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Commentaries on “The Lenses of Lean”
Abstract
The phenomenon of the Toyota Production System (TPS) and the term “Lean” have received much attention from researchers and especially practitioners over the past 40 years. As scholarly perspectives on these topics continue to evolve, we invited Wally Hopp and Mark Spearman to contribute an essay to the JOM Forum that became “The Lenses of Lean,” and we invited several other prominent authors affiliated with Lean to react to that article and share their perspectives on Lean. We are delighted to have received four such contributions, which we have assembled here with the hope of furthering this important conversation (Note: For consistency of exposition, we have capitalized the term “Lean” throughout these commentaries when it is used in the phenomenological sense). —Tyson Browning and Suzanne de Treville
... Lean corporate programs, designed to identify and eliminate unproductive activities, enhance value creation and streamline production processes [1, p. 83], are pivotal for implementing lean principles across global plant networks. While extensive research has investigated the success and outcomes of lean practices, limited attention has been given to understanding what prevents these programs from achieving ongoing advancement and operational improvements [2], [3], [4]. Recent studies have delved into the complexities of lean methodologies [5], revealing that high-performing teams often regress [6] or plateau after initial success [7]. ...
... In the ongoing debate on the factors that drive lean advancement in corporate program rollouts, Cusumano et al. [3] have advocated for a phenomenological approach, which captures the complex, context-dependent dynamics of lean programs. Responding to this call, our study leverages a phenomenological approach to delve into the subjective experiences and perceptions of participants, providing a nuanced understanding of how these factors influence lean implementation. ...
... Consisting of firm-specific applications of general organizing and managerial principles oriented toward waste elimination, as advocated by Netland [3], we have studied how the lean corporate program at FCA evolved uniquely at each plant, influenced by both corporate-level managers and This article has been accepted for publication in IEEE Transactions on Engineering Management. This is the author's version which has not been fully edited and content may change prior to final publication. ...
This study investigates how cognitive and emotional mechanisms drive advancement in lean corporate programs, addressing a key yet underexplored factor in continuous improvement. While existing research documents lean program successes, it often overlooks the role of cognitive and emotional factors in program progression. Using a phenomenological approach, we integrate individual and plant-level data through both qualitative and quantitative methods. Focusing on a lean corporate program implemented across 22 Italian plants of a leading global carmaker, we employ a structural equation model to assess the relationships among lean organizing principles, cognitive involvement, emotional perceptions, and lean program advancement. Three key insights emerge: (1) A comprehensive application of lean organizing principles enhances employees' cognitive involvement in lean practices; (2) Cognitive involvement is essential for advancing lean corporate programs; (3) Positive emotional states—such as pride, self-efficacy, and perceived fairness—significantly mediate the relationship between cognitive involvement and lean advancement. This study contributes to lean management literature by demonstrating that positive emotions are critical for sustaining lean progress. By bridging the knowledge-based view with behavioral theories, we provide researchers and practitioners with a nuanced understanding of the interplay between cognitive and emotional factors in advancing lean programs.
... Lean production has a set of mature and inter-related activities and tools system which can help enterprises improve operations management (Antony et al., 2021;Cusumano et al., 2021;Susanty et al., 2022). Therefore, lean production is considered as a kind of best practices (Voss, 2005). ...
... Therefore, lean production is considered as a kind of best practices (Voss, 2005). Best practices is used to solve practical problems in operational dimension of enterprise to obtain strategic competitive advantage, therefor, best practices is closely related to enterprise operational capability and performance (Cusumano et al., 2021). Based on this view, lean researchers have been trying to explore and validate the application effect of lean practices from multiple dimensions (Shah & Ward, 2003;Furlan et al., 2011;Negrão et al., 2017;Dave & Sohani, 2019;Antony et al., 2021). ...
... in labor productivity and quality, along with reduction in customer lead time, cycle time, and manufacturing costs (Cusumano et al., 2021). At the same time, more and more scholars believe that with the increasingly severe market competition environment, in addition to cost and quality, enterprises need to provide better services to meet the ever-changing needs of customers, which requires enterprises to pay more attention to factors such as punctuality of delivery (delivery time) (Basu et al., 2021). ...
Purpose
The view that dynamic capabilities theory can help explain how lean organizations improve has been put forward by scholars. However, there is still a lack of research on the matching relationship between the application of lean practice and the internal elements of enterprise organization from the perspective of dynamic capabilities. The purpose of this study is to validate the moderating effect of dynamic capabilities on the relationship between lean practices and operational performance.
Design/methodology/approach
This study used the method of survey and empirical research to collect sample data from 263 enterprises in China. Through literature review, this study put forward the moderating hypotheses around dynamic capabilities, lean practices and operation performance and used the method of regression analysis to validate these hypotheses.
Findings
The results showed that dynamic capabilities have a partially moderating effect on the application of lean practices. Specifically, dynamic capabilities have a significant moderating effect on the relationship between just-in-time, total quality management, total preventive maintenance and operational performance, while dynamic capabilities have no significant moderating effect on the relationship between human resource management and operational performance.
Originality/value
The research conclusion complements and enriches the lean practices literature from the perspective of dynamic capabilities. Existing studies mainly focus on the moderating role of external environmental factors, while there is a lack of empirical research on the role of dynamic capabilities in lean practices literature. The research results will help enterprises further understand the matching relationship between lean practices and dynamic capabilities and then improve the success of lean practices application.
... Lean tries to create a working environment were searching for and eliminating wastes are the norm rather than fixing the symptoms as a common real-life practice. Cusumano et al. (2021) divide lean into lean thinking and lean practice that occur together. They define thinking as a way of generating value with less resources. ...
... Kanban and the just-in-time (JIT) are tools that improve the supply of inputs (Scavarda et al., 2018). Small-lot production accompanied with pull systems lead to faster learning, reduced defects, and fewer inspection when workers assure producing things right from the first time (Cusumano et al., 2021). It should be also noted that according to Shah and Holweg in Cusumano et al. (2021), lean is not built only upon waste elimination tools, but is also built on people, process components, and internal firm and external (related to supplier and customer) components. ...
... Small-lot production accompanied with pull systems lead to faster learning, reduced defects, and fewer inspection when workers assure producing things right from the first time (Cusumano et al., 2021). It should be also noted that according to Shah and Holweg in Cusumano et al. (2021), lean is not built only upon waste elimination tools, but is also built on people, process components, and internal firm and external (related to supplier and customer) components. One piece flow and single minute exchange of dies are two tools that help eliminating the waste of waiting for the product and for the machines. ...
This study considers the production line of a leading multinational company that is facing significant wastes in the form of waiting and delays. A lean project case study is applied to the production line. The methodology used is to first explore the current situation to find wastes and bottlenecks. Then possible improvements are proposed which are examined using computer simulation for validation purposes and for searching for other emerging issues that may arise from the proposed improvements. Finally, the proposed improvements are applied to the real-life production line. The improvements lead to productivity improvement and significant cost reduction. This study explores the one-piece flow tool which, despite its importance, shows few case studies in the literature as it is difficult to implement in real life. The proposed methodology in the case study can be extended to other companies, and also can be used in lean project utilising other lean tools.
... Lean principles integrated into educational programs represent a transformative approach to enhancing corporate efficiency and employee competence. In the quest to improve management to reduce costs, Lean thinking has become a globally recognized approach, since it can contribute as much to troubleshooting operational, environmental and cultural (Abreu et al., 2019;Amaro et al., 2019;Cusumano et al., 2021;Yamamoto and Bellgran, 2010). ...
... These insights align with the core Lean principle of empowering individuals and fostering employee participation in the improvement process, as highlighted by Suzaki (1993) and Yamamoto and Bellgran (2010). Furthermore, this perspective aligns with Toyota's approach to leadership development, which emphasizes responsibility, innovation, and excellence at all organizational levels (Cusumano et al., 2021;Spear and Bowen, 1999). The commitment to considering employees' perspectives, fostering their development and recognizing their contributionsprinciples advocated by Monden (1998) and Ohno (1988) is fundamental to the success of Lean initiatives. ...
Purpose
This study aims to explore how instructors and trainees perceive value generation within companies through Lean learning conducted in an industrial context. It specifically examines the influence of this learning on decision-making, issue resolution, opportunities for continuous improvement, waste reduction and alignment with corporate goals.
Design/methodology/approach
This research adopts a survey method, using two online questionnaires targeted at Lean instructors and trainees from companies in Northern Portugal. It included sample selection and questionnaire development based on literature and objectives. The data analysis techniques encompass descriptive statistics and coding for open-ended responses.
Findings
Instructors and trainees emphasize the effectiveness of experiential learning techniques, such as games and simulations, in facilitating the understanding and application of Lean principles. This transformative approach enhances corporate efficiency, decision-making and problem-solving capabilities. However, the study reveals that despite the widespread adoption of Lean learning in the analyzed companies, a structured framework to measure its added value is lacking. The findings underscore the need for metrics that capture Lean’s true impact: individuals who challenge the status quo and actively drive transformative solutions, positioning Lean as both a technical methodology and a human-centered driver of growth.
Research limitations/implications
The primary limitations of this study are the small sample size and its geographical focus on Northern Portugal. While the sample size is relatively limited, the selected companies’ extensive experience with Lean practices ensures that the data collected remains valuable and insightful. In addition, the regional scope may limit the generalizability of the findings to other contexts or regions. Future research should aim to address these limitations by expanding both the sample size and geographical coverage, which would provide a broader understanding of Lean learning’s impact and improve the applicability of the results to different industrial settings.
Originality/value
This study distinguishes itself through its human-centered approach to Lean learning, shifting the focus from traditional tools and techniques to the experiences of individuals. Addressing a critical gap in Portuguese research – where operational outcomes often take precedence over human factors like motivation and development – underscores Lean’s broader potential to cultivate systems thinking, sustainability and ethics.
... While research in the field of PI encompasses a variety of philosophical positions and methodologies, most studies undertaken by operations and production management scholars share three main features that we review in detail in this section (see also Collins and Browning, 2019;Cusumano et al., 2021): (1) PI approaches are identified and studied as distinct rather than combined entities; (2) they are considered to be fixed and static, rather than context-based and adaptable; (3) studies focus on techniques, behaviors and learning processes, but less attention is paid to the roles and experiences of the individuals involved. ...
... The majority of studies on PI carried out by production and operations management scholars tend to underplay the dynamics involved in the translation of approaches to different contexts (Cusumano et al., 2021;Sunder and Linderman, 2024). This is notwithstanding the acknowledgment by some authors such as Modig and Ahlstrom (2012, p. 88) that, for example, "Toyota developed its methods and tools within the large-scale manufacturing of cars. ...
Purpose
Despite firms’ growing investments, process improvement (PI) programs often fail to deliver the expected benefits. In this paper, we argue that the widespread adoption in PI research of a paradigm founded in positivism plays a primary role in deriving these conclusions and limits the development of PI theory and practice.
Design/methodology/approach
We examine the main characteristics of the dominant paradigm in PI research and then propose an alternative perspective drawing on research in management innovation and complexity. Findings from two empirical case studies in a pharmaceutical and an automotive firm are reported to support our theoretical argument.
Findings
The proposed perspective highlights the interaction between various PI approaches – such as lean, Six Sigma and total quality management (TQM) – and the context-dependence and experiential aspects of PI. We argue that this perspective can better account for where, by whom and how PI approaches are shaped and used and, ultimately, can more effectively advance both theory and practice.
Originality/value
This study suggests that PI approaches should be considered as adaptable rather than static, in combination rather than as single entities and as continuously interpreted and translated by organizational actors rather than homogeneously diffused across companies and business units. In this paper, we discuss the substantial conceptual, methodological and practical implications of adopting this perspective.
... Furthermore, Fok-Yew (2016) identifies EE as a mediator of lean practices on business excellence. Being a human-centred approach, LP fosters the development of new behaviors and, hence, organisational culture through the implementation of continuous improvement practices (Cusumano et al. 2021;Yamamoto, Milstead, and LIoyd 2019). Lean organisations promote employees' creativity over investment, driving the necessary levels of EE to succeed (Tortorella et al. 2021b). ...
... Finally, concerning emotional engagement, AI was claimed to positively impact employees' ownership and interaction. Lean organisations are typically charac terised by management practices that enhance employees' participation through continuous improvement activities (Cusumano et al. 2021;Yamamoto, Milstead, and LIoyd 2019). The use of AI seems to promote even more collaborative workplaces; it prevents employees from performing basic and repetitive activities redirecting them to devise more complex daily tasks through active engagement with team members. ...
Driven by the digital transformation currently pursued by organizations, artificial intelligence (AI) applications have become more frequent. Nevertheless, its impact on employees’ behaviors and attitudes is still poorly known. As employees’ engagement (EE) is a key element for a successful Lean Production (LP) implementation, there is the need to understand such AI’s implications on EE in this scenario. This paper aims to investigate the impact of AI on EE in lean organizations. We performed a qualitative-empirical approach in which we first interviewed twelve academic experts to grasp the investigated problem. Then, we conducted a multi-case study in manufacturing organizations undergoing a LP implementation to refine such understanding based on the observation of real-world evidence. Identifying commonalities between these stages allowed the formulation of propositions for future theory testing and validation. Findings indicate that AI may positively impact EE dimensions (physical, cognitive, and emotional) in human-centered work environments, such as lean organizations, although not at the same extent. Results also suggest that employees’ psychological conditions (safety, meaningfulness, and availability) are positively affected by the relationship between AI and EE. The demystification of AI’s effect on EE helps practitioners anticipate potential issues that can impair the LP implementation in the Fourth Industrial Revolution era. As digital transformation evolves, organizations undergoing a LP implementation must learn how to cope with the integration of AI into their processes and benefit from it without undermining the principles and behaviors that commonly drive a lean organization.
... At the outset, Lean was considered almost the same as TPS (Holweg, 2007;Womack, Jones, & Roos, 1990). However, since the Lean concept became popular, many researchers and practitioners have turned their eyes to various elements outside the scope of TPS (Cusumano et al., 2021;Hopp & Spearman, 2021), even though they may still have a great deal to learn from TPS (Aoki, 2021). While many practitioners are struggling to produce consistent success in implementing TPS, just-in-time (JIT), or Lean (Hopp & Spearman, 2021;Secchi & Camuffo, 2019;White, Ojha, & Kuo, 2010), little is still known about how Toyota strengthens the foundation for that implementation. ...
... We collected in-depth extensive data on Toyota's shopfloor operational activities, from which TPS or Lean emerged (Cusumano et al., 2021;Shimokawa & Fujimoto, 2009), and thus through which we could gain insights that other organizations would not be able to provide (Siggelkow, 2007). ...
This study aims to build a theoretical model of operational foundation for TPS implementation by analyzing qualitative data collected from 48 interviews and "go and see" (genchi-genbutsu) observations at Toyota Japan and its seven overseas plants. Our analysis focuses on Toyota's Three Pillar activity, through which plants conduct kaizen (continuous improvement) in the following four categories-4S plus Shitsuke, standardized work, ownership maintenance, and process point management. Our analysis reveals that this activity allows To yo ta to strengthen its operational foundation by eliminating muda (waste), as far as possible, in relation to work environments, people, equipment, and products. It further uncovers that Toyota utilizes hoshin kanri (policy deployment) and FMDS (Floor Management Development System) to integrate its strategy management into the operational foundation. To yo ta also encourages zeninsanka (full participation), and provides all employees with education and training in order to integrate its human resources into that foundation. Our emerged model consists of three foundations-operational foundation at the center, which is supported by strategy management and human resources foundations. This allows organizations to maintain a just-in-time production flow by eliminating muda and conducting kaizen in a continuous manner.
... For example, recent papers published in the Journal of Operations Management (JOM) also reflect on lean as a theory (Hopp and Spearman, 2021) but choose to retain the efficiency stream of lean research framed three decades ago. This perspective, concerned essentially with the implementation of methods and systems for reducing waste, was subsequently scrutinised by Cusumano et al. (2021), who considered that lean is more than efficiency and not confined to operations management. ...
... As a learning capability, lean is about learning in and from action. The objective is to understand and improve the processes and work through experimentation, reflection, teaching and empowering workers and managers to innovate for the benefit of the customers (Cusumano et al., 2021;. This learning stream of research regards lean practices and tools as methods of generating knowledge and surfacing problems rather than just increasing efficiency and eliminating waste. ...
Purpose
Being acquainted with both lean and action learning in theory and in practice, this study finds that the theoretical complementarity of these two research streams has traditionally been underexploited. In this conceptual paper, this study aims to advance the theoretical understanding of lean by exploring the complementarity of lean thinking and action learning leading to a proposed integrated theory of these two research streams. Target audience is the operations management research community.
Design/methodology/approach
By deliberately adopting a process of theorising, this paper explores, reflects upon and combines individual experiences of researching, teaching and engaging in lean and action learning as operations management scholars.
Findings
Having taken a gemba walk through the literature and practices of lean and action learning, this study views and notices a systematic and complementary relationship between the two domains. The overlapping theoretical and practical complementarities of lean and action learning suggest that these two research streams are ripe for synthesis into an integrated theory. This finding provides an opportunity to (1) progress towards an integrative design of interventions leading to more sustainable lean system adoptions and (2) add new depth to our theoretical explanation of the success and failures of lean system adoptions.
Originality/value
This paper contributes an original integrated theory perspective on lean and action learning.
... This endeavor has led to an increasing interest in the application of the lean management model within the tourism sector. Although mean management originated as a philosophy developed by Toyota in the automotive industry, it has gained effective traction across diverse sectors in recent years (Czifra et al., 2019;Kelendar, 2020;Cusumano et al., 2021). Commonly adopted cost reduction strategies in the tourism sector often revolve around cutbacks in wages and labor (Majumdar, 2021). ...
This paper focuses on the application of the lean management model in the tourism sector, specifically in the hospitality sector. In line with this focus, a study was conducted in the reception department of a five-star hotel in Mugla/Turkiye. The study aims to explore the applicability of lean thinking in management, which has been used in the manufacturing sector for many years with thriving, sustainable results, and to address opportunities for improvement in the hotel business. The research methodology includes a comprehensive value stream mapping study of the operational processes in the reception department. The research, involving the hotel manager, reception unit manager, and employees, aimed to identify non-value-adding processes and eliminate them through quality circles. The value stream mapping process provided valuable insights into the customer journey from initial registration to room assignment and identified areas for improvement. Non-value-adding steps, such as unnecessary paperwork and delays in the process, were identified, resulting in potential improvements in operational efficiency and customer satisfaction. The results of the study underlined the feasibility of integrating lean principles into the hotel's reception department and highlighted the potential impact on process efficiency and customer satisfaction. The study also emphasized the importance of monitoring the implementation of the improvement recommendations and evaluating their impact. In addition, it emphasized the need to create a culture of continuous improvement in hotel businesses in the tourism sector. The study's constraints include its focus on a single hotel, the absence of lean transformation initiatives, and its limited scope to the reception department, serving as a pilot study. The findings underscore the importance of adopting lean management practices to optimize processes and elevate the hospitality industry's guest experience.
... Consequently, the article contributes to extending the literature that examines the performance paradox in OSCM functions and the implementation of operational excellence methodologies (Dieste et al. 2021;Psomas 2021aPsomas , 2021bAntony et al. 2020;Danese et al. 2018;Abreu-Ledón et al. 2018;Negrão et al. 2017). By undertaking this approach, the paper offers additional insights into the literature, which has consistently explored Lean phenomena and its nuances to comprehend the essence of Lean and its limitations (Browning & de Treville 2021;Cusumano et al. 2021;Åhlström et al. 2021). ...
The decision-making processes in operations and supply chain management (OSCM) activities often impose tensions that challenge companies to deal with conflicting performance objectives, resulting in several operational performance paradoxes. However, despite timely concern and the substantive relevance and impact of these paradoxes, several questions remain unanswered about how operational practices, such as Lean, can assist companies in mitigating the effects of these paradoxes. This study investigated how Lean practices can assist companies in reconciling conflicting operational performance objectives in OSCM. Qualitative and quantitative methods were employed during the research, including a qualitative Delphi panel, followed by a quantitative Delphi survey with Lean experts and subsequent statistical analyses to test the hypothesis examined. Findings provide additional evidence to the theory about the role of Lean practices in reconciling conflicting performance objectives in OSCM, enabling companies to embrace contradictions against performance paradoxes. First, this study advances knowledge about the influence of the Lean bundles on operational performance objectives. Second, we show which performance objectives are most impacted by the respective Lean practices and those that are non-significant over the performance objectives more accurately. Third, a multidimensional three-level framework that is lean-oriented is drawn from the findings, assisting companies and OSCM decision-makers in managing operational performance tensions. Fourth, the study informs companies to make more accurate predictions when examining their current process improvement programs and find alternatives to address operational performance tensions. This article offers original insights that help to bridge the theory and practice, improving our understanding of the role of Lean in subsidy decisions against contradictory performance objectives in OSCM. Finally, the study contributes to decision-making in OSCM, providing detailed and actionable insights to managers to cope with performance paradoxes.
... This has been evidenced even in turbulent times with the Covid-19 pandemic and other recent disruptions . However, in practice, supply chain-focused lean initiatives are often undertaken without a clear conceptualisation and a systematic thinking process, which results in the variety of lean supply chain management definitions, multiple conceptual frameworks, and an absence of standardised constructs found in the current literature (Cusumano et al. 2021;Jasti and Kodali 2015b). It becomes crucial to have a clear understanding of the concepts underlying digital twins' disruptions and lean supply chain management if we want to offer efficient lean task and management services in the digital era (Cifone et al. 2021;Naranjo, Menor, and Johnson 2023). ...
Digital twins in Industry 4.0 enhance lean supply chains by optimizing efficiency, reducing costs, and ensuring responsiveness to consumers. However, their relationship with lean supply chains remains understudied. We address this gap through a systematic literature review, analyzing 33 selected papers from 759 articles. Utilizing the supply-chain operations reference (SCOR) framework, we assess digital twins’ impact on supply chain processes and performances. Our findings indicate that digital twins are primarily used in plan, make, and delivery processes, with limited exploration in source and return processes. They enhance lean practices by improving information flow, eliminating waste, optimizing logistics, and enabling just-in-time production. However, top management commitment, supplier relationship management, and customer relationship management are understudied areas. We also recognize two additional areas where digital twins contribute: enhancing supply chain coordination, and bolstering supply chain resilience, particularly against disruptions such as COVID-19 and geopolitical events. Additionally, we propose a framework for digital twin-driven smart lean supply chain management and highlight the importance of future research in areas such as supply chain digital twins (SCDT) mapping, convergence, interaction, cognition and service. This study pioneers exploring the motivations, applications, and contributions of digital twins in lean supply chain management.
... Por tradición, las prácticas Lean (PL) se han considerado como una metodología de mejora continua que permite a las empresas manufactureras mejorar su nivel de eficiencia (Hopp y Spearman, 2021). No obstante, estudios recientes han demostrado que la eficiencia no es necesariamente el único resultado de su adopción, sino que también facilita la adaptabilidad de las organizaciones para responder a los cambios que demanda el medio ambiente (Cusumano et al., 2021), lo cual les permite a las empresas Lean adaptarse con más rapidez a tales cambios que las que no las han aplicado (Lean Enterprise Institute [LEI], 2022). Sin embargo, hace falta evidencia empírica robusta que demuestre si la adopción de las LP puede ayudar a las empresas manufactureras a adaptar continuamente sus procesos a los cambios medioambientales y cómo hacerlo (Gutiérrez et al., 2022), tales como la mejora en la cadena de suministro Lean (CSL) (Alejandro-Chable et al., 2022) y el rendimiento empresarial (RE) (Shah y Naghi, 2017). ...
Las prácticas Lean se consideran en la literatura como una filosofía de trabajo que les permite a las organizaciones identificar y eliminar aquellas acti-vidades que no generan valor, a menudo llamadas residuos, las cuales tienen un impacto no solo en los procesos productivos, sino también en la cadena de suministro, en las actividades de logística y en el nivel del rendimiento empresarial. Sin embargo, son relativamente pocos los estudios publicados en la literatura que han analizado y discutido la relación y consecuencias de la aplicación de las prácticas Lean y sus efectos en la cadena de suministro Lean y el rendimiento empresarial. Por ello, el objetivo esen-cial de este estudio es llenar el vacío que existe en la actual literatura y probar empíricamente la aso-ciación positiva entre las prácticas Lean, la cadena de suministro Lean y el rendimiento empresarial. Para este propósito, se distribuyó una encuesta a una muestra de 460 empresas manufactureras de la industria automotriz de México, y se validó el modelo de investigación propuesto por medio del uso del PLS-SEM. Los resultados sugieren que las prácticas Lean tienen un impacto positivo tanto en el rendimiento empresarial como en el de la cadena de suministro Lean, al igual que la cadena de sumi-nistro Lean también tiene un efecto positivo en el rendimiento empresarial.
... To avoid definitional conundrums, we choose to adopt the perspective of Netland (in Cusumano et al., 2021), who preserves a practical perspective and defines lean as a business phenomenon. The word "phenomenon" originates from the Greek word "phainomenon," which is the present participle of the verb "phainesthai," meaning "to appear" or "to be visible." ...
... In 1930, the concept of lean was first established by Toyota in its production process and showed successful results, which expanded its reach past the manufacturing process. The Toyota production system represents the pinnacle of lean thinking globally and establishes the company as the largest auto manufacturer in terms of sales (Cusumano et al. 2021). With time, lean thinking expanded to every sector worldwide and goes beyond manufacturing to include logistics, services, distribution, healthcare, government, construction, and maintenance. ...
... Recent papers in the Journal of Operations Management [27][28][29] and the International Journal of Operations & Production Management [30] indicate the relevance and timeliness of lean and digitalization research. A distinct research void exists around the associations between the micro-foundations of lean (such as considering continuous learning and purposeful implementation) and digitalization. ...
Through qualitative case research involving two cases of digital lean implementation projects, we identify and explicate how grit, vision, and pragmatism (as enablers) and technology maturity, implementability, and idiosyncrasy (as barriers) interact with and affect strategic digitalization initiatives. Seemingly-paradoxical strategic approaches to digitalization emerge from the associations between the enablers and barriers with micro-foundations in continuous learning and purposeful implementation—in other words, a lean mindset. Lean thinking changes how firms work with production processes and practices, approach management culture, envision the larger operational landscape, and manage strategy. In today’s business environment, firms need to consider how to make digital technologies fit their own strategic and operational priorities. The contribution of this study is its presentation of strategic digitalization as a lean approach to competitive differentiation.
... De hecho, el enfoque ha generado beneficios impresionantes en la fabricación, incluidas reducciones significativas en los costos operativos, calidad mejorada y mayor satisfacción del cliente. Empresas como Honda, GE, Boeing, Lockheed Martin, Volvo Group, Hewlett-Packard, IBM, McDonald's, Zara y muchas otras atribuyen parte de su éxito al JIT (Cusumano et al. 2021). ...
La revisión de literatura fue realizada a artículos publicados entre los años 2018 y 2023, sobre los sistemas JIT, en ese sentido tuvo como objetivos: conocer los sistemas JIT, determinar los beneficios de un sistema JIT y finalmente establecer los riesgos del JIT en las organizaciones. Se trató de un enfoque sistemático que incluía una búsqueda literaria de estudios previos. Se seleccionaron Scopus, Scielo, y Redalyc como bases de datos para la búsqueda bibliográfica. En ese sentido, conforma un aporte al campo del conocimiento entendiendo los sistemas JIT, sus beneficios y sus riesgos al ser usados en las organizaciones.
... Many studies about Lean have presented benefits that lead to operational indicators improvements, e.g. in productivity or in inventory (Krafcik, 1988;Womack et al., 1990;Amaro et al., 2019;Schonberger, 2019;Cusumano et al., 2021;Hopp and Spearman, 2021;Maware et al., 2022). According to Jasti and Kodali (2015), many authors have demonstrated the improvement of overall organizational performance when Lean principles are applied. ...
Purpose
This paper aims to present a conceptual model, called LOOP, an acronym for Leadership, Organization, Operation and People, regarding the pull system implementation in Lean companies. Lean should be holistically implemented to achieve the performance for what it is known. Pull is one of the Lean thinking principles, and it is the production control system underneath the Lean philosophy. However, to implement pull, an organizational transformation in companies’ different areas is needed.
Design/methodology/approach
This model was developed following up a case study of a representative example of a multinational company which has been implementing Lean for a long time but without achieving a well-succeeded pull implementation.
Findings
Based on that, the authors developed the LOOP model that is an integrated framework with the goal to promote a Lean culture, which includes four dimensions: leadership, organization, operation and people.
Originality/value
Based on the LOOP conceptual model, a different, and hopefully more effective, perspective is presented, establishing some proposals for the four dimensions and for the production and control system selection criteria to implement Lean.
... As for the service sector, implementing lean six sigma can improve the operations, service quality, cycle and lead time, employee satisfaction, and reduce the error rate, cost, delay, and complaint (Singh and Rathi 2018). Cusumano et al. (2021) defined lean in official statistics as eliminating waste by reducing variability associated with user information, provider information, and statistical processes. The utilization of lean six sigma enables the elimination of non-value adding activities while increasing the quality and decreasing the cost (Auksztol 2021). ...
... The literature on lean management is vast and, as a recent debate shows [67,68], there are different definitions of the term lean, ranging from a pure science of efficiency to a learning and education system. Regardless of the definition of lean, there is a common thread that cannot be ignored: lean rests on the practices of kaizen (loosely translated as continuous improvement). ...
The decision to incrementally improve existing processes and products or introduce breakthrough innovations depends on the context a company is facing. In situations where problems are known, it is better to incrementally improve, while in complex situations where problems are not known, a probe-sense-respond approach based on experimentation and the exploration of new solutions is preferable. Lean management adapts well to the first type of context, while agile management fits the second type of context. However, organizations must increasingly consider both approaches and become ambidextrous by introducing incremental improvements and breakthrough innovations simultaneously. This requires embracing the paradox between exploiting and exploring, adopting a new leadership mindset, and dual strategic, organizational, and behavioral models. This paper proposed a framework to implement lean and agile approaches simultaneously using the paradox theory to justify and manage this coexistence. This framework is threefold. First, managers need to differentiate between lean and agile, finding ways of keeping the two approaches separated. Second, lean and agile should be integrated so that synergies between the two approaches can be generated. Finally, managers need to achieve a dynamic equilibrium over time between lean and agile. Contributions to the theory and practice of this approach were discussed.
... Later, lean was popularized through the best-selling The Machine that Changed the World by Womack et al. (1990). What followed has been a widespread adoption of lean practices by companies from various sectors and the development of an academic discipline ( Ahlstr€ om et al., 2021;Cusumano et al., 2021;Holweg, 2007). However, despite various studies on its technical aspects, organizations have been struggling to become lean (Pay, 2008;Sadun et al., 2017;Spear and Bowen, 1999). ...
Purpose
Do managers at different hierarchical levels in a firm perceive the effectiveness of a lean program differently, and does it matter for their commitment to it and the resulting lean implementation? This study answers these questions by analyzing the perceptions and behaviors of top and middle managers in a manufacturer deploying a global lean program.
Design/methodology/approach
The authors hypothesize that managers at different levels perceive lean programs differently, which, in turn, should affect their commitment to lean and the resulting implementation. To test these relationships empirically, the authors collect survey data from a global manufacturer in the process industry and analyze them using hierarchical linear regression and structural equation modeling.
Findings
The findings show that middle managers perceive lean programs as more effective than top managers do. They further show that higher commitment from the top and middle managers to the lean program is positively related to building the organizational infrastructure needed for lean implementation.
Research limitations/implications
This research is conducted in one global company. Although the research setting implicitly controls for many possible confounding variables, such as the product and process complexity or organizational culture, future research can explore and test the findings in other organizational contexts.
Originality/value
This study is the first to empirically study the relations between perceptions of and commitment to lean programs across different hierarchical levels and what it means for program implementation. The paper contributes new plausible explanations for why many lean programs slow down.
... Indeed, there is a great deal of scholarly and practitioner literature, and our intent is not to summarize it here. Instead, as a working definition, we start with the description of JIT found on Toyota's global webpage, which matches well with authoritative sources on JIT and the TPS (e.g., Cusumano et al., 2021;Liker, 2004;Monden, 2010;Ohno, 1988;Sugimori et al., 1977): ...
The Covid‐19 pandemic and other recent disruptions in the early 2020s led to sections in the business press blaming just‐in‐time (JIT) practices for operational failings. Consequently, there are calls for moving away from JIT toward holding more inventory as preparation against future disruptions, which is referred to as just‐in‐case. The academic community is also divided. Some scholars argue that JIT is not resilient, while others maintain that JIT can continue providing superior performance even with disruptions. Motivated by this debate, we discuss various misconceptions about JIT that underlie this debate. Furthermore, we present different ways to adapt JIT for turbulent environments and argue that companies can improve their supply chain performance if JIT supply chain segments are chosen fittingly—even more so—during disruptions.
... Indeed, there is a great deal of scholarly and practitioner literature, and our intent is not to summarize it here. Instead, as a working definition, we start with the description of JIT found on Toyota's global webpage, which matches well with authoritative sources on JIT and the TPS (e.g., Cusumano et al., 2021;Liker, 2004;Monden, 2010;Ohno, 1988;Sugimori et al., 1977): ...
... Like the earliest studies in lean production, the research in this paper can be classified as 'phenomenon-driven,' meaning the questions are based on observations of phenomena in hospitals that conform to lean philosophy and have active DM systems. It reflects a perspective and calls for more research in operations that is field based (Netland in Cusumano et al., 2021;Schmenner et al., 2009;Toffel, 2016). The remainder of the paper has five sections: Section 2 discusses the origins and literature of DM and defines the practices that constitute DM; Section 3 poses the research questions and describes the research methodology; Section 4 presents the research findings; Section 5 discusses the implications of the findings; and Section 6 presents conclusions, research limitations, and research suggestions. ...
This exploratory study investigates daily management (DM), a common phenomenon in healthcare and other organisations that embrace lean philosophy. Although some sources consider DM a critical component in Lean, as a research topic DM has received scant attention. This paper gives an overview of DM – its origins and components – and reviews the literature to explore DM practices in healthcare. It also investigates associations between DM and ‘lean leadership’ (LL), and between DM and the sustainability of Lean. The premise for the study is that DM is a critical component of Lean, more fundamental to lean practice and philosophy than has been acknowledged by scholars. The findings of the study reveal substantial commonality in the DM practices of lean healthcare organizations. They also indicate an association between DM practices with concepts and behaviors associated with LL, and an association between DM practices and critical factors for lean sustainability and long-term success. An implication of the findings is that DM, though formerly overlooked in research, is a critical component to lean success and sustainability. The paper contributes to the literature on Lean by expanding an area somewhat ignored by scholars and offers practical implications and research opportunities for managers and scholars.
... This explains the long and ongoing discussion about lean and the content of the concept (Osterman, 2020). Lean might be viewed thorough different "lenses" (Cusumano et al., 2021), i.e. as a system (Osterman and Fundin, 2020), as a philosophy (Shah and Ward, 2007), as a set of tools and practices (Dennis, 2017), as a "soft lean" version (Holmemo et al., 2018), as a start-up program for new businesses (Reis, 2011), as a management concept (Liker, 2005), as an organizational learning system (Powell and Coughlan, 2020b) or as a concept for cost cutting termed "hard lean" (Holmemo, 2017). Hence, without a common understanding of the content, any attempt to measure the success of implementation and expected financial outcome relies on how the concept is interpreted. ...
Purpose
This study aims to investigate the impact of a company-specific lean program (a so-called company-specific production system [XPS]) on the company’s financial performance. This study analyzes data from the implementation of XPS in multiple plants of a multinational corporation and examines the results through an organizational learning lens.
Design/methodology/approach
This study adopts a longitudinal single-case design to investigate a Norwegian multinational company in the process industry, producing silicon for the global market. The company has developed, implemented and institutionalized its own XPS since 1991. The program has directly contributed to extensive cost reduction and significantly strengthened the organization’s competitive position.
Findings
The findings of this study show a link between organizational learning and the improvement of financial results in the organization. This study presents a sand cone model that illustrates how the development and deployment of an XPS through individual- and orchestrated learning subsequently created a common platform for institutionalized learning within and across the multinational organization. This organizational learning capability managed to tie the company’s continuous improvement efforts directly to the improvement of cost levels throughout the value chain.
Practical implications
The practical implications of this work are significant, as this study uncovers the importance for managers to consider both individual-, orchestrated- and institutionalized learning (within and across a multinational network) when designing and implementing XPS to drive the improvement of an organization’s financial performance.
Originality/value
Documenting the financial impact of such programs is a common challenge. Therefore, the insights presented in this research are of value to both researchers and practitioners, in particular, managers and executives in large multinational organizations.
... Over the past three decades, lean production practices have been introduced to many industries (Netland and Powell 2016;Cusumano et al. 2021). The industries classified as services have not been an exception, showing a growing interest in 'lean service' (Bowen and Youngdahl 1998;Allway and Corbett 2002;LaGanga 2011;Leite and Vieira 2015;Gupta et al. 2016;Hadid et al. 2016;Liker and Ross 2017;Seddon 2019;Fenner et al. 2022). ...
Many firms launch consolidated lean initiatives across all their service units, but because services differ, mandated lean practices may have a poor fit with the receiving unit. Whereas plenty of research has investigated the fit of lean implementation at the service industry level, this is the first to delineate how standard lean service practices fit different service types. Taking a contingency theory perspective, we study a leading European utility company comprising distinct service types. Using purposeful sampling, we interview 36 employees from 15 different teams representing three different service types – professional services, service factories and service shops – and 11 employees from the headquarters who are supporting these units in their lean transformation journeys. We also collect secondary data, including lean programme documentation and audit data. We find that one size does not fit all for lean service; there are important nuances to the relevance of standard lean service practices across different service types. Ten propositions are put forward suggesting how standard lean practices need to be adapted to fit the context of different service types. The findings reject the idea that all service units can progress along the same trajectory in lean service programmes. This paper informs managers how lean service programmes can be tailored to increase the fit with different service types.
... Research has found that companies that have adopted lean are at least 50% more profitable than comparable non-lean companies (Camuffo 2017). Lean research is rooted in the conception that lean is both a way of thinking and a set of practices concerning creating value for the customers through resource reduction and waste elimination (Cusumano et al. 2021). This lean research stream has provided several accounts of the practices and thinking behind lean being applied as an enterprise-wide production system (E.g. ...
This paper seeks to advance the understanding of the complementarity between action learning and lean. Today, this is an underexplored research area, despite the high degree of similarities and syngeneic possibilities between these two research streams. The paper describes an action learning intervention at VELUX, a Danish rooftop manufacturer designed to develop its leaders as lean learning facilitators to cope with the increasing velocity of change stemming from growth, sustainability, and digitalisation agendas. The paper locates the complementary between action learning and lean in the extant literature and presents an account of practice from VELUX for extrapolating five promoting factors for developing leaders as lean learning facilitators. The paper concludes that lean complements action learning with a suite of concepts, systems, practices, and methods for institutionalising ongoing action learning and concepts on how to think and act as a leader to foster a lean learning system consisting of empowered and proficient problem-solvers. Furthermore, action learning complements lean with the underlying learning mechanisms of facilitating and sustaining the change towards instituting leaders as lean learning facilitators and adopting a lean learning system.
... Lean organizations are considered to have a learning-to-learn capability that enables them to constantly find, frame, face, and solve problems (Ball e et al., 2019;Powell and Coughlan, 2020;Saabye et al., 2022). As a learning capability, lean is about (action) learning to understand and improve processes and work through ongoing experimentation, reflection, teaching, and empowering workers and managers to innovate for the benefit of customers (Cusumano et al., 2021;Saabye et al., 2022). An important contribution to this literature stream is Furlan et al. (2019), as their research highlights the relevance of articulating knowledge and also codifying systematic problem-solving abilities on the individual level. ...
Purpose
The purpose of this study is to empirically test how problem-solving lean practices, along with leaders as learning facilitators in an action learning approach, can be transferred from a production context to a knowledge work context for the purpose of becoming a learning organization while enhancing performance. This is important to study because many organizations struggle to enhance efficiency in the short term while still trying to be long-term learning oriented (i.e. learning organization development).
Design/methodology/approach
The authors draw on theory on learning interventions to show how lean practices for problem-solving can foster learning and help an organization to become adaptive. This study’s subject is a non-production department of 100 employees at the LEGO corporation. The authors applied survey results from a natural experiment lasting 18 months between a pre-measurement survey and a post-measurement survey. The results were compared to a control department of 50 employees who were not exposed to the lean practices intervention. The authors’ focus was on the individual level as individuals have different perceptions of lean practices, performance, and learning.
Findings
Using repeated-measures tests, difference-in-difference regressions analyses, and structural equation models, the authors find that a package of contemporary lean practices for problem-solving, along with leaders who function as learning facilitators, significantly improved learning organization dimensions while also enhancing efficiency and quality and that learning organizations positively mediate the relationship between the lean intervention and quality-related performance, while efficiency is directly affected by the lean interventions. Data from LEGO's key performance indicators (KPIs), benefit trackers, on-site observations and more than 40 interviews with managers provided results that were consistent with the survey data. A detailed description of the lean practices implemented is provided to inspire future implementations in non-operations environments and to assist educators.
Research limitations/implications
The authors contribute to the learning literature by showing that a learning-to-learn approach to lean management can serve as an active and deliberate intervention in helping an organization becoming a learning organization as perceived by the individual organizational members. The authors also add to the lean literature by showing how a learning approach to lean, as used by LEGO, can positively affect short-term efficiency and quality and create a foundation for a longer-term competitive advantage (i.e. a learning organization) in a non-production context. By contrast, most of the lean literature streams treat efficiency separately from a learning organization and mainly examine lean in a production context.
Originality/value
The extant literature shows three research streams on lean, learning, and performance. The authors built on these streams by trying to emphasize both learning and efficiency. Prior research has not empirically tested whether and how the application of problem-solving lean practices combined with leaders as learning facilitators helps to create a comprehensive learning organization while enhancing performance in a non-production context.
... Resource efficiency signals a stronger focus on operational learning. In efforts to improve operational income, firms must focus on system-level considerations to leverage operational feedback loops across manufacturing resources, inventory management, and supply chain relationships (Cusumano et al., 2021;Hettiarachchi et al., 2022;Liyanage and Kumar, 2003;Sjödin et al., 2021). Firms of comparable size in an industry are associated with a higher level of competition, and they may leverage efficiencies reflected in the TFP in operational and supply chain resources by "conceiv[ing] and implement [ing] strategies that improve its efficiency and effectiveness" (Barney, 1991, page 101). ...
We use a quasi-natural experiment based on the 2005 Domestic Production Activities Deduction (DPAD) to test whether the benefits of tax incentives for domestic production are conditional on firm-level productivity. In a sample of 7,141 firms (48,921 firm-years from 1996 to 2012), we find no direct effect on operational performance, ROA, in the following year. However, using three total factor productivity functions and controlling for ROA in the current period, with increasing DPAD treatment and intensity, higher production efficiency was positively associated with the following year's ROA. The effect sizes are meaningful for the moderation effects. The findings are robust to a sub-sample of firms with only US-based operations, placebo estimates, effects of state-level depreciation rates and allowances, effects of DPAD treatment and intensity among industries of the supply chain members, and alternative control variables and sub-samples. The effects are present for ROA at t+1 but not at t+3 or t+5. The findings inform policy makers and managers on the plausible benefits of DPAD for firms with higher total factor productivity.
... Lean has been accepted worldwide and has admired position throughout the world. Effects of lean implementation show that it has enormous impacts [6]. As lean manufacturing is using fewer facilities, less manpower, time and effort, thus it is considered as modern method that manufacturers should adopt. ...
The major purpose of this study was to examine the current status of lean manufacturing in small, medium and large scale manufacturing companies situated in Karachi, Pakistan.The status of lean awareness, implementation, barriers and benefits in manufacturing companies were investigated through the questionnaire survey. The questionnaire was sent to 320 manufacturing companies and a response rate of 40.6% was received. SPSS 22.0 software was used to determine the average mean score for each factor and certain statistical analyses were performed to evaluate the results. It was observed that large organizations and SMEs both are fairly aware of the basic lean concepts but there is a sufficient difference in understanding of lean tools and techniques. Large organizations have a greater understanding and implementation of lean tools and techniques than SMEs. Some tools like 5S, Poka-yoke and TPM were found to have a similar status of implementation in various manufacturing companies irrespective of their size.The results of this study are applicable in Pakistani context, but could vary for other regions of the world, considering the awareness and challenges manufacturing enterprises are facing. To date there has been no research carried out in the context of large, small and medium manufacturing enterprises together in Pakistan, specifically in the Karachi region which investigate the status of lean awareness, implementation, benefits and barriers.Therefore, this study would serve as a foundation for conducting further in-depth studies on lean manufacturing in Pakistani manufacturing companies.
... In contrast to corporate leaders like General Motors, whose services and goods are delivered via an upgraded supply chain and technology, digital company leaders must develop networks to express their vision. Therefore, they should have the drive, intelligence, and capacity to inspire their people to generate new ideas and methods of operation (Cusumano et al., 2021;Kim, 2018). Important to note is that implementing the plan is a team effort that should involve personnel at all levels of the organization. ...
As a foundation for long-term competitive advantage and significant economic growth, businesses rely greatly on innovation in the present day. Innovation influences the growth and survival of businesses in competitive markets. A comprehensive review was conducted on more than 40 out of 213 publications in innovation, competitiveness, and technology that were chosen based on their topical relevance and publication date ('most recent'). This article tries to determine how organizations can pursue better strategies and ways to make better judgments to compete with their rivals and whether innovation is essential for a company's competitive advantage when technological advancements are growing faster than ever before. According to the findings, innovation is a crucial component of competitiveness. Nonetheless, it should be accompanied by a well-defined and stated plan that aligns with the current business model and the varying technical skills of all the company's employees. If enterprises fail to achieve this requirement, there is a low likelihood that they will survive in a market. According to the collected results, organizations should consider these findings when formulating their policies, as they will affect their strategic position in the market in which they operate and their competitive advantage over other competitors.
... Although the focus on efficient waste-free flows remains at the center of Lean systems [36], to ensure the long-term sustainability of the results of an organization, it must be regarded as a company-wide management system [29,41,50,53]. Many companies fail to sustain and deploy their Lean programs because they misuse the application of the tools and practices with the system itself and its principles [54,55]. Liker [56] identified 14 principles, clustered under four groups, and two pillars of TPS. ...
Ensuring on-shelf availability is essential for retailers to maintain high service levels for both in-store and E-Commerce consumers. The performance of this indicator largely depends on reorder planning decisions, as well as on the effectiveness of the replenishment process. This paper presents a case study that involved two Lean initiatives, which together have contributed to a significantly reduction in the number of out-of-stock events incurred by a retail store and an increase in the order fulfilment rate accomplished by the online commerce service. In the first initiative, a value stream management (VSM) methodology was adopted to redesign the existing replenishment process in the most relevant fresh food market: fruits and vegetables. The second initiative involved the implementation of a simple, but effective visual inventory management system in the warehouse of the E-Commerce division, where a wide set of fast-moving consumer goods (FMCG) is stored using kanban cards. This paper hence demonstrates, through practical application, that Lean tools can be employed to improve operational processes with positive impacts on both the physical store performance and on results regarding the online commerce business.
Purpose
Although benefits are promising, many companies face problems leveraging synergies between Lean and Digitalization at the program management level. This paper aims to identify activities to manage the boundaries of Lean and Digitalization programs.
Design/methodology/approach
The research design follows a cross-industry multiple-case study approach. A total of 14 interviews were conducted with Lean and Digitalization experts from 10 companies. Interview quotes were mapped on a pre-defined list of descriptive codes and iteratively merged and excluded.
Findings
We identified 12 activities by which companies manage the boundaries of their Lean and Digitalization programs. Three distinct boundary management approaches could be identified: collaborative, configurational, and competitive. A collaborative approach fosters governance, the belief in synergies, and the development of combined artifacts. A configurational approach creates combined responsibilities, assesses areas of collaboration, and fosters interaction across the organization. A competitive approach creates unclear responsibilities and exchange, perceives no added value in integration and follows separated implementation of Lean and Digitalization programs.
Originality/value
This study sheds light on the boundaries of Lean and Digitalization programs and identifies activities to manage them. We derive propositions for the Lean and Digitalization program management. Moreover, this study positions itself at the forefront of research investigating how integration of Lean and Digitalization actually occurs or does not occur.
Purpose
Studies emphasise the critical role of a suitable organisational culture (OC) in successfully implementing lean production (LP) and argue that failure to consider OC can hinder organisations from fully benefiting and sustaining the success of LP. It is also observed that consensus regarding the suitable OC required for implementing LP remains elusive, with existing research predominantly theoretical and in developed economies. Using a systematic approach, this study aims to evaluate organisational readiness for LP implementation from the OC point of view by identifying the suitable OC for LP implementation, examining the existing OC to determine the most dominant (primary OC) and evaluating the suitability of the current OC for LP implementation. The paper uses empirical data collected from Pakistan’s textile sector as a case study.
Design/methodology/approach
The study used the competing values framework of OC and a quantitative approach. The data was collected by surveying 162 textile professionals, including first-level supervisors, middle managers and top management. Data analysis included quantitative techniques such as testing of hypotheses and multiple regression analysis techniques. SPSS, Minitab and SmartPLS 4.0 were used for data analysis.
Findings
The study revealed that characteristics of developmental and rational culture profiles are the most suitable for implementing LP in Pakistan’s textile industry. However, the group and hierarchy culture profiles do not significantly impact the implementation of LP. Moreover, the group culture profile (GCP) is the most dominant (primary OC) within the selected sector and the hierarchy culture profile is the least dominant. As a result, the current prevailing OC profile i.e. GCP is unsuitable for lean deployment.
Research limitations/implications
Although this study provides valuable insights, it is important to acknowledge its limitations. Data could not be collected from the employees with low education. Its applicability to other countries or industries may be limited due to its specific context. However, the approach used to assess organisational readiness regarding OC is both innovative and practical. Additionally, this research fills a gap in the literature by including a case study from a developing economy. Despite these contributions, future research could further validate and refine the proposed framework through comparative studies across diverse contexts.
Practical implications
The study’s findings emphasise the significance of OC in driving lean transformation and offer valuable recommendations and approaches for management, consultants and academicians to enhance lean deployment. By realising the significance of OC, stakeholders can effectively tailor strategies and interventions to align OC with lean principles.
Originality/value
This research is novel in terms of the structured approach and the selected case for evaluating the preparedness of organisations concerning OC for implementing LP. This approach can be used for other sectors and contexts.
The operations management community has recognized operational excellence as a contemporary arena comprising a full spectrum of research paradigms. However, there is a dearth of theoretical development aimed at understanding and unpacking operational excellence and its strategic implications for competitiveness. Much of the existing research focuses on siloed operational improvement practices rather than on inherent capabilities. In this paper, we conceptualize operational excellence from a capabilities perspective. We derive our findings from within- and cross-case analyses based on data gathered from four global banks with varying competitive positions. We posit the microfoundations of operational excellence in services by demonstrating how the cumulative aggregation of constituent capabilities leads to higher competitiveness in firms. We enhance the external validity of the emergent theory by showing its applicability in another service setting (healthcare). Our study demonstrates the importance of shifting managerial thinking from individual operational improvement practices to long-term capability building through the microfoundations of operational excellence.
Purpose
The purpose of this paper is to examine the digitalization of operational processes and activities in lean manufacturing firms and explore the associated learning implications through the lens of cumulative capability theory.
Design/methodology/approach
Adopting a multiple-case design, we examine four cases of digitalization initiatives within lean manufacturing firms. We collected data through semi-structured interviews and direct observations during site visits.
Findings
The study uncovers the development of learning capabilities as a result of integrating lean and digitalization. We find that digitalization in lean manufacturing firms contributes to the development of both routinized and evolutionary learning capabilities in a cumulative fashion.
Originality/value
The study adds nuance to the limited theoretical understanding of the integration of lean and digitalization by showing how it cumulatively develops the learning capabilities of lean manufacturing firms. As such, the study supports the robustness of cumulative capability theory. We further contribute to research by offering empirical support for the cumulative nature of learning.
Purpose
Organizations are faced with increasing pressure to engage in sustainable development. There is an ongoing discussion on how to incorporate green thinking into lean management systems. This study aims to investigate configurations of lean and green supply chain management (GSCM) practices associated with high environmental performance.
Design/methodology/approach
The study uses survey data from a sample of Portuguese manufacturing firms and apply fuzzy-set qualitative comparative analysis to examine the data. This configurational technique allows to capture the synergetic effect of lean and GSCM practices and identify distinct combinations leading to the outcome of interest.
Findings
Seven configurations of lean and green practices are associated with high environmental performance. The implementation of lean practices is required in all configurations. Analysis of alternative combinations reveals trade-offs between lean initiatives and environmental goals. Four configurations require low level of implementation of pull production. In one configuration, high environmental performance is achieved with low implementation of statistical process control and without lean employee involvement.
Research limitations/implications
This study expands the literature on lean management by identifying different strategies to integrate lean and GSCM practices to achieve high environmental performance.
Practical implications
The findings suggest different strategies to achieve high environmental performance. Managers need to selectively implement lean and green supply chain practices to achieve the desired combinatorial effect, which may require not to implement specific lean practices.
Originality/value
The study demonstrates the synergetic effects of lean and green practices on environmental performance using a configurational perspective. In addition, it identifies combinations that require a low level of implementation of specific lean practices.
Purpose
The paper tests if and to what extent lean management system adoption generates abnormal profitability, and how it accrues over time. Configurational approaches to lean management systems and “S-curve” effects in lean implementation are used to ground the paper's hypotheses and interpret its findings.
Design/methodology/approach
Using the emerging view of lean as enterprise-wide management systems, this quasi-experimental study uses a difference-in-differences approach to estimate the abnormal profitability (ROIC) attributable to lean management system adoption. The paper leverages a unique data set of lean adopters nested in a panel data set (19 years) of 2,088 industrial firms matched by industry and firm size. It applies a variety of regression methods (two-way fixed effect panel estimator, propensity score matching, instrumental variable two-stage-least squares) to estimate the size of the abnormal profitability attributable to lean management systems, addressing endogeneity issues related to non-random sampling, omitted variable bias and reverse causation. It also analyzes the cross-firm variability of such abnormal profitability and how it accrues over time.
Findings
For the average non-adopter in the sample (44.3 million euro revenues), lean adoption generates abnormal ROIC ranging from 1.4% to 3.9%. These results come into effect approximately three years after starting lean adoption and peak after eight years. While the average abnormal profitability attributable to lean adoption is sizable, it varies significantly across firms and over time. This significant variation is compatible with firms' diverse ability to understand the complex inner workings of lean systems, and to design and implement them so that they improve profitability.
Research limitations/implications
The conceptualization of lean as enterprise-wide management system can be further refined to more effectively categorize the components of lean systems and investigate the nature of their relationships. Lean system adoption measurement can be fine-tuned to better capture cross-firm and longitudinal heterogeneity. Future work can explore other dependent variables of interest to different stakeholders including shareholders' value, employment and environmental and social sustainability.
Practical implications
The financial benefits of adopting lean can be reaped to the extent to which managers embrace lean as a philosophy and implement it pervasively in the organization. A firm can use the study's estimates as a basis for making calculations about the returns of investment in lean adoption. The paper also shows that “getting the lean system right” makes a significant difference in terms of abnormal profitability, which is twice as large for the best lean adopters..
Social implications
Compared with the promises of many lean proponents and supporters, the paper provides a more realistic view of what to expect from lean adoption in terms of profitability. Adopting lean as a comprehensive, enterprise-wide management system is not a universal panacea, but a complex endeavor, characterized by multiple complex decisions that require considerable capabilities, coordinated efforts and consistency of action.
Originality/value
Differently from extant research, this study does not study the correlation between the adoption of lean operation practices and financial performance but focuses on the abnormal profitability generated by the adoption of lean as a pervasive, enterprise-wide management system. Its research design allows to identify the differential profitability attributable to lean adoption and documents that it accrues non-linearly.
This study examines the associations between lean manufacturing (LM), sustainability practices, and corporate performance in the form of the triple bottom line (TBL). In particular, we examine how LM is associated with environmental practices (EPs) and social practices (SPs) for TBL performance. While the positive association between LM and EPs is widely discussed in literature, it remains unclear whether this association persists when firms aim to implement SPs together with EPs to improve TBL performance further, particularly from the Asian perspective. Using two conflicting views of corporate sustainability as a theoretical lens, we seek to address these gaps by developing a set of hypotheses about the direct and interactive associations among them. The data were collected via a survey of 177 manufacturing firms in India, one being regarded as a next global manufacturing hub. Based on the data, we conducted ordinary least squares regression analysis. The results suggest that LM is positively associated with EPs, SPs, and TBL performance. Nevertheless, when LM interacts with EPs, SPs or both, we find that it is detrimental for TBL performance. These results are further validated by additional analyses using Johnson–Neyman and bootstrapping techniques. This article contributes to the sustainable operations management and lean manufacturing literature by untangling complex and paradoxical association between LM, sustainability practices, and TBL performance. Also, our article initiates a crucial discussion on ways of managing paradoxical tensions between LM and sustainability practices.
Purpose
This research proposes and illustrates a conditional view of lean supply chain management (LSCM) based upon the contextual contingent alignment between lean performance objectives (i.e. a contextual factor) and supply chain management challenges (i.e. a contingent condition) in the selection of lean approaches (i.e. a contingent event).
Design/methodology/approach
Drawing on the notions of contingency-based practices and strategic fit, the authors’ LSCM reconceptualization jointly considers contextual and contingency factors in specifying what lean approaches to adopt. The authors illustrate the practical relevance of LSCM reconceptualization for the Canadian agri-food industry using the Delphi method.
Findings
The authors highlight that LSCM is founded upon alignment associations between specific lean performance objectives and supply chain challenges as well as their influence on the selection of suitable lean approaches. The empirical illustration shows that those alignment associations do not occur at random, which supports the conditional view of LSCM.
Research limitations/implications
The contextual contingent view of LSCM can inform future scholarly inquiry and can reframe practically relevant middle-range theorization on LSCM.
Practical implications
The Delphi method-derived descriptive model of LSCM provides guidance to managers in the Canadian agri-food sector in identifying suitable lean approaches to adopt given the specific performance objective(s) pursued and supply chain management challenge(s) encountered.
Originality/value
The authors advance scholarly theorization and managerial understanding of LSCM by providing a conditional conceptualization that jointly considers relevant contextual and contingency factors that hitherto have not been examined. In ascribing what lean approach(es) to adopt to the alignment associations influence between lean performance objective(s) pursued and supply chain management challenge(s) encountered, the authors provide compelling conceptual and empirical support for the joint conditional view of LSCM.
The purpose of this study is to theorize and test the relationships among lean operations and lean supply chain practices, learning- and innovation-oriented lean cultures and dynamic capabilities (DCs) microfoundations. Further, this study aims to assess the association of DCs microfoundations with process innovation.
The researchers combine primary data collected from 153 manufacturing firms located in five continents using a survey designed for the purpose of this study with archival data downloaded from the Bureau Van Dijk Orbis database and test the hypothesized relationships using structural equation modelling.
Results support the contribution of lean operations and lean supply chain practices to the development of DCs microfoundations, which further lead to greater process innovation. Additionally, while a learning-oriented lean culture positively moderates the relationships between both lean operations and lean supply chain practices and DCs microfoundations, an innovation-oriented lean culture only moderates the relationship between lean operations practices and DCs microfoundations.
This study identifies DCs microfoundations as the key mechanisms for firms implementing lean practices to achieve greater levels of process innovation and the important role played by lean cultures. This study provides direction for managers to put in place DCs through lean implementations, enabling their firms to be ready to respond to challenges and opportunities generated by environmental changes.
While previous research has confirmed the positive effects of lean practices on efficiency, the role of lean practices and cultures in developing capabilities for reacting to environmental dynamism has received little attention. This study offers an empirically supported framework that highlights the potential of lean to adapt processes in response to environmental dynamics, thereby extending the lean paradigm beyond the traditional focus on operational efficiency.
Green bonds are fixed-income financial instruments that resemble conventional bonds but differ from them in the purpose of issuance. Since their purpose is to finance socially responsible and environmentally sustainable projects, they are linked to ESG criteria and have only been present in the financial market for a relatively short time. Despite the increasing presence of green bonds in recent years, many countries have not yet recognized the importance of this form of financing because they have not issued green bonds. In the context of the research objective, this paper defines the purpose of issuing green bonds under adverse climatic conditions that pose systemic risk to financial systems. The paper stands out the importance of the regulatory framework needed for the further development of the green bond market in the world. With an overview of green bond representation by region in the world and a special focus on Europe, this paper offers conclusions and recommendations for future development.KeywordsESG criteriaCapital marketSystemic risk
Hopp & Spearman proposed a construct consisting of four lenses of lean in their attempt to guide research and implementation of lean. Authors claim that their proposition could introduce much needed systematicity into the field. In order to test if the proposed construct is useful for researching and practicing lean in non-repetitive manufacturing, authors propose a systematic literature review of 126 articles published in 72 peer-reviewed international journals. The analysis results show that lenses are addressed with different levels of attention, where Process and Flow lens dominate the literature. The construct covers some important topics for non-repetitive manufacturing, such as the context of waste, waste propagation, variability, buffering, and complexities, deeming it suitable as a foundation for considering lean in non-repetitive manufacturing. On the other hand, the construct has some fallacies which should be recognized, in general, and within the context of non-repetitive manufacturing, such as a strong focus on efficiency, disregard of some important lean topics such as responsiveness, flexibility, strategic aspects of lean, management commitment, people development, and change management.KeywordsLean manufacturingNon-repetitive manufacturingLenses of leanLiterature review
Purpose
Frontline teams are at the centre of lean transformations, but the teams also transform as they implement lean. This study examines these changes and seeks to understand how lean relates to team psychological safety and learning.
Design/methodology/approach
This research setting is the Romanian division of a leading European energy company. The authors collected team-level audit and survey data, which the authors used to test the effect of lean implementation on team psychological safety and learning. The authors’ team-level data are complemented with qualitative interviews conducted with team members and headquarters leaders.
Findings
The results of the regression analyses show that leanness is positively associated with team psychological safety, which is in turn positively associated with learning. Thus, this research provides evidence that leanness – mediated by team psychological safety – increases team learning.
Practical implications
Lean changes team dynamics and learning positively by ensuring and promoting an emotionally sound work environment with clear team structures, an appropriate level of autonomy, and strong leadership.
Originality/value
This paper contributes evidence of important psychological mechanisms that characterise team-level lean implementation. Particularly, the authors highlight how team psychological safety mediates the relationship between leanness and team learning.
This study presents an optimisation model for scheduling homebound vaccination in a more efficient way to address the existing workforce management challenge. We consider a home healthcare routeing challenge for people to be vaccinated at home based on limited resources. There are different types of patients that are categorised based on the services they require and should be served by appropriate workforce teams or a single medical staff, where teams are transported by rental vehicles. In this context, our goal is to minimise the total cost of transportation while considering patient requirements and workforce qualifications, as well as resource constraints and the time limit within which the vaccine must be administered. To pursue this goal, a mathematical formulation, based on the vehicle routeing dynamics is proposed, along with an algorithm to address the challenge. A case study with a Physician who administers vaccinations at home in southeastern Italy is analysed. Driving and working times are subject to uncertainty and are defined by empirical data. Our approach allows the physician to identify the most promising solutions and thus the best one in terms of reducing work time and risk. The resulting schedule maximises the vaccine delivery rate.
The digitalization of intra‐ and inter‐organizational processes offers significant opportunity for research in the field of operations and supply chain management (OSCM). This essay summarizes the contributions of the special issue articles, highlighting their focus on additive manufacturing and the encapsulation of design and production information in a digital artifact. We conceptualize the digital artifact as containing the digital genes of the associated physical object. Digital encapsulation thus involves the integration of product design information with additional information on how that design is to be translated into a physical object, delivered to the customer, and used. Building on insights from the special issue articles, we identify three pathways by which digital encapsulation affects OSCM practice, as well as theory elaboration and extension. First, digital encapsulation allows each unique digitally encapsulated artifact to be acted on independently by OSCM systems. Second, digital encapsulation enables the redistribution of activities across organizational and geographic landscapes. Third, digital encapsulation facilitates interactivity of the digital artifact with external environment inputs. We conclude with a number of directions for future research.
JOM has made Design Science central to its development strategy, creating a department to incubate papers using this methodology. An inaugural editorial published in 2016 called for papers with a generic design supported by a design proposition that provides pragmatic guidelines to bridge the gap between the case specific and the universal. In this article, I propose ways in which the scope of interventions can be expanded beyond the editorial's proposal to foster theoretical developments and better align with JOM's mission. I propose that, rather than focus on the design propositions, we explore the role that interventions (the ultimate manifestation of design science) can play in testing and developing theory (the ultimate goal of an academic endeavor). Taking as a point of departure the principles of action research and the explanatory framework of process theories, I propose two modes of research for leveraging interventions as a mechanism for testing existing theory and develop theories about organizational and system transformation. I illustrate the application of these two frameworks in the context of a previously published article.
High capital and labor costs, coupled with high rates of technological and competitive change, present challenges for manufacturers in developed countries, often spurring them to offshore production to low cost sources. However, the electronics industry provides an exception to this trend, where dynamic, high cost conditions have given rise to a new production system – seru – a cellular assembly approach. Seru evolved as an alternative to lean systems approaches, manifesting important differentiated system design choices that appear to offer promise for manufacturing in dynamic, high-cost markets. This paper reports the results of in-depth, longitudinal case studies of two electronics giants who have implemented seru. The case studies describe seru's fundamental extensions to, and departures from, lean production, agile production, and group technology-based cellular manufacturing. We explain how Sony and Canon have applied seru to improve productivity, quality, and flexibility in ways that have enabled them to remain competitive. In addition, our findings elaborate the theory of swift, even flow, with implications for future research of trade-offs related to production efficiency, responsiveness, and competitiveness in high-cost, technologically dynamic markets.
An expanded and much revised edition of previous editions.
This study tests the hypothesis that lean manufacturing improves the social performance of manufacturers in emerging markets. We analyze an intervention by Nike, Inc., to promote the adoption of lean manufacturing in its apparel supply chain across 11 developing countries. Using difference-in-differences estimates from a panel of more than 300 factories, we find that lean adoption was associated with a 15 percentage point reduction in noncompliance with labor standards that primarily reflect factory wage and work hour practices. However, we find a null effect on factory health and safety standards. This pattern is consistent with a causal mechanism that links lean to improved social performance through changes in labor relations, rather than improved management systems. These findings offer evidence that capability-building interventions may reduce social harm in global supply chains.
Data, as supplemental material, are available at http://dx.doi.org/10.1287/mnsc.2015.2369 .
This paper was accepted by Bruno Cassiman, business strategy.
This article seeks to encourage scholars to conduct research that is more relevant to the decisions faced by managers and policymakers, and addresses why research relevance matters, what relevance means in terms of a journal article, and how scholars can increase the relevance of their research. I define relevant research papers as those whose research questions address problems found (or potentially found) in practice and whose hypotheses connect independent variables within the control of practitioners to outcomes they care about using logic they view as feasible. I provide several suggestions for how scholars can enhance research relevance, including engaging practitioners in on-campus encounters, at managerial conferences, and at crossover workshops; conducting site visits and practitioner interviews; working as a practitioner; and developing a practitioner advisory team. I describe several ways that scholars can convey relevant research insights to practitioners, including presenting at practitioner conferences, writing for practitioners in traditional crossover journals and in shorter pieces like op-eds and blogs, and attracting the interest of those who write columns, blogs, and articles about research for practitioners. I conclude by describing a few ways that academic institutions can encourage more relevant research, focusing on journals, professional societies, and doctoral programs. This article is protected by copyright. All rights reserved.
There is currently no theory that explains the pattern of change in a plant's performance as it implements a lean program. Does it improve at a declining, increasing, or constant rate, or in some other pattern? We use empirical data from the implementation of the Volvo Group's lean program worldwide to develop a grounded theory to explain this pattern. We find that the pattern roughly follows an S-curve shape: as a plant progresses in its implementation of lean production, its operational performance improves slowly first, then grows rapidly, and finally tapers off. The initial stage can be characterized by “exploration”, during which the plant is essentially discovering and experimenting with lean principles, and the later stages by “exploitation”, during which the plant is realizing their benefits. We derive the grounded theory from quantitative internal company data and find additional qualitative support for it from our visits to 45 Volvo plants on 5 continents and 210 interviews with employees in these plants and Volvo headquarters. The S-shape pattern has important implications. Practitioners must assess a plant's maturity in lean implementation and adjust their targets, action plans, and expectations accordingly. Scholars must take the position of the plant on the S-curve into consideration when they analyze the impact of lean programs.
This explorative study investigates the phenomenon of the company-specific production system (XPS). It has been a strong and recent trend across many manufacturing industries to develop and deploy such a corporate improvement programme. Five propositions regarding the uniqueness of XPSs are derived from universalistic versus contingent perspectives on improvement programmes. The main XPS principles of 30 renowned multinationals are analysed for similarities and differences. In conclusion, XPSs largely represent variants of the same in content. They represent an own-best-way approach to the one-best-way paradigm. Even though a tight relationship to the Toyota Production System (TPS) and lean production is established, the findings raise a red flag that XPSs might suffer under a too rigid, path-dependent development process from what has become an overly technical understanding of the TPS. This study also questions whether modern manufacturers have sufficiently integrated other essential elements of modern operations such as the use of ERP, automation and real-time response technologies in their XPSs. These findings have direct implications for practitioners and provide interesting opportunities for further research.
A central tenet in the theory of lean production is that the implementation of lean practices will reduce waste and thereby decrease costs. However, not all lean implementations have produced such results. Apparently, this effect is moderated by several factors, potentially even to the point of reversal. It is important to increase our understanding of how this might occur. In this paper, we explore how novelty, complexity, instability, and buffering affect the relationship between lean implementation and production costs. An interest in these factors drew us to study the case of Lockheed Martin's production system for the F-22, an extremely complex and innovative product. To build theory, we synthesize our empirical data from the case with other existing theory, such as theories of learning and complexity. Through this analysis, we develop a revised framework that reconceptualizes the effect of lean on production costs and use it to develop 11 propositions to direct further research. Included among these are propositions about how the timing, scale, and extent of lean implementation can regulate the benefits of lean. Furthermore, when the objective of lean is construed as the provision of value, we propose that this value is an emergent property of a complex process, different from the mere sum of the values provided by its constituent tasks. Therefore, the elimination of tasks will not guarantee cost reduction, and lean may provide even greater value by incorporating some aspects of agile manufacturing. Overall, we develop a fuller range of the effects of lean practices on production costs and illuminate how operations managers might control key variables to draw greater benefits from lean implementation.
This article provides a theoretical framework for understanding why high-involvement work practices are adopted more rapidly by some organizations than others. Drawing on evolutionary economics and innovation literature, we identify three key drivers: (1) the level of complementary human resource practices and technology; (2) performance achieved with previous practices; and (3) factors that alter the cost of introducing new practices. Empirical analyses of a unique longitudinal data set of forty-three automobile assembly plants worldwide provide support for hypotheses about complementary HR practices (but not complementary technologies) and partial support for hypotheses about past performance and factors that alter adoption costs.
This paper uses case studies of shop-floor problem-solving at three automotive assembly plants to examine organizational influences on process quality improvement. Three complex quality problems—water leaks, paint defects, and electrical defects—were chosen because they are universally found in assembly plants, have multiple sources, and can only be resolved with high levels of interaction and coordination among individuals in multiple departments or functional groups. The case studies focus particularly on the early stages of the problem-solving process—problem definition, problem analysis, and the generation of solutions—emphasizing how each plant tries to identify the “root cause” of defects.
The paper then explores consistencies and contrasts within and across the three cases to analyze the factors underlying effective shop-floor problem-solving. Central to this analysis is the idea that successful process quality improvement depends heavily on how the organization influences the cognitive processes of its members. Problem-solving processes benefit from rich data that capture multiple perspectives on a problem, problem categories that are “fuzzy”, and organizational structures that facilitate the development of a common language for discussing problems. Also, when problems are framed as opportunities for learning, the combination of positive attributions that boost motivation and the suppression of threat effects can improve the effectiveness of improvement activities. Finally, when process standardization is understood as marking the beginning (and not the end) of further improvement efforts, the normal inertial tendencies of organizations with respect to adaptive learning can be partially overcome.
Our research addresses the confusion and inconsistency associated with “lean production.” We attempt to clarify the semantic confusion surrounding lean production by conducting an extensive literature review using a historical evolutionary perspective in tracing its main components. We identify a key set of measurement items by charting the linkages between measurement instruments that have been used to measure its various components from the past literature, and using a rigorous, two-stage empirical method and data from a large set of manufacturing firms, we narrow the list of items selected to represent lean production to 48 items, empirically identifying 10 underlying components. In doing so, we map the operational space corresponding to conceptual space surrounding lean production. Configuration theory provides the theoretical underpinnings and helps to explain the synergistic relationships among its underlying components.
Lean production not only successfully challenged the accepted mass production practices in the automotive industry, significantly shifting the trade-off between productivity and quality, but it also led to a rethinking of a wide range of manufacturing and service operations beyond the high-volume repetitive manufacturing environment. The book ‘The machine that changed the World’ that introduced the term ‘lean production’ in 1990 has become one of the most widely cited references in operations management over the last decade. Despite the fact that the just-in-time (JIT) manufacturing concept had been known for almost a decade prior, the book played a key role in disseminating the concept outside of Japan. While the technical aspects of lean production have been widely discussed, this paper sets out to investigate the evolution of the research at the MIT International Motor Vehicle Program (IMVP) that led to the conception of the term ‘lean production’. Furthermore, the paper investigates why – despite the pre-existing knowledge of JIT – the program was so influential in promoting the lean production concept. Based on iterating series of interviews with the key authors, contributors and researchers of the time, this paper presents an historical account of the research that led to the formulation and dissemination of one of the most influential manufacturing paradigms of recent times.
What is the true source of a firm's long-term competitive advantage in manufacturing? Through original field studies, historical research, and statistical analyses, this book shows how Toyota Motor Corporation, one of the world's largest automobile companies, built distinctive capabilities in production, product development, and supplier management. Fujimoto asserts that it is Toyota's evolutionary learning capability that gives the company its advantage and demonstrates how this learning is put to use in daily work.
Digital technologies, such as advanced analytics, autonomous vehicles or the Internet of Things, are often touted as means to substantially improve operations. While this potential has been frequently highlighted and evidenced from single case applications, we still lack a deeper theoretical understanding of the underlying mechanisms how digital technologies can support process improvement in general, and lean practices more specifically. In this paper, we use a qualitative study based on focus group design to understand how manufacturing and supply chain management professionals perceive the potential of digital technologies in support of lean practices. We identify eight digital waste reduction mechanisms that illustrate how digital technologies can support lean practices. These include a cluster of mechanisms that augment operational execution in terms of speed and precision of execution, as well as flexibility in space and time. Furthermore, we identify a second cluster of mechanisms that augment decision-making through visibility, feedback, engagement, and prevention. In terms of managerial implications, our findings provide firms with a structured approach how to identify those digital technologies that can most effectively support their respective process improvement activities.
The richness of organizational learning relies on the ability of humans to develop diverse patterns of action by actively engaging with their environments and applying substantive rationality. The substitution of human decision-making with machine learning has the potential to alter this richness of organizational learning. Though machine learning is significantly faster and seemingly unconstrained by human cognitive limitations and inflexibility, it is not true sentient learning and relies on formal statistical analysis for decision-making. We propose that the distinct differences between human learning and machine learning risk decreasing the within-organizational diversity in organizational routines and the extent of causal, contextual, and general knowledge associated with routines. We theorize that these changes may affect organizational learning by exacerbating the myopia of learning, and highlight some important contingencies that may mute or amplify the risk of such myopia.
There is a significant gap between the descriptions of Lean used by industry practitioners and the various bodies of academic research that have studied the theory and application of Lean. There is also a gap between applied research on Lean and basic research in the mathematical, physical and social sciences. As a result, Lean practice is based largely on trial‐and‐error experience while potentially valuable research results remain locked away unused in archival journals. This paper attempts to close these gaps by describing four “Lenses of Lean,” each of which aligns with a practical perspective and rests on a distinct body of conceptual research. Our hope is that this framework will provide a useful construct for Lean training and implementation and will also spur academic research that is relevant to advancing Lean practice.
Organizations operate under ongoing pressure to conduct product development (PD) in ways that reduce errors, improve product designs, and increase speed and efficiency. Often, managers are expected to respond to this pressure by implementing process improvement programs (PIPs) based on best practices elsewhere (e.g., in another part of their organization or in another industrial context). Successful PIP implementation depends on two criteria: (a) demonstrating (symbolic) success by meeting externally imposed deadlines and producing mandated artifacts and (b) sustaining the expected (substantive) changes in their employees' underlying beliefs and practices. Given the mixed success of PIPs in nonmanufacturing contexts, identifying factors that contribute to both symbolic and substantive implementation is important to both researchers and practitioners. We explore this challenge through an in‐depth field study at a PD company (DevCo) that implemented a PIP across its 11 PD projects. We examine DevCo's change message to implement the PIP, how DevCo's engineers experienced it, factors that impeded implementation, and factors that could improve substantive success. Along with this empirical evidence, we leverage organizational change concepts to facilitate effective PIP implementation in new contexts such as PD. We distill our findings into eight propositions that expand theory about effectively transferring PIPs across contexts.
Phenomenon-driven research (PDR) is problem-oriented research that focuses on capturing, documenting, and conceptualizing an observed phenomenon of interest in order to facilitate knowledge creation and advancement. As an ideas-led and interpretive way of researching, and with an emphasis on exploring issues and challenges that bother those experiencing observed problems, PDR is an engaging way to develop new contributions to organizational change debates. Generating knowledge this way thereby allows for a variety of research paths and outcomes that may lead to a series of associated debates and research opportunities. Yet although it is widely acknowledged, this pathway to knowledge has not been properly described and documented, thus potentially leading to poor and fragmented understanding of what PDR is and how to pursue it. In order to understand better PDR, in this paper ? and through this special issue ? we showcase this orientation. Describing the core features of a PDR paper, demonstrated through examples, we show what published PDR looks like and describe how organizational change researchers can better accommodate this approach. With this focus on engagement with phenomena we aim to inspire researchers to return to or take up more PDR, specifically challenging organizational change scholars to develop and extend knowledge with this orientation.
Recently, at an Academy of Management meeting workshop, reflecting on the field, Warner Burke asked “where are the new models and theories of change?” This provocative question has been pondered within organization studies and specifically on organization theory for several decades. And yet it persists. Borrowing this debate, in this essay we reverse the question to consider whether theory might be the problem in change research. Specifically, we argue that theory has become a (figurative) straightjacket. Far from advancing debate as significantly as has regularly been assumed, an obsession with theory and a narrow understanding of what constitutes a contribution could be hampering the development of knowledge about change. The criteria for publishing organizational research are increasingly focused on adding to specific and already existing theory. As a challenge to the restrictions that have become convention, we decode what this theoretical straightjacket looks like, and query why change researchers have willingly gone down this path, shutting down other promising opportunities. In response, we present phenomenon-driven research as a possible solution. It is time for change researchers to reclaim our heritage and take off the theoretical straightjacket.
To put the concept of lean software development in context, it's useful to point out similarities and differences with agile software development. Agile development methods have generally expected system architecture and interaction design to occur outside the development team, or to occur in very small increments within the team. Because of this, agile practices often prove to be insufficient in addressing issues of solution design, user interaction design, and high-level system architecture. Increasingly, agile development practices are being thought of as good ways to organize software development, but insufficient ways to address design. Because design is fundamentally iterative and development is fundamentally iterative, the two disciplines suffer if they are not carefully integrated with each other. Because lean development lays out a set of principles that demand a whole-product, complete life-cycle, cross-functional approach, it's the more likely candidate to guide the combination of design, development, deployment, and validation into a single feedback loop focused on the discovery and delivery of value.
Recently, the editors of Long Range Planning called for more phenomenon-based research. Such research focuses on identifying and reporting on new or recent phenomena of interest and relevance to management and organisation science. In this article, we explore the nature of phenomenon-based research and develop a research strategy that provides guidelines for researchers seeking to make this type of scientific inquiry rigorous and relevant. Phenomenon-based research establishes and describes the empirical facts and constructs that enable scientific inquiry to proceed. An account of the study of open source software development illustrates the research strategy. Rigorous phenomenon-based research tackles problems that are relevant to management practice and fall outside the scope of available theories. Phenomenon-based research also bridges epistemological and disciplinary divides because it unites diverse scholars around their shared interest in the phenomenon and their joint engagement in the research activities: identification, exploration, design, theorising and synthesis.
This essay and the following commentaries address the use of theory in operations management. While much is said about theory in the typical journal article, theory, as science defines it, is not at the center of much of our research. The discipline had fallen into some bad habits. This essay and its commentaries appeal for more attention to what theory can mean for our understanding of operations management.
“To have mastered ‘theory’ and ‘method’ is to have become a conscious thinker , a man at work and aware of the assumptions and implications of whatever he is about. To be mastered by ‘method’ or ‘theory’ is simply to be kept from working.” The sentence applies nicely to the present plight of political science. The profession as a whole oscillates between two unsound extremes. At the one end a large majority of political scientists qualify as pure and simple unconscious thinkers. At the other end a sophisticated minority qualify as overconscious thinkers, in the sense that their standards of method and theory are drawn from the physical, “paradigmatic” sciences.
The wide gap between the unconscious and the overconscious thinker is concealed by the growing sophistication of statistical and research techniques. Most of the literature introduced by the title “Methods” (in the social, behavioral or political sciences) actually deals with survey techniques and social statistics, and has little if anything to share with the crucial concern of “methodology,” which is a concern with the logical structure and procedure of scientific enquiry. In a very crucial sense there is no methodology without logos , without thinking about thinking. And if a firm distinction is drawn—as it should be—between methodology and technique, the latter is no substitute for the former. One may be a wonderful researcher and manipulator of data, and yet remain an unconscious thinker.
The author describes the various types of Kanban information systems, featuring a controlled system of part withdrawals and production orders, their usages and rules, and shows how the systems are connected with many supporting routines in production lines.
Six Sigma has been gaining momentum in industry; however, academics have conducted little research on this emerging phenomenon. Understanding Six Sigma first requires providing a conceptual definition and identifying an underlying theory. In this paper we use the grounded theory approach and the scant literature available to propose an initial definition and theory of Six Sigma. Our research argues that although the tools and techniques in Six Sigma are strikingly similar to prior approaches to quality management, it provides an organizational structure not previously seen. This emergent structure for quality management helps organizations more rigorously control process improvement activities, while at the same time creating a context that enables problem exploration between disparate organizational members. Although Six Sigma provides benefits over prior approaches to quality management, it also creates new challenges for researchers and practitioners.
The Toyota Production System and Kanban System introduced in this paper was developed by the Vice-President of Toyota Motor Company, Mr. Taiiohi Ohno, and it was under his guidance that these unique production systems have become deeply rooted in Toyota Motor Company in the past 20 years. There are two major distinctive features in these systems. One of these is the ‘just-in-time production ’, a specially important factor in an assembly industry such as automotive manufacturing. In this type of production, “ only the necessary products, at the necessary time, in necessary quantity ” are manufactured, and in addition, the stock on hand is held down to a minimum. Second, the System is the ‘respect-for-human’ system where the workers are allowed to display in full their capabilities through active participation in running and improving their own workshops.
Management literature has suggested that contextual factors may present strong inertial forces within organizations that inhibit implementations that appear technically rational [R.R. Nelson, S.G. Winter, An Evolutionary Theory of Economic Change, Harvard University Press, Cambridge, MA, 1982]. This paper examines the effects of three contextual factors, plant size, plant age and unionization status, on the likelihood of implementing 22 manufacturing practices that are key facets of lean production systems. Further, we postulate four “bundles” of inter-related and internally consistent practices; these are just-in-time (JIT), total quality management (TQM), total preventive maintenance (TPM), and human resource management (HRM). We empirically validate our bundles and investigate their effects on operational performance. The study sample uses data from IndustryWeek’s Census of Manufacturers. The evidence provides strong support for the influence of plant size on lean implementation, whereas the influence of unionization and plant age is less pervasive than conventional wisdom suggests. The results also indicate that lean bundles contribute substantially to the operating performance of plants, and explain about 23% of the variation in operational performance after accounting for the effects of industry and contextual factors.
Research on Total Quality Management (TQM), Just-in-Time (JIT) and Total Productive Maintenance (TPM) generally investigates the implementation and impact of these manufacturing programs in isolation. However, many researchers believe and argue conceptually the value of understanding the joint implementation and effect of manufacturing programs. This study investigates the practices of the three programs simultaneously. We find that there is evidence supporting the compatibility of the practices in these programs and that manufacturing performance is associated with the level of implementation of both socially- and technically-oriented practices of the three programs.