Effect of SCF on automobile industry performance during sales promotional schemes

Prioritization and ranking of lean practices: a case study

Purpose

The paper aims to identify, prioritize and rank lean practices in the context of an Indian automotive component manufacturing organization using interpretive ranking process (IRP) and interpretive structural modeling (ISM) approaches.

Design/methodology/approach

Lean practices are identified from the literature. Then, two hierarchical models were are developed using two distinct modeling approaches – ISM and IRP with expert opinions from an Indian automotive component manufacturing organization to analyze the contextual relationships among the various lean practices and to prioritize and rank them with respect to performance dimensions.

Findings

In the study, the hierarchical structural models are developed using ISM and IRP approaches for an Indian automotive component manufacturing organization. In ISM-based modeling, lean practices can be categorized into five levels. Top priority should be given to the motivators followed by value chain, system/technology and organization centric practices. IRP model shows the dominance relationship among the various lean practices with respect to performance dimensions.

Practical implications

The models are constructed from the organizational standpoint to evaluate their impact to the implementation of lean manufacturing. The study leverages the organizations to prioritize limited resources as per the hierarchy. Managers get the inter-linkages and ranking of various lean practices, which leads to a better perspective for the effective implementation of lean. The structural models also assist management to assign proper roles to employees/departments for effective lean implementation.

Originality/value

There is hardly any structural model of lean practices in the literature for clustering, prioritizing and ranking of lean practices. The study fills this gap and develops the hierarchical models of lean practices through IRP and ISM approaches for an Indian automotive component manufacturing organization. The results from both approaches are compared for illustrating the benefits of one over the other.