Operational resilience and lean: in search of synergies and trade-offs

Seyoum Eshetu Birkie

92 citations0/0 files storedJournal of Manufacturing Technology Management

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Quality and Supply Management Management and Optimization Techniques Supply Chain Resilience and Risk Management

Abstract

Purpose – The purpose of this paper is to investigate synergy/trade-off relationship between lean and operational resilience paradigms upon disruption. Lean and resilience are operationalised with practice bundles and core functions, respectively. Design/methodology/approach – The study uses the Bayesian inference approach to analyse systematically encoded data from firms that faced disruptions in their supply chain. The data were collected from publicly available sources, and encoded using predefined constructs prior to analysis. Findings – Findings show that the synergetic relations between operational resilience and lean in mitigating performance losses outweigh the trade-off. Just-in-time/flow and total productive maintenance lean practices appear to be major sources for the trade-off; there is limited-synergy leveraged on the anticipative (sense) capability of operational resilience. Research limitations/implications – The dependence on secondary data and small sample size are possible limitations. Future research may employ large-scale studies with the same encoding approach by combining both primary and secondary sources. Practical implications – This study implies that companies need not abandon their lean implementation in order to be resilient against unanticipated disruptive circumstances. Most lean practices can be used to leverage agility to mitigate disruptions. Originality/value – This is a first study to empirically compare synergy/trade-off between operational resilience and lean with reference to changes in operations performance upon disruption. It is also a first study to investigate sources of synergy/trade-off at lean practice bundles and resilience core functions level. This is a much more practical level compared to how previous studies have addressed the issue.

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References

2004The Toyota way : 14 management principles from the world's greatest manufacturer 2002Lean manufacturing: context, practice bundles, and performance 2009Understanding the concept of supply chain resilience 2007Defining and developing measures of lean production 2005Managing Disruption Risks in Supply Chains 2004Managing Risk To Avoid Supply-Chain Breakdown 1997Lean Thinking-Banish Waste and Create Wealth in Your Corporation.2005A supply chain view of the resilient enterprise

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2017Effectiveness of resilience capabilities in mitigating disruptions: leveraging on supply chain structural complexity 2020Do not expect others do what you should! Supply chain complexity and mitigation of the ripple effect of disruptions 2018Achieving sustainability through the lean and resilient management of the supply chain 2023Resilience in global supply chains: analysis of responses, recovery actions and strategic changes triggered by major disruptions 2021Supply Chain Resilience Assessment With Financial Considerations: A Bayesian Network-Based Method

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