Method for assessing human resources management practices and organisational learning factors in a company under lean manufacturing implementation

The implementation of lean production systems is deemed essential for companies that wish to obtain high levels of competitiveness. There are several examples in the literature discussing the adoption of lean roadmaps; however, since such maps emphasise technical factors of lean change, the organisational learning (OL) process and human resources management (HRM) practices tend to be neglected. This article presents a method for assessing the impact of HRM practices and OL factors in a company under lean implementation. The method incorporates concepts of HRM and OL into lean implementation roadmaps, enabling a maturity analysis regarding dimensions of OL at different contextualisation levels, and allowing the proposition of improvements in HRM practices. The proposed method is illustrated in a case study from the automotive parts manufacturing sector.     

IT investments and business performance improvement: the mediating role of lean manufacturing implementation

The main purpose of this study is to examine whether the application of current information technology (IT) and different principles of lean manufacturing (LM) are interdependent and complimentary or they are mutually exclusive. This study draws on the so-called IT-enabled organisational capabilities perspective to study the relationships between IT, LM and business performance improvement. Using a questionnaire-based survey, the data come from 231 leading Iranian and Malaysian auto-part manufacturers. The findings suggest that LM and IT are mutually interdependent and value of IT investments can be effectively transformed into business performance improvement for auto-part manufacturers through the higher levels of lean manufacturing system (LMS) implementation. Advanced manufacturing technology (AMT) competency is a valuable intermediate capability which links IT investments into LMS implementation. It was found that IT investment is one of the minimum requirements of LMS implementation for surveyed business, and the value of IT investment is truly transformed to LMS implementation when IT investments offer competent administrative AMTs to effectively manage all production processes. Findings also recommend that managers should avoid isolating the performance metrics only on areas such as net financial measures, while assessing the business value of IT and LM.     

Lean manufacturing in Brazilian small and medium enterprises: implementation and effect on performance

The main objective of this paper is to investigate the degree to which lean manufacturing (LM) practices are being implemented within Brazilian small and medium enterprises (SMEs), by defining what LM means, in the view of SMEs in Brazil. In addition, the paper investigates the relationship between LM implementation and performance of such companies. The research method used in this paper comprised of an exploratory survey using the partial least-square method with the structural equation modelling technique (PLS-SEM). The results show that the companies studied used practices in a fragmented manner, without a holistic view of LM, which is considered to be one of the most important parts of this approach. Only the constructs of statistical process control, total productive maintenance and employee involvement are being implemented as an integrated approach for Brazilian SMEs. These companies do not take other important constructs such as customer involvement, continuous flow, pull production, set-up time reduction, supplier development and supplier feedback into consideration as part of LM systems, despite using some practices in a dispersed manner. Concerning performance, the present study shows that even in a fragmented way, the implementation of these LM practices help these companies to achieve improvement in operational performance.     

Implementing lean practices in manufacturing SMEs: testing ‘critical success factors’ using Necessary Condition Analysis

Lean practices are known to increase operational performance. Previous research has identified critical success factors for implementing lean practices. This research aims to examine the extent to which success factors are critical for various degrees of lean practice implementation. Using multiple-respondent self-assessments from 33 Dutch manufacturing small and medium-sized enterprises (SMEs), we conducted a Necessary Condition Analysis. Our findings indicated that the criticality of success factors is progression dependent. In the initial stages of the lean journey, SMEs could improve their lean practices in a bottom-up manner through local factors such as a learning focus, improvement training and support congruence. When lean practices are more advanced, some company-wide factors must be present: top management support, a shared improvement vision and a supplier link. Our findings question the universality of success factors such as strategic involvement and indicate the need for a more dynamic model of lean implementation.     

Structural Equation Modelling of lean manufacturing practices

The purpose of this research study is to analyse lean manufacturing practices in different industries and to identify the critical factors for its success implementation. Despite the fact that lean manufacturing has been frequently promoted as a means of improving business competitiveness, little empirical evidence exists in the literature validating its positive link with organisational performance. Lean manufacturing practices not only help in reducing the number of defects but also reduces the cost of production. For this purpose, empirical data is collected to measure the lean manufacturing practices prevailing in different industries located in Tamil Nadu, India. A Structural Equation Modelling (SEM) technique is used to build the measurement and structural models. Later, statistical estimates are used to validate the model that has been built. The data analysis helps to determine whether to accept or reject the hypothesis that has been stated based on the structural model. The result shows how lean manufacturing practices are correlated and help in improving the organisational performance among the industries being surveyed.     

Proactive approach for stochastic RCMPSP based on multi-priority rule combinations

Empirical evidence shows that profitability does not always rise when lean management (LM) is implemented. This paper reviews the literature that has empirically analysed how LM impacts financial performance in order to identify the most used assessment model and the direction and significance of the findings. We have found that the most comprehensive models, those considering financial and operational indicators and contextual factors, find a positive and significant impact of LM on financial performance. These findings can benefit managers requiring an assessment of LM and the building of an evaluation system and can serve as a guideline for monitoring LM implementation.     

Human Resource Management in Multinational Enterprises: Evidence From a Late Industrializing Economy

This paper examines the extent to which human resource management (HRM) practices in multinational enterprises (MNEs) from a small, late developing and highly globalized economy resemble their counterparts from larger, early industrializing countries. The paper draws on data from a large-scale representative survey of 260 MNEs in Ireland. The results demonstrate that there are significant differences between the HRM practices deployed in Irish-owned MNEs and that of their US counterparts but considerable similarity with UK firms. A key conclusion is that arguments in the literature regarding MNEs moving towards the adoption of global best practices, equating to the pursuance of an American model of HRM, were not obvious. The study found considerable variation from ‘US practices’ amongst indigenous Irish MNEs.     

Relationships between lean product development enablers and problems

The lean product development (LPD) approach uses lean principles and enablers (tools, techniques and practices) to reduce waste and continuously improve the product development processes (PDP). Other than reducing product development lead time, LPD also aims at improving quality by reducing problems that might occur during the process. Several LPD enablers are proposed in the existing literature; however, there is limited knowledge on how these enablers may effectively counteract the occurrence of problems in the PDP. We empirically tested the association between 4 groups of LPD enablers and 11 groups of LPD problems in a sample of 64 companies that are undergoing lean implementation in the shop floor and administrative areas. There are two major contributions here. First, we propose an empirically validated instrument for assessing the adoption of LPD enablers and the incidence of LPD problems in companies filling an existing gap in the literature. Second, we provide understanding on how LPD enablers can mitigate the incidence of LPD problems, allowing companies undergoing lean implementation to better manage their PDP. Moreover, some results demonstrate that the association between enablers and problems may not be as suggested in the existing literature.     

Empirical examination of critical failure factors of continuous improvement deployments: stage-wise results and a contingency theory perspective

Organisations implement various Continuous Improvement (CI) practices such as Total Quality Management, Lean, Six Sigma and Lean Six Sigma (LSS) for improving their processes. Drawing from the success and failure stories of these structured CI practices, scholars enumerated Critical Success Factors and Critical Failure Factors (CFFs). This study empirically examines the occurrence of various CFFs across different stages of CI deployment. Further, from a contingency theoretic perspective, this study investigates their associations with contextual variables by collecting survey data from 213 business units from the USA, the UK, China, and India. Principal Component Analysis is used to group CFFs across five CI deployment stages leading to an empirically refined framework for CI. Crosstab analysis using the chi-square likelihood ratio presented associations of CFFs with contextual variables. Findings reveal significant differences in the occurrence of CFFs across countries. There is evidence that LSS is less prone to failures when compared with TQM, Lean and Six Sigma. The occurrence of CFFs has been relatively lower in smaller and medium-sized enterprises operating in the service sector. Findings also reveal that lessons learned from each CI deployment cycle, contribute to organisational learning, and thence, leading to success at the strategic CI level of maturity.     

Lean management in the context of construction supply chains

Construction started its lean journey with learning from manufacturing. Unlike lean manufacturing, few studies to date have investigated lean construction in both breadth and depth, especially from the perspective of construction supply chains. The limited understanding of lean construction results in a research problem. This research aims to explore the implementation of lean principles in the context of project-based construction supply chains. It achieves its aim through an empirical investigation in the UK. A combination of quantitative and qualitative methodologies provides this research with validity and reliability. Lean principles are found applicable to both residential building projects and many other types of construction projects. It is also found that lean construction can be enhanced if it synergizes with supply chain collaboration. Another finding is that lean management has a significant impact on project performance. Nowadays, construction pursues best lean practices through both learning from manufacturing and developing its own paths. Similar to manufacturing, more and more construction projects adopt industrialised and standardised production and lean management with supply chain collaboration to become leaner. On the other hand, construction-specific management approaches and information technology (IT) tools are increasingly used in lean construction practices to maximise value and minimise waste.     

Value of maturity models in performance measurement

Over the last 20 years, the field of performance measurement (PM) has evolved from measurement to management. Investigations demonstrated the relevance of PM in management of organisations’ results. Although maturity model concept was widely used, the value of maturity models in PM has not been purposefully investigated. To address this gap, this research formulated three research questions: (1) How do maturity models in the field of performance measurement and management (PM&;M) add value in practice? (2) How do such maturity models compliment and/or replicate the value added by an expert? (3) How do maturity models contribute to the development of the organisation’s PM&;M practices? Using a predefined research protocol, 12 European manufacturing organisations and independent experts were engaged in conducting two separate studies: (1) the experts conducted reviews with 12 companies using a standard business review format; (2) research team adopted one of the available maturity models and facilitated self-assessments with the management teams of the same 12 companies. Results from both the studies were compared and high levels of congruence were identified. The analysis demonstrates that the maturity models with certain characteristics, promote organisational learning as well as enabling efficient and effective assessment of the performance management practices of the organisations.     

A framework for assessing the use of lean production practices in manufacturing cells

This study introduces a framework for assessing the use of lean production (LP) practices in manufacturing cells (MCs). The development of the framework included four stages: (a) defining LP practices applicable to MC, based on criteria such as the inclusion of practices that workers could observe, interact with and use on a daily basis; (b) defining attributes for each practice, emphasising the dimensions which were typical of their implementation in LP environments; (c) defining a set of evidence and sources of evidence for assessing the existence of each attribute–the sources of evidence included direct observations, analysis of documents, interviews and a feedback meeting to validate the assessment results with company representatives; (d) drawing up a model of the relationships among the LP practices, based on a survey with LP experts. This model supports the identification of improvement opportunities in MC performance based on the analysis of their interfaces. A case study of an MC from an automobile parts supplier is presented to illustrate the application of the framework.     

Lean Implementation and Organizational Transformation: A Literature Review

Manufacturing organizations are constantly striving to develop more effective and flexible means for managing challenges due to globalization and increasing customer expectations. This has led to increased efforts by the business community to research and implement the Toyota Production System, or lean manufacturing, to address these challenges. These efforts have resulted in numerous publications on lean manufacturing, including research reports, scholarly articles, and trade magazine articles. However, the existing body of knowledge on lean manufacturing is disperse and diverse in nature with respect to the application and implementation of lean tools and practices, making it difficult for researchers and practitioners to gain a real grasp of this topic. In this article, we have comprehensively organized the existing work on implementation of lean manufacturing in a more structured way, enabling engineering management practitioners to more easily identify knowledge and best practices and enabling researchers to identify gaps in the extant literature. Lastly, drawing from the organizational science literature, this article also provides important insights on lean manufacturing from the perspective of organizational learning, innovation, and \culture.     

精益生产管理提升钢铁企业竞争力

精益生产作为一种先进的生产组织方式,在很多企业被用于流程优化,从而实现成本最低化和利润最大化。本文针对国内钢铁行业的现状,以某一国有大型钢铁企业T公司为研究对象,面对企业管理效率低下、职工素质不高、竞争意识淡薄等问题,从重塑企业文化、推行5S管理、全面生产维护(TPM)、全面质量管理(TQM)4方面实施精益生产,并对该企业取得的成效进行总结,提出建议,为同类企业推行精益生产提供参考。     

Lean manufacturing as a high-performance work system: the case of Cochlear

This paper addresses the Special Issue call for Australian examples of innovative management systems that enable the production of successful products by drawing on a single case study: medical device manufacturer Cochlear. Through qualitative case study methodology, we examine the human resource management practices that complemented the implementation of lean manufacturing principles. We argue that in their implementation, Cochlear’s management team enriched the traditional understanding of lean and its focus on waste reduction, low cost and quality assurance by adopting people management practices as an integrated component of the overall management capability which allowed their people to grow and develop. The combination of lean and HR practices transformed Cochlear to a high-performance work system and positively impacted production processes and output. By examining a medical device manufacturer, an under-researched sector, our paper expands existing literature on lean manufacturing and provides implications for practitioners.     

Harnessing adaptive capacity to close the pandora’s box of open innovation

ABSTRACT

This paper focuses on how companies deploy structural properties of adaptive capacity (multiplexity, redundancy and loose coupling) to cope with the phenomenon of internal challenges of Open Innovation (OI) implementation, i.e. organisational and cultural changes. We developed a single case study, which offered significant findings. First, the multiplexity of relationships in OI settings helps to face the challenges of organisational and cultural changes by triggering trust formation and interaction. Second, redundancy has twofold elements: institutional logics redundancy triggers cultural change challenges which can be overcome through management practices and communications; task redundancy facilitates knowledge sharing and collaboration, thus helping to deal with organisational change challenges. Finally, loose coupling in OI settings facilitates social interconnectedness among members through management practices, helping to face organisational and cultural change challenges. We provide managerial and theoretical implication to deal with the challenges of OI in relation to both organisational and cultural changes.     

Lean schools of thought

Academia has produced theoretical and practical knowledge about lean for over 30?years, and for that reason, research is in a mature phase. To organise this knowledge, we propose a typology of lean schools of thought. Schools were categorised into two paradigms of organisational analysis – interpretivist and functionalist – to clarify theoretical assumptions about how each conducts scientific investigations and what contributions they generate. Seven schools were identified: systems engineering, systems architecture, operations research, organisational development, contingency systems, socio-technical systems and evolutionary. Persistent practical problems should guide production and operations management research such as the difficulties companies face with adoption and sustainability of lean practices. The typology proposed in this study provides a theoretical framework and a respective school for these problematical situations. The evolutionary school in the interpretivist paradigm seems to be more appropriate; action research as a methodology should be used since it is consistent with interpretivism assumptions. The originality of this paper lies within a proposal of lean schools of thought not found in the literature. Directions for research that have more meaning for companies seeking lean transformation are proposed.     

A Conceptual Map of the Lean Nomenclature: Comparing Expert Classification to the Lean Literature

Abstract

Although the implementation of lean can yield improvements in organizational performance, the literature suggests that most organizations are unable to effectively sustain the results from lean implementation efforts. The lack of clarity related to lean concepts may be a cause of unsuccessful implementation. In this work, we seek to clarify conceptual ambiguity in the lean nomenclature. Using an extensive literature review, we document lean principles, practices, and performance measures. Results from a survey of lean experts were used to investigate the relationship between lean principles and practices. Findings from the literature and from the expert survey were synthesized to develop a visual representation of the lean nomenclature. This conceptual map is intended to aid practitioners by increasing clarity of important lean concepts and thus, the probability of successful implementation.     

Assessment approach to stage of lean transformation cycle based on fuzzy nearness degree and TOPSIS

This paper presents an assessment method to measure the lean transformation (LT) stage of an LT enterprise. Although there are many assessment tools to measure the various aspects of lean practices in enterprises, there is none to measure the stage of LT using the enterprise transformation characteristics from enterprise level. In this paper, the characteristic metrics and characteristic model of LT cycle were extracted from the basic capacity, process power and transformation results. Then, an assessment approach based on fuzzy nearness degree and TOPSIS is proposed to determine the stage of LT. Finally, an example is shown to highlight the procedure of the proposed method. This paper shows that the proposed model is very well suited as an assessment tool for enterprises in the manufacturing industry and other industries to evaluate the LT stage.     

Relationship between employee involvement and lean manufacturing and its effect on performance in a rigid continuous process industry

This research aims to empirically test the effect of employee involvement on lean manufacturing (LM), and the effect of LM on production outcomes. Employee involvement is operationalised through four related variables: empowerment, training, contingent remuneration and communication. The effects are tested by recording management perceptions in a different industrial sector from those usually studied in previous research – ceramic manufacturers, a highly competitive and internationally successful sector. We obtained data from 101 ceramic tile plants (64% of response rate) in the Valencia region of Spain. This approach is developed using a statistical method called partial least squares. All paths are significant except for contingent remuneration; specifically, relationships were found between empowerment, training, communication and LM, and between LM and performance.