1. A Multiple Layer DEA Model for Evaluating Corporate Sustainable Performance Using Lean Manufacturing Practices
- Author
-
W. F. Zalatar and Eppie Clark
- Subjects
Sustainable development ,Index (economics) ,business.industry ,02 engineering and technology ,Orderliness ,010501 environmental sciences ,01 natural sciences ,Lean manufacturing ,Manufacturing engineering ,Environmental Sustainability Index ,0202 electrical engineering, electronic engineering, information engineering ,Data envelopment analysis ,Production (economics) ,020201 artificial intelligence & image processing ,Business ,Human resources ,0105 earth and related environmental sciences - Abstract
The purpose of this study is to generate a quantitative means of assessing the relationship between lean production practices and a company’s sustainable performance. A composite lean index (CLI) is formulated using multi-attribute value theory (MAVT) in order to measure a firm’s lean performance. A composite sustainability index (CSI) is developed using MAVT to measure a company’s sustainable performance considering its quadruple bottom line. Lastly, a multiple layer data envelopment analysis (MLDEA) model is set up to evaluate a company’s sustainable performance using its lean manufacturing practices. The CLI is considered as the virtual input to the MLDEA model while the (CSI) is treated as the virtual output. "Efficient" firms are determined to score high in Supplier and Customer Relationships and Human Resources whereas "inefficient" companies scored low in Supplier and Customer Relationships and Process and Equipment. Furthermore, "efficient" companies are found to exhibit high scores in Worker Training, Parts Delivered JIT by Supplier, and Customer Orders Delivered JIT while "inefficient" companies have low scores in Orderliness and Cleanliness in the Plant, Error-Proof Equipment, and Rigorous Preventive Maintenance.
- Published
- 2020
- Full Text
- View/download PDF