Lean Concept Implementation: Waste Reduction on Road Transport in Apparel Industry

Logistics costs have become a concern for the Indonesian government, and in 2024, they accounted for 14% of the Gross Domestic Product (GDP). Transportation costs are one of the elements of logistics costs. This condition has compelled leaders and teams in the apparel industry to allocate resources efficiently, effectively, and productively, with minimal waste. Based on this reason, the organization sought to identify the root causes of waste and implement improvements in transportation. These wastes of road transportation were identified and reduced by DMAIC (Define, Measure, Analyze, Improve, Control) method and lean tools, including Value Stream Map (VSM), Lean Metrics, Five Whys (5Ws), Transportation Overall Vehicle Effectiveness (TOVE) – Overall Equipment Effectiveness (OEE), transport software, and SmartSheet. Data collection and observations were conducted in 2024 and 2025, resulting in improvements across various aspects, including a 75.75% reduction in parking time, a 4.67% decrease in distance traveled, an 82.66% decrease in vehicle utilization, and a 16.66% reduction in transportation costs. The Lean concept remains an effective tool for reducing waste.