Impact of Lean Management Implementation Practices on Operational Performance: An Empirical Study of the Pharmaceutical Industry in Sri Lanka

Abstract

The purpose of this paper is to investigate and explore lean management implementation practices for operational performance in the pharmaceutical industry in Sri Lanka. The study investigates the impact of lean management implementation practices with the lean bundle on the operational performance of each business unit of the pharmaceutical industry. The methodology study has been conducted with 412 business unit managers of the pharmaceutical industry. SPSS has been used for descriptive statistics. The AMOS version has been used for structural equation modelling. SEM technique has been used to develop the measurement model. This study has investigated how lean management practices have an impact to gain operational performance in the pharmaceutical industry in Sri Lanka. Lean management practices have implemented the lean bundle TQM, HRM, JIT, and TPM to succuss the operational performance. This study has been limited only to the pharmaceutical industry in Sri Lanka and measured lean management with the lean bundle. Also, operational performance has been measured with seven dimensions. The findings of this study have given a high value to implementing lean management using the lean bundle. This lean bundle can be used to gain high operational performance in any industry.