Integrating material and information value stream mapping and value chain technologies to reduce the costs of poor quality

Abstract

The primary aim of this research is to demonstrate the impact of applying the Value Stream Mapping (VSM) technique alongside the value chain approach on reducing the costs associated with poor quality. This reduction directly contributes to lowering the production costs of liquid acid batteries while improving their quality, thereby achieving greater customer satisfaction. Such improvements enhance the company’s competitive advantage and increase its market share. By utilizing these techniques, which specifically target the reduction of poor-quality costs, the study reached several important conclusions. Notably, the use of automated operating equipment was found to reduce material wastage costs caused by frequent power interruptions during battery production. The research also provides key recommendations, chief among them being that the company under study should adopt the Value Stream Mapping technique and value chain approach to effectively reduce costs related to poor quality.