company located in Casablanca, Morocco. My internship was taking place in the
logistics field which consists of assisting, and analyzing how the logistics manager are dealing
with the orders made from the customers, how they launch the production of the vehicules,
and finally see and analyze how they are daling with time since it is the most important factor
in production.
Eubest is company which aim is to grow in the Market and became a large one. Therefore,
the company needs continuous development in order to achieve its objective. So, the company
is trying to define its business strategy for the future. Therefore, this research is made in order
to come up with new strategy for the Company to reduce its production lead tim, and at the
same time increase the profit. With the help of my supervisor Mrs. Sanaa Wakkas, I choose
the following problematic:
How can Eubest company reduce its production lead time in order to satisfy the
customer in a brief period of time?
In order to determine the key elements, several analyses were made. Indeed, this report
will include two main sections. The first one will be focusing on Eubest as an organization.
The second will deal about the business problematic. The first part will include a data analysis
using various theories. The second part includes the results from the analysis and its
interpretation. In the last part, some recommendations are suggested and developed.

PART I: OVERVIEW OF THE COMPANY: EUBEST


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I-

About the Company:

Eubest company, was established in 2010, is one of the emerging companies in


Morocco and in international areas offering professional services for ambulances and
ambulance materials.

As an establishment that is aware of its responsibilities against the environment,


society and employees having activities related to ambulances and ambulance materials
for almost 7 years; the policy of the company is to provide the Customers with services
that exceed their expectations and to ensure their satisfaction. .

Although the company makes special productions according to customer requests


and based on projects, the productions focus on the following product groups as a
standard :

Ambulance Production

Ambulance Materials (Ambulance Stretchers, Stretcher Platforms, etc.)

Mobile Healthcare and Control Vehicles (Panel vans, Small buses, Buses, Trucks,
Trailers, Containers)

Director

Assistant

Purchaser
Manager

Logistics
Manager

Accounter

Source: Companys intern sources

Customers:
Eubest has several customers most of them located in Morocco. The company is
currently serving customers in many cities, and towns around Morocco; Such as, Khouribga,
Sidi Kacem, Kelaat Sraghna, Sal, Casablanca, Taroudant, Fquih Bensaleh,Khmisset, and
now it some African countries like Sngal, and Gabon.
Suppliers:
Eubest operates with various suppliers in Europe, and Asia to buy their materials.
Therefore, the company has added permanent suppliers from different countries as the
demand is increasing in Morocco.

Products:

II. Corporate Values:

Participative

All employees can freely express their opinions, and they know that their opinions are
valued.

Everybody feels himself/herself as a part of the company, and work diligently

They embrace new and different opinions.

They consult each other, learn together, and improve their abilities.

Success of all leads to success of company.

Adhered to Ethical Values

Legal and business ethics rules are prioritized.

Attaches importance to the values of community which it exists in.

Always maintains the importance attached to the values of community.

Maintains a mentality that prioritizes protection, preservation of environment, and


gives importance to awareness for environmental protection.

Open to Improvement, Innovative

Always being the best is their indispensable target.

The ability to quickly take positions according to market conditions and time.

Operates with technologic infrastructure compatible with the necessities of the time.

Endeavours for everybodys development.

Reliable

Their principle is to be consistent in terms of what they do and what they say.

Always behaves fair to its employees, customers and business partners.

PART II: BUSINESS PROBLEMATIC

Lets state again the business problematic before analyzing the findings:
How can Eubest Company reduce its production lead time in order to satisfy the
customer in a brief period of time?
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Eubest is present in the Moroccan market for many years; however, it has had plenty of
trouble expanding because of the higher competition, and also for the production lead time
that is sometimes very high. This is the main business problem addressed in this research.
Therefore, this report is the fruit of the research made in order to assess a solution to this
problem which can drastically play a role in the expansion of the company.
The main reason behind my choice of this problematic is that I took Supply chain
management, and Production inventory management . This, allowed me to understand that
time in supply chain is an important factor in production that why any company should
optimize it.
Therefore, in order to gather information about the company I used several data
collections. The major one is asking questions to my supervisor and also my colleagues in
order to know more about the environment of the company.

THE ANALYSIS :

1. Definition of Production Lead time:

The world is changing quickly, consumer expectations are high, and companies must be
quick to adapt if they are to survive and thrive. Organizations need proven concepts for
reducing lead time and the tools to do so if they are to remain competitive. Lean
development is one such tool. Reductions in manufacturing lead time can generate
numerous benefits, including lower work-in-process and finished goods inventory levels,
improved quality, lower costs, and less forecasting error. More importantly, reductions in
manufacturing lead time increase flexibility and reduce the time required to respond to
customer orders. This can be vital to the survival and profitability of numerous firms,
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especially those experiencing increased market pressures for shorter delivery lead times of
customized product.
A. Lead Time:
Lead time can be defined as total time required to manufacture an item, including order
preparation time, queue time, setup time, run time, move time, inspection time, and put away
time. It is the time interval between the initiation and the completion of a production process.
For make-toorder products, it is the time taken from release of an order to production and
shipment. For make-to-stock products, it is the time taken from the release of an order to
production and receipt into finished goods inventory. [1]

B. Lean Manufacturing:
Lean manufacturing is a manufacturing strategy that seeks to produce a high level of
throughput with a minimum of input. Lean thinking changes the focus of management from
optimizing separate technologies, assets, and vertical departments to optimizing the flow of
products and services through entire value streams that flow horizontally across technologies,
assets, and departments to customers. The term lean manufacturing is created to represent less
human effort in the company, less manufacturing space, less investment in tools, less
inventory in progress, and less engineering hours to develop a new product in less time (cited
from Tinoco, 2004).

2. Definition of Value Stream Mapping VSM:

Value stream mapping (VSM) is one of the basic methods within Lean, in order to
understand and communicate the material and information flow for a product, plant or
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supply chain It is a helpful way to identify sources of waste and opportunities for
improvement as well as supporting the design process for future production flows
Always create a VSM for a value stream before diving into the task of waste
elimination
VSM is focusing on two types of flows which can be observed in any business
environment:

Value Stream Mapping Icons :

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Analysis of Production Lead Time Within the Company:

The company is operating in a the medical field, which means the product they are delivering
should be a quality product. We know that a product of quality needs more time to be
produced , but sometimes customers want their product in a brief delay with the same quality.
So here, the company should optimize the production lead time, this strategy was developed
at the beginning by a well known car Company named Toyota in order to satisfy its
customers.
.

SWOT Analysis:

The SWOT analysis is a model created in 1960 and that had been adopted by many
companies. The method of SWOT analysis is to take the information from an environmental
analysis and separate it into internal (strengths and weaknesses) and external issues
(opportunities and threats). This tool help the companies to know if there are worth pursuing
or not, and what is required to make them reachable. (Investopedia.com)

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Strengths: resources and potential factors that support a successful outcome, and
show the competitive advantage of the company.

Weaknesses: resources and weak factors of a company that need improvement.

Opportunities: external factors that allow the company to improve its competitive
position in the market.

Threats: external factors that place the business in a risk of failure, and reduce its
competitive position.

Strengths
Weaknesses
EUBEST has a huge experience in
Company should expand in other
this sector which allow the
African countries
company to set better price than its
The motivation within the company
competitors
Company provides many services
to its customers

Opportunities
Threats
The increase of the demand for the
Government limitations concerning
product.
some products
Growing Industry
There are new entrants in the
Moroccan market.
There are important competitors

According to the SWOT analysis is it clear that EUBEST has a positive position. Even
if the company is facing some limitations because of the government.

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PART III: RECOMMENDATIONS AND CONCLUSION


The logistics department is suffering from many problems, in the manufacturing facilities
or the delivery services. One of these issues is the one related to the high SC process leadtime. I have worked hard in order to find solutions to this problem that affects the entire
organization. The main objective of the project I carried during my internship was to find a
solution to this problem, and try to reduce the production lead time to be more efficient, and
meet customer expectations. The task was not easy at all due the small amount of time I had
to find a solution. But, working every day in the field made me capable of visualizing the
wholes in the process, and started thinking of how can I fill these wholes that represented a
waste of time, and money for the company. I started by visiting the manufacturing facility. I
spent 2 weeks with the employees of the facility, trying to analyze where the problem is
coming from. Then, I went to the HQ of the company to see how employees are
communicating with each other to see if the flow of information wasnt stopped by any kind
of misunderstanding. Then I analyzed what I gathered, and started looking for a solution.
The solution was actually to using a simple tool we studied in our class of production
inventory management, and skimmed in the supply chain management class which was Value
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Stream Mapping that I defined in a previous section of my report. This solution can decrease
the production lead time considerably, and also can decrease drastically the cost of
production.

References:

Terry, K. (n.d.). What Is DMAIC? Retrieved October 27, 2016, from


http://www.isixsigma.com/methodology/dmaic-methodology/what-dmaic/
Benrqya, Y. (n.d.). VSM. Lecture presented at Class in Morocco,
Ifrane.
J. Li and S. M. Meerkov, Production Systems Engineering. New York:
Springer, 2009.
D. Jacobs and S. M. Meerkov, A system-theoretic property of serial
production lines: Improvability, International Journal of Systems Science,
vol. 26, no. 4, pp. 755785, 1995. [
C.-T. Kuo, J.-T. Lim, and S. M. Meerkov, Bottlenecks in serial
production lines: A systemtheoretic approach, Mathematical Problems in
Engineering, vol. 2, no. 3, pp. 233276, 1996.

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