Productivity Improvement of Coal Hauling using Lean Techniques: A Case Study in Coal Mining Company in Indonesia

Abstract

The adoption of the lean concept as a company strategy to creates competitive advantages and provides important savings opportunities has been increasing recently. Its application has been extended from manufacturing to almost all types of industry including coal mining under the realization of the need for productivity improvement and the need for efficient operation.  However, published information and articles showing the real application of lean in the mining sectors are still scarce. The objective of this paper is to show the application of lean production method in coal hauling operations in one of coal mining company in Indonesia. The lean method with Plan, Do, Check, Act (PDCA) cycle has been utilized to identify, analyze and improve productivity. The main result of this study reveals that implementing lean increase the productivity of coal hauling operations from 115 to 129 tons per hour. Statistical test using two sample t-test confirmed the significance of the result. This paper demonstrates lean application in coal hauling operations and bring significant result.