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Sharda University
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Bhim Singh*
Department of Mechanical Engineering,
Galgotias College of Engineering and Technology,
1-Knowledge park – 2, Greater Noida – 201306, UP, India
E-mail: bhimsingh_ncce@rediffmail.com
*Corresponding author
S.K. Garg
Department of Mechanical and Production Engineering,
Delhi Technological University,
Delhi – 110042, India
E-mail: skgarg63@yahoo.co.in
S.K. Sharma
Department of Mechanical Engineering,
National Institute of Technology (NIT),
Kurukshetar – 136119, Haryana, India
E-mail: sksharma49nitk@yahoo.com
Reference to this paper should be made as follows: Singh, B., Garg, S.K. and
Sharma, S.K. (2010) ‘Scope for lean implementation: a survey of 127 Indian
industries’, Int. J. Rapid Manufacturing, Vol. 1, No. 3, pp.323–333.
S.K. Garg did his PhD from IIT Delhi, India. He is presently associated
with the Mechanical and Industrial Engineering Department of Delhi Technical
University, Delhi, as Professor of Industrial Engineering and Operations
Research. He has published more than 50 papers in international journals and
conferences. He also authored three books in his area of interest. His area of
interest includes lean manufacturing, supply chain management, just in time
manufacturing, total quality management and operation research. He is also
guiding many research scholars for their PhD degree in his field.
1 Introduction
Customers issues
• To reduce response time
• To deliver in small lots
• To implement self-certification
• To reduce rejection
• To increase range of products
Organisational issues
• Frequent breakdown
• High inventory
• High rejection rate
• Underutilisation of capacity
• Workers absenteeism
• Obsolete technology
• High setup time/changeover time
Supplier issues
• Unreliable transport
• Frequent changes in supply schedule
• Poor communication system
• Poor vendor response
• Frequent design changes
• High lead time
Market issues
• Stiff competition
• Low sales revenue
• Poor brand image
Top management issues
• Lack of funds
• Lack of multiskilled manpower
• Lack of quality consciousness
• Lack of support from top management
326 B. Singh et al.
Publication of the book The Machine that Changed the World attracted attention of
researchers towards lean manufacturing (Womack et al., 1990). Taj and Berro (2006)
demonstrated how lean manufacturing and constraint management could work together to
improve productivity, efficiency and quality. Motwani (2003) discussed, with the help of
case study, the most important elements of lean manufacturing and the strategies used by
the company for lean implementation by utilising business process framework. Domingo
et al. (2007) concluded that the combination of milk run and value stream mapping
(VSM) is an important tool for increasing routing flexibility and process improvement of
any industry. Lasa et al. (2008) showed that the VSM is a valuable tool for redesigning
the productive systems according to the lean system. Seth et al. (2008) addressed the
various wastes in the processing side of the supply chain of the Indian cottonseed oil
industry, using VSM as an approach and wastes are then individually attacked to reduce
or eliminate them from the system. Bayou and Korvin (2008) compared the leanness of
GM and Ford production system and found Ford’s system is more than 17% leaner than
GM’s system over the three-year period. Rathje et al. (2009) described in detail two lean
implementation projects within the same company and highlighted a number of lessons
learned, all of which may help other organisations ensure the success of their own
lean implementation and improvement efforts. Browning and Heath (2009) developed a
revised framework that reconceptualises the effect of lean on production costs and use it
to develop propositions to direct further research and also developed a fuller range of the
effects of lean practices on production costs and illuminate how operations managers
might control key variables to draw greater benefits from lean implementation. Matt
(2008) designed ten ‘easy-to-use’ steps for the systematic design of LP systems. Saurin
and Ferreira (2009) presented guidelines for assessing LP impacts on working conditions
either at a plant or departmental level, which were tested on a harvester assembly line in
Brazil. Doolen et al. (2008) carried out field study of two Kaizen events held within a
single organisation utilising both quantitative (survey) and qualitative (interviews) and
demonstrated that initial success in business outcomes and human resource outcomes are
not necessarily correlated and that success may vary over time. Leaders need to pay close
attention to follow-up mechanisms to ensure sustainability. Krishnamurthy and Yauch
(2007) described that manufacturing corporations might find the infrastructure to be a
beneficial way to structure their own organisations in order to capitalise on the benefits
of both the lean and agile manufacturing strategies. Buzby et al. (2002) showed the
applications of lean manufacturing principles to administrate the function of the
quotations process and demonstrated that the electronic solutions are the best remedies
for streamlining the quotations process to reduce the total cycle time. Mistry (2005)
revealed how specific quality enhancing and lean manufacturing components evolved
over a period of seven years in a two stage transition from a ‘lean’ supply chain to one
that represented an integrated lean and agile paradigm based on the decoupling point
approach. Barla (2003) presented a multi-attribute selection model (MSM) in five basic
steps for evaluation and selection of suppliers on lean philosophy. John (2009) conducted
a case study of a small furniture company that achieved 30% increase in productivity
by implementing a new scheduling system that assisted implementation of lean
manufacturing. Kennedy and Widener (2008) developed a theoretical framework
that assists in understanding the control choices, accounting practices and organisational
Scope for lean implementation 327
structure associated with lean manufacturing. Bruuna and Meffordb (2004) discussed
many reasons why the internet can facilitate the movement to LP systems and a few firms
have made tentative efforts in that direction. Arbos (2002) proposed a methodology for
the implementation of lean management in a services production system, as applied to the
case of telecommunication services. In addition, since services are subject to a much
greater degree of variability of features than industrial production, this work included an
analysis of that variability and a proposal for action to be taken when it is excessive.
Singh and Sharma (2009) discussed application of lean tools with the help of an Indian
case study and noted considerable improvement in lead time, cycle time, inventory
reduction and productivity improvement. Singh et al. (2009) discussed the importance of
lean practices for the industries during recessionary times. Worley and Doolen (2006)
identified management support and communications as important variables in a lean
manufacturing implementation. Furthermore, evidenced that these variables are critical in
not only the implementation of lean manufacturing practices and principles, but also in
the ongoing planning and deployment efforts of organisational leader.
After having gone through the literature and discussing the lean implementation issues
with the industrial personal, it has been observed that lean philosophy has many benefits
to offer for the Indian industry, but present status of lean is not up to the mark in the
Indian industry and needs attention of researchers and managers for improvements.
Secondly, a very few research have been made on lean implementation in Indian
conditions, this fact is well-disclosed by a cursory search on the internet using a versatile
search engine, i.e., http://www.google.com with keywords such as LP, lean philosophy,
lean manufacturing, Toyota production system, just in time production, just in time
manufacturing and world class manufacturing. Table 2 shows the result of this cursory
search that web pages from India are less than 1% of the total web pages.
Table 2 Outcome of internet search
4 Present work
The lean implementation issues are identified in discussion to industry personal and
importance of these issues to the industry is justified with the help of a survey of Indian
industry. Brief methodology of work done in this paper is given below:
• identification of lean implementation issues in consultation to industrial personal and
preparation of questionnaire
• pilot study for checking construct validity and reliability of questionnaire
• questionnaire mailed to 300 Indian industries and only 127 valid responses are
received
• applied factor analysis using SPSS for grouping of lean implementation issues
• descriptive statistic for analysis using SPSS
• results and discussion.
Factors
S.N. Lean implementation issues
1 2 3 4 5
1 Frequent breakdown 0.211 0.758 0.053 –0.047 0.145
2 High inventory 0.043 0.880 0.136 –0.034 0.018
3 High lead time 0.136 0.005 0.812 –0.060 –0.066
4 High rejection rate 0.001 0.835 –0.051 –0.311 0.043
5 High setup time/changeover time 0.167 0.807 0.027 0.022 0.200
6 Lack of funds 0.297 0.452 –0.093 –0.045 0.704
7 Lack of multiskilled manpower 0.372 0.205 –0.054 0.197 0.753
8 Lack of quality consciousness 0.423 0.279 0.134 0.138 0.760
9 Lack of support from top management 0.131 0.127 –0.010 –0.038 0.702
10 Low sales revenue 0.286 0.327 0.037 0.892 0.383
11 Obsolete technology 0.285 0.803 –0.007 0.070 0.499
12 Poor brand image 0.333 0.135 –0.026 0.898 0.335
13 Poor communication system 0.446 0.347 0.766 –0.034 0.340
14 Poor vendor response 0.192 0.163 0.781 0.047 0.176
15 Underutilisation of capacity 0.381 0.726 –0.081 0.133 0.091
16 Unreliable transport 0.230 0.156 0.712 –0.043 0.183
17 Workers absenteeism 0.382 0.706 0.051 0.041 0.079
18 Frequent changes in supply schedule 0.017 –0.052 0.708 –0.033 –0.009
19 Frequent design changes 0.005 0.039 0.709 –0.097 0.035
20 To reduce response time 0.889 –0.037 0.286 0.001 0.011
21 To deliver in small lots 0.812 0.037 0.348 0.282 –0.052
22 To implement self-certification 0.898 0.096 0.208 0.345 –0.250
23 Stiff competition 0.201 0.001 0.097 0.733 –0.195
24 To increase range of products 0.712 –0.043 –0.054 0.306 –0.060
25 To reduce cost 0.731 0.069 0.000 0.261 0.361
26 To reduce delivery time 0.752 –0.082 –0.015 0.156 0.202
Notes: Extraction method: principal component analysis; rotation method: varimax with
Kaiser normalisation; rotation conversed in ten iterations
330 B. Singh et al.
Grouping of lean implementation issues using factor analysis is shown in Table 4. This
grouping is very practical and confirms with the status of the issues in the industries.
Further descriptive statistics for status of lean implementation issues in Indian industries
is presented in Table 5. The data indicate that market issue is most important in the
Scope for lean implementation 331
Indian conditions as mean of all its sub-issues is greater than 3.5; for ‘stiff competition’,
it is 4.20; customers issues is the next important factor of lean implementation as mean of
all sub-issues under this head is 351 to 3.88; suppliers issues is also an important factor
with mean 3.1 to 3.7; organisation as a lean implementation issues also received
considerable weight-age and mean of its all sub-issues varies from 2.87 to 3.83; and top
management issues received less importance as compared to other issues, its mean varies
from 2.4 to 2.9. Lean implementation issues as per decreasing order of their importance
to Indian industry are given in Table 6.
Table 6 Lean implementation issues as per importance in Indian industry
Top
Market Customer Supplier Organisational
Lean issues management
issues issues issues issues
issues
Total mean 3.84 3.65 3.63 3.12 2.86
Rank 1 2 3 4 5
6 Conclusions
Through this research, lean implementation issues are identified and ranked according to
their usage in the Indian industry. Market pressure appeared as very dominating issue
which indicate that there are sufficient player in the Indian market in all three fields, i.e.,
(automobile, manufacturing and machine tool) and Indian industry is feeling the heat
of competition which motivate industry towards lean initiatives. Second main issue for
lean came out of this study is customers issues, which is very true as per the definition of
lean the end customer is the main pull for every lean activity (Womack et al., 1990).
Customers issue is the driving force for the Indian industry for lean implementation.
Supplier issues is also received good importance in Indian environment and discloses the
fact that development of suppliers and communication with the suppliers is not up to
the mark in the Indian industries and Indian industries are required to work on vendor
development for creating reliable source of supply. Organisational issues is the next in
the series and received considerable importance in the Indian industries which indicate
that Indian industries still have lot of scope for improvement and industries need to
recognise the importance of lean implementation and need to change their organisational
structure according to the requirement of lean philosophy.
Top management issues for lean implementation is also very important and top
management policies and attitude towards lean implementation need some improvement
in Indian industries. As very less research has been found on lean implementation
in Indian context in the extant literature, so, this paper will be very beneficial for the
researchers and practitioners and motivate the industries towards lean initiatives.
Acknowledgements
The authors desire to acknowledge Mr. Surrender Kumar Midha, Manager Quality,
DENSO Haryana, for his unconditional help during this research. We also give our
sincere thanks to all those who spared their valuable time for filling our questionnaire.
332 B. Singh et al.
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