The achievement is located in the 6th chapter called "Down in a hole".
At the last checkpoint you will find the excavator.
Basically you have to do the following steps:
1. Pull the wooden box to the far left
2. Build a trampoline inside the box to reach the first knob a tie and knot
3. Jump down and untie all knots of the wooden box
4. Move the wooden box to the far right until it hits the shovel
5. Know make your way to the top of excavator
6. Swing inside the cockpit and use the lever underneath the seat to lower it
7. Use the lever to let the arm swing down and destroy the wooden box