Simulation model of a packaging line

This bachelor's thesis focuses on the analysis and optimization of processes within the packaging department of a medium-sized enterprise manufacturing writing and drawing instruments. The primary objective of the study is to identify bottlenecks in the Make-to-Order (MTO) production system and propose evidence-based measures to increase overall throughput and reduce lead times. To achieve this, Discrete Event Simulation (DES) methodology using Simul8 software was employed, alongside the principles of the Theory of Constraints (TOC). Based on the analysis of historical data from 2023, a simulation model of the baseline (AS-IS) state was developed and validated. The simulation results refuted the initial assumption regarding a shortage of packaging staff, demonstrating instead that the primary bottleneck is the overloaded capacity of the packaging line setup technician. Subsequently, three simulation scenarios for human resource allocation were tested, including an economic evaluation. The findings revealed that a blanket reduction of operators would lead to system collapse and significant financial losses due to lost margins. Conversely, investing in a second setup technician fully stabilized the system, eliminated Work-in-Progress (WIP) queues, and reduced the maximum order lead time by nearly 50 %. Furthermore, the economic analysis confirmed that the increased labor costs are safely covered by the additional profit generated from unblocked orders. Consequently, this thesis provides the company management with a comprehensive framework for effective and profitable strategic decision-making.