Laying Foundation for Lean Manufacturing Implementation within Small and Medium Sized Enterprises in Nigeria: An Analysis of Change Readiness

Abstract

The study assesses lean readiness within manufacturing SMEs by examining the effect of organizational culture, leadership, employee relations, customer relations, process management and planning & control (lean readiness factors) on organizational readiness for change (change efficacy and change commitment) to ensure successful lean deployment. The study applied a quantitative research approach via the administration of survey questionnaires to three hundred SME managers within the six geopolitical zones in the Country. Data was analysed using Partial Least Square- Structural Equation Modelling (PLS-SEM) software. The findings of the study reveal organizational culture is found to have a positive and significant relationship on both change commitment and change efficacy. Positive and significant relationship was found between leadership/top management and change commitment. While leadership/top management have positive but insignificant influence on change efficacy. On the other hand, employee relations have a positive and significant influence on change commitment. The findings also shows that employee relations have a positive but insignificant influence on change efficacy. The findings reveal that planning and control have an insignificant effect on both change commitment and change efficacy respectively. Furthermore, a positive and significance relationship of process management on both change commitment and change efficacy was found. On the contrary, the effect of supplier relations on change commitment and change efficacy is found to be insignificant. While customer relations have a positive and significant effect on both change commitment and change efficacy. The findings implied that manufacturing SMEs in Nigeria need to do more in areas of employee training, supplier relations and planning and control to be able to deploy sustainable lean initiatives. It also

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