On the Relationship between Lean Practices and Environmental Performance

Abstract

Lean production has emerged in the past decades as one of the most popular topics in business and manufacturing literature and it is the most extended production paradigm currently applied in industry. Lean production is characterized by five principles (value, map the value stream, flow, pull and continuous improvement) and by the importance of reducing waste (muda). Alongside the Lean philosophy, the so-called green strategy has also gained importance in competition between firms. Many companies are trying to develop products that reduce environmental impacts throughout their life cycle. The aim is to reduce resource consumption, to replace hazardous substances, to increase recyclability, to enhance energy efficiency and to bring down CO2 emissions. Lean and Green production paradigms are both focused on waste reduction and several authors have studied the relationship between Lean and Green practices and the synergic effects of joining these two management approaches. This research carries out a literature review in order to investigate if firms which have applied Lean principles and methods have improved their environmental measures. In particular, the work seeks to highlight which green indicators are more positively affected by Lean practices adoption. The results are synthesized in a final chart which illustrates the main green indicators cited in the literature and shows how these indicators have changed after a Lean transformation program. The research is to be understood as a work in progress and is part of a larger study that the authors are conducting on this topic.