A multi-stage method to determine organizational constraint structure and its application in a steel plant in India

Abstract

PurposeThe purpose of this paper is to identify potential constraints and determine the constraint structure in a steel manufacturing plant. “Potential constraint” is defined as a factor that is either a constraint at present or can become one in the future and “constraint structure” is used to denote the network of influences between the potential constraints in an organization.Design/methodology/approachA three-step methodology was followed. First, potential constraints in a steel manufacturing plant were identified with a literature review and expert inputs. Then, the fuzzy decision-making trial and evaluation laboratory (fuzzy DEMATEL) technique was applied to uncover the structure and finally, an ex-post validation and refinement of the results was done with help from other experts.FindingsA total of 10 key potential constraints to steel manufacturing were identified. The two outputs of fuzzy DEMATEL – the influence scatter plot (ISP) and the influence network diagram (IND) – together reveal the constraint structure. The 10 potential constraints could be classified into three types – influencers, mediators and influenced – respectively. Of these “Top management commitment (TMC)” and “Clear vision and long-term planning (CLP)” influence other factors the most, and are themselves influenced the least; while “Customer Relationship Management (CRM)” is most influenced by other factors, while influencing other factors the least.Practical implicationsPotential constraints and the constraint structure can help decision makers in a steel manufacturing plant to identify which organizational factors to address and achieving the plant's goals.Originality/valueThis is the first study that analyzed organizational level constraints in a steel manufacturing context.