The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive Success

This study investigates the transformation of e-commerce warehouse operations by integrating Lean Six Sigma tools to enhance efficiency and sustainability. Beginning with Value Stream Mapping (VSM) to identify inefficiencies, followed by a Hoshin Kanri plan to align improvement initiatives with stra...

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Main Authors: Mohammad Anwar Rahman, E. Daniel Kirby
Format: Article
Language:English
Published: MDPI AG 2024-12-01
Series:Logistics
Subjects:
Online Access:https://www.mdpi.com/2305-6290/8/4/129
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author Mohammad Anwar Rahman
E. Daniel Kirby
author_facet Mohammad Anwar Rahman
E. Daniel Kirby
author_sort Mohammad Anwar Rahman
collection DOAJ
description This study investigates the transformation of e-commerce warehouse operations by integrating Lean Six Sigma tools to enhance efficiency and sustainability. Beginning with Value Stream Mapping (VSM) to identify inefficiencies, followed by a Hoshin Kanri plan to align improvement initiatives with strategic objectives, the study implemented measures such as pallet pooling, process standardization, automation in inspection and picking, layout optimization, and Kanban systems for continuous improvement. A case study of a local e-commerce warehouse specializing in medical devices and healthcare products identified 29 activities across receiving, inspection, storing, picking, packing, and shipping, highlighting inefficiencies addressed through Lean-driven initiatives. These efforts resulted in a 23% reduction in total lead time, doubled value-added time, and significant improvements in inspection, picking, packing, and automation, reducing delays, lowering costs, and enhancing workflow. The study fills a gap in the literature by integrating multiple Lean tools and utilizing the Critical to Quality (CTQ) matrix to ensure sustainable improvements in e-commerce warehousing, emphasizing the strategic value of Lean Six Sigma in creating efficient, customer-focused operations.
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spelling doaj-art-28c8d1349754413e9e52fe323b14d1de2025-08-20T03:28:28ZengMDPI AGLogistics2305-62902024-12-018412910.3390/logistics8040129The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive SuccessMohammad Anwar Rahman0E. Daniel Kirby1Faculty of Manufacturing and Construction Management, Central Connecticut State University, New Britain, CT 06050, USAFaculty of Manufacturing and Construction Management, Central Connecticut State University, New Britain, CT 06050, USAThis study investigates the transformation of e-commerce warehouse operations by integrating Lean Six Sigma tools to enhance efficiency and sustainability. Beginning with Value Stream Mapping (VSM) to identify inefficiencies, followed by a Hoshin Kanri plan to align improvement initiatives with strategic objectives, the study implemented measures such as pallet pooling, process standardization, automation in inspection and picking, layout optimization, and Kanban systems for continuous improvement. A case study of a local e-commerce warehouse specializing in medical devices and healthcare products identified 29 activities across receiving, inspection, storing, picking, packing, and shipping, highlighting inefficiencies addressed through Lean-driven initiatives. These efforts resulted in a 23% reduction in total lead time, doubled value-added time, and significant improvements in inspection, picking, packing, and automation, reducing delays, lowering costs, and enhancing workflow. The study fills a gap in the literature by integrating multiple Lean tools and utilizing the Critical to Quality (CTQ) matrix to ensure sustainable improvements in e-commerce warehousing, emphasizing the strategic value of Lean Six Sigma in creating efficient, customer-focused operations.https://www.mdpi.com/2305-6290/8/4/129Lean Six SigmaValue Stream MappingCritical to Qualityprocess standardization
spellingShingle Mohammad Anwar Rahman
E. Daniel Kirby
The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive Success
Logistics
Lean Six Sigma
Value Stream Mapping
Critical to Quality
process standardization
title The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive Success
title_full The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive Success
title_fullStr The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive Success
title_full_unstemmed The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive Success
title_short The Lean Advantage: Transforming E-Commerce Warehouse Operations for Competitive Success
title_sort lean advantage transforming e commerce warehouse operations for competitive success
topic Lean Six Sigma
Value Stream Mapping
Critical to Quality
process standardization
url https://www.mdpi.com/2305-6290/8/4/129
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