Abstract:
Lean Manufacturing System (LMS) implementations in Malaysia’s automotive industry has not been extensive in its expected reach, as extensive inquiries revealed it being adopted as a “pick-and-choose” system for certain processes or only upon determined levels within the industry. Current implementation strategy does not permit the industry to gain total benefits from the system itself. Undeniably, a few significant factors are being given less significance in multiple stages of LMS’ execution. Employee involvement and employee empowerment have been identified as part of these contributing factors in a successful implementation of LMS in an organization. However, important criterion with its contributing aspects of these factors is not given the necessary attention, translating into a lamer impact upon companies embarking on a LMS deployment. This paper examines the impact of these two factors in the implementation of a lean manufacturing system towards achieving the organizational performances in the automotive industry. A questionnaire-survey was administered to gauge the impact of these two factors in an implementation process of a lean manufacturing system and later analyzing the effect towards their organizational performances. Data from 204 automotive parts manufacturers were gathered and analyzed. The correlation between the influencing factors, 5 lean activities and 6 organizational performances were measured. The results gained suggest that the integration between employee involvement and employee empowerment will be a valuable critical organizational capability impacting organizational performances towards the successful implementation of LMS in the Malaysian automotive industry.
