Impact of lean practices on operations performance and business performance (original) (raw)

Journal of Manufacturing Technology Management, 2013

Abstract

Purpose – This study aims to investigate the relationship between lean practices, operations performance (OP), and business performance (BP). Design/methodology/approach – This survey-based study was a cross-sectional study. The samples were drawn by using stratified random sampling procedure from large Indonesian manufacturing companies based on the directory provided by the Data and Information Center of Indonesian Ministry of Industry with the final number of respondents of 139. Four main hypotheses were developed and tested statistically by applying multivariate data analyses. Findings – The results provided evidence that lean practices should be implemented holistically. Lean practices have a positive and significant impact on both OP and BP. Moreover, OP partially mediates the relationship between lean practices and BP. Research limitations/implications – The data used in this survey represent self-reporting by mainly the middle or top management in production. Practical impli...

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