Abstract
The study focuses on the analysis of the direct effect of Lean Manufacturing (LM) practices on operational performance in manufacturing industry. A model for evaluating the effect of LM is developed taking into consideration as a fundamental variable that affects the causal relationship between LM practices and operational performance. A structural equation model was proposed and investigated across the manufacturing industry in India. A structured survey questionnaire was used to collect empirical data from 400 Indian companies. A total of 203 usable responses were obtained giving a response rate of 53%. The data was analyzed using SPSS- AMOS software. The results revealed that LM practices directly and positively affected operational performance. The results indicated that the structural equation model remained invariant across the Industry. The study provides further evidence to managers and practitioner on the effect of LM practices on operational performance in developing countries like India.
Highlights
The present powerful market is described by more limited item life cycles and the expanding individualization of items
This examination has reviewed the utilization of various arising advanced innovations just as set up Lean manufacturing practices to explore their relationship with operational performance in manufacturing
By analyzing data from 203 manufacturing firms, we show that the firm should manage Lean practices in an integrated and coordinated way
Summary
The present powerful market is described by more limited item life cycles and the expanding individualization of items. Along with expanding worldwide rivalry, this puts pressure both on manufacturing organizations’ adaptability and on asset effectiveness to satisfy customer need and stay serious [1]. To address these difficulties, manufacturing organizations are compelled to persistently look for new ways to deal with improve their operational performance. Lean manufacturing has over the most recent twenty years seemingly been the most unmistakable approach for improving the operational performance in manufacturing organizations [2, 3]. Based on the straightforward thought of wiping out waste in all forms by focusing in on the exercises that make an incentive for the client [4], it is a low-tech constant improvement approach that centers on representative strengthening and the smoothing out of manufacturing practices. The innovation situated Industry 4.0 idea is being marked as the following empowering influence of performance improvement
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