A framework to assess the effectiveness index (EI) of the Indian SMEs to integrate lean and sustainability through combined fuzzy logic and systems approach

Abstract

PurposeTo become a sustainable lean manufacturing (LM) system, an organization must be first distinctly cognizant of the terms “lean” and “sustainability” as they relate to the state of affairs of their particular industry and business. Next, the organization must identify and acquire the necessary qualities it needs to become sustainable in lean philosophy and its practices in the organization. The LM paradigm has been a top priority for many businesses; thus, this article is based on actual research done in Indian small and medium scale organizations to see how widely it is understood and implemented.Design/methodology/approachA framework was developed based on literature review and academic research. A preliminary analysis of a small number of small and medium-sized enterprises (SMEs) that, conceptually, summarizes and demonstrates the concerted efforts that a company may undertake to increase its leanness. This conceptual model was employed to create a questionnaire that was administered to survey the SMEs of India. The information gathered through this questionnaire was analyzed using the model developed by the researchers. Then fuzzy logic and systems approach were used to find out the effectiveness index (EI) of the organization.FindingsThe EI for system leanness at different organizational levels within an organization is determined using fuzzy logic and systems approach for 48 SMEs in different clusters. The average EI of the system was found to be 0.336 on a scale of 0–1 which indicates that the current state of lean implementation and its sustainability is very low and poor in Indian SMEs. This article outlines the key model components and describes how they were applied to analyze the data gathered from an industry study.Research limitations/implicationsThe research aims to make lean continuously sustainable by surfacing and eliminating the wastes in the Indian SMEs whenever it appears rather than using it as a cleaning tool. The present study was focused on India’s southern industrial areas and it was difficult to gather the information around the country due to its diverse industrial culture and geography. Hence, more research and the comparative study of the same that takes into account the various regions of the nation’s industrial lean behavior can be conducted.Practical implicationsThe generalized sustainable lean framework analyzed using fuzzy logic and systems approach gives the current effectiveness of the leanness in SMEs of south India. This model can be effectively implemented in other areas of the nation to identify the scenario of lean and its sustainability and a final comprehensive model can be developed.Originality/valueThere is a dearth of comprehensive studies on the assessment of sustainability of the lean philosophy in Indian SMEs. With the help of combined fuzzy logic and systems approach, the model developed in this study evaluates the sustainability of the lean methodology using the EI used in SMEs by taking into account both the lean and sustainability factors as well as enablers like customer satisfaction, ethics, innovation and technology.