Contextual factors on Toyota Way and Agile Manufacturing: an empirical investigation

Abstract

This research aims to examine the differences across selected contextual factors on the Toyota Way (TW), agile manufacturing (AM) and their sub-elements. These factors include firm size, nationality of firms, production approaches, IATF 16949 - an international quality management certification in the automotive industry, supplier tiers in supply chains, export levels, and import levels. A survey instrument was developed based on literature, then verified by experts and statistical techniques. ANOVA and independent samples t-test were used to explore the differences across contextual factors of 216 automotive part manufacturers on TW, AM, and their elements. It revealed that there were significant differences across firm size, nationality of firms, and export levels on overall TW, AM and most sub-elements. Insignificant differences across production approaches and IATF 16949 on overall TW, AM and their sub-elements were found. Firms with different contextual factors require different levels of TW, AM and sub-elements. Managers should apply TW and AM elements at suitable levels in accordance with their organizational contexts.This is one of the first studies to empirically investigate the differences across the contextual factors on TW, AM and sub-elements in the same paper from a socio-technical perspective. This study can be used as a basis for further research on integrative practices between lean and agile (leagile) manufacturing.