This degree project has been carried out at Jönköping University of Technology where the study has been executed in collaboration with the electronics manufacturing company Kitron AB. The purpose of this study was to reduce waste associated with material handling and to develop action proposals with focus on material supply and production layout. 

A case study was executed at the company where the study was defined to one of the production departments. Different methods were being used to gather data which has been analyzed based on the theoretical framework. Time studies has been carried out to investigate how much time the operator spend on activities related to material handling. The study showed that the total material handling time in that department added up to 44,8% of an employment. Furthermore, analyzes of the current material handling system, the items in the department and the current layout design have been made.

Conclusion from this case study is that a new material supply system and a new layout to reduce the material handling waste is required. Using theory, two solution proposals has been presented showing how a material supply system can increase efficiency and decrease the waste. 

Finally, one of the two solution proposals is recommended for the company based on an evaluation from five criteria. The recommended solution results in a reduced working space by 32,2% and reduced time waste on material handling. A discussion regarding further research is presented at the end.