Production management model integrating the principles of lean manufacturing and sustainability supported by the cultural transformation of a company

The search for superior production performance has been used by companies to overcome competition in the current global economic scenario. Efficient manufacturing connected to environmental initiatives provides a company with favourable conditions for maintaining uniform and continuous improvement in its competitive performance, while providing operational versatility to respond quickly to volatile markets. As production is one of the most expensive areas for a company, many organisations have sought a new management model for their production system that provides substantial productivity gains, cost saving opportunities and higher customer satisfaction. This study proposes a model of production management and an implementation method integrating the principles of lean manufacturing and sustainability, supported by cultural transformation at the company. Its objective was to achieve productivity gains and improvements on customer satisfaction, as well as develop the ability to provide quick responses to market changes in a globalised economy. The implementation of the proposed model should be gradual, initially addressing fundamental principles, and should operate simultaneously with, and in the same environment as, workforce development and organisational transformation initiatives, to create sustainable improvements.     

Investing in lean manufacturing practices: an environmental and operational perspective

Lean manufacturing practices (LMPs) and corporate environmental sustainability are becoming inextricably linked. Throughout the lean and green debate, many organisations have recognised that LMPs have implications for their sustainable development and competitive positioning. Not only LMPs are complex on their own, but when perceived from an environmental sustainability perspective, the decision to implement an LMP can become even more intricate. Although general tools exist, the lack of effective decision-making tools to help in the implementation of LMPs with an environmental sustainability dimension is palpable. Thus, this study tackles the aforementioned decision problem by incorporating environmental and operational performance outcome expectations as these expectations are viewed in light of the ease of implementation of various LMPs. A novel multi-criteria decision-making (MCDM) model for evaluation of LMPs is developed in this respect. The model integrates a three-parameter interval grey number with rough set theory and the TODIM method. The model is run using empirical data from six manufacturing organisations. The findings facilitate the identification of a ‘locus of investments’ for a better selection of LMPs. The robustness of the decision support model developed is assessed through sensitivity analysis.     

A time-based quantitative approach for selecting lean strategies for manufacturing organisations

Lean strategies have been developed to eliminate or reduce waste and thus improve operational efficiency in a manufacturing environment. However, in practice, manufacturers encounter difficulties to select appropriate lean strategies within their resource constraints and to quantitatively evaluate the perceived value of manufacturing waste reduction. This paper presents a methodology developed to quantitatively evaluate the contribution of lean strategies selected to reduce manufacturing wastes within the manufacturers’ resource (time) constraints. A mathematical model has been developed for evaluating the perceived value of lean strategies to manufacturing waste reduction and a step-by-step methodology is provided for selecting appropriate lean strategies to improve the manufacturing performance within their resource constraints. A computer program is developed in MATLAB for finding the optimum solution. With the help of a case study, the proposed methodology and developed model has been validated. A ‘lean strategy-wastes’ correlation matrix has been proposed to establish the relationship between the manufacturing wastes and lean strategies. Using the correlation matrix and applying the proposed methodology and developed mathematical model, authors came out with optimised perceived value of reduction of a manufacturer's wastes by implementing appropriate lean strategies within a manufacturer's resources constraints. Results also demonstrate that the perceived value of reduction of manufacturing wastes can significantly be changed based on policies and product strategy taken by a manufacturer. The proposed methodology can also be used in dynamic situations by changing the input in the programme developed in MATLAB. By identifying appropriate lean strategies for specific manufacturing wastes, a manufacturer can better prioritise implementation efforts and resources to maximise the success of implementing lean strategies in their organisation.     

Conceptions and operational use of value and waste in lean manufacturing – an interpretivist approach

In this article, we explore how the key concepts of lean manufacturing, value, value adding and waste are conceived and operationally used by Lean trainers in operational work processes. A comparative case study with a mixed method approach, using an explanatory sequential design, was conducted. This means that a set of quantitative data were collected, which was followed by the collection of qualitative data with the purpose of explaining and understanding the quantitative measures. An interpretivist approach is used as a framework, which implies a perspective on contemporary operations management paradigms, such as lean manufacturing, as a continuous construction of inter-subjective experiences. What becomes evident in the empirical findings is that there are both similarities and differences in the Lean trainers conceptions and use of value adding and waste. The similarities and differences can be explained by variations in two dimensions: (a) the character of the work process, which ranges between mechanical and craftsmanship, and (b) Lean trainers approach to key concepts, which ranges between being rule-based and reflective. By using a research design where the concepts of value adding and waste were used simultaneously, and adopting an interpretivist approach on lean manufacturing, we were able to reveal conditions that in other cases remain hidden.     

Managing lean manufacturing in material handling operations

The problem addressed by this research is to implement lean manufacturing in a material handling system of a petroleum drill bit manufacturing company. Lean manufacturing has been mandated by higher level management as a tool to be used in waste reduction. Operational group must define the objectives of lean manufacturing and deploy the tools to specific work cells. A methodology that provides operational group with a tool to assist in defining the objectives of lean manufacturing is developed. A case study is used to demonstrate the lean implementation in material handling operations.     

Lean and green combine to impact environmental and operational performance

We assess the antecedent link between lean and green practices and assess the combined impact of lean and green practices on both environmental and operational performance. A lean and green practices performance model is proposed that incorporates lean and green practices as antecedents to both environmental and operational performance. Structural equation modelling was used to analyse data collected from a sample of 182 manufacturing managers in U.S. plants. We found that lean manufacturing practices are positively associated with environmental performance and operational performance and that green supply chain management practices are positively associated with environmental performance and environmental performance is positively associated with operational performance. No support was found for the idea that green supply chain management practices are positively associated with operational performance. While lean practices were found to directly affect environmental performance, the indirect effect of lean practices on environmental performance through green practices is stronger, indicating complementarity.     

Fuzzy-based sustainable manufacturing assessment model for SMEs

Now-a-days, in the manufacturing, sustainability has become a necessity partly due to the threats created by traditional manufacturing practices, and due to regulations imposed by stakeholders. Sustainable manufacturing implies the creation of products that utilize minimum resources, has minimum negative impacts on environment and are safe for society at large at an affordable cost. This study proposes a fuzzy inference system-based model for the evaluation of manufacturing sustainability of small and medium enterprises (SMEs). In order to assess the manufacturing SMEs, decision makers’ opinion of the importance of sustainability measures and indicators and also the performance of enterprise with respect to indicators are gathered using linguistic variables. An illustrative list of sustainability indicators for manufacturing SMEs is identified considering the characteristics of SMEs. The implementation of our model for a manufacturing SME identified weak areas of performance which require appropriate strategy to enhance the overall sustainability. Based on the output of this assessment model and further deliberations with decision makers, case company is in process of selecting an appropriate strategy to reduce the environmental impacts. This model serves as a tool to assists the decision makers in assessing various dimensions of sustainability within their manufacturing SMEs.     

Environmental impact assessment of an automotive component using eco-indicator and CML methodologies

The environmental conscious manufacturing and climate change made automotive manufacturing organisations to recognise sustainability as a vital concept for survival in the global competitive scenario. Many components of automobiles are manufactured using plastics which play imperative role in ensuring sustainability. This research article deals with the application of Life Cycle Assessment on instrument panel of an electric car which is made of ABS (Acrylonitrile–Butadiene–Styrene). The case study has been conducted in an Indian instrument panel manufacturing plant. First, a life cycle model of ABS sheet which is particularly used in instrument panel manufacturing was built, and the environmental impact assessment of the instrument panel was done using Eco-indicator and CML methodologies. In life cycle perspective, the environmental hot spots have been found out. Later the results have been interpreted based on environmental impact assessment factors. The relative comparison of impact factors at different stages in the life cycle enables the generation of improvement options. The sustainability index of instrument panel before and after implementing Environmental Impact Assessment (EIA) has been computed. The results are statistically validated, and the managerial implications have been derived.     

Application of fuzzy quality function deployment for sustainable design of consumer electronics products: a case study

With a steep increase in the demand for consumer electronics products, the contemporary manufacturers are committed toward sustainable development of such products. There exists a scope for developing a methodology for enabling sustainable development of consumer electronics products. In this context, fuzzy quality function deployment (QFD) approach has been presented in this article in order to prioritize relevant customer requirements, sustainability parameters and sustainability initiatives. Key influential parameters for sustainable development of consumer electronics products have been identified from the literature. In the first phase of fuzzy QFD, parameters influencing sustainable development have been prioritized in accordance with customer requirements. In the second phase, environmental design initiatives have been prioritized based on critical sustainability parameters. From phase I of fuzzy QFD, ‘reduction in environmental release’ has been found as the most significant sustainability parameter with a crisp value of 22.83, and from phase II, environmental impact assessment is proved to be the significant design method with a crisp value of 20.40. The methodology would provide a comprehensive understanding to practitioners on the interrelationships among customer requirements, sustainability parameters and environmentally benign initiatives for development of consumer electronic products. The generic model developed can be applied to most of the consumer electronics product     

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.     

Sustainability characterisation for manufacturing processes

Manufacturing industries lack the measurement science and the needed information base to measure and effectively compare environmental performances of manufacturing processes, across resources and associated services with respect to sustainability. The current use of ad hoc methods and tools to assess and describe sustainability of manufactured products does not necessarily account for manufacturing processes explicitly, and hence results in inaccurate and ambiguous comparisons. Such comparisons do not proactively contribute to sustainability improvement. Further, we identified that there are no formal methods for acquiring and exchanging information that help establish a consolidated sustainability information base. Our ultimate goal is to develop the needed measurement science and methodology to evaluate sustainability of fundamental manufacturing processes to ensure reliable and consistent comparisons. As a precursor, based on a literature study, this paper identifies the required elements to evaluate sustainability performance for manufacturing with a focus on the environmental impact. Societal and economic impacts, although equally important, are beyond the scope of discussion in this paper. In this paper, we first discuss identified manufacturing process classifications, sustainable manufacturing indicators and computable metrics, relevant information models and software tools, a conceptual model for sustainability characterisation, and finally, conclude with an overview of the future research directions.     

Social aspect of sustainable packaging

Sustainability is one of the ‘buzz’ words that is highly discussed in the area of packaging nowadays. For many product manufacturing business, incorporation of sustainability principles into their business practice can only be visualized by others in the end product through packaging. Besides the criteria, underlying concepts and principles, most discussions towards achieving goals for sustainable packaging are focused on details of models and practices adopted by the industry, and the effectiveness and practicality of these practices in balancing the economic profits and environmental benefits. While the economic and environmental bases of packaging sustainability have been examined and discussed in great detail, the same is not true of social consideration. Although the success of sustainable packaging development actually relies on both technological development and social considerations, many of the social aspects of sustainable packaging are often overlooked. Although many companies have been putting the efforts and initiatives to elevate sustainability from an abstract goal into an immediate priority, relatively little is known about the consumers' insights of packaging sustainability. Recognizing the consumers as the final arbiter of the success of sustainable packaging, this paper will explore consumers' perceptions on the sustainable packaging concept, their perceptions of the impact to the environment and discuss factors that drive consumers' preferences and purchase decision. Discussion and information gathered in this paper is aimed to stimulate understanding on the importance of the social dimension of packaging sustainability and its role in supporting the efforts to improve sustainability practice. Copyright © 2010 John Wiley & Sons, Ltd.     

A novel approach to lean control for Taiwan-funded enterprises in mainland China

The lean control approach has been successfully applied to reduce waste and improve customer service in numerous Taiwan-funded enterprises. Although numerous models have been developed to overcome its limitations, such as determining unnecessary moving, unnecessary inventory, and redundant transportation, they do not, however, identify focused stages in which to start lean control. To secure Taiwan-Funded Enterprises in Mainland China (TFEMC), in this paper, after using value stream mapping (VSM) to show the current state of manufacturing processes, rough set theory is adopted and used to identify types of focused stages, where lean controls are most required. A generalised label-correcting algorithm is then developed to determine the desired stages of lean manufacturing, which are difficult to show in the VSM. This methodology is suitable for a repetitive manufacturing environment of mixed type, i.e., job shop and flow shop, and achieves the following objectives: 1. Decreasing work in progress (WIP) inventory.

2. Reducing inventory and logistics cost globally.

The approach is novel and the illustrated case could be a role model of TFEMC because different types of problems can be solved with one algorithm; the reduct rules can be inducted to determine focus stages efficiently; and waste is reduced from the viewpoint of system thinking.     

Towards a holistic sustainability index for measuring sustainability of manufacturing companies

Competition from low wage countries and the adoption of free market strategies have forced manufacturing firms to recognise and implement productivity enhancement strategies. This research defines a holistic sustainability index embedding several performance indices. The aim of this study was to establish a relevant framework that would assess the current situation of an industry through aggregation of environmental, social, economical as well as manufacturing variables. The proposition has its roots in trends and gaps in the sustainability literature of manufacturing industries and is based on the analytic hierarchy process (AHP) method. A list of indicators measuring the industry performance based on an AHP scoring methodology is proposed. The next stages include grouping industries according to common deficiencies across the four dimensions and establishing a cooperation framework. The food manufacturing industry is the main target in this study and will benefit from adopting sustainable long-term policies. By recognising the importance of social–environmental sustainability and taking the initiative to pursue it, profits will grow as a positive effect of such policies. The added value is twofold: (1) coupling all sustainability dimensions, often addressed in silos and (2) integrating manufacturing indicators which enable the analysis of interrelationships with sustainability.     

Application of interpretive structural modelling for analysing the factors influencing integrated lean sustainable system

The modern manufacturing systems recognize the importance of adopting lean and sustainable manufacturing principles. Especially, Indian automotive component manufacturing organizations are interested in adopting the integrated lean sustainable manufacturing system. An appropriate methodology is required for enabling the organizations to identify the dominant factors. In this context, this article presents the interpretive structural modelling approach for identifying the mutual relationship among factors influencing the integrated lean sustainable manufacturing system. From the literature study and survey conducted among Indian automotive component manufacturing organizations, 25 influencing factors have been identified. Based on the study, top-management commitment in adopting integrated lean sustainable manufacturing and environmental knowledge occupy the bottom level of model which shows that it has more driving power. Efforts are being taken to implement the factors in the surveyed organizations.     

Developing environmental and social performance: the role of suppliers’ sustainability and buyer–supplier trust

We explore how environmental and social performance of manufacturing firms can be improved as sustainable supply chain management (SSCM) develops and evolves within a firm from internal to external practices. Importantly, this study considers how key suppliers’ sustainability performance and buyer–supplier trust mediate and moderate such a development. A conceptual framework is developed which relies on resource-based theories and emerging empirical evidence. Then, partial least square methodology is applied on survey data from a sample of Italian manufacturing firms. Results show that manufacturing firms’ sustainability performance improves as SSCM develops; however, while internal practices have a direct impact on performance, the effect of external practices on a manufacturing firm’s sustainability performance is fully mediated by key suppliers’ sustainability performance. Yet, buyer–supplier trust significantly influences the scope of such gains. Since evidence suggests that manufacturing firms are still struggling with how to leverage supply chain innovation potential for sustainable development, this study provides a timely and valuable contribution.     

An integrated sustainability assessment framework: a case of turning process

Sustainable manufacturing is a valuable tool for measuring and enhancing the machining performance. The implementation of sustainability frameworks in concerned industries poses enormous challenges despite various frameworks available in the literature. Thus, the objective of this paper is to present an integrated sustainability assessment framework wherein two machining scenarios (dry and wet turning) have been analysed by conducting experiments based on the process for a manufactured component in an industry from economic and environmental perspectives. The study further evaluates the economic and environmental indicators such as cost per component and energy consumption for Taguchi array design using empirical relations to evaluate sustainability by grey relational analysis and further optimise the machining performance by particle swarm optimisation. The results, however, indicate the possibility of transitioning the machining process from wet to dry at specific operating conditions with improved performance. In addition to this, the study also presents an illustration of social sustainability assessment framework which has been proposed after consultation with various manufacturing industries in order to make it convenient for them to implement and enhance the sustainability aspects of the machining process.     

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.     

Innovation By Half-Measures in German Manufacturing

The Paper develops a critique of industrial restructuring measures from the perspective of social innovation theory. Three kinds of industrial restructure are discussed: business process re-engineering; computer-integrated manufacturing; and lean production. The paper argues that the dominant approaches to these restructuring initiatives are socially deficient in that they do not draw on the full potential of the workforce.