Integrated management systems in Indian manufacturing organizations

Examining the link between integrated management systems and firm performance: do the integration strategies matter?

Purpose

This study attempts to examine the performance differences between firms with and without integrated management systems (IMSs), and the impact of three integration strategies (i.e. implementing quality management system (QMS) first, then environmental management system (EMS) (QMS + EMS); implementing EMS first, then QMS (EMS + QMS); implementing QMS and EMS simultaneously (QMS − EMS)) on firm performance to reveal the IMS–performance relationship and provide empirical evidence.

Design/methodology/approach

Two panel datasets were collected during 2009–2019. This study used the Mann–Whitney non-parametric test and a sample of 33,155 observations from 4,316 Chinese listed firms to compare the performance differences between the IMS and non-IMS groups through performance indicators. This study also examined the effects of three integration strategies on firm performance using a cross-sectional time-series feasible generalized least squares (FGLS) regression model and a sample of 11,289 observations from 2,037 firms.

Findings

The results show that significant performance differences exist between IMS and non-IMS firms; however, the performance of firms with an IMS is not always better than that of firms without IMS. Furthermore, the simultaneous integration strategy has a positive impact, whereas sequential integration strategies (QMS + EMS and EMS + QMS) negatively affect firm performance. Compared with the EMS + QMS strategies, the QMS + EMS strategies have a more prominent effect on firm performance. Simultaneous strategies are more effective than sequential strategies.

Practical implications

Firms should fully consider the potential benefits and costs associated with the difficulties of IMS implementation and the implementation order of different management systems and the potential effects of the management systems in different conditions. Firms also should try to develop internal capabilities through implementing different integration strategies.

Originality/value

By comparing performance differences between firms with and without IMS, this study enriches the understanding of the performance benefits of IMS implementation in the Chinese context. By examining the impact of integration strategies that follow different sequences on firm performance, this study promotes an in-depth understanding of the integration strategies and their performance implications beyond simple descriptions and also provides new insights into operations strategy models.

The linkage between corporate social responsibility and the main benefits obtained from the integration of multiple management systems in Bangladesh

Purpose

The aim of this study is to investigate the perceived benefits offered by integrated management system (IMS) in the readymade garments (RMG) sector in Bangladesh and the respective linkage with corporate social responsibility (CSR) to promote sustainable development. This study presents a list of IMS benefits composed of different international management standards according to ISO 9001:2015, ISO 14001:2015, OSHAS 18001: 2007 and SA 8000:2014.

Design/methodology/approach

To identify the possible benefits of IMS, a systematic literature review was conducted from 2009 to 2019, namely, in the database of Elsevier, Emerald and John Wiley. A questionnaire survey was developed with the purpose of examining the perceived main benefits of IMS. The questionnaire was e-mailed to 355 representatives of 15 RMG sectors in Bangladesh. A total of 256 complete and useable responses were received, constituting the base of this work. Subsequently, statistical analysis was conducted using SPSS 20 software.

Findings

The main findings of the present study show that the most important five benefits of IMS in RMG sector in Bangladesh are better capacity to achieve organization’s objectives, optimum use of various resources, business sustainability, synergies of different management policies and reduction of duplication efforts.

Practical implications

Two major limitations of the study are as follows: first, it is not a longitudinal study; second, IMS benefits were examined in the national sector context. The present study has both theoretical and practical implications. The study presents a comprehensive list of IMS benefits that contribute to the existing literature from a theoretical point of view. On the other hand and from a practical point of view, this study encourages managers to implement IMS in their organizations.

Originality/value

This study helps in understanding the contribution of IMS benefits to cleaner production and CSR in Bangladesh. The focus on the benefits of IMS in the RMG sector in Bangladesh is another significant aspect of this study because it promotes the development of environmental policies linked to CSR with stakeholder engagement, as a driver to sustainable development.

The Identification of Common Models Applied for the Integration of Management Systems: A Review

The paper presents a synthesis of strategies, benefits, and barriers in the integration management systems (IMS) implementation at the organizational level. The research is based on an assessment of 103 papers, 7 books, 12 standards, and 7 sites. The analysis of works aims to highlight the common integration models of several IMS, aspects related to IMS implementation, benefits of IMS implementations, and the nature of integration strategies. The research results present valuable information which can be used by top managers of organizations, certification bodies, and consulting organizations to encourage the implementation of integrated management systems.

Extrovert integrated management systems

Purpose

The purpose of this research is twofold; firstly, to propose and test a measuring instrument for the efficient and effective integration of management systems (MSs), identifying the particular aspects that may distinguish the substantive (internalized) from the superficial (ceremonial) integration; and secondly, to propose and test a scale for corporate sustainability performance (CSP).

Design/methodology/approach

A literature review has identified pertinent variables and yielded relevant measuring items. A field survey has been conducted. The survey instrument has been administered to Greek organizations certified to two or more MS standards. Collected data from 280 respondents has been processed using exploratory factor analysis.

Findings

Internalization has been identified as the main construct to interpret substantial MS integration in terms of resources and the extent of integration. The extracted internalization factors are human resources, strategic resources, information systems, integration tools, outsourcing, internal processes integration level and audits' integration level. CSP has been operationalized in terms of the company's relationships with its stakeholders. The extracted CSP factors are customer–supplier relationship, the employees, investors/shareholders, financial institutions, the environment, state and society.

Practical implications

This research findings can be used by management professionals, certification bodies and governmental authorities in order to foster the implementation of multiple MSs and highlight the critical issues for their successful integration and internalization, which is imperative for their prosperity and contribution toward CSP. Practitioners are also provided with an instrument to monitor CSP through the company's relationships with its stakeholders toward satisfaction of their needs.

Originality/value

To the best of the authors' knowledge, this is the first empirical study on the internalization of integrated MSs. In addition, the development of a CSP scale intends to bring together corporate sustainability management with CSP.

Approach to integrating management systems

Purpose

The purpose of this paper is to develop an integrated management system that addresses the shortcoming revealed in the previous approaches of the IMS in literature.

Design/methodology/approach

This paper is based on the methodology of literature review analysis, proposition of an approach based on theory by the standards’ cross-references and on practice by the analysis of the real work and the use of the System Modeling Language (SYSML), the computer tool for the engineering system modeling.

Findings

An integration approach based on theory and practice in the automotive sector, integrating IATF 16949:2016, ISO 14001:2015, ISO 45001:DIS and some aspects of ISO 26000 is proposed. The proposed approach initiates the use of the SYSML in the IMS development. The model is intended to societies that seek to be sustainable and responsible toward environment and community. The link of the IMS model created with the European Foundation for Quality Management excellence model highlights the fact that the factors of excellence, especially the enablers, are covered by the requirements of the IMS.

Originality/value

This paper is the first approach of IMS that includes ISO 45001 (draft), uses the SYSML and sheds light on the link of excellence and IMS. The paper is the first detailed approach of IMS that addressed car manufacturer.

Management systems integration: survey results

Purpose

The purpose of this paper is to report the results from a survey carried out among Portuguese companies with their management systems (MSs) certified according to, at least two of the following standards: ISO 9001, ISO 14001 and OHSAS 18001. In addition, the results from a second survey conducted amid a group of experts that pointed out several aspects that impact on the integration level will be dissected.

Design/methodology/approach

The phenomenon of MSs integration is hardly transferable to a contained environment so some of the common research methods traditionally adopted include case studies, surveys, interviews and observation in situ. The findings from two surveys online among Portuguese companies and Portuguese experts are reported in the current paper.

Findings

The results suggest that a set of common characteristics is present on the majority of the surveyed companies. On first hand, there is evidence of an effective integration of the policies and the existence of an integrated system manager on the organizational structure of the companies. On the other hand, results suggest that training was provided to top management concerning integration issues, an integrating concept was taken into account during the implementation process and tools, and methods and objectives of the subsystems are aligned.

Research limitations/implications

This paper addresses the issues raised in the mainstream scientific bibliography through the collection of information amidst Portuguese companies. At this stage, it is not possible to infer at which extent the conclusions may be transferable to other geographic contexts. The small number of companies that completed the survey precludes the statistical generalization of the findings but the analytical generalization is not impaired.

Originality/value

The authors believe that the conclusions of this paper may aid both practioneers and scholars in the understanding of a complex but manageable organizational phenomenon. In addition, through the contents of this paper companies may collect information regarding the pertinent issues to address when developing their IMSs.

Integrated management systems – interpretations, results, opportunities

Purpose

The purpose of this paper is to study how the expression “integrated management systems” is interpreted in literature, what it means to have an integrated management system (IMS) and what the results of this are.

Design/methodology/approach

A literature review was conducted based on Scopus using the search term “Integrated Management Systems.” In the chosen articles, effects of integration, scope, level and extent of integration and if the approach is inside-out or outside-in, have been analyzed.

Findings

Most articles on IMS conclude that integration is beneficial regarding cost saving, operational benefits and improved customer satisfaction. The general approach in the articles, describes an inside-out approach with focus on integrating existing management standards. The scope of integration covers typically management systems for quality, environment and occupational health and safety.

Practical implications

An IMS is found to be a system that integrates existing management standards based on an inside-out approach. This indicates possibilities for both practical improvement and research in exploring how integrated stakeholder needs could be managed, possibly as process-based IMSs.

Originality/value

This paper sheds light on the ambiguous interpretation of the IMS concept.

Food integrated management systems: dairy industry insights

Purpose

The purpose of this paper is to study the management systems integration from both sector and size perspectives.

Design/methodology/approach

Extant literature is reviewed focussing on food-related management topics. A single case is used to delve into the understanding of integrated management systems (IMSs) using the contingency approach. Data are drawn from documents and archives, on-site observations and by interviewing employees of all hierarchy levels.

Findings

This case shows how size and sector-related constraints may condition integration in terms of IMS scope, strategy, level, audits, resources, motives, benefits and difficulties. Traceability is identified as an integration “catalyst” for multiple MSs in food companies. It is further discussed, how an environmental management system would be embedded within the existing integrated structure.

Research limitations/implications

Conclusions bring to light the sustained business leverage provided by food IMSs. Thus, food industry managers are driven to streamline the quality, food safety and environmental processes following an IMS approach. Future research on multiple cases of different size would reflect a wider IMS sector-specific perspective. Research on other sectors is expected to provide different particular aspects of integration, as well.

Originality/value

To the best of the authors’ knowledge, this is the first in-depth study on the adoption of an integrated generic and sector-specific MS from the contingency perspective. The case visualizes the contribution of integration when addressing the critical food safety and quality operations and the significant environmental aspects.

Model based integration of management systems (MSs) – case study

Purpose

The purpose of this paper is to present a case study regarding the deployment of a previously developed model for the integration of management systems (MSs). The case study is developed at a manufacturing site of an international enterprise. The implementation of this model in a real business environment is aimed at assessing its feasibility.

Design/methodology/approach

The presented case study takes into account different management systems standards (MSSs) progressively implemented, along the years, independently. The implementation of the model was supported by the results obtained from an investigation performed according to a structured diagnosis that was conducted to collect information related to the organizational situation of the enterprise.

Findings

The main findings are as follows: a robust integrated management system (IMS), objectively more lean, structured and manageable was found to be feasible; this study provided an holistic view of the enterprise’s global management; clarifications of job descriptions and boundaries of action and responsibilities were achieved; greater efficiency in the use of resources was attained; more coordinated management of the three pillars of sustainability – environmental, economic and social, as well as risks, providing confidence and added value to the company and interested parties was achieved.

Originality/value

This case study is pioneering in Portugal in respect to the implementation, at the level of an industrial organization, of the model previously developed for the integration of individualized MSs. The case study provides new insights regarding the implementation of IMSs including the rationalization of several resources and elimination of several types of organizational waste leveraging gains of efficiency. Due to its intrinsic characteristics, the model is able to support, progressively, new or revised MSSs according to the principles of annex SL (normative) – proposals for MSSs – of the International Organization for Standardization and the International Electrotechnical Commission, that the industrial organization can adopt beyond the current ones.

Primary knowledge management practices applied in Brazil, Russia, India and China (BRIC) industries from 2001-2010

Purpose

This study aims to expose the main knowledge management (KM) practices applied in BRIC (Brazil, Russia, India and China) industries using scientific literature published in the Scopus database from 2001 to 2010.

Design/methodology/approach

A search was performed in papers selected from the Scopus database, which houses the KM practices of industries in BRIC countries.

Findings

The results show that Brazil, Russia and India have an easier way of converting tacit knowledge into explicit knowledge compared to China, where informal relationships of trust and friendship play a special role within organizations, as well as where the political structure (communism) is an intervening factor. Brazil, Russia and India practice similar KM mechanisms such as the use of technology, process standardization and electronic data management. They also model the positive experiences of western companies. In China, interpersonal relationships shape the tacit and explicit features of organizations.

Research limitations/implications

The methodological filter could potentially limit the volume of responses, as not every case study can demonstrate the usual practices of KM. Empirical studies are able to capture the nuances and even provide a holistic picture of these practices.

Practical Implications

The results have practical implication, in particular. They are expected to help managers and workers to better comprehend KM practices in BRIC countries or even suggest new KM practices in the business.

Originality/value

The main discussion of this paper brings together a large range of KM practices applied in BRIC, addressing similarities and differences between KM deployments.

From IMS and six sigma toward TQM: an empirical study from Serbia

Purpose

– The purpose of this paper is to present the current status of a quality management practice in Serbia, in terms of the development and application of integrated managements systems (IMS), and research and implementation of Six Sigma and the related techniques.

Design/methodology/approach

– Two main aspects of total quality management (TQM) have been considered: institutional (organisational or strategic) aspect that corresponds to standardised management systems and their integration, and technical (quality engineering) aspect whose main contributor is Six Sigma. The findings of a comprehensive study on IMS implementation in Serbia have been presented, based on the results of a questionnaire that was sent to 54 organisations during 2013. Also, the significant technical improvements and tangible benefits of a recently conducted Six Sigma project were shown, including the application of the advanced quality engineering techniques within DMAIC method.

Findings

– Good QM practice in Serbia is improving, both in terms of the organisational (IMS) and technical (Six Sigma) aspect, that server as a good basis for the adoption of TQM in manufacturing companies from various sectors. It could be anticipated that these results will facilitate the adoption of an overall TQM culture in Serbia and leverage its future sustainability.

Originality/value

– This paper offers key insights into IMS and Six Sigma implementation in Serbia. This could encourage manufacturing organisations in developing countries to adopt IMS and Six Sigma, in order to boost the overall TQM culture and gain a competitive advantage.

Effects of a production improvement programme on global quality performance

Purpose

– How can multinational companies become more productive on a global scale? The purpose of this paper is to investigate whether a production improvement programme can improve quality performance in a global network of factories. Specifically, the paper analyses the effects of the Volvo Group's production improvement programme on global quality performance.

Design/methodology/approach

– The research approach is a case study of the Volvo Production System (VPS). The paper analyses the effects of the programme on global quality performance, using data from an implementation audit and a questionnaire survey. The paper triangulate the analysis with longitudinal quality performance data from three different plants.

Findings

– The paper finds a significant and strong positive relationship between implementation of the VPS and improvements in both process quality and product quality. Hence, the paper suggests that tailored production improvement programmes have clear positive effects on global quality performance.

Research limitations/implications

– As with all case studies, the paper should use caution when generalising beyond the specific case. However, the Volvo Group is a broad and diversified corporation, which mitigates this limitation.

Originality/value

– While many studies have investigated the effect of production improvement programmes on performance, very few have looked at the effect of a corporate multi-plant programme. This study represents one of the first attempts to do so. The paper also provides a case description of the VPS that readers might find valuable in its own right.