A study of lean six sigma implementation on improving automotive operational performance

As global competition continues to grow, the pressure to improve to be the best becomes more and more intense. Thus, a combination of both Lean and Six Sigma which is called Lean Six Sigma (LSS) is born. This LSS method provides an over-arching improvement philosophy that incorporates powerful data-...

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Main Author: Koay, Boon Hui
Format: Undergraduates Project Papers
Language:English
Published: 2016
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Online Access:http://umpir.ump.edu.my/id/eprint/16023/1/24.A%20study%20of%20lean%20six%20sigma%20implementation%20on%20improving%20automotive%20operational%20performance.pdf
http://umpir.ump.edu.my/id/eprint/16023/
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spelling my.ump.umpir.160232023-03-09T01:45:39Z http://umpir.ump.edu.my/id/eprint/16023/ A study of lean six sigma implementation on improving automotive operational performance Koay, Boon Hui HD28 Management. Industrial Management As global competition continues to grow, the pressure to improve to be the best becomes more and more intense. Thus, a combination of both Lean and Six Sigma which is called Lean Six Sigma (LSS) is born. This LSS method provides an over-arching improvement philosophy that incorporates powerful data-driven tools to solve problems and create rapid transformational improvement at lower cost. However, there are very few researches on LSS in Malaysian automotive industry. There still exists the gap in the body of knowledge in LSS in Malaysian automotive industry context which needs to be filled. Therefore, this research is aimed to investigate the practices of LSS implemented in a Malaysian automotive company, Vacuumschmelze (Malaysia) Sdn Bhd to identify the challenges of implementing LSS in Malaysian automotive company and to examine the impacts of LSS implementation on improving automotive company’s operational performance. First, a conceptual framework was developed based on a review of the literature, where “Define, Measure, Analysis, Improve, and Control’’ (DMAIC) are set as independent variables while operational performance (OP) variables including Cost and Waste Reduction (OPC), Quality (OPQ), Flexibility (OPF), Delivery (OPD), and Productivity (OPP) are dependent variable. While forming research design, interview with five interviewees from top management are carried out and 64 questionnaires are collected from employees in related department. Then, both of content analysis and statistical technique are used to analyse those data. Generally, all research objectives have been achieved. Through data collected from interview, different key processes and tools of LSS are found out in “Define, Measure, Analyse, Improve and Control” (DMAIC) stages. Challenges that are faced during implementation of LSS in the case study company include budget and time constraints, resistance from employees, fractured organizational culture, shortage of black belt, green belt and yellow candidates and picking the “right” projects. Beside this, findings also shown that LSS implementation brings positive impacts toward operational performance. Finally, managerial implication and recommendation for future study are proposed. 2016-01 Undergraduates Project Papers NonPeerReviewed pdf en http://umpir.ump.edu.my/id/eprint/16023/1/24.A%20study%20of%20lean%20six%20sigma%20implementation%20on%20improving%20automotive%20operational%20performance.pdf Koay, Boon Hui (2016) A study of lean six sigma implementation on improving automotive operational performance. Faculty of Industrial Management, Universiti Malaysia Pahang.
institution Universiti Malaysia Pahang
building UMP Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Malaysia Pahang
content_source UMP Institutional Repository
url_provider http://umpir.ump.edu.my/
language English
topic HD28 Management. Industrial Management
spellingShingle HD28 Management. Industrial Management
Koay, Boon Hui
A study of lean six sigma implementation on improving automotive operational performance
description As global competition continues to grow, the pressure to improve to be the best becomes more and more intense. Thus, a combination of both Lean and Six Sigma which is called Lean Six Sigma (LSS) is born. This LSS method provides an over-arching improvement philosophy that incorporates powerful data-driven tools to solve problems and create rapid transformational improvement at lower cost. However, there are very few researches on LSS in Malaysian automotive industry. There still exists the gap in the body of knowledge in LSS in Malaysian automotive industry context which needs to be filled. Therefore, this research is aimed to investigate the practices of LSS implemented in a Malaysian automotive company, Vacuumschmelze (Malaysia) Sdn Bhd to identify the challenges of implementing LSS in Malaysian automotive company and to examine the impacts of LSS implementation on improving automotive company’s operational performance. First, a conceptual framework was developed based on a review of the literature, where “Define, Measure, Analysis, Improve, and Control’’ (DMAIC) are set as independent variables while operational performance (OP) variables including Cost and Waste Reduction (OPC), Quality (OPQ), Flexibility (OPF), Delivery (OPD), and Productivity (OPP) are dependent variable. While forming research design, interview with five interviewees from top management are carried out and 64 questionnaires are collected from employees in related department. Then, both of content analysis and statistical technique are used to analyse those data. Generally, all research objectives have been achieved. Through data collected from interview, different key processes and tools of LSS are found out in “Define, Measure, Analyse, Improve and Control” (DMAIC) stages. Challenges that are faced during implementation of LSS in the case study company include budget and time constraints, resistance from employees, fractured organizational culture, shortage of black belt, green belt and yellow candidates and picking the “right” projects. Beside this, findings also shown that LSS implementation brings positive impacts toward operational performance. Finally, managerial implication and recommendation for future study are proposed.
format Undergraduates Project Papers
author Koay, Boon Hui
author_facet Koay, Boon Hui
author_sort Koay, Boon Hui
title A study of lean six sigma implementation on improving automotive operational performance
title_short A study of lean six sigma implementation on improving automotive operational performance
title_full A study of lean six sigma implementation on improving automotive operational performance
title_fullStr A study of lean six sigma implementation on improving automotive operational performance
title_full_unstemmed A study of lean six sigma implementation on improving automotive operational performance
title_sort study of lean six sigma implementation on improving automotive operational performance
publishDate 2016
url http://umpir.ump.edu.my/id/eprint/16023/1/24.A%20study%20of%20lean%20six%20sigma%20implementation%20on%20improving%20automotive%20operational%20performance.pdf
http://umpir.ump.edu.my/id/eprint/16023/
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score 13.144533