CHAPTER 1: INTRODUCTION

1.1 INTRODUCTION

Research is an objective and systematic scientific inquiry or investigation into a

specific problem that needs a solution that provides the needed information that

guides managers to make decisions to successfully deal with problems. The

information provided could be the result of a careful analysis of data gathered

firsthand or of data that are already available. While business research is a systematic

and organized effort to investigate a specific problem or opportunity encountered in

the work setting that needs a solution. Managers need to recognize that the most

problems are opportunities in disguise.

In this chapter, discussion will be focused on identifying and stating the research

problem, formulating the research questions and purposes of the research, deciding on

scope of the research and underlining the significance of the research. In general this

topic will able to give an insight of the direction of the research and its deliverables.

The main purpose of the project research conducted are to seek the truth, to discover

new knowledge, to describe, explain, and predict, to provide solution to a problem

and to help in decision making. Underpinning this broad aim were objectives

articulating the scale, scope and focus of the project. These involved exploring how

research impact was currently understood by the higher education community and in

particular, exploring what standards were guiding decisions about what impacts were

sought, and the methodological approaches deployed in providing evidence of impact.

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A researcher may conduct a random interview or survey in order to determine what

would increase the level of maintenance downtime and also can determine what

reasons for the poor capacity in a company. If the performance is due to poor training

methods, poor Automation system or any else, then a thorough research will be

carried out to solve the problem. Moreover, a researcher may conduct a scientific

research. This techniques or procedures used to analyze empirical evidence in an

attempt to confirm or disprove prior concept in helping the researcher to know and

understand business phenomena.

1.2 PROBLEM STATEMENT

Capacity is the maximum amount of manufacturing operation that can be produced by

URC Snack Foods Sdn Bhd. Capacity increase either to meet an actual (immediate)

increase in customer demand or an anticipated (future) increase in customer demand.

Capacity actually a situation in which actual production is less than what is achievable

or optimal for URC Snack Foods Sdn Bhd. This often means that the demand in the

market for the product is below what the firm could potentially supply to the market.

The amount of capacity produced within URC Snack Foods Sdn Bhd is a signal of

both the health of that industry and the demand for the products it produces.

The demand for products at URC Snack Foods Sdn Bhd is increasing tremendously as

consumers are aware of health issues and the importance of it. For some people, when

income rises, the demand for URC Snack Foods products will increase together. With

the current supply and with the demand that is increasing, URC Snack Foods Sdn Bhd

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was going through an underproduction due to the fact that demand is more than the

supply. That’s why, the company need to increase their maintenance downtime in

order to help them in satisfied the customer demand and also indirectly increasing

their profit. Therefore, they need a consistent way to solve their problem of poor

maintenance downtime. They need improve their maintenance downtime by, first

using maintenance schedule (PAS) such as Automatically Control Equipment and

Computerized Technology and software. Secondly, they may use overall Equipment

effectiveness. Thirdly, by improving staff accountability and lastly, using Data

Envelopment Analysis (DEA) and Equipment Qualification.

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Problem Statement

Maintenance Downtime

URC Snack Foods Sdn Bhd

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12. Qualification / Education Level

11. Experience

10. Training method

1. Prepare the daily checklist

2. Prepare the monthly service checklist

3. Record the schedule

4. Man Power1. Maintenance

Schedule

(Dependent Variable)

Improvement The Maintenance Downtime

3. Update or Service the Machinery

2. Monitor the Efficiency of

Manufacturing Processes

9. Preventing machinery malfunctions

8. To do a schedule for calibration

7. Use the right spare parts

4. Reduce the breakdown time or reduce minor stops

5. Reduce the minor stop from other production line

6. Reducing the production losses

1.3 REASERCH MODEL

1.4 MAIN RESEARCH OBJECTIVES

To determine factors to improve maintenance downtime in URC Snack Foods

Sdn Bhd.

1.5 SPECIFIC RESEARCH OBJECTIVES.

1.5.1 To determine the influence of the maintenance scheduling to improve

maintenance downtime in URC Snack Foods Sdn Bhd.

1.5.2 To determine the influence of monitoring the efficiency of

manufacturing process to improve maintenance downtime in URC Snack

Foods Sdn Bhd

1.5.3 To determine the influence of updating or servicing the machinery to

improve maintenance downtime in URC Snack Foods Sdn Bhd.

1.5.4 To determine the influence of staff accountability or manpower to

improve maintenance downtime in URC Snack Foods Sdn Bhd.

1.6 BENEFIT TO THE COMPANY

Planning the use of their manufacturing capacity to turn out highest- quality products

while maximizing profit is a key to the successful of URC Snack Foods Sdn Bhd.

Capacity utilization depends on market demand and on scheduling production for the

most efficient use of the facilities. So, when URC Snack Foods Sdn Bhd managed to

improve their maintenance downtime continuously, this enables the organization to

better their economies of scale learning. Is such URC Snack Foods Sdn Bhd can able

to reinvest their profit for further develops it.

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1.7 LAYOUT OF THE PROJECT PAPER [FINAL REPORT]

CHAPTERS SUBJECT

1 INTRODUCTION

2 ORGANIZATION BACKGROUND

3 RESEARCH DESIGN

4 DATA ANALYSIS AND FINDING

5 RECOMMENDATION AND

CONCLUSION

1.8 SUMMARY

This chapter is discussed to formulate an excellent strategy of improvement the

maintenance downtime URC Snack Foods Sdn Bhd. From the problem statement part,

the conclusion that can be made is that the URC Snack Foods Sdn Bhd needs to

consider on many aspects in improvement their maintenance downtime. The area of

improvement will be focus on the preparing the maintenance schedule; monitoring the

efficiency of manufacturing process; updating or servicing the machinery; and

improve staff accountability or manpower. This report is completed and written out

focusing on URC Snack Foods Sdn Bhd.

CHAPTER 2- COMPANY BACKGROUND

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2.1 INTRODUCTION

In this chapter, discussion will be focused on identifying and stating the company are

selected to formulating the research. In general this topic will able to give an insight

of explanations, the company background, corporate history and others thing. The

main purpose of the identification of the company conducted is to describe, explain,

and predict, to provide solution to a problem and to help them in decision making.

This chapter also performed to give an initial figure about the company before

conducting further research.

2.2 COMPANY PROFILE

URC Snack Foods Sdn Bhd 

Tracing its roots all the way back to 1954, Universal Robina Corporation (URC) was

first established in the Philippines by Mr. John Gokongwei.

A trader and importer, Mr. John was already a successful entrepreneur back then. Yet

he looked beyond his current success and aspired to expand his business even further.

Hence, with his savvy business expertise and foresight, he decided to start off his own

production and distribution by constructing a corn milling plant to produce glucose

and cornstarch – leading to the birth of Universal Corn Products (UCP), the first

linchpin of the company that would become the URC we know today.

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Armed with eye for the future and great foresight, Mr. John realized that

manufacturing commodities while providing steady revenues did not guarantee lasting

customer loyalty. With this in mind, he began to diversify by producing and

marketing his own brand of consumer foods similar to the multinational companies in

the country, such as Nestle and Procter & Gamble – thus conceiving the first ‘local’

MNC borne out of their best practices to shape URC to where it is today

2.3 CORPORATE HISTORY

1961:

Consolidated Food Corporation was established and the first locally

manufactured coffee blend, “Blend 45” was born.

Blend 45 rose to become the largest-selling coffee brand in the market, even

beating out market leaders Café Puro and Nescafe.

The birth of NIPS, a panned chocolate that soon became a staple in every

Filipino’s childhood

1963:

Robina Farms began operations, beginning with poultry products.

1966:

Universal Robina Corporation was established, pioneering the salty snacks

industry with Chiz Curls, Chippy, and Potato Chips under the “Jack  ‘n Jill”

brand.

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Other successful snack products were introduced to blaze through the industry

and become market leaders even till now, such as Pretzels, Piattos and Maxx.

Early 1970s:

Universal Robina Corporation entered the Commodities business through the

formation of Continental Milling Corporation for flour milling and production.

Early 1980s:

URC Sugar was born with the acquisition of three sugar mills and refineries.

Early 1990s:

URC forged into the plastics business with URC Packaging

Today, URC has carved its niche into the ASEAN region with a strong foothold in

Thailand, Malaysia, Indonesia, China, Hong Kong SAR, Singapore and Vietnam.

URC in Malaysia

URC Snack Foods (Malaysia) Sdn. Bhd was first incorporated in 1982 and

commercial operation started in 1984. The first product that was produced and sold by

URC Malaysia was Jack ‘n Jill Potato Chips. Over the many years of continued

success, we have added other brands to our stable:

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Roller Coaster

JIGS

Corn Curls

Cloud 9

NIPS

Chooey Choco

Magic

C2

URC Malaysia also exports to Singapore, Brunei, Taiwan, Hong Kong SAR,

Mauritius, Maldives, New Zealand, Australia, Indonesia, Vietnam, Cambodia,

Mongolia, Thailand, Nepal, India, Seoul Korea & Japan

2.4 VISION & MISSION

VISION

The vision for the URC Snack Foods Sdn Bhd is “ To be the best Malaysian food and

beverage company, with a powerful presence throughout the ASEAN region, carrying

a wide portfolio of delightful brands of exceptional quality and value, equipped with

efficient system and motivated people. We are committed in making lives a truly fun

experience.

MISSION

Passion To Win

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We build organizational capability by being entrepreneurial and proactive, driven by a

sense of urgency and purpose. We continuously challenge ourselves to deliver world-

class brands and consistently rally our people to strive for excellence.

Dynamism

We cultivate a culture of innovation and productive working relationships. We

continously find ways to improve organizational and people capabilities to meet

constantly changing consumer needs.

Integrity

We are guided by transparency, ethics and fairness. We build the business with honor

and are commited to good governance. Our processes and products meet the highest

standards. We are credible in our dealings with both internal and external stakeholders

Courage

We seize opportunities in building long-term, sustainable business. We make tough

people and business decisions to ensure competitive advantage

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CHAPTER 3: RESEARCH DESIGN

3.1 INTRODUCTION

This chapter demonstrates the methods of implementing a research work, primarily

delineating the research model, identifying the appropriate research design, discussion

on the possible data collection methods, targeting the right population- sample,

formulating questionnaires and measurement / scale, and identifying the appropriate

statistical analysis techniques.

3.2 METHODOLOGY

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The Methodology design consists in setting up the approach that will allow the

evaluation team to answer the questions and to come to an overall assessment. To get

a better understanding and to conduct an investigation on the problem statement, a

rigorous research needs to be done. The initial part this research will lead to

information collection. Various methods of research can be implemented; such as

questionnaires, interviews, observations and documentation review which will

subsequently get this study meet it objective.

3.3 TYPE OF RESEARCH DESIGN

Based on the book written by Davis (1995) a research design is a framework or

blueprint for conducting the research project. It details the procedures necessary to

obtaining information needed to structure and solving the research problem. Research

design can be classified as exploratory research and conclusive research. In this study,

a conclusive research design will be employed (descriptive or causal) because it

typically more formal and structure compared than the exploratory research.

3.4 DATA COLLECTION

This research utilizes data from various sources such as primary data from

questionnaire survey and secondary data from company internal reports, annual

report, interim reports, periodical survey reports and etc. The purpose of answering

questions, the evaluation team collects data that are already available (secondary data)

and applies data collection tools With a view to obtaining fresh information (primary

data).

3.4.1 Primary Data

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Primary data come from original sources and are collected especially to

answer our research question. A five-page questionnaire with 16

questions was devised and distributed to the sample respondents.

3.4.2 Secondary Data

As for the secondary data, it is collected internally and externally. Some

of the data, which is related, could be also obtain from various Internet

sources .From the Internet, there are thousands of sources about

inventory management. The data is also taken from the company

presentation slide and reports. Most importantly, references are made

from books and journals, which provide more elaborative information

with research base evidences. As such, it makes this research data and

more accurate and densely (Pandiyan and Chandran, 2009).

3.5 SAMPLING PROCEDURE & TECHNIQUES

The sampling technique used in this study is probability sampling, which is simple

random sampling technique. Probability sampling as defined by Sekaran (2003) as

each element in the population do have the equal probability or chance to be selected

as sample subject. Meanwhile, simple random sampling technique is referred as to the

collection of information from the member of the population who are randomly

selected from the sampling or population frame.

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3.6 SAMPLING METHOD

In research investigation involving several hundred and even thousands of elements, it

would be practically impossible to collect data from, or test, or examine every

element. Even if it were possible, it would be prohibitive in terms of time, cost and

other human resources.

Therefore, for the questionnaires distribution, the researcher used the probability

sampling called simple random sampling techniques in order to select the respondent.

This is because it has the least bias and offers the most generalizability.

3.7 POPULATION & SAMPLE SIZE

According to Cooper and Schindler, (2001), population refer to the entire group of

people, events, or things of the interest that researcher wishes to investigate. The

population for this study refers to the workers of URC Snack Foods Sdn Bhd.

Sampling sizes refer to a number of units of respondents to be included in a study and

determined based on the size of the population. For this research, respondents will be

selected from the total population is 30 persons out of the total amount workers and

later answers all the questions in the questionnaires.

3.8 MEASUREMENT & SCALING TECHNIQUE

In order to have significant and reliable information that appropriate with the

fieldwork study, certain proper scaling technique must be adopted. Therefore,

questionnaires should include of the following scaling:

3.8.1 Closed- Ended Question- Dichotomous Scale

The respondents are required to choose either YES or NO answer.

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Example:

Do you think that inventory is one of the important elements that can

affect company profit?

YES NO

3.8.2 Open-Ended Question

The open-ended question allowing respondents to comment on any

aspects they choose. It would end with an expression of sincere thanks

to respondent. The part of the questionnaire could look the following.

3.9 DATA ANALYSIS TECHNIQUES

The process of analyzes data and finding analysis begins after all the data and

information had been gathered through the data collection method. Through this

process, the researchers determined the influence between the variable through

descriptive analysis in order to test all the research questions. Later the tabulated

results are interpretation. Microsoft Excel is used to calculate data and present more

accurate and quick result with graphical explanation.

3.9.1 Cross Tabulation

Cross tabulation used when the data will be presented in a form of

percentage and some are also presented in both frequency and

percentage. The important of cross tabulation is to indicate the

relationship or association of one variable to another variable of study.

3.9.2 Frequency distribution

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The purpose of the frequency distribution is to obtain a count of the

number of responses associated with different value of one variable

where these amounts are usually in percentage.

3.9 SUMMARY

The primary reason for the study was to learn through administration of

questionnaires on the improvement of maintenance downtime in URC Snack Foods

Sdn Bhd. Baring in the mind the limitation of this study, only a small - scale

investigation could be executed due time constraint and confidentiality. More studies

of the same nature need to be conducted before any conclusive result can be claimed.

CHAPTER 4: DATA ANALYSIS AND FINDINGS

4.1 INTRODUCTION

This chapter presents the empirical of the study with regards to URC Snack Foods

Sdn Bhd. The analysis was obtained using only descriptive statistics, the data

explored further to understand the nature and characteristics of the data. It helps the

17

researches in selecting and using the appropriate analysis or procedures in subjecting

to the research objective.

4.2 MAINTENANCE SCHEDULE

Table 1: The effectiveness of preparing the maintenance schedule

Elements Yes (%) No (%)

Providing the daily checklist 66.67 33.33

Prepare the monthly service checklist 76.67 23.33

Record of all maintenance job 93.33 6.67

Chart 1: The effectiveness of preparing the maintenance schedule

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Providing daily checklist Prepare the monthly service checklist

Record of all maintenance job0

10

20

30

40

50

60

70

80

90

100

83.33

90.0093.33

16.67

10.006.67

Yes No

Per

cent

age

%

Elements

Based on the chart 1 above, it show the effectiveness of preparing the maintenance

schedule in improving the maintenance downtime in terms of providing daily

checklist, the monthly service checklist and the record of maintenance job. The

highest number of worker agree that the most effectiveness using the maintenance

schedule is record all the maintenance job, followed by preparing the monthly service

checklist and lastly, providing the daily checklist. While the highest number of worker

that disagree the most effectiveness using the maintenance schedule is providing daily

checklist, then preparing the monthly service checklist and lastly, record all the

maintenance job.

4.3 MONITORING THE EFFICIENCY IN MANUFACTURING PROCESS

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Table 2: The effectiveness of monitoring the efficiency in manufacturing process

Elements Yes (%) No (%)

Reduce the breakdown time 70 30

Reduce the minor stop for other

production line

76.67 23.33

Reduce the production losses 50 50

Chart 2: The effectiveness of monitoring the efficiency in manufacturing process

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Reduce the breakdown time Reduce the minor stop for other production line

Reduce the production losses.

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

70.00%

76.67%

50.00%

30.00%

23.33%

50.00%

Yes

No

Per

cent

age

Elements

The chart above shows the effectiveness of monitoring the efficiency in

manufacturing process on reducing the breakdown time, reducing the minor stop for

other production line and reducing the production losses. Based on the chart there is

equally amount of percentages which is 50% that agreed and disagree by workers on

the effect of efficiency in monitoring manufacturing process which is reducing the

production losses. The highest agreed and disagreed by the workers on the effect of

efficiency in monitoring manufacturing process is reducing the minor stop for other

production line.

4.4 UPDATE OR SERVICE THE MACHINERY

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Table 3: The effectiveness in updating or servicing the machinery

Elements Yes (%) No (%)

Preventing the machinery malfunctions 70 30

Providing a schedule for calibration 90 10

Using the right spare parts 76.67 23.33

Chart 3: The effectiveness in updating or servicing the machinery

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Preventing the mschinery malfunctions

Providing a schedule for calibration

Using the right spare parts0.00

10.00

20.00

30.00

40.00

50.00

60.00

70.00

80.00

90.00

100.00

90

83.33

76.67

10

16.67

23.33

Yes

No

Per

cen

tage

s

Elements

Chart 3 above shows the effectiveness in updating or servicing machinery in

improvement of maintenance downtime. The highest workers agree that the best

indicator that this method will preventing the machinery malfunctions which is 90%.

Then, followed by providing a schedule for calibration which is 83.33% and lastly,

using the right spare parts with 76.67%. While the highest percentage of disagree is

23.33% which is in using the right spare parts, followed by providing a schedule for

calibration with 16.67% and lastly in preventing the machinery malfunctions with the

percentage of 10%.

4.5 IMPROVE MAN POWER

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Table 4: Factors of man power that may improve the maintenance downtime.

Elements Yes (%) No (%)

Qualification / Education level 73.33 26.67

Experience 80 20

Training method 73.33 26.67

Chart 4: Factor that may improve the maintenance downtime.

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Qualification/ Educational level

Experience Training method0

10

20

30

40

50

60

70

80

90

73.33

80

73.33

26.67

20

26.67

Factor that may improve maintenance downtime

YesNo

Perc

enta

ge

The chart 4 above shows the factor that may improve the maintenance downtime. The

highest factor agreed by the workers that may improve the maintenance downtime is

by experience worker which is 80%. Then, followed by the training and having high

qualification and educational level with the equally percentage of 73.33%. While, the

highest disagree percentage on the factor that may improve maintenance downtime is

by the training of worker and having high qualification and educational level with the

equally percentage of 26.67%. Then, the lowest disagree is by experience workers

which is 20%.

CHAPTER 5: RECOMANDATION AND CONCLUSION

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5.1 INTRODUCTION

The previous chapter discussed the findings of the study, and gives a picture of

whether this study supported the purpose of research or otherwise. This chapter

summarizes the main points of the results and shows how they addressed the research

objectives. Recommendations are made based primarily on the research findings, and

from survey feedback and from relevant literature of similar case. The primary reason

for this study is to improve the poor maintenance downtime in URC Snack Foods Sdn

Bhd.

5.2 MAINTENANCE SCHEDULE

Maintenance schedule is one of the method to be used in order to improve the

maintenance downtime. Based on the research performed, I had identify that URC

Snack Foods Sdn Bhd need to use maintenance schedule that more effective to

improve their maintenance downtime. It is because; the maintenance schedule may

comprise of daily maintenance checklist, monthly service checklist; and record of all

maintenance job. All of those items will be further explained below.

5.2.1 Daily Checklist

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Maintenance schedule may lead to daily checklist. The daily checklist can be

said as simple checking procedure just to check on the condition of the

machinery and others. There are many reasons to do the daily checking on

machinery or production line. One of the reasons is to improve the

maintenance downtime. My research found that the majority of the sample

workers agree daily checklist is one the effectiveness of maintenance schedule

that will reduce the maintenance downtime.

Recommendation

Based on our research, URC Snack Foods Sdn Bhd need the daily checklist in

order to reduce their maintenance downtime because it will lead to a better

take care of the equipment. By having a checklist, this will help to reduce a

mistake made by the worker by just memorizing what they should have done

daily in order to ensure the machinery is in a good condition. The daily

checklist also can act as a prove that the worker already perform their job

accordingly.

5.2.2 Monthly Service on Machinery

Maintenance schedule involves the monthly service on the machinery to help

the machinery and factories in industries as operate more effectively and

efficiently. The monthly service comprise on the service that should be done

once in a month just to ensure that the spare parts or the machinery are ready

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to be used for the next period of month as the production will keep on running

and this may require a minor stop instead a major stop caused by the

breakdown of machinery. Based on my research, there are more than half of

sample workers agree that monthly service on machinery can be used by a

company to improve their maintenance downtime.

Recommendation

URC Snack Foods Sdn Bhd may use a computerised system that will remind

the workers to do the monthly service on the machinery. This will lead to a

proper system and the service will be conduct frequently as per recommended

by the management.

5.2.3 Record on every checklist or services

In order to have a the proves on what have been done by the maintenance or

production team, a proper documentation is needed. For every checklist or

services that have been done, the maintenance team should record all the work

done and it can be factory reference for any issue later on. Therefore, a proper

record and documentation is one of the main point that could be helping in

reducing the maintenance downtime.

Recommendation

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Based on my opinion, URC Snack Foods Sdn Bhd may use a computerised

system to compile all the database or record so that it will be easier for the

management or any other members on duty to use the data as their reference.

The data or the record should be kept properly and should be done accordingly

in order to ensure that the service have been done and this will help to reduce

the downtime in maintenance

5.3 MONITOR THE EFFICIENCY OF MANUFACTURING PROCESS

Based on my research, a company need a consistent way of monitoring the

manufacturing process. This is because, the negligence of the worker by not

monitoring the manufacturing process may lead to downtime in the factory. This

is mean that the management and the maintenance team should have an initiative

to ensure that all production line are in good condition and not causing problem

to the other production line.

5.3.1 Reduce the breakdown time or malfunctions

Breakdown time or minor stops occurs due the machine is not able to produce

during machine related technical malfunction/failure/breakdown. The

production environment, there are many disruptions, such as machine

breakdown, rush orders, and so on. Under these circumstances, the URC

Snack Foods Sdn Bhd does not meet customer demand. So, it is very

important to understand the effects of machine breakdown or malfunctions on

system throughput. My research found that 90% of the workers sample agreed

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that Monitoring The Efficiency Of Manufacturing Process may lead to

reducing the breakdown time and minors stop that indirectly increase the

maintenance downtime.

Recommendation

Based on my research, URC Snack Foods Sdn Bhd needs to monitor the

efficiency or manufacturing process as a way to reduce the breakdown time

and minor stop in improving their company capacity. It is because, if a

machine breakdown occurs in a production system, throughput, which is one

of the performance measures, might change; therefore, production planners

must take precautions against this happening. Throughput is one of the most

significant performance measures in a production system. Companies need to

reach the target throughput which was planned before. While system

throughput is decreasing, customer needs cannot be met and deadlines have to

be revised by the production planners. So this method will help the company

to produce the product according to the customer demand.

5.3.2 Reduce minor stop from other production line.

The maintenance team / production team should have an initiative to reduce

the minor stop from other production line. This is because the minor stop may

lead to a downtime of the whole manufacturing process. Therefore, the person

in-charge should have plan if there are any problem on the production line,

they have to ensure that it will not affected the overall manufacturing process.

Recommendation

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In increase the maintenance downtime, URC Snack Foods Sdn Bhd need to

monitor the efficiency of manufacturing process in order to reduce the minor

stop from other production line and implement preventive maintenance

schedule that may improve their maintenance downtime because advanced

control systems control the process as each variable relates to overall

productivity or effectiveness. These systems are not single-loop controls, but a

multi-variable envelope representing the constraints of pressure, temperature,

and other factors. Within the envelope, the process is continuously

maximizing effectiveness. They are especially valuable where production

targets or the quality and availability of raw materials can all change relatively

quickly, so that the operating constraints and the scope for improvement vary

from day to day and indirectly may increase the maintenance downtime of

company.

5.3.3 Reducing the production losses.

Production losses can impact small and large companies, and they usually

result from unexpected problems that arise during what should be a routine

manufacturing process. Time is added to the process, or the number of items

produced falls short of goals, because of issues tied to machinery

malfunctions, supply shortages, human error, weather and other issues that

companies have varying abilities to control. However, measures can be taken

to minimize losses, along with their financial impact, through proper planning.

My research found that half of the sample workers agreed that monitoring the

31

efficiency of manufacturing process many reduce the production losses that

will increase the maintenance downtime.

Recommendation

In reducing their maintenance downtime, URC Snack Foods Sdn Bhd may

monitor the efficiency of manufacturing process to reduce the production

losses. By monitoring the production line, it may reduce the machine losses

which, in others word the machine can move smoothly without any breakdown

time. So, when machine move smoothly, the maintenance downtime also can

be improved and the production losses can be reduced. Moreover, by

monitoring the manufacturing process, it also may improve the efficiency of

machine. The efficient machine indirectly may reduce the production losses.

5.4 UPDATE OR SERVCE THE MACHINERY

The machinery itself act as the heart of the company and the production line.

Without the machine, it is impossible for the company to produce the products

according to customer demand. This is because, the company will bear a high

cost of production if they’re depending on the man power. Instead of that, they

could just have a machine that will bring a better margin for the company.

Therefore, a proper maintenance and service for the machinery should be done

regularly to prevent it from the malfunction of the machine and prevent

production losses from the downtime.

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5.4.1 Preventing machinery malfunction

The breakdown of machinery could lead to a longer period of downtime in

maintenance. Therefore, the management together with the maintenance team

should have an initiative to always find ways to ensure that the machine keep

on running accordingly so that the production can meet the customers demand.

There are few things that can be done as a ways of preventing the malfunction

or breakdown of the machinery. The negligence by maintenance or production

team on this matter may lead to serious downtime and causing production at

the same time too. However, the servicing of machinery should be done

regularly and followed by a schedule so that the maintenance team would have

a proper time table for the whole production process.

Recommendation

The maintenance team should conduct the maintenance services on the

machinery regularly. This is to ensure that the machine is in a good condition

and preventing any malfunction during production. They can also find out if

there is any problem on the machine during the servicing period. There should

be a proper schedule for the maintenance team to do the servicing so that they

would not miss the actual date to service the machine.

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5.4.1 Calibration for machines

Most of the worker agreed that calibration of the machine shall be done in

order to ensure that the production line can run smoothly and not causing any

trouble during manufacturing. They believe that by conducting the calibration,

the machine will operate better and would not causing any problem to the

worker. The failure of not conducting the calibration may lead to a mistake

during the manufacturing process.

Recommendation

After have identified the problem and collecting data, it have come into

conclusion that the maintenance team should propose to management to hire

and body or authorised company to do the calibration on the machinery. This

is because different type of machinery may require a proper calibration

process and the maintenance team may not have the ability as such. Therefore,

upon approval by the company, maintenance team should prepare a schedule

for the calibration process to be done periodically. This in return will improve

the maintenance downtime and enhance the manufacturing process.

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5.4.3 Using the right spare parts for the machinery

The right materials or spare parts to be used in machinery or production line

will lead to an efficient manufacturing process. Therefore, the maintenance

team should choose the right materials that suitable to the machine

Recommendation

In order to improve the maintenance downtime, URC Snack Foods Sdn Bhd

5.5 STAFF ACCOUNTABILITY

The employee accountability is the responsibility of employees to complete the

tasks they are assigned, to perform the duties required by their job, and to be

present for their proper shifts in order to fulfil or further the goals of the

organization. If tasks are not completed and functions of the job are not performed

properly, then that employee will also be responsible for dealing with the

repercussions. Analysis from the research found that some of the staff had limited

knowledge and expertise on their duties or field. This situation will affect on the

maintenance downtime that may produce by a company. Further explanations on

staff accountability are as follows.

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5.5.1 Qualification / Education Level

Education level can be academic qualifications such as A-levels and AS-

levels, International Baccalaureate (IB) Diploma Programme and Scottish

Higher/Advanced Higher. While, Qualification can be expertise and skills that

have by workers to help develop their career in a specific industry; they might

choose a vocational or professional qualification. Vocational and professional

qualifications are offered at many levels such as The Diploma, National

Vocational Qualifications (NVQs) and Scottish Vocational Qualifications

(SVQs) and HNDs and other higher education. According to my research,

more than half of the workers agreed that an employee need to have

qualification and higher educational level in helping a company to improve

their maintenance downtime.

Recommendation

In order to increase their maintenance downtime, employer of URC Snack

Foods Sdn Bhd needs to hire a qualified and educated person to work on the

best interest their company because the qualification and educational level

acquired by workers is a property for them that represents their skill, ability or

reputation. Their skill, ability or reputation becomes priority in conducting the

operation of company. So, URC Snack Foods Sdn Bhd needs to arrange a

good decision to meet the employee that accompany with the requirement.

5.5.2 Experience

36

Experience is the knowledge or mastery of an event or subject gained through

involvement in or exposure to it. It refers more on-the-job training rather

than book-learning. Terms in philosophy, such as "empirical knowledge" or "a

posteriori knowledge," are used to refer to knowledge based on experience. A

person with considerable experience in a specific field can gain a reputation as

an expert. Based on my research, experience plays an important role to

improve the maintenance downtime. My research found that the most effective

factor that may increase the maintenance downtime is workers experience.

Recommendation

URC Snack Foods Sdn Bhd needs to hire more experience’s workers to

conduct their production activities because the experience’s workers are more

efficient in performing their work such as conducting machine activity.

Moreover, the experience’s workers have a lot of knowledge that can

contribute to company and also can be share to others employee. They also

can perform many jobs in one time that it can help company to reduce the cost

of labour instead of increasing the maintenance downtime.

5.5.3 Training

Training is teaching, or developing in oneself or others,

any skills and knowledge that relate to specific useful competencies. Training has

specific goals of improving one's capability,

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capacity, productivity and performance. In addition to the basic training required

for a trade, occupation or profession, observers of the labour-market recognize to

maintain, upgrade and update skills throughout working life. People within many

professions and occupations may refer to this sort of training as professional

development. Based on my research, there are 73.33% of workers agree that the

training also one of the factor to improve the maintenance downtime.

Recommendation

In improve the maintenance downtime, URC Snack Foods Sdn Bhd need to train

their workers because trough training, the workers will be more motivated to

perform their job more accountability. There are several ways of train that can be

conducted by them such as classroom test, train by experience trainer and send

workers for conferences. Moreover, besides the workers will work more

effectively, the maintenance downtime of the company also can be increase.

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5.6 CONCLUSION

This paper has surveyed a number of issues relating to different aspects of

solutions that can be taken by URC Snack Foods Sdn Bhd such as maintenance

schedule; overall equipment effectiveness; data envelopment analysis (DEA) and

equipment qualification; and staff accountability to improve the poor maintenance

downtime and reach the customer demand.

Some of the main data issues related to improve the capacity production were

identified and the recommendations for the problem also have been highlighted.

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URC Snack Foods Sdn Bhd, Annual Repor,t 2009

URC Snack Foods Sdn Bhd, Annual Report, 2010

QUESTIONNAIRES

40

The Question is divides into four parts. Answer the entire question below.

Gender: Male: Female:

Range of age: 20-30 : 41-45:

31-40: Above 45:

1.0 MAINTENANCE SCHEDULE

Q1: If the company provide the daily maintenance checklist, they can improve the

maintenance downtime?

_____________________________________________________________________

_____________________________________________________________________

Yes No

Q2: Did the monthly service checklist may improve the maintenance downtime?

_____________________________________________________________________

41

_____________________________________________________________________

Yes No

Q3: Did the record of previous maintenance report will help to reduce the

maintenance downtime?

_____________________________________________________________________

Yes No

2.0 Monitoring The Efficiency Manufacturing Process

42

Q4: By monitoring the other manufacturing process in production line, will it reduce

the maintenance downtime or minor stops?

_____________________________________________________________________

Yes No

Q5: Did the efficiency of manufacturing process may reduce the production losses ?

_____________________________________________________________________

Yes No

Q6: Lack of supervising in production line or other process of manufacturing may

lead to breakdown or downtime

_____________________________________________________________________

43

Yes No

3.0 Update or Servicing the Machinery

Q7: Servicing or updating the machinery will prevent the malfunctions of the

machine?

___________________________________________________________________

Yes No

Q8: Did the calibration help to reduce maintenance downtime?

_____________________________________________________________________

Yes No

Q9: By using the right spare parts, will it help in reducing the maintenance breakdown

or machinery breakdowns?

_____________________________________________________________________

Yes No

44

4.0 Proper Training & Man Power

Q10: Did past experience of the worker will influence in reducing the maintenance

downtime?

_____________________________________________________________________

Yes No

Q11: Did training is a method that a company can be use to increase the ability and

expertise of their workers?

_____________________________________________________________________

Yes No

Q12: The employee Qualification and education level is staff accountability. Did them

will influence the maintenance downtime?

45

_____________________________________________________________________

Yes No

46