Abstract

Engineer-to-Order (ETO) manufacturing environments are characterized by high product variety, low repetitiveness, and unstable demand, which pose significant challenges to the application of Lean Manufacturing (LM). This study investigates the application and adaptation of LM principles and tools in an ETO production line using an action research approach integrated with Value Stream Mapping (VSM). The research was conducted at a manufacturer of highly customized electrical equipment. An adapted method for calculating representative cycle times based on weighted production volumes was developed to support line sizing and workload balancing. The proposed future-state design incorporates multifunctional operators, FIFO lanes, daily scheduling, and pitch-based control. The results show a 9.5% reduction in labor requirements, a 61.7% decrease in manufacturing lead time, and a 75.0% reduction in overtime hours. Statistical validation using daily PPC records confirmed significant improvements in actual output, schedule adherence, overtime, and lead time after implementation. In addition to operational improvements, this study offers methodological contributions by proposing practical adaptations of LM tools suitable for high-variability ETO environments, thereby contributing to both theory and industrial practice.

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