Lean Green Production Management Model Under a Circular Economy Approach for Reducing Variable Costs at a Small Plastics Business

Abstract

This paper proposes a Lean Green model for increasing profitability in small and medium-sized businesses operating within the plastics sector. This model will use the 5S methodology, KanBan for inventory control and TPM to standardize new corrective and preventive maintenance processes. As an added contribution, a Circular Economy process will be included to reuse products, thus reducing consumption and generating less solid waste. In this way, companies will not only prevent damaging the environment but will also guarantee their compliance with regulatory standards. As a result, an 11% reduction was observed in the acquisition of supplies and spare parts for machine maintenance along with a 4% reduction in the number of machine breakdowns.