Abstract
This study benchmarks the implementation levels and performance outcomes of lean bundles of a Jordanian pharmaceutical manufacturing company with the results of the Operational Excellence (OPEX) model. The OPEX model is an ongoing international research project in the pharmaceutical industry. The results of the OPEX project were obtained, along with permission to use them in the present study. The same question items used in the OPEX project were used to prepare a questionnaire to collect data from the Jordanian pharmaceutical company. Fifteen managers from the Jordanian company with responsibilities related to lean management completed the questionnaire. The results demonstrated that the implementation levels of lean practices and the lean performance outcomes of the Jordanian pharmaceutical company varied in comparison to the OPEX project. The overall assessment showed that the Jordanian company is excellent in the total quality management bundle (at or above the levels of the benchmarked data), good in the human resource bundle (almost at the levels of the benchmarked data), acceptable in the just-in-time bundle (below the levels of the benchmarked data), and weak in the total preventive maintenance bundle (considerably below the levels of the benchmarked data). There are few benchmarking studies in the pharmaceutical industry in the area of lean management. In particular, this area is under-investigated in the developing world. The current study provides insights into the value of benchmarking key lean metrics against leading companies. This approach is expected to support pharmaceutical industry managers in the developing world to evaluate their current lean state, estimate the desired state based on the benchmarking results, and set appropriate strategies to promote lean management and operational excellence in their companies.
Highlights
The pharmaceutical industry in the developing world faces many challenges, such as the pressures of rising costs coupled with low pricing policies fro m the authorities, along with strong competition in the markets
The purpose of this study is to evaluate the levels of lean bundles and lean performance of a Jordanian pharmaceutical co mpany
Gallen University and its benchmark data. These lean operational performance indicators included items related to JIT performance, total quality management (TQM) performance, total preventive maintenance (TPM) performance, and human resource management (HRM) performance
Summary
The pharmaceutical industry in the developing world faces many challenges, such as the pressures of rising costs coupled with low pricing policies fro m the authorities, along with strong competition in the markets. The driving force behind this study is the need to shed light on the concept of lean management in pharmaceutical co mpanies in developing countries, especially in the MENA region, in order to provide the industry with a new tool to imp rove operations. These companies usually face problems of underutilization of capacity, low levels of technology, high scrap rates, insufficient product quality, and others (Bello -Pintado and Merino-Díaz-de-Cerio, 2013).
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