Employee Perception on Lean Practices in the Internal Supply Chain Performance

In today's highly competitive world where most businesses focus on cost and quality, organizations with efficient and effective supply chains are able to stand out with inherent competitive advantages. To achieve this many organizations adopt lean practices which fundamentally stress on the eli...

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Bibliographic Details
Main Author: Fong, Soon Oon
Format: Thesis
Language:eng
eng
Published: 2013
Subjects:
Online Access:https://etd.uum.edu.my/3826/8/90989.pdf
https://etd.uum.edu.my/3826/14/s90989.pdf
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Summary:In today's highly competitive world where most businesses focus on cost and quality, organizations with efficient and effective supply chains are able to stand out with inherent competitive advantages. To achieve this many organizations adopt lean practices which fundamentally stress on the elimination of non-value added tasks (such as unwanted transportation, extra processing, excess motion, repairs on defects, over production, excess inventory and incidents of waiting or delays). Nevertheless, the introduction of lean practices in any organization is often accompanied by changes in the working environment. These changes influence the people working there. This dissertation looks into the perceptions of the workers, in a case study site (a Japanese Multi-National Corporation situated in Penang, Malaysia producing semi-conductor devices), on the lean practices implemented in the internal supply chains. The study compared the perceptions using a self administered questionnaire. Perceptions of those highly exposed to lean practices were compared against the perceptions of those with low exposure. A Significant difference, in the perceptions of those who had high exposures to lean practices as compared to those with low exposures pertaining to the internal supply chain performances, was found. The perceptions obtained proved useful as empirical studies showed negative implications such as the deterioration in employee emotions, attitudes, behaviors, commitments and turnovers. Moreover, the perceptions of the employees and the employers also did not match. Observations and interviews carried out are displayed in the paper to support and explain the findings. The body of knowledge from the empirical data collected in this study and its interpretation should prove useful for both academics exploring similar fields or leverages and practitioners keen on implementing lean practices or planning to learn from others. Actual cases of how lean practices affect the internal supply chains are quoted. These cases complement the many academic articles discussed throughout the dissertation. Useful recommendations have been put forth which could be used for improving the internal supply chain performances of other organizations. The recommendations encompass areas such as resource allocations, mind-set changes, training, personnel and lean practice implementation strategies