Barriers in implementing lean manufacturing in Indian SMEs: a multi-criteria decision-making approach

Abstract

Purpose This study aims to investigate the interrelationships among the Lean manufacturing (LM) adoption barriers in Indian SMEs. This issue has its own importance as LM has become the inescapable requirement for small- and medium-scale enterprises (SMEs) because of the increased concerns about quality, cost, delivery time and rapidly growing competition in the manufacturing sector and in India it is opposed by many factors/barriers. To act for the eradication of these barriers, we need to systematically analyze them. Design/methodology/approach Based on the available literature and consultation with the experts, the authors identified 16 LM barriers for Indian SMEs. The authors analyzed the interdependencies among the barriers and prioritized them using integrated Grey-decision-making trial and evaluation laboratory (grey-DEMATEL) approach. Findings The findings show that limited financial resources, fear in adopting new technology, lack of top management commitment and poor leadership quality are the most critical barriers for LM diffusion in Indian SMEs. Research limitations/implications The present research is based on the experts’ inputs, which may be subject to individual biases. In developing countries, such as India, geographical influences are also possible, which are neglected in this study. Practical implications This study provides significant insights that can help SMEs to focus on critical cause group barriers to accelerate the LM penetration. Originality/value The authors have proposed a Grey-DEMATEL-based LM barrier evaluation framework. Here, the authors analyze the interrelationships among the barriers for LM and segregate them in cause and effect groups.