Improving the order process to reduce late delivery cost

This paper studied on documents, requisition and delivery schedule of company. By collected data on July- November 2017, an average of 7 orders per month was off- schedule delivery causing extra shipping expenses on average of 5,035 Baht per month. When the issue was analyzed, the cause was found to be the inconsistency and latency of orders sent from the sale department to the store which delayed the following processes. In spite of this, the researcher has focus on a solution by adapting pattern concept of Kanban system and First in First out concept. The order retrieval time was arranged into 4 times per day and order boxes were placed at both sales department and store to help prioritize orders delivery. This study was tested for 4 weeks which showed the decrease of off-schedule delivery to 3 orders (43%) per month costing 2158 Baht per month if external factors such as personnel unfamiliarity with the new system and delay in order authorization were excluded.