Incorporating lean management and human resource practices in global business

• Main Author: Tschoepke, Beatriz K.
• Format: text
• Published: Animo Repository 2013
• Subjects: International business enterprises; Lean manufacturing; Personnel management; Business; International Business; Management Sciences and Quantitative Methods
• Online Access: https://animorepository.dlsu.edu.ph/faculty_research/12881
• Institution: De La Salle University

For businesses to thrive in today's highly competitive world would require constant review of their strategic roadmap- knowing where the company is, setting the right goals and, taking effective steps to achieve them. One of these steps is to apply lean management. As a goal achievement process however, it works best when the human resource department is involved closely. More often than not, the human resource function is left on the sidelines as management would rather act on its own. This study will look into a multinational company operating in the Philippines that has embarked on a lean transformation program since 2007. Specifically, it will delve into how both lean management (LM) and human resource management (HRM) can create synergy when implementing lean management practices, as well as the effects of lean management practices on human resource policy. Furthermore, it will determine whether or not implementation of human resource practices associated with lean management has an impact on the company's organizational performance. The conclusion of this paper is 'not yet' raising questions about negative effects of lean management practices on the company's human resource management policy and, it is also too early to determine if indeed human resource management practices associated with lean management that were implemented have a significant impact on the company's overall performance. The writer argues however, that a strong human resource system is instrumental in incorporating lean management into human resource practices, and a good and effective human resource management department is needed for successful implementation of the lean philosophy, concept and practices.