Purpose: The purpose of this paper is to investigate the application of Lean Six Sigma in the continuous process industry, taking insight into the food processing industry; and to evaluate the impact of Lean Six Sigma on environmental sustainability. We present observations and experiences from the application of Lean Six Sigma at a Norwegian dairy producer, with the aim of bringing out pertinent factors and useful insights that help us to understand how Lean Six Sigma can contribute towards greater environmental sustainability in this industry type, something that is so far lacking in the extant literature.Design/methodology/approach: We adopt a single, longitudinal field study approach as we observe an entire cycle of the VSM-DMAIC Lean Six Sigma process, which evolved over a six-month period at the dairy. Findings:We highlight some of the important elements that should be considered when using LSS as a contributor towards greater environmental sustainability in fresh food supply chains. We also present some of the specific outcomes and key success criteria that became apparent to the implementation team following the deployment of the VSM-DMAIC approach. Originality/value:We demonstrate how Lean Six Sigma can be applied in the food processing industry as a contributor to greater environmental sustainability. We also make 2 useful reflections regarding the success criteria that can be used by researchers and practitioners for the effective deployment of such an approach, particularly in the continuous process industry.
Lean production and enterprise resource planning systems are often quoted as being the two most important strategies for achieving competitive advantage in today's global manufacturing environments. Though IT has traditionally been viewed as a contributor to waste within lean production, we suggest that modern developments in IT and the onset of hybrid "push-pull" production control mechanisms have allowed ERP and lean approaches to converge towards a state where ERP systems can in fact be used to support the deployment of lean practices. This paper analyses typical lean and ERP implementation processes contained within the scientific literature, and by further examining a concurrent implementation process in real-time, we develop and propose a process for ERP-based lean implementations. Our findings suggest that the implementation of a contemporary ERP system can act as a catalyst for the application of lean production practices.
Purpose – The purpose of this paper is to understand how companies design sales and operations planning (S & OP) contingent on the planning environment (PE). Design/methodology/approach – On the basis of the literature, the paper creates an analytical framework identifying the main constructs related to the PE and S & OP design, which is the basis for gathering and analysing qualitative data from eight cases in the food industry. The findings highlight the relations between S & OP and the PE, and are used for generating three propositions. Findings – Responding to the complex and uncertain PE, the companies set up S & OP on a stock-keeping unit (SKU) level, with the possibility of re-planning and a flexible planning horizon, thus differing from what has generally been suggested in the literature. In addition, the companies are aligning the inputs, activities, and outcomes of the S & OP process to the PE. Particularly important environmental contingencies are uncertainty connected to demand and supply, frequent product launches, and production network complexity. Product-related variables have a lower impact on the S & OP design. Research limitations/implications – The present study is limited to one industry only and a comparison between industries with larger data sets would be valuable in future studies. The study selected cases based on their S & OP maturity; further studies need to explore the effect of the alignment of S & OP and the PE on the planning performance. Originality/value – In the literature, S & OP is presented as a generic process with a strict formal design that is equal for all companies. The study provides insights into how companies adjust S & OP according to the PE.
Purpose -This paper explores tactical planning in grocery retailing and proposes how process and integration mechanisms from sales and operations planning (S&OP) can enhance retail tactical planning. Design/methodology/approach -This work follows an explorative design with case studies from the grocery retailing industry in Finland, Norway, and the UK. Findings -The tactical planning process focuses on demand management and securing product availability from suppliers in order to reach sales targets. Less attention is directed towards balancing supply and demand or towards providing a single plan to guide company operations. Planning appeared to be functionally oriented with limited coordination between functional plans, but it did include external integration that improved forecast accuracy.Research limitations/implications -The study involves grocery retailer cases with variable level of S&OP maturity. The propositions need to be investigated further through action research or additional case studies to confirm their validity. Practical implications -The study proposes a design of an S&OP process in retailing and propositions for improving tactical planning integration. Originality/value -The study complements research on retail tactical planning by taking planning process and integration viewpoints. The research suggests that retailers would benefit from a formal and company-wide S&OP process to unify different market-oriented plans to a single set of numbers, thus better balancing supply and demand without sacrificing the emphasis on demand planning.
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