Operational excellence framework for sustainability in the organisation: a design science approach

Abstract

Sustainable operational excellence (OPEX) initiatives result in a competitive advantage by optimising the use of resources, contributing to profitability, and leading to expanded growth of organisations. OPEX being a practice-led initiative has no standard framework leading to sustainable OPEX efforts in organisations. In this study, we employ the Design Science Research (DSR) approach to develop a framework to assess the sustainability of OPEX initiatives in an organisation. The proposed framework evaluates OPEX initiatives based on operational, economic, environmental, and social sustainability criteria. Besides, the enablers for the sustainability of OPEX initiatives are identified. The enablers, as well as multidimensional assessment criteria of OPEX initiatives, help the organisation develop a methodological approach for implementing sustainable OPEX solutions. The current success rate for OPEX initiatives in organisations has been dismally poor, and the proposed framework will help improve the success of OPEX efforts. Practitioners can use the proposed framework first to assess their organisational readiness in terms of enablers before implementing OPEX initiatives and evaluate qualitatively and quantitatively to obtain a multidimensional perspective for sustainable solutions. The frameworks proposed in prior studies are predominantly conceptual. This study used the DSR methodology to demonstrate the validity of the proposed framework.

Keywords:

• Operational excellence
• sustainability
• design science research
• triple bottom line approach

Acknowledgment

The authors thanks all the respondents in the participating companies and top management for the permission to carry out the research. We also thank the reviewer and editors for constructive suggestion which have improved the paper.

Additional information

Notes on contributors

Subhash Naik

Dr. Subhash S Naik (PhD, ME, MBA, BE) is a Heading the Operational Excellence, Process Improvement & Business Excellence professional. Presently working at Sterling & Wilson Pvt Ltd-market Leader in EPC segment. Previously worked with Leading Business houses in Metals & Mining, Automotive Manufacturing, Renewable Energy business segment. He is Holding Lean Certified Six Sigma Master Black Belt, Gold Medallist Academically, Champion in Lean Methodology, Operational Excellence, Change & Certified Project Management Professional. He is selected as ‘India’s Star of the Industry Award’ and ‘Best Quality Professional’ from international society for inclusion in 2015 & 2017 edition.

Michael Sony

Dr Michael Sony (ME, PhD (Operations Management), D.Sc (Engineering)) is a faculty at WITS Business School, University of Witwatersrand, Johannesburg, South Africa. He is a program director of PDM-DB. He has also industry and consulting experience in power sector, mining and metals and service organisations.

Jiju Antony

Professor Jiju Antony is recognised worldwide as a leader in Lean Six Sigma methodology for achieving and sustaining process excellence. He is currently serving as a Professor of Industrial and Systems Engineering at Khalifa University in Abu Dhabi, UAE. He is a Fellow of the Royal Statistical Society (UK), Fellow of the Chartered Quality Institute (CQI), Fellow of the Institute of Operations Management (FIOM), Fellow of the American Society for Quality (ASQ), Fellow of the Higher Education Academy, Fellow of the International Lean Six Sigma, Fellow of the Institute of the Six Sigma Professionals (ISSP) and an Academician of the International Academy of Quality (IAQ).

Olivia McDermott

Dr. Olivia McDermott is an Assistant Professor in Operational Excellence at the University of Galway in Ireland. She has over 15 years industry experience in Senior Quality Management roles in the electronics and medical device industry. She holds a B.Sc., an MSc in Quality Engineering, an MBA and a D.Prof in Lean Supply Chain Management. She has published over 50 peer reviewed journal and conference papers in the areas of Operational Excellence, Industry 4.0, Lean Six Sigma and Quality 4.0.

Guilherme Luz Tortorella

Dr. Guilherme Tortorella has more than 12 years of experience as a Manufacturing and Continuous Improvement Manager in the automotive industry, having worked in sites from Brazil, Mexico, Uruguay, the UK and USA. Additionally, he has worked as an Industry Consultant for 7 years. With more than 200 journal articles published, 2 books and 15 book chapters, his research is mainly focussed on Operations Management, more specifically on Lean Management, Industry 4.0, and Supply Chain Management. He is the Editor-in-Chief of Journal of Lean Systems, and Associate Editor of the International Journal of Quality & Reliability Management, International Journal of Lean Six Sigma, Production Journal, and Operations Management Research Journal.

Raja Jayaraman

Dr Raja Jayaraman is an Associate Professor at the Department of Industrial & Systems Engineering at Khalifa University, Abu Dhabi, UAE. He received his Ph.D. in Industrial Engineering from Texas Tech University, a Master of Science degree in Industrial Engineering from New Mexico State University, Masters and Bachelor’s degree in Mathematics from India. Raja’s research interests include the application of Industry 4.0 technologies, systems engineering, and process optimisation techniques to characterise, model, and analyse complex systems with applications to supply chains, maintenance planning, and healthcare delivery.