Adopting lean principle as sustainable manufacturing strategy in an electronic-enabled supply chain environment

Lean principle preaches simplicity and waste reduction. The bullwhip effect represents a typical manufacturing waste creation scenario in supply chains, i.e., inventory inefficiency. Synchronising production processes with suppliers with lean principles in electronic-enabled manufacturing supply chains (EMSCs) may cope with the scenario. This paper empirically examines the influence of e-supply strategy on lean manufacturing adoption in EMSC aiming to create lean suppliers through waste reduction. The influential factors including information sharing and use of e-business system in supplier integration together with policy-based supplier selection were tested with multiple regression analyses based on survey data. It was found that continued adoption of lean manufacturing is positively influenced by all these factors. Moreover, the results revealed that manufacturers may commit ongoing use of lean principle only if it has been used as regular practice. Lastly, practical implications and future research were discussed to alleviate practical concerns in the execution of e-supply strategy and explore the potential of implementing reverse logistics on this novel platform.

PurposeThe purpose of this study is to formulate supplier integration strategy with the aim to eliminate Ohno's manufacturing wastes and empirically examines its influence on lean manufacturing adoption in electronic‐enabled manufacturing supply chains (EMSC).Design/methodology/approachThe proposed theoretical model is tested with the survey data obtained from 558 manufacturers in 17 countries which is stratified into two groups of small/large firms for measuring the significance of measurements.FindingsThe influential factors comprising the supplier integration strategy, i.e. information sharing, e‐business systems and policy‐based supplier selection, have positive influence on the long‐term lean manufacturing adoption in small‐ and medium‐sized firms. Besides, the results reveal that manufacturers may commit ongoing use of lean manufacturing only if it has been using regularly.Research limitations/implicationsThe study is conducted from the stand point of a manufacturing firm. Hence, the constructs are not appropriate for distributors and retailers. Besides, the concepts measured in the study can only be generalized to small‐ and medium‐sized firms.Practical implicationsImplementing supply strategy in practice requires the collaboration of manufacturers and suppliers, and manufacturers are in better position to select the suppliers in favor to the implementation of lean manufacturing in EMSC. Also, small manufacturers tend to adopt lean manufacturing along with relevant supplier integration tactics due to having less complex organizational structure.Originality/valueThere is a scarcity of papers that study the impact of supplier integration on lean manufacturing through combining practitioner's lean implementation methodology and academia's decision theory. This paper is beneficial to manufacturers who intend to revise their e‐supply strategy in coping with sustainable imitative in recessionary time.

This paper presents an initial research that explores the awareness and adoption of Lean Manufacturing (LM), Lean Six Sigma (LSS), Quick Response Manufacturing (QRM) and Theory Of Constraints (TOC) in the Greek engineering sector. An exploratory and descriptive study was conducted and a web-based questionnaire survey designed and validated. The questionnaire was distributed to a random sample of 300 engineering companies in Greece. From the 300 questionnaires, 47 responses were obtained and the data analysed using descriptive statistics. In general terms, the results revealed that Greek engineering organisations are relatively unaware of the examined operations improvement approaches, and thus their implementation is very limited or non-existent at all. This research constitutes a document of high value and a reason for great concern for the Greek government, which can obtain an overview of the Greek organisations' operational performance in terms of the extent at which they employ improvement methodologies. In addition, this study offers academics, researchers and practitioners interested in operations improvement methods with some initial evidence of the adoption and development of LM, LSS, QRM and TOC in Greece.

In the competitive landscape of modern manufacturing, achieving optimal profit margins necessitates a balanced integration of cost management, strategic pricing, and production efficiency. Manufacturing firms operate in a dynamic environment where fluctuating raw material prices, labour costs, and technological advancements directly impact profitability. To remain sustainable and competitive, companies must adopt systematic approaches that enhance cost efficiency, optimize pricing models, and improve overall production processes. This research paper explores various methodologies and frameworks that manufacturers can employ to maximize profitability while maintaining operational effectiveness. Cost management techniques such as activity-based costing, target costing, and lean manufacturing principles are examined to highlight their role in reducing waste and improving efficiency. By integrating these methodologies, manufacturers can better allocate resources, streamline production, and achieve economies of scale. Moreover, leveraging automation, IoT-enabled predictive maintenance, and data analytics can further enhance cost control and operational agility. Pricing strategy plays a crucial role in profit margin optimization. While traditional cost-plus pricing ensures a predictable margin, dynamic pricing models and value-based pricing provide manufacturers with flexibility to adjust prices based on demand, competition, and customer perception. This paper delves into data-driven pricing mechanisms that enable businesses to maximize revenue while maintaining market competitiveness. Furthermore, penetration and skimming pricing strategies are discussed to illustrate their applicability across different market scenarios. Production efficiency is another key factor influencing profitability. The adoption of lean manufacturing, Six Sigma methodologies, and total quality management (TQM) has proven to enhance operational performance while minimizing defects and production downtime. This study provides an in-depth analysis of how firms can optimize supply chain logistics, enhance workforce productivity, and reduce bottlenecks in manufacturing processes. By implementing smart manufacturing techniques, companies can improve throughput, enhance product quality, and achieve just-in-time production goals. This study also examines real-world case studies and empirical data to illustrate successful applications of these strategies. For instance, the integration of AI-driven analytics in a leading automotive manufacturing company resulted in a 20% reduction in operational costs and a 15% improvement in productivity. Similarly, a consumer electronics firm implemented dynamic pricing algorithms to adapt to market fluctuations, leading to a 10% increase in revenue without additional marketing expenditure. Furthermore, emerging trends such as AI-driven analytics, smart manufacturing, and supply chain digitalization are examined to highlight their potential impact on future profit optimization. The role of Industry 4.0, blockchain technology in supply chain transparency, and automation in reducing human intervention are also discussed. These innovations are transforming the traditional manufacturing landscape and setting new benchmarks for efficiency and profitability.

Purpose This study aims to address the critical challenge of implementing lean manufacturing (LM) in emerging economies, where sustainability complexities on the production floor hinder production efficiency and the transition towards a circular economy (CE). Addressing a gap in existing research, the paper introduces a path analysis model to systematically identify, prioritize and overcome LM implementation barriers, aiming to enhance performance through strategic removal. Design/methodology/approach The authors used a mixed-method approach, combining empirical survey data with literature reviews to pinpoint key LM barriers. Using the grey-based Decision-Making Trial and Evaluation Laboratory (DEMATEL) along with the Network Knowledge (NK) method, they mapped causal relationships and barrier intensities. This formed the basis for developing a path simulation algorithm, integrating heuristic considerations for practical decision-making. Findings This analysis reveals that the primary barriers to LM adoption is the negative perception and inadequate understanding of lean tools and CE principles. The study provides a strategic framework for managers, offering new insights into barrier prioritization and overcoming strategies to facilitate successful LM adoption. Research limitations/implications This research provides a strategic pathway for overcoming LM implementation barriers, empowering managers in emerging economies to enhance sustainability and competitive advantage through LM and CE integration. It emphasizes the significance of structured barrier management in the manufacturing sector. Originality/value This research pioneers a systematic exploration of LM implementation barriers in the CE context, making a significant contribution to the literature. It identifies, evaluates barriers and proposes a practical model for overcoming them, enriching sustainable manufacturing practices in emerging markets.

The study aims to identify the factors affecting the adoption of lean manufacturing by textile enterprises in India using the latest World Bank’s Enterprises Survey (WBES) 2022 data of India. Three sets of variables namely enterprise characteristics, access to resources, which includes access to electricity, access to land and credit-line while in the last group, certification and competitive development are taken as explanatory variables of lean manufacturing adoption. The chi-square test is employed to investigate the significant association between firm profile and lean manufacturing adoption. Further, a logistic regression model has been applied to determine factors influencing lean manufacturing adoption. The estimates of logistic regression reveal that among firms’ characteristics only legal status, access to resources, credit from financial institutions and access to electricity and from the third set of explanatory variables, certification and upgraded machinery and equipment are identified as significant factors in the adoption of lean manufacturing by textile enterprises. The value of the study lies in analysing factors affecting the adoption of lean manufacturing in textile enterprises which is not explored in the case of developing countries like India using comprehensive World Enterprises Survey data.

Este artigo trata dos conceitos de Lean Manufacturing ou Manufatura Enxuta e Lean Accounting ou Contabilidade Enxuta. A realidade atual apresenta mercados altamente competitivos e a busca incessante de melhoria de desempenho por parte dos gestores, visando melhores margens de lucro e redução de desperdícios. Tais práticas resultam, consequentemente, na diminuição de custos e em melhor retorno para os negócios. A delimitação do estudo ocorreu mediante a escolha de duas empresas que ocupam posições de destaque no setor de artigos esportivos: Nike e Adidas. Uma análise comparativa entre tais empresas, visto que há a adoção da fabricação enxuta apenas na Nike. A observação comparativa mediante os demonstrativos contábeis de ambas as empresas evidenciou melhor eficiência para a empresa com cultura lean. Portanto, o presente artigo consegue evidenciar resultados positivos por meio da adoção do Lean Manufacturing concomitantemente ao Lean Accountig como opções e diretrizes para a redução de desperdícios e melhor desempenho operacional que decorrem em resultados monetários melhores as organizaçãoes que decidem pela adoção a fabricação enxuta, com a implementação de novas práticas ao negócio.

ABSTRACTWith growing competition among manufacturing industries in Tanzania, there is a need to adopt lean manufacturing (LM). The adoption of LM in Tanzania and other developing countries is low. This study identifies drivers for LM implementation in the country. Survey and purposive sampling were used to collect responses from 243 manufacturing industries in Tanzania. Partial least squares—structural equation modeling (PLS‐SEM) and relative importance index (RII) were used to determine and rank the drivers for LM. PLS‐SEM involved the development of a measurement and structural model for drivers of LM adoption using Smart PLS 4. Model fit indices on the effects of drivers on the adoption of LM, such as the normed fit index (NFI), were ≥ 0.7, demonstrating the model was good. External and policy drivers positively impact the adoption of LM in Tanzania. The drivers are to increase capacity to fulfill demands, establish standard operating procedures, balance workload on different workstations, reduce lead time, and improve process control. Identifying the drivers enhances competition among local industries, which, in turn, improves the sector's contribution to the country's gross domestic product. Furthermore, it assists policymakers in setting appropriate policies and strategies for promoting industrial growth in Tanzania.

PurposeThe purpose of this study is to investigate whether the adoption of Lean manufacturing (LM) contributes towards the sustainability performance of small and medium-sized enterprises (SMEs) in India.Design/methodology/approachThe study is based on a multi-case study approach conducted among five independent Indian manufacturing SMEs. The information from direct observation, structured questionnaire interviews with key persons and archival data are used to analyse and cross-check the relationship. An assessment tool, developed using the variables collected from the previous works, is used to measure the relationship.FindingsThe study provides a solid basis for the contribution and positive influence of LM towards the sustainability performance in SMEs. The manufacturing SMEs that have adopted Lean principles and practices are benefited more towards their economic, environmental and social sustainability performances, irrespective of their operational characteristics such as firm size and final product.Research limitations/implicationsThis is a limited study conducted in a particular state in India by selecting only five independent case companies with divergent operational characteristics such as size of the firms, product and manufacturing process.Originality/valueThe study contributes by authorising the contribution of LM towards sustainability performance of SMEs. The findings will inspire academic community and industrial practitioners to expend for the adoption of Lean principles looking forward the sustainable development of the SMEs.

PurposeThis study aims to analyze the determinants influencing Chinese manufacturing companies in implementing lean manufacturing (LM).Design/methodology/approachThe determinants to be explored in this study consist of technological, organizational and environmental (TOE) dimensions. A questionnaire survey was conducted on Chinese manufacturing companies, and 208 samples were analyzed.FindingsThe findings show that the relative advantage of LM and organizational support have significantly positive effects on Chinese manufacturing firms’ adoption of LM. The complexity of LM, quality of human resources, organizational readiness, customer pressure, international situation, governmental support and environmental uncertainty do not have significant effects.Originality/valueThis paper contributes to the literature by using the TOE model to explore the factors influencing LM adoption in the Chinese manufacturing industry.

Objetivos y decisiones estratégicas operacionales como apoyo al lean manufacturing

Management accounting and control practices in a lean manufacturing environment

In the literature arena, it is claimed that lean manufacturing has been implemented successfully in organizations. However, lean manufacturing has been finding little application in classical manufacturing organizations. A careful study of the literature would indicate that non-value adding activities have been occurring in classical manufacturing organizations and preventing the successful implementation of lean manufacturing. In order to overcome this deficient situation, the research reported in this paper was carried out. By carrying out this research, non-value adding activities were mapped with lean manufacturing strategies. In the beginning, 50 non-value adding activities and 27 lean manufacturing strategies were gathered from the literature arena. Through critical thinking, the non-value adding activities were mapped with lean manufacturing strategies. The list containing this map presented in this paper will be useful to the engineers and managers for successfully implementing lean manufacturing in classical manufacturing organizations.

PurposeThis paper aims to assess the findings of a research project that investigates the scope for lean strategies to be adopted in beef, lamb and pig supply chains.Design/methodology/approachThe paper reports on action research carried out in three red meat supply chains. The methodology is inductive and qualitative, using a multi‐case, multi‐site approach. Each of the supply chains was analysed from farm gate to consumer, interviewing multiple participants at each stage of the supply chain.FindingsThe analysis demonstrates that, although a lean approach has been introduced in the pig supply chain, it is much more problematic in beef and lamb supply chains. Furthermore, the majority of participants in the UK pig supply chain – the first to adopt lean strategies – have not received the commercial improvement (the “stairway to heaven” of higher returns) that was anticipated. On the contrary, the majority of participants in this supply chain are experiencing a strategic “treadmill to oblivion” of continuous lean operational efficiency, but with low commercial returns.Research limitations/implicationsThe research is based upon three red meat supply chains – beef, lamb and pig. It would be beneficial if further in‐depth studies could be undertaken in other agri‐food supply chains to further validate the findings.Practical implicationsIf government agencies and/or multiple retailers develop lean strategies in UK beef and lamb supply chains, it is not at all clear that this will benefit all parties in these chains. This raises important questions about the efficacy and appropriateness of lean strategies in supply chains that do not have the same demand, supply and power and leverage characteristics as those in which lean principles were first developed.Originality/valueThis paper should be of value to researchers in this area and to managers responsible for strategy formation in UK agri‐food supply chains.

Sustainable Value Stream Mapping (Sus-VSM): methodology to visualize and assess manufacturing sustainability performance