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Impact of Lean Manufacturing Practices on Firms’ Sustainable Performance: Lean Culture as a Moderator

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  • Mohammad Iranmanesh

    (Graduate School of Business, Universiti Sains Malaysia, Penang 11800, Malaysia)

  • Suhaiza Zailani

    (Faculty of Business and Accountancy, University of Malaya, Kuala Lumpur 50603, Malaysia)

  • Sunghyup Sean Hyun

    (School of Tourism, Hanyang University, Seoul 133-791, Korea)

  • Mohd Helmi Ali

    (Faculty of Economics and Management, Universiti Kebangsaan Malaysia, Selangor 43600, Malaysia)

  • Kwangyong Kim

    (Korean Standards Association, Seoul 08056, Korea)

Abstract

Nowadays, manufacturing firms are pressured by governments, non-governmental organizations and customers to operate in a sustainable manner. Although lean practices may provide environmental, social, and financial benefits to firms, their effect on sustainable performance is ambiguous. The aim of this study is to examine the effect of lean manufacturing practices on firms’ environmental performance by considering lean culture as a moderator. Data were gathered through a survey of 187 manufacturing firms in Malaysia and were analyzed using the partial least squares technique. The results indicate that process and equipment, product design, supplier relationships, and customer relationships have a positive and significant effect on sustainable performance. It is also interesting to observe that lean culture positively moderated the effects of process and equipment and supplier relationships on sustainable performance. These results have important implications for enhancing the sustainable performance of manufacturing firms through lean manufacturing practices.

Suggested Citation

  • Mohammad Iranmanesh & Suhaiza Zailani & Sunghyup Sean Hyun & Mohd Helmi Ali & Kwangyong Kim, 2019. "Impact of Lean Manufacturing Practices on Firms’ Sustainable Performance: Lean Culture as a Moderator," Sustainability, MDPI, vol. 11(4), pages 1-20, February.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:4:p:1112-:d:207674
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    References listed on IDEAS

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