Implementation of Lean Six Sigma Framework in Improving Quality Management System for LNG Shipment Process in Badak LNG

Main Authors: Utami, Prapti Dwi; School of Business and Management, Institut Teknologi Bandung, Yudoko, Gatot; School of Business and Management, Institut Teknologi Bandung
Format: Article info eJournal
Bahasa: eng
Terbitan: The Indonesian Journal of Business Administration , 2022
Online Access: https://journal.sbm.itb.ac.id/index.php/IJBA/article/view/4395
Daftar Isi:
  • Badak LNG is the company which is capable to produce liquefied natural gas from feed gas through liquefaction process since 1977. One of Badak LNG’s responsibilities is to conduct LNG loading from the shore side to the ship with limited lay time only for 36 hours. Violation of the agreement causes an impact both morally and financially aspects. Based on the actual lay time data, although the lay time is less than 36 hours, the letters of protest were issued when the delay happened. Afterwards, the letter of protest will be followed up by incident investigation and several recommendations will be given to improve the existing system. However, this is the corrective action that improves the system based on feedback from the customer. In order to increase its competency, Badak LNG also needs preventive improvement action to improve its service quality. The aim of this paper is to develop the effective strategy to prevent delay and its disadvantages from all the LNG shipment activities under Badak LNG’s responsibility by using the Lean Six Sigma process improvement method is called DMAIC (Define-Measure-Analyse-Improve-Control). This improvement is implemented as a preventive action to prevent customer dissatisfaction due to delay time. Keywords: quality improvement, DMAIC, delay time