Inderscience Publishers

Value stream mapping based on energy and cost system for biodiesel production

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Organisations have to give more attention to customer demands for survival and also for increasing their market shares. But customers' demands are not stable. The main problem of all organisations is how to cut costs during production process. The solution to this problem is built up with lean–based production systems. Value stream mapping identifies those areas where unwanted productivity is identified and removed. In this paper, negative energy for biodiesel production has been identified. Also the production cost is reduced by removing the unwanted production step. The new method of biodiesel production with double filtration method in place of transesterification method not only reduces production cost but also saves energy. The fuel produced from double filtration method was tested and the result indicated average load consumption is about 47%.

Keywords: value stream mapping, VSM, biodiesel production, energy saving, Pareto analysis, biofuels, lean production, double filtration, cost reduction

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