scholarly journals Lean readiness – the case of the European pharmaceutical manufacturing industry

Author(s):  
Jose Arturo Garza-Reyes ◽  
Ioannis E. Betsis ◽  
Vikas Kumar ◽  
Moh’d Anwer Radwan Al-Shboul

Purpose The purpose of this paper is to assess the quality practices of European pharmaceutical manufacturers to determine the level of readiness of this industrial sector to implement and/or sustain lean manufacturing (LM). Design/methodology/approach An assessment framework developed by Al-Najem et al. (2013) was adapted to evaluate how ready European pharmaceutical manufacturers are to implement and/or sustain LM. Therefore, the lean readiness (LR) level of these organisations was assessed through six quality practices related to LM. These included: processes, planning and control, human resources, top management and leadership, customer relations, and supplier relations. One research question and three hypotheses were formulated and tested using a combination of descriptive statistics and non-parametric Mann-Whitney tests. Data were collected through a survey questionnaire distributed to 310 European pharmaceutical manufacturers and responded by 37 of these organisations. Findings Overall, the results of this study indicate an inadequate level of LR for the participating firms. Simultaneously, it was concluded that factors such as company size, type of relationships with suppliers and ISO 9000 certification do not have an effect on the quality practices, and hence LR level, of European pharmaceutical manufacturing organisations. Practical implications This study provides crucial information regarding the LR level of European pharmaceutical manufacturers, which can now be aware of the areas in their practices that require further improvement towards a successful lean journey. Simultaneously, organisations in the pharmaceutical sector that intend to implement LM can consider the results of this study and evaluate their readiness level. Managers can, therefore, refer to this research and use it as a platform to take better decisions regarding what quality aspects of their operations need to be enhanced to successfully deploy or sustain a lean strategy. Originality/value This research is one of the very few studies that have focussed on evaluating whether the European pharmaceutical manufacturing industry is ready to successfully implement or sustain LM. Therefore, this research expands the limited existent body of knowledge of LM in this industry.

2014 ◽  
Vol 5 (4) ◽  
pp. 361-391 ◽  
Author(s):  
Naga Vamsi Krishna Jasti ◽  
Rambabu Kodali

Purpose – The purpose of this paper is to investigate, validity and reliability analysis on existing Lean manufacturing (LM) frameworks when applied to Indian organizations. LM is one of the best manufacturing strategies that are used by manufacturing plant managers to improve manufacturing capabilities. Design/methodology/approach – In the present research work, a questionnaire-based survey was used to examine 35 LM frameworks. The study targeted respondents ranging from top- and middle-level management personnel in Indian manufacturing industry. The sample includes organizations in a variety of industries ranging from automobile, electronics, engineering, process and textile industries products. The survey tool was prepared with team of 12 members i.e. six academicians and six professionals from manufacturing industry environment. The study received 186 responses from various sectors of manufacturing industry, 180 surveys were usable resulting in a response rate of 23.90 per cent. Factor analysis was conducted to check unidimentionality of the framework. Cronbach’s alpha is calculated to find reliability of each framework’s. Lastly, frequency analysis was used to recognize familiar constructs of LM on the chosen framework. Findings – This study has identified that most of the LM frameworks revealed a high level of reliability. When the study has examined further advance about unidimensionality with respect to the construct, i.e. the LM it measures, it confirmed 11 frameworks were revealing unidimensionality. The frequency analysis was evident that a greater part of the constructs has a high mean score and mode. Finally, the research concludes that there is requirement for a novel framework to Indian manufacturing industry to stay in competition with global manufacturing industries. Research limitations/implications – Cross-sectional data from manufacturing industries and India (only one country) is used with sample size restricted to 180 only, and it would be interesting to test these frameworks for more than one industry sector and country. Practical implications – The present work tries to find the suitability of the presented LM frameworks to Indian manufacturing industry sector. The authors hoped that the present research would give the information to the management to execute the suitable LM framework in their firm. Originality/value – The present work tries to find the suitability of the presented LM frameworks to Indian manufacturing industry sector. The authors hoped that the present research would give the information to the management to execute the suitable LM framework in their firm.


2015 ◽  
Vol 19 (2) ◽  
pp. 296-314 ◽  
Author(s):  
Athar Mahmood Ahmed Qureshi ◽  
Nina Evans

Purpose – This study aims to explore deterrents to knowledge-sharing in pharmaceutical manufacturing. Effective knowledge-sharing is fundamental to stimulation of the process of knowledge absorption. The limited proximal communication between the employees in the pharmaceutical industry stifles their knowledge-sharing behaviour significantly. Design/methodology/approach – A cross-sectional case study, consisting of semi-structured interviews with managers and scientists, was conducted in a multinational pharmaceutical company in Australia. Respondents were asked to answer questions regarding their current knowledge-sharing practices and to identify organisational deterrents to knowledge-sharing. The data were condensed into themes according to the thematic analysis method. Findings – The pharmaceutical industry is extensively regulated and its excessive competitiveness is cultivating organisational reticence towards the development of a knowledge-sharing culture. Nine categories of deterrents to intra- (within) and inter-organisational (between organisations) knowledge-sharing have been identified. These categories include high cost of sharing knowledge, information technology limitations, knowledge-hiding, lack of socialisation, lack of trust culture, non-educational mindset, organisational politics, poor leadership and time pressure. Research limitations/implications – The population of this study consists of managers and practitioners working for a pharmaceutical company. Hence, the generalisability of the findings to other health-care settings is unknown. Practical implications – The findings have implications for leaders and managers who should be aware of these professional diversities, instigators as well as the ripple effects of limited knowledge-sharing to guide the organisation towards developing an optimal knowledge-sharing culture. Originality/value – A focussed investigation of knowledge-sharing behaviour within the pharmaceutical industry in Australia, considering the pressure applied to this industry over the past decade. This case study specifically focusses on the diversity of deterrents to knowledge-sharing in the pharmaceutical manufacturing industry.


Author(s):  
Jugraj Singh Randhawa ◽  
Inderpreet Singh Ahuja

Purpose The purpose of this paper is to evaluate the quantitative and qualitative benefits accrued by an Indian automotive parts industry through strategic 5S implementation initiatives. Design/methodology/approach The study involves evaluation of steps involved in systematic implementation of 5S program methodology in an automotive manufacturing organization and investigation of achievements accrued by the industry through the successful implementation of 5S program. Findings The empirical results of the study have revealed that effective practice of 5S program brings considerable level of improvements in the quality, production, cost optimizations, employee’s morale values and work culture in the manufacturing industry. The industry accrued both tangible and non-tangible benefits through the holistic adoption of 5S principals. 5S principals have been envisioned to further support other quality improvement programs like lean manufacturing initiatives of the organizations. Research limitations/implications The limitation of the study is that this research has been carried out in only manufacturing industry while similar study will be conducted in the service industry also. Originality/value Global competition in the manufacturing sector has provided necessary impetus for manufacturing organizations for affecting continuous improvements in manufacturing performance for achieving sustainability and profitability in the competitive market. 5S implementation is the fundamental tool for the overall achievements in both quantitative and qualitative performance enhancements in the manufacturing as well as service organizations.


2018 ◽  
Vol 67 (8) ◽  
pp. 1394-1415 ◽  
Author(s):  
Jagdeep Singh ◽  
Harwinder Singh ◽  
Gurpreet Singh

Purpose The purpose of this paper is to uncover the significance of lean manufacturing technique in manufacturing environments. Design/methodology/approach Lean manufacturing is a management approach focused on incremental improvements in operations. Different lean strategies are being utilized by manufacturing industry to improve the performance of current manufacturing system processes. This study attempts to evaluate the performance of different lean manufacturing tools in the manufacturing industry of northern India. The importance level of different lean tools, important benefits achieved after successful implementation of lean manufacturing approach and benefits occurred after implementation of different lean tools have been identified. A questionnaire survey in the case company has been performed and the most important element of lean manufacturing has been implemented. Findings Results explicitly depict that just-in-time manufacturing is the most important element of lean manufacturing. Results indicate the net savings of rupees 242,208 annually after implementing lean manufacturing technique in a case company. Originality/value The paper demonstrates the practical application of lean technique showing how it can bring real breakthroughs in saving cost in the manufacturing industry.


2019 ◽  
Vol 36 (6) ◽  
pp. 1014-1036 ◽  
Author(s):  
Piyachat Burawat

Purpose The purpose of this paper is to examine the structural relationship model among transformational leadership, sustainable leadership (SL), lean manufacturing practices and sustainability performance. Design/methodology/approach The data were collected from the middle and senior managers working in small and medium enterprises of Thai manufacturing industry. Regarding the quantitative approach, the data were collected by means of survey from 598 respondents from 374 companies. Qualitative data were collected from 40 participants by participant observation, non-participant observation and in-depth interview. Findings The model reported that lean manufacturing has a partial mediate effect on the relationship between transformational leadership and sustainability performance, and between SL and sustainability performance. The structural model is different in automotive and nonautomotive companies, and the structural model is different among the companies which implemented lean program for less than five years and above five years. The data from in-depth interview informed that lean practices are appropriate for automotive industry though with less implementation in other industries. Firms pay most attention on customer involvement with some attention on employee and supplier involvement. Managers give advices and exchange ideas with their followers rather than inspiring and giving opportunities to make decision. Research limitations/implications The findings may also enable Thai managers to realize that lean practices are appropriate for any industry. The first thing to do before launching lean program to all process is that the company should buy-in the understanding of managers about lean concept and implementation. Willingness with well understanding and realizing importance of lean program will lead to superior results, especially operational, economic and sustainable performance. Originality/value The reliability and validity measurements confirmed that both SL and environmental and social performance are appropriate for manufacturing industries. This study provides evidence of the positive relationship between SL and lean manufacturing, lean manufacturing and sustainability performance, as well as the partial mediate effect of lean manufacturing on the relationship between SL and sustainability performance, which are the additional contributions to research in academic field. The results confirmed the positive relationship between transformational leadership and lean manufacturing. The results reported that there is difference of lean practices between automotive and nonautomotive companies, and between companies which implemented lean program less than five years and above five years. The structural relationship result reported that transformational leadership has effects on lean manufacturing whereas SL has no effect on lean manufacturing, which asserted the previous study in which one leadership model is more appropriate for success within lean implementations.


Author(s):  
Wagner Cezar Lucato ◽  
Felipe Araujo Calarge ◽  
Mauro Loureiro Junior ◽  
Robisom Damasceno Calado

Purpose – Manufacturing companies worldwide have been replacing traditional mass-production practices by lean initiatives. This translation process is progressive and may vary depending on several factors. Hence, it could be expected that the degree of adoption of the lean practices could vary significantly among industries, regions and even countries. The purpose of this paper is to explore the implementation performance of lean principles in Brazil, the paper developed a survey in the Sao Paulo Metropolitan Area, which considered 51 industries of different sizes, from several industrial segments, nationals and multinationals. Design/methodology/approach – The proposed survey was developed using as a normative framework the SAE J4000 standard – identification and measurement of the best practice in implementation of lean operation and the SAE J4001 – implementation of lean operation user manual. To measure the implementation degree of the lean practices in the researched industries, the paper proposed the utilization of two concepts: the degree of leanness (DOL) of an element of J4000 and DOL of a company. Also three hypotheses were tested, trying to establish the relationship among the DOL and firm ownership, their size and respective industrial sector. Findings – The results obtained in the survey demonstrated that the performance of lean initiative implementation is not uniform among the companies located in the researched area. Outcomes also showed that the degree of implementation of the lean practices by multinational companies was higher than that for the national firms. However, it was not possible to establish a relationship between the DOL and the size of the firms. Neither a clear and definite association between DOL and industrial sector was possible to be identified. Practical implications – For the practitioners and managers dealing with the lean implementation, this paper gives a relevant contribution because it shows how they can effectively use an existing tool to measure the implementation of the lean practices in their respective firms. Furthermore, the DOL calculation for each individual element of the J4000 standard could also be used by practitioners and managers to identify specific problems and opportunity areas where practical actions could be identified to improve the lean implementation. Originality/value – This paper contributes to the lean manufacturing theory because it proposes a theoretical way to measure the degree of implementation of the lean initiatives in the manufacturing companies. Also the survey results generate additional research material that could be used by other researchers to further explore the subject in the area.


2019 ◽  
Vol 58 (6) ◽  
pp. 1118-1148 ◽  
Author(s):  
Jagdeep Singh ◽  
Harwinder Singh ◽  
Amandeep Singh ◽  
Jashanpreet Singh

Purpose The purpose of this paper is to cover the significance of lean thinking using value stream mapping and six sigma methodology in managing industrial operations. Design/methodology/approach Lean manufacturing is an efficient approach for identifying and eliminating waste through a continuous improvement via flow of the product/service at the pull of customer in chase of exactness. This study has been carried out in a manufacturing unit of Northern India that was suffering from high production lead time and work in progress (WIP) inventory. Findings The current state and future state maps for the critical product have been prepared. On comparison of both current and future state maps, it was observed that lead time has been reduced by 14.88 percent, processing time by 14.71 percent and wastage of material movement by 37.97 percent. As proposed in model, the WIP inventories have been reduced by 17.76 percent and workforce by 17.64 percent. Further it would lead to the profit of Rs161,800 per annum. Six sigma projects have been carried out to reduce rejections of the critical product P-19 under study. The total length of the product was undersize of the critical product. Root cause analysis technique has been used through strategic DMAIC implementation. Results of investigation demonstrated net savings of rupees 145,560 annually. Originality/value The paper demonstrates the practical application of lean thinking, showing how it can bring real breakthroughs in saving cost in the manufacturing industry.


2014 ◽  
Vol 116 (11) ◽  
pp. 1672-1691 ◽  
Author(s):  
Sanda Renko ◽  
Kristina Bucar

Purpose – Due to the growing trend of consuming healthy food, which reproduces the ideal of the food the authors tried in their childhood, an increasing number of researchers have brought together the values of tradition, nostalgia and food. The purpose of this paper is to explore the relationship between food and nostalgia in order to find out in which way they affect each other. Design/methodology/approach – In order to explore the perspectives of traditional food in re-collecting and re-experiencing positive past experiences, both qualitative and quantitative techniques were used in two stages. First, focus group interviews were conducted with ten restaurant chefs in three different regions of Croatia. Then, a survey was carried out with 362 Croatian consumers. Findings – Focus group results show that although traditional food creates new opportunities for differentiation, finding the right ingredients and time for cooking traditional food is still a problem. There is a low interest in traditional food in restaurants, as domestic patrons mostly worry about the high prices, while foreign ones do not know anything about such foods due to the inadequate promotion of Croatian gastronomic offer. Survey results indicate that consumers are familiar with traditional Croatian food, eat it regularly at home and consider it as food with high-quality aspects that reminds them of their childhood and positive past experiences. Practical implications – The results presented in this paper give some directions for subjects involved in the manufacturing industry, tourism, the restaurant industry, etc. to devise ways of reminding their customers of childhood memories, family ties, etc. Originality/value – A relatively small number of food-centred studies are directly concerned with nostalgia. Many more studies investigate food in social changes, related to ethnic elements, etc. Considering an extensive literature review, and the analysis of data in the qualitative and quantitative study, this paper addresses two multidimensional and complex concepts which are powerful predictors of customer satisfaction.


2019 ◽  
Vol 10 (1) ◽  
pp. 411-434 ◽  
Author(s):  
Wouter Beelaerts van Blokland ◽  
Sebastiaan van de Koppel ◽  
Gabriel Lodewijks ◽  
Wouter Breen

Purpose Today, most of the car manufacturers world-wide have embraced the principles of lean manufacturing on strategic and operational level. On strategic level car companies like Toyota (Womack et al., 1990) shifted 63 per cent of the value of the car towards the first, second and third tier suppliers for the co-production and co-development of cars as an effect of lean implementation. However, lean implementation was also followed by for instance Ford and GM in the USA, the latter company faced a sudden disruption in 2009 due to the break-out of the financial crisis in 2008, while Ford survived. Could this be foreseen? The exclusive use of (classic) financial performance indicators may give a false image of a company’s current and future performance. There is a need for a model to identify “the stars and the laggards’ regarding car companies by taking into account non-financial and intangible dimensions as advocated by Neely et al. (2003) regarding the third generation of business performance measurement systems. The purpose of this paper is therefor to propose a method to measure and benchmark car company performance which includes the non-financial R&D dimension as well as supply chain, value creating and employee dimensions. These dimensions are present in the value leverage model (van Blokland et al., 2012a, 2012b) which can serve as a basis for this method. The aim is to contribute to the third generation business performance measurement systems by further development of the value leverage model towards a maturity model for benchmarking car company performance. The proposed method can provide a big picture and give insight regarding company performance and direction of the performance. Design/methodology/approach Value leverage can be measured by a correlation analysis regarding three dimensions, namely, supply chain, R&D and value creation, all relative to the employee or capita which results in the average value leverage (AVL) factor. This AVL factor can be used to compose a combined relative and absolute ranking. The score regarding the AVL results in a relative ranking expressing the level of stability regarding the car companies value chain and system. For the absolute ranking the car companies receive per variable parameter a score according to their absolute performance relative to the other car companies. The relative and absolute ranking are presented on the vertical and horizontal axes forming a matrix. The matrix is the basis for the stability-value leverage maturity model for measuring and benchmarking company performance. With the proposed method, the following main research question can be answered: “How can company performance be measured and benchmarked from a stability-value leverage perspective?”. Findings With the proposed method, stability-value leverage performance can be measured. The relative ranking on the vertical axis and the absolute ranking form together a matrix which is presented by a scatterplot. A matrix with four maturity levels emerged from the analysis by introducing the average score of all the car companies together in the data set crossing the matrix vertical and horizontal. The four levels are as follows: Level I, low stability – low value leverage; Level II, low stability – high value leverage; Level III, high stability – low value leverage; and Level IV, high stability – high value leverage. Stability-value leverage performance of car companies can be measured over time which makes it possible to observe to which direction the car company migrates for instance from Level I to Level III, before and after the financial crises in 2008. The car companies BMW, Daimler, Audi, Ford and Honda are the best performing companies in stability-value leverage over the period 2000-2014, as they are situated at Level IV. With the findings, the main research question can be answered. The value leverage indicators can be used for measuring and benchmarking company performance regarding four maturity levels of stability and value leverage. The direction of performance can be observed as well. Research/limitations/implications This research is limited to the car industry. Further research is devised to test the indicators for instance on the truck manufacturing industry. Further research towards new variables is part of the ongoing research. Practical/implications With the value leverage maturity model, it is possible to inform stakeholders about stability, value leverage and value creation capability of car companies. Weak performing companies can be identified in an early stage with this method to anticipate for instance on possible discontinuation of a car company effecting in merger an acquisition processes. Social/implications With the method stakeholders such as employees, users of cars and investors can be informed about how and why car companies perform in an unstable or stable manner. Originality/value This research towards ranking and classification of car companies aligns with theories regarding lean manufacturing and maturity models, as these models are used to compare companies on their level of perfection or excellence.


2015 ◽  
Vol 21 (4) ◽  
pp. 419-435 ◽  
Author(s):  
Samuel Jebaraj Benjamin ◽  
M. Srikamaladevi Marathamuthu ◽  
Uthiyakumar Murugaiah

Purpose – The purpose of this paper is to reduce or eliminate the overall equipment effectiveness (OEE’s) speed loss in a lean manufacturing environment. Design/methodology/approach – This action research study uses the lean manufacturing 5-whys analysis technique to reduce or eliminate the speed loss. Findings – The application of the 5-whys analysis technique in a manufacturing industry (XYZ Corporation) completely eliminated its top speed loss and resulted in a valuable savings of USD 32,811.5 per annum. Practical implications – The 5-whys analysis technique which has been primarily known to improve the OEE’s quality loss and changeover loss has been proven to be an effective approach to also tackle speed loss; a loss which has been regarded as the most dominating loss among all the types of OEE’s losses and a difficult one to eliminate. Originality/value – Little or no attempt has been made to date to expand the use of the 5-whys analysis technique beyond its originally intended purpose. The lessons learnt in this study could be applied to other organizations. The outcome of the study has also opened the possibility of widening the horizon of the use of the 5-whys analysis technique beyond its original intended objective and could be applicable to solve other losses of OEE and non-value added activities of lean philosophy in general.


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