World Class Manufacturing Operations Management: Scale Development and LHEMI Model Proposition

Abstract

This paper aims to create a quantitative model of World Class Manufacturing (WCM) using the findings of Oliveira (2015) who identified six constructs using the PLS-PM method to create a WCM-LHEMI model, which is an acronym for Lean Manufacturing, Human Resource Management, Environmental Practices, and Marketing Integration. We created a questionnaire using the variables that exploratory factor analyses identified as consistent and distributed it to 1000 professionals using the LinkedIn professional network. From these, our final sample consisted of 180 completed questionnaires, which exceeded the 68 answers needed to have an adequate sample based on suggestions by G*Power Software. Eleven hypotheses were analyzed and six were accepted and considered valid. A goal of this research was to examine the professional’s perception about the need for enterprises to have environmental practices to become WCM enterprises. A main contribution of this study was to propose a WCM model using professional perceptions about what denotes a WCM enterprise through a PLS Statistics method.