Barriers for an Integrated Lean and ISO 14001

Implementation for Sustaining Environmental

Performance in the Manufacturing Industry
2020 IEEE Asia-Pacific Conference on Computer Science and Data Engineering (CSDE) | 978-1-6654-1974-1/20/$31.00 ©2020 IEEE | DOI: 10.1109/CSDE50874.2020.9411384

Aqeel Ahmed Sanjay Mathrani Nihal Jayamaha

School o f Food and Advanced School of Food and Advanced School o f Food and Advanced
Technology Technology Technology
Massey University Massey University Massey University
Auckland, New Zealand Auckland, New Zealand Auckland, New Zealand
A.Ahmed@massey.ac.nz S.Mathrani@massey.ac.nz N.P.Jayamaha@massey.ac.nz

Abstract—The manufacturing industry is facing ever
increasing adverse challenges of operational waste generation,
environmental issues and inefficient utilization of raw material
in the last few decades. These environmental and operational
challenges can be minimized by adopting new management
strategies and streamlining processes in the manufacturing
facilities. An integrated lean and ISO 14001 implementation as
an innovative approach can be employed for achieving
operational performance, a healthier environment and business
profits in manufacturing firms. Literature on a combined lean
and ISO 14001 implementation is limited, and no research has
investigated the barriers which hinder the implementation of
these strategies as a holistic approach. This paper explores the
potential barriers for deploying an integrated lean and ISO
14001 approach for optimizing the manufacturing processes
and improving environmental performance. Twenty barriers
are identified in areas of management approach, cultural and
external aspects, technical aspects and financial resources which
if overcome, can lead to the successful implementation of a
combined lean and ISO 14001 strategy in manufacturing firms.
Keywords—barriers, lean, ISO 14001, environmental
performance, manufacturing industry
I. I n t r o d u c t io n
The manufacturing industry has proactively adopted
improvement strategies for sustaining the environmentally-
friendly operations in the last few decades [1, 2]. The lean
strategy is employed as an improvement tool for reduction of
water consumption, effective utilization o f natural resources
and reduction of wastes (solids and emissions of GHG) in
specific high polluting industries such as meat processing [3,
4]. Research studies in such high polluting industries indicate
that lean manufacturing not only improves the operational
efficiency o f an organization but also reduces environmental
impacts such as energy consumption and wastes (solid, air
emissions and inventory) [5, 6]. This elucidates that the
implementation o f a lean strategy not only leads to operational
benefits but has a positive impact on environmental
performance.
ISO 14001 is potentially considered the most effective tool
for improving the environmental performance, which focuses
on degeneration, environment protection and sustainable
utilization of natural resources in manufacturing firms [7].
Lean and ISO 14001, both achieve waste reduction and
improvement o f resource efficiency through their respective
protocols [8]. Lean has a direct impact on waste elimination
through use o f its tools and techniques whereas ISO 14001
leads to environmental performance through waste
management planning and continuous improvement. Lean
philosophy and ISO 14001 are primarily based on the premise
o f improving environmental and operational performance in
an on-going basis [6]. However in real-world, continual
improvement is not maintained after the initial certification of
ISO 14001 [9] and transformation of lean philosophy [10] in
the manufacturing industry.
Very little evidence is available in literature for evaluating
operational and environmental performance by implementing
lean and ISO 14001 as an holistic approach in the
manufacturing industry [6, 8]. Additionally, the critical failure
factors for implementing lean and ISO 14001 as an integrated
approach have not been discussed in the literature for
sustaining operational and environmental performance in
manufacturing. Therefore, it is essential to identify the barriers
which hinder an integrated lean and ISO 14001
implementation in the manufacturing industry. The research
question for this article is: what are the barriers fo r an
integrated lean and ISO 14001 implementation fo r sustaining
the environmental performance in the manufacturing
industry?
This paper explains the barriers for an individual
implementation of lean and ISO 14001 in a manufacturing
facility. Based on the individual set of barriers for lean and
ISO 14001 implementation, a potential list of failure factors
are proposed for implementation of lean and ISO 14001 as an
integrated system. The methodology for conduct o f literature
review (fourteen barriers for individual implementations of
lean and ISO 14001 along with potential barriers for an
integrated lean and ISO 14001 approach), conclusion and
future directions are discussed in the following sections.
II. A Re v i e w of Ba r r ie r s f o r Le a n an d ISO 14001
Im p l e m e n t a t io n in Ma n u f a c t u r in g In d u s t r y
Since the start o f the 1980s, the manufacturing industry
has achieved benefits o f environmental efficiency
improvement by reducing the consumption o f natural
resources, decreasing wastes generation and effective
utilization of energy through the lean framework [11].
However, it has been concluded in different studies that two
out of three lean improvement programs fail due to negative
return on investment and unsatisfactory outcomes o f the
projects [12, 13]. Moreover, the lean implementation is a
costly and time-consuming management initiative for
sustaining competitiveness and customer satisfaction
continually [13, 14].
After the launch o f ISO 14001 in 1996, approximately
320,000 organizations have adopted EMS as a tool to

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 minimize pollution and wastes, as well as enhance effective
utilization of natural resources [9, 15]. EMS is intended in
providing a structural framework to monitor compliance
assessment for improving environmental performance in the
manufacturing industry continually [16]. However in practice,
the continual improvement process in environmental
management is one o f the most difficult aspects to sustain at
certification or during conformity audits [17].
III. M e t ho do l o g y an dSt r u c t ur e f o r Lit er at ur e
Re v i e w
In this study, first a list of barriers for individually
implementing lean and ISO 14001 are identified as
highlighted by researchers through a literature search. The
focus o f this review is on exploring the barriers that are most
discussed in literature. The barriers are evaluated, categorized
and tabulated. Next, a list o f potential barriers for an integrated
lean and ISO 14001 implementation are proposed based on an
analytical discussion o f the findings. These potential barriers
for an integrated lean and ISO 14001 strategy are then
categorized and tabulated.
From literature review, lack o f management commitment,
availability of financial resources and external factors have
been cited as the major failure factors in many recent studies
for implementing lean and ISO 14001. Further, technical
advancement is considered as a major factor in implementing
management initiatives in recent years. However, [18] and
[19] have found that lack o f technical resources could lead to
an ineffective implementation o f lean in the manufacturing
industry. Additionally, [20] and [21] have elaborated that
insufficient technical resources is a major barrier in ISO 14001
implementation. [22] and [16] have identified the prominent
categories for effectively implementing management
initiatives in improving environmental performance. These
categories are - management approach, organizational culture
and external aspects, technical aspects, and financial
resources. These are discussed next.
A. Management Approach
The top management is responsible for articulating clear
vision, policy as well as roles and responsibility in an
organization for achieving operational excellence during the
different stages of the lean transformation [23]. However, the
ambiguity of the top management in understanding and
establishing the vision and goals for an effective lean
implementation could lead to failure in achieving the desired
outcomes [24, 25]. Top management is mainly responsible for
providing resources (financial and human) and removing the
obstacles in implementing the lean strategy otherwise the
continual improvement projects easily fail [10, 24]. The lean
strategy is unlikely to be successful due to lack of visible top
management support to the workforce (middle management
and shop floor employees). The lack o f motivation, mutual
trust and cooperation between workforce and top management
are the potential barriers towards an organization in sustaining
a lean implementation [13, 24].
In case of ISO 14001, it is the responsibility of top
management in establishing, implementing and maintaining
an environmental policy within the defined scope o f EMS
[26]. An unclear definition o f environmental policy and
objectives for implementing the initiatives is identified as a
major barrier for implementation o f ISO 14001 in the
manufacturing sector [17, 27]. Moreover, the lack o f top
management commitment in providing support to the
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workforce, resources (financial/human) and enhancement of
in-house competence o f the employees could lead to an
inefficient implementation o f ISO 14001 in an organization.
B. Cultural and External Aspects
An effective lean culture improves the overall
performance in manufacturing by managing the
communication (internal and external) processes, having a
competent workforce and implementing the relevant tools and
techniques [28]. However, lack o f organizational culture in
managing the communication processes, conducting
awareness and training programs could lead to failure in
achieving the desired outcomes in lean implementation [14,
18]. Further, lack of awareness regarding cultural aspects due
to geographical background, language barriers and education
o f employees are considered as key failure factors in
implementing the lean strategy [18]. Furthermore, lack of top
management’s understanding in adopting tools and techniques
for improving quality and environmental performance
negatively affects the lean implementation outcome [18, 24].
Organizational culture works as a catalyst in adopting the best
lean practices which are based on continual improvement for
utilizing minimum resources and reducing the waste
generation in the manufacturing industry [29, 30]. However,
it is reported in literature that many organizations have not
been able to successfully implement a lean philosophy
continually [14, 18, 30]. An in-effective communication can
be the cause for a rapid increase of interdepartmental conflicts
and communication gap in the organization [14, 18].
Additionally, lack o f information sharing/communication
with relevant stakeholders (internal and external) is a bane for
effective execution of a lean strategy [18, 24].
In ISO 14001, an inefficient workforce due to lack of
competence and in-house knowledge for operational and
environmental initiatives could hinder its implementation [31,
32]. Furthermore, lack o f formal awareness and training
programs are considered as failure factors in implementing
ISO 14001 in the manufacturing sector. A successful
implementation of ISO 14001 as a process standard is not
possible without the involvement of stakeholders (customers,
government agencies and community members) in
maintaining environmental performance [33]. Moreover, lack
o f communication between the stakeholders (internal and
external) [34] and lack o f government support and incentives
are the major challenges for an organization in adopting and
maintaining ISO 14001 continually [31, 32]. The collection of
environmental data, maintenance o f documentation records
and evaluation of environmental performance are time
consuming procedures and constitute as the major barriers
which prohibit implementation success of ISO 14001 [35].
C. Technical Aspects
In lean implementation, lack o f capability in responding to
new specifications proposed by customers for their products
(mix and design) is a primary failure factor [18]. The inability
in delivering the products with new specifications on time is
identified as a challenging issue in manufacturing. Lean
philosophy is not just a set o f tools and practices alone, but
must provide stakeholders (internal and external) the value
they are looking for [18]. Therefore, a major pitfall in lean
implementation is the excessive implementation o f tools and
techniques alone and neglecting the importance of
stakeholders needs [18, 36]. Lean manufacturing requires
flexible layouts, strong infrastructure and efficient utilization
o f machines otherwise a company could face issues o f high
 material losses, unnecessary work-in-process inventories and TABLE I. Ba r r ier s f o r l ea n impl e me n t a t io n a n d ISO 14001
IMPLEMENTATION IN THE MANUFACTURING INDUSTRY
low equipment utilization [18, 24]. The problems with plant
configuration and performance o f machines can put the lean Category Barriers for Lean Barriers for ISO 14001
implementation in jeopardy. Implementation Implementation
Management Poor top leadership Lack o f top management
One shortcoming of ISO 14001 standard is that it lacks an Approach commitment^0, 18, 25, commitment^0, 21, 27, 32, 35,
30, 36, 40] 41]
operational definition o f what constitutes continual
improvement and how can it be assessed. The lack of Lack of top Ambiguity in
management support understanding of
installation or adaptation of advance EMS software packages for the workforce[10, environmental policies
for performance evaluation of management system and 18, 36, 40] and objectives^7, 27, 42]
training program can lim it the successful implementation of Lack o f clear vision, Lack o f top management
an ISO 14001 program [17]. Lack o f technological application goals and future commitment to engage
due to an expensive software and human support owing to in­ strategy for effective the workforce for
competent employees are also the hindering factors for an lean effective implementation
implementation^8, 24, o f ISO 14001[17, 37, 43]
effective implementation of EMS [21, 27]. Many 25]
manufacturing companies are unable in managing pollution Cultural and Lack of Lack o f knowledge
and/or operational wastes attributable to the lack o f familiarity External organizational enhancement through
with latest environmental management technologies [17, 37]. Aspects culture for effective awareness and training of
Furthermore, limited installation o f environmental implementation o f programs[17,21, 27, 32, 35, 42]
lean tools and
measurement and monitoring equipment and inadequate
techniques[10, 18, 36,44]
information for implementation of environmental initiatives Poor awareness and Large amount o f EMS
would also be responsible for poor implementation of ISO training program[10, documentation^7, 27, 35]
14001 [16]. 18, 30, 36, 40, 44]
Demotivation of Lack o f government
D. Availability o f Financial Resources workforce in lean support and incentives[16,
implementation after 22, 32, 35]
The availability o f financial resources is vital for
few years[10, 18]
implementation o f any management improvement initiative
Poor communication Poor communication
especially lean strategy [14, 30]. For example, very limited (internal and (internal and external)[17,
financial resources for implementing a lean initiative is external10, 18,24,40, 44 21, 22, 27]
provided in the developing countries and small manufacturing Technical Problem with plant Lack o f assistance from
enterprises around the world [13, 18, 24]. Furthermore, these Aspects layouts and environmental consulting
companies are reluctant to invest in lean implementation due machines services[21,27]
configurations^8, 45]
to high failure potential o f these projects [13]. Lean Lack o f motivation Hard to install latest
implementation may not be able to achieve its intended for hiring external monitoring and
objectives for training and skill development programs support (consultant measuring instruments[21,
without the financial resources [10, 24]. or professional^18, 40] 27]
Excessive use o f lean Lack o f information
In case o f ISO 14001 implementation as well, enough tools/techniques and about technologies and
financial resources are required to cover the initial cost of neglect in procedures for EMS
adoption and maintenance expenditure. The average cost of involvement of implementation[21, 27, 37]
consultancy expenditures, certification fees and registration stakeholders^8, 36]
Lack o f response to Inefficient external and
audits for ISO 14001 implementation is around US$40,000 in new product mix and environmental
the US [38] and the certification cost is approximately design[18, 451 confirmatory audits[17, 37]
uS$10,000 (small organization) to uS$15,000 (large Financial Lack o f financial High certification,
organization) in food manufacturing [32]. High accreditation Resources support for maintenance and renewal
and renewal expenditures o f the standard especially in times conducting training costs[2°, 32, 35, 42]
of economic crisis are identified as obstacles for firms program[10, 18, 24, 45]
Lack o f financial Uncertainty in financial
adopting EMS [39]. From top management perspective, it is resources for hiring outcomes and benefits
perceived that the initial cost o f adoption and maintenance of external after ISO 14001
ISO 14001 is higher than future financial and environmental consultants[10, 24, 40] certification^1, 27, 39]
benefits in the manufacturing industry [21, 35]. Difficulty in Lack of financial
quantifying potential resources for conducting
IV. D ISCUSSION financial benefits training programs[20, 21, 27,
versus investment 35]
A. Barriers fo r Lean Implementation and ISO 14001 for implementing
Implementation lean[10, 18, 40]

By reviewing existing literature on lean and ISO 14001,
barriers for their implementations are presented below in
Table I under four categories, namely: management approach;
cultural and external aspects; technical aspects; and
availability o f financial resources.
B. Potential Barriers fo r an Integrated Lean and ISO
14001 Implementation
A novel concept of an integrated lean and ISO 14001
implementation strategy has emerged in the last few years and
there is a shortage o f literature on this topic [8, 46]. Barriers
for an integrated lean and ISO 14001 implementation in the
manufacturing industry have not been discussed in literature
so far. Therefore, it is essential to investigate and identify the
potential barriers in implementing lean and ISO 14001 as an
integrated approach. The barriers which hinder the lean and

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 ISO 14001 implementations as individual management
strategies have been discussed in detail in Table I. By
analyzing the individual failure factors o f both strategies and
comparing them together, a list of twenty barriers under the
earlier four categories are suggested for an integrated lean and
ISO 14001 implementation. These are presented in Table II.
TABLE II. Po t en t ia l Ba r r ier s f o r A n I nt eg r a t ed l e a n a n d
ISO 14001 IMPLEMENTATION IN THE MANUFACTURING INDUSTRY
Category Potential Barriers for Integrated Lean and ISO
14001 Implementation
Management Lack o f top management commitment
Approach Top management’s ambiguity in establishing
vision, policies and objectives
Lack o f top management commitment for engaging
the whole workforce
Cultural and Lack o f awareness and training program
External Aspects Lack o f in-house knowledge and competence o f
workforce
Lack o f organizational culture for implementing
procedures and techniques
Lack o f an efficient communication management
Demotivation o f workforce in integrated
implementation after few years (continual
improvement)
Lack o f government support and incentives
Large amount o f documentation
Technical Lack o f motivation for hiring external support
Aspects (consultants or professionals)
Lack o f technical support (installation o f
monitoring and measuring instruments or software)
Poor management o f external reviews and audits
Lack o f technical response to new specifications of
product and design
Excessive utilization o f management procedures
and techniques and neglect in involvement o f
stakeholders
Insufficient knowledge and technical expertise for
implementing technologies and procedures
Financial Uncertainty o f outcomes and benefits
Resources High implementation and maintenance costs
Lack o f financial resources for conducting training
programs
Lack o f financial support to hire consultants or
professionals
In Table II, 12 barriers share a common ground in both
strategies (lean and ISO 14001) and the remaining 8 barriers
are based on either lean or ISO 14001 implementation
challenges. Lack o f government support and incentive,
maintenance of documentation, and external audits and
reviews are considered as critical barriers for ISO 14001
implementation as depicted in Table I. On the other hand, lack
o f organizational culture for procedure implementation, lack
o f response to new product mix and design, and problem with
plant layouts and machines configurations are identified as
failure factors for lean implementation.
The study by [47] shows a positive impact o f integrated
ISO 14001 (requirements and procedure) and lean tools (just­
in-time) implementation on source reduction. The new
specifications o f product and design development along with
the documentation (quality and environment) are maintained
effectively during an integrated implementation of lean tools
and ISO 14001 procedures. Availability of government
support for implementation of lean has yet not been conceived
due to limited understanding of the environmental benefits of
lean projects [45]. However, government support for
implementation of ISO 14001 is considered an incentive from
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an organizational perspective [17, 27]. Additionally, the
frequency o f lean’s audits and evaluation programs are carried
out in a very limited scale in lean projects due to financial
constraints for hiring external consultants [18, 48], whereas in
ISO 14001 it is imperative to undertake such audits and
evaluation. The role o f technical knowledge o f the workforce
in implementing lean and its tools needs an analysis in the
manufacturing facility [36], however this can be a major
impediment in the implementation o f ISO 14001 processes.
The complexity o f evaluation procedures and motivation of
the stakeholders on environmental issues is also perceived as
a potential barrier in EMS deployment [49].
In the above scholarly works, an ambiguous relationship
o f lean with maintenance o f documentation, government’s
support and incentive, and effective utilization of technology
has been established. Parallel to that, a limited relationship of
ISO 14001 with product development (mix and design),
complexity of evaluation procedures, and motivation of
stakeholders has been established for its potential poor
performance. The above 8 critical factors from lean and ISO
14001 can be incorporated in the list of potential integrated
barriers for further empirical investigation.
V. CONCLUSION AND FUTURE D IRECTIONS
Potential barriers for implementing lean and ISO 14001 as
an integrated approach in optimizing the environmental and
operational performance is discussed in this paper. Removal
o f these barriers would help companies in effective utilization
o f resources, minimization o f wastes and reduction of
hazardous emissions. Furthermore, this study contributes in
presenting a holistic lean and ISO 14001 strategy which would
be beneficial to industry practitioners and academia. In future
research, the potential barriers for an integrated lean and ISO
14001 approach must be further examined and empirically
analyzed through the application o f case studies investigation
in the manufacturing industry and compared with the findings
o f this study.
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