Optimization of Operational Efficiency and Delay Management in the Inbound Department: A Case Study of XYZ Company Ltd.

Abstract

               This study aims to enhance operational efficiency and reduce delays in the inbound department of XYZ Company Ltd., a business engaged in international freight forwarding. The main issues identified include delays in documentation and invoicing, as well as demurrage charges, all of which negatively impact customer satisfaction. This qualitative study gathered data through observations, in-depth interviews, and document analysis. Root causes were identified using the 5 Whys technique and Fishbone Diagram, followed by the application of ECRS principles (Eliminate, Combine, Rearrange, Simplify) to improve workflow agility and accuracy.
                 The findings revealed that the primary causes of delays were redundant document handling procedures and ineffective communication both within the organization and with customers, leading to misunderstandings, errors, and service delays. Solutions included process improvements and the introduction of a repackaging service. Although these changes involved slightly more steps and coordination, they significantly added value, better met customer needs, enhanced convenience, and improved both revenue and competitive advantage.
                 In addition, supporting tools were developed, including a notification system via LINE, a centralized document management system, and the use of Google Forms for early-stage data collection. The results showed a reduction in documentation errors from 20% to 0%, and demurrage charges decreased from 7 to 2 cases out of 50 shipments. These outcomes significantly reduced costs and increased profitability for both the company and its customers.