Managing material flows: returnable container analysis and line feeding strategies at Caterpillar Prodotti Stradali S.r.l.

Effective supply chain management is a key driver of business success in modern manufacturing. This dissertation investigates returnable container management and line feeding digitalization at Caterpillar Prodotti Stradali S.r.l., emphasizing their impact on production and logistics efficiency, cost reduction and supply chain visibility. The study identifies key challenges in returnable container management, including lack of asset tracking and misalignment between physical inventory and ERP data. An evaluation of state-of-the-art tracking solutions, such as RFID, BLE and GPS, is carried out to enhance visibility and reduce shortcomings in returnable container logistics. Through data analysis and system optimization, the research proposes structured tracking methods and standardized workflows to improve inventory accuracy and reduce operational delays. Additionally, the research examines the impact of digital transformation of line feeding processes, comparing the current As-Is state with an optimized To-Be model guided by lean manufacturing principles such as Gemba Walk assessments and theoretical material handling calculations. The estimated results highlight how automated data collection and process automation can enhance material flow efficiency. The transition from a manual, human error prone, fragmented system to a digitally integrated model would result in improved coordination, optimized resource allocation and reduced search times by 41%. The latter resulting in an annual cost savings of 1106€ or increased available time of 41 hours per year for continuous improvement activities such as 5S methodology. The findings reveal that investing in supply chain digitalization would strengthen Caterpillar’s competitive position, allowing for greater flexibility, cost savings and enhanced production efficiency. This research provides a framework for scalable improvements that align with Caterpillar’s long-term business objectives.