Rejects reduction in a retail bank using Lean Six Sigma

Lean Six Sigma (LSS) is a majestic process improvement methodology that has been proved to be a powerful management strategy across services. The influential synergy of Six Sigma and Lean aims at improving the processes, focusing on both rapid and robust improvements, reducing waste and variation in the process. LSS generates successful results in key performance indicators (KPIs) based environments, where process data gets measured and leveraged for making essential management decisions. The aim of this paper is to highlight the importance of LSS in banking industry through a real-time process improvement study. The article establishes the literature for the need for LSS in banks detailing on customer facing metrics and process KPIs. An action-research study conducted in a retail bank is presented in LSS DMAIC methodology which reaped a benefit of INR 1.6 million and is a classic example of how LSS can bring bottom-line impact to an organisation, alongside contributing to the process improvement mind-set in employees.     

Methods for Managing Different Perspectives of Project Success

The results of an exploratory study of UK organizations into methods for meeting project key performance indicators (KPIs) are presented. The paper explores: influences on the use of methods to manage project KPIs; the need for and existence of methods; the factors that facilitate the meeting of the KPIs. It is concluded that the use of methods varies depending upon the perceived importance of the project, the type of project, the client-team relationship and whether an organization performance management system exists. With project management capability often decreasing, in part due to a failure to meet psychosocial project KPIs, a need for methods linked to the KPIs was identified. However, the study found relatively low levels of adoption of such methods. Where psychosocial project KPIs were being met the following facilitating factors emerged: top-level policies, organization-wide training, integration with existing management processes, building into project management system. Situations were found where decision-makers did not consider the psychosocial KPIs of programme and project managers. This was seen to contribute to a failure by organizations to manage necessary increases in their project management capability and to be acting as a possible barrier to long-term, sustainable improvements in performance.     

制造企业绿色采购实践对绩效影响的实证研究

绿色采购是企业开展环境管理实践的重要一环,它的有效实施对企业的环境绩效和经济绩效具有重要的影响.根据对275家企业的调研,采用因子分析法,并借助统计分析软件SPSS,识别出中国制造企业绿色采购实践和企业绩效评价的主因子.在此基础上,根据对主因子间的相关分析和回归分析结果进行了结合我国实际的分析讨论,最后指出了进一步研究的方向.     

Strategic performance measurement in a healthcare organisation: A multiple criteria approach based on balanced scorecard

The Balanced Scorecard (BSC) methodology focuses on major critical issues of modern business organisations: the effective measurement of corporate performance and the evaluation of the successful implementation of corporate strategy. Despite the increased adoption of the BSC methodology by numerous business organisations during the last decade, limited case studies concern non-profit organisations (e.g. public sector, educational institutions, healthcare organisations, etc.). The main aim of this study is to present the development of a performance measurement system for public health care organisations, in the context of BSC methodology. The proposed approach considers the distinguished characteristics of the aforementioned sector (e.g. lack of competition, social character of organisations, etc.). The proposed measurement system contains the most important financial performance indicators, as well as non-financial performance indicators that are able to examine the quality of the provided services, the satisfaction of internal and external customers, the self-improvement system of the organisation and the ability of the organisation to adapt and change. These indicators play the role of Key Performance Indicators (KPIs), in the context of BSC methodology. The presented analysis is based on a MCDA approach, where the UTASTAR method is used in order to aggregate the marginal performance of KPIs. This approach is able to take into account the preferences of the management of the organisation regarding the achievement of the defined strategic objectives. The main results of the proposed approach refer to the evaluation of the overall scores for each one of the main dimensions of the BSC methodology (i.e. financial, customer, internal business process, and innovation-learning). These results are able to help the organisation to evaluate and revise its strategy, and generally to adopt modern management approaches in every day practise.     

Evaluating Application Service Provisioning Using System Dynamics Methodology

Despite the hype surrounding the value‐added potential of e‐business for contemporary firms, the recent technology downturn was marked by poor customer satisfaction from investment in e‐business initiatives. An apparent mismatch between customer expectations and vendor offerings suggested a lack of appropriate methods and techniques for evaluating e‐business. This article draws from a longitudinal research study on the deployment, hosting and integration of application service provisioning (ASP), an e‐business model targeted mainly at small and medium‐sized businesses (SMBs). Using system dynamics as a methodology that addresses the inherent complexity of the ASP model, the article demonstrates how a series of complex inter‐relationships between key performance indicators (KPIs) will impact the business value for customers from ASP vendor products and services. The lessons from this research will be particularly relevant for existing and future ASP vendors and customers.     

中层管理者多重角色行为对企业绩效影响的实证研究

中层管理者是企业管理中重要的一个环节.本文关注中层管理者多重角色行为对企业绩效的影响.首先,将中层管理者的多重角色划分为企业家、执行者、辅导者与协调者四个维度;其次,通过结构方程模型,实证性的验证了中层管理者多重角色行为模型及各个角色维度对组织财务绩效与运营绩效的不同影响.结论表明中层管理者企业家角色行为仅对企业财务绩效具有积极影响,其余三个角色行为仅对企业运营绩效具有积极影响.最后,分析讨论研究结论,并给出相应的对策和建议.     

基于PDCA的供应链视角下物流客户服务绩效评价研究

在系统总结国内外相关文献的基础上,设计了基于PDCA循环的供应链视角下物流客户服务绩效评价流程,并针对每个流程给出了控制重点,旨在通过对绩效评价流程的规范管理,不断提高物流客户服务绩效和供应链整体绩效水平。在绩效评价方案设计环节提出了给予供应链整体绩效提升的物流客户服务绩效评价方法和指标体系,在绩效评价方案实施环节给出了应用模糊层次分析法选择物流服务商的步骤。     

Green supply management and performance: a resource-based view

Abstract

This study develops and empirically tests, from the resource-based perspective, a conceptual framework linking green supply management and performance. The proposed model is tested using data from a sample of 126 automotive manufactures in China. The results suggest that both green purchasing personnel and green supplier selection have a significant positive effect on green supplier collaboration, and that building green collaboration with suppliers is significantly and positively related to both environmental and operational performance. Accordingly, knowledge and skill development of the purchasing function can be recognised as an important resource in building green supply capabilities and performance.     

Prioritising indicators in improving supply chain performance using fuzzy AHP: insights from the case example of four Indian manufacturing companies

Abstract

In this contribution, we aim to prioritise the indicators to enhance the organisational supply chain’s (SC) effectiveness from an industrial perspective. It will help industries to develop strategies for managing the SC effectively and ensuring improvement in performance continuously. To achieve this, this work proposes to use a two-phase research methodology. First, 36 SC performance improvement indicators are recognised from a literature survey and from field and industrial expert’s inputs. Secondly, a structural model is proposed using the fuzzy analytical hierarchy process (AHP) to prioritise the indicators strategically to improve the SC performance. The fuzzy AHP method helps determine the priority of concerns of the identified indicators under fuzzy surroundings. Inputs in this research are taken from four ancillary Indian plastic manufacturing firms. Research findings indicate that collaborations and information exchange dimension indicators obtained the highest priority in improving SC performance. The model proposed is considered very useful for the SC managers/practitioners/decision-makers to understand better and distinguish the essential SC performance improvement indicators and to take systematic decisions specifically to improve the performance of business in a SC context. Sensitivity analysis was conducted to examine the priority ranking of the indicators.     

Overall material usage effectiveness (OME): a structured indicator to measure the effective material usage within manufacturing processes

A rational use of production resources has been catalysing the attention of researchers and practitioners for several years. A number of indicators have been proposed to assess the effective and efficient use of the various production factors. A widely known example of these metrics is the overall equipment effectiveness (OEE), which applies to machines and equipment. This paper proposes a novel methodology that seizes upon OEE’s straight forward and easy-to-use structure to address the problem of measuring the effective use of materials within a factory. An inclusive structure of material loss and a methodology to calculate a novel performance indicator called overall material usage effectiveness (OME) is given. The proposed set of KPIs not only permits the comprehension of material-related issues but also the identification of viable countermeasures. A real-life application to demonstrate the practical usefulness of the methodology and illustrate the capability of its KPIs is described.     

The New CEO and the Post‐succession Process: An Integration of Past Research and Future Directions

The early tenure of a new Chief Executive Officer (CEO), also referred to as ‘the CEO post‐succession process’, is a critical phase in the history of an organization, because it is associated with a high rate of organizational failure and CEO dismissal. Research on this important process has grown rapidly over the last decade, focusing particularly on the question of how the match between the CEO, the organization and the environment is created in the post‐succession process. Yet, the respective literature is highly fragmented, which suggests that there is a need for a systematic review and evaluation of existing works. Adopting the conceptual vocabulary of the practice perspective, the authors review this literature in terms of what it reveals about (1) the practices adopted by new CEOs and other actors involved in the post‐succession process, (2) the properties of the key practitioners involved, and (3) the practical context of the post‐succession process. This review suggests that new CEOs are primarily involved in practices aimed at integrating the new CEO into the organization, and practices aimed at realigning the organization with its environment. The important insights that the existing literature affords are identified, and the gaps in this body of research are highlighted. On this basis, a concrete research agenda is developed in terms of topics, methodologies and theories.     

并购后高管变更、合法性与并购绩效——基于制度理论的视角

并购后的高管变更对于企业的并购绩效具有重要的影响,但目前的研究结论没有取得一致性。本文基于制度理论的视角引入合法性的概念,通过123份并购样本实证分析了并购后高管变更、合法性以及并购绩效之间的关系。研究结果显示:并购后高管变更与并购的外部合法性和内部合法性之间均存在显著的负相关;而外部合法性和内部合法性对于并购绩效具有显著的积极作用。本研究结论对于我国企业的并购后高管变更决策以及如何提升并购绩效具有理论指导意义。     

Enterprise systems and performance of future city logistics

Abstract

Future cities are driven by the developments in Information and Communication Technology to support the triple bottom line requirements of sustainability. Logistics will play a critical role in future cities due to the increasingly micro-dynamic nature of socio-economics of these cities and globalised production and consumption patterns. Enterprise systems (ES), the founding applications to automate and integrate different business processes, will be the key enablers for providing the necessary support required by the future city logistics. However, the implementation of ES and realisation of proposed benefits within the estimated time frame is challenging due to the huge resource requirements in terms of manpower, budget and time. This study takes the antecedent (critical success factors) approach for the implementation process to establish a success predictive model for the realisation of ES benefits. The partial least square regression has been used to test the model. Moreover, this study explores the impact of ES benefits on the logistics performance indicators to explore the synergies between them. This is fundamentally important because future city logistics will rely heavily on appropriately designed and implemented (enterprise) information systems.     

A Comparative Analysis of Quality Practice in Manufacturing Firms in the U.S. and Taiwan*

The aim of this paper is to determine if there is a causal relationship between multivariate constructs for quality (i.e., customer satisfaction, employee satisfaction, and employee service quality) and organizational performance. The presence of such relationships, as well as the identification of key indicators within each quality construct for different types of firms, are explored in this empirical study on the perceptions of middle managers in Taiwan and the United States. The study found a significant causal relationship between the quality constructs and organizational performance. These relationships are different, however, for the four types of firms based on age and size. Also, within the same firm types, there are differences among countries. For example, for older firms, Taiwanese managers tend to perceive customer satisfaction as the most important quality construct in improving organizational performance, while U.S. managers tend to perceive employee satisfaction as the most important. For younger firms, U.S. managers perceive customer satisfaction as influencing organizational performance, while Taiwanese managers perceive both customer satisfaction and employee satisfaction as doing so. A further breakdown of the quality constructs identified the key indicators within each construct that separates “better performers'’from “lesser performers'’in both countries for the four types of firms. These indicators are dissimilar, thus suggesting that focus on quality constructs may lead to improvements in organizational performance by focusing on different indicators in different environments. These results have implications for the adoption and implementation of quality practices in different countries.     

Strategy implementation: Taking stock and moving forward

Strategy implementation (SI) is a significant managerial, and organizational challenge as many practitioners struggle to make strategies actionable and to achieve intended results. Moreover, there is no unified body of research on SI. This is problematic for academics aiming to contribute to a research-based body of knowledge on implementation. To remedy this problem, we draw on the strategy-as-practice perspective and conceptualize SI as a particular type of ‘strategy work’, manifest in the activities, actors, and tools through which strategy is executed. This conceptual framework allows us to synthesize the fragmented literature into five implementation practices: structure and process matching, resource matching, monitoring, framing, and negotiating. We show how these implementation activities operate at different levels and involve different actors and tools. With its emphasis on what managers (and other people) do within specific structural, temporal, and material arrangements, the strategy-as-practice perspective offers exciting opportunities for future implementation research.     

关系激励管理对供求企业绩效影响的实证研究

有效的供求关系激励管理方式设计,以及这种管理方式如何影响供求双方的绩效,是目前国内理论界和企业界都十分关注的问题之一。本文试图从采购企业角度出发探讨关系激励管理方式对供求企业绩效的影响。首先解释了激励型供应商管理方式的指标测度体系,然后通过对国内近百家企业问卷调查的统计分析,得出了如下两个主要结论:激励型管理方式与采购企业业绩之间存在正相关关系;激励型管理方式与供应商业绩之间存在正相关关系。这不仅证实了合作能够创造"双赢"局面的理论观点,而且也为国内企业供应商管理的具体实践提供了理论上的指导。     

From Intended to Actual and Beyond: A Cross‐Disciplinary View of (Human Resource Management) Implementation

Despite increasing interest in human resource management (HRM) implementation as an explanation for the association between HRM and firm performance, considerable confusion remains about what implementation means. In order to develop conceptual definitions of HRM implementation and implementation effectiveness, this study builds on three different literatures outside the HRM field (strategy, innovation, and change management), which have addressed this topic extensively. As a result, implementation is characterized as a dynamic process, involving the interaction among multiple actors, starting with the adoption of a new practice and ending with its routinization. This is distinguished from implementation effectiveness as an outcome of that process. The study helps to achieve construct clarity, hence providing a more solid basis for future research and allowing for a better consolidation of findings. The authors also develop an agenda for further research by reviewing a number of theoretical and methodological approaches that have been used in implementation research across fields, including HRM. Overall, the study aims to establish implementation research as a highly relevant academic and practical quest not only in HRM, but also in other management literatures.     

Customization: Impact on Product and Process Performance

Manufacturing capability has often been viewed to be a major obstacle in achieving higher levels of customization. Companies follow various strategies ranging from equipment selection to order process management to cope with the challenges of increased customization. We examined how the customization process affects product performance and conformance in the context of a design‐to‐order (DTO) manufacturer of industrial components. Our competing risk hazard function model incorporates two thresholds, which we define as mismatch and manufacturing thresholds. Product performance was adversely affected when the degree of customization exceeded the mismatch threshold. Likewise, product conformance eroded when the degree of customization exceeded the manufacturing threshold. Relative sizes of the two thresholds have management implications for the subsequent investments to improve customization capabilities. Our research developed a rigorous framework to address two key questions relevant to the implementation of product customization: (1) what degrees of customization to offer, and (2) how to customize the product design process.     

Brand deletion implementation: The effect on performance of context and process factors

Although brand deletion (BD) is a key strategic decision within brand portfolio management, it has received very little attention in the scientific literature. This research expands the knowledge base on the BD strategy, particularly in the execution phase. Based on the literature addressing strategic change and marketing strategy implementation, this study explores the main and interaction effects of context (decentralization and consensus) and process (formalization and communication) implementation factors on the success of BD, measured in terms of its contribution to the firm’s economic performance. Using a representative sample of 155 cases of BD, we show that the four factors are related to BD performance, although these relations are complex and intertwined. Consensus, communication, and decentralization positively affect BD performance, with consensus being particularly influential. Formalization is found to be a double-edged sword as the effects of formalizing the execution of the deletion are particularly convoluted.     

Six things to manage--Designs

Transportation in reverse logistics (RL) plays a significant role and has impact on overall RL performance. Efficiency, effectiveness and impact are the distinct components of RL transportation. Balancing these components requires the implementation of an effective performance measurement (PM) system. The perspectives of balanced scorecard have been used where enterprises can link their performance to their transportation practices, which do not provide an understanding of the RL transportation operating objectives and the developing strategies through an analysis of stakeholders. This article proposes the comprehensive PM of transportation system, which is multi-angle perspective for RL enterprises. Recognising the multiple criteria nature of the problem, this article uses analytical hierarchy process methodology in order to find an overall comprehensive performance index, which is critical to the success of the RL transportation operations to assist logistics managers, researchers, transportation planners and decision-makers.