The Impact of Lean Manufacturing Practices on Sustainability Performance: A Natural Resource-Based View

Abstract

Drawing upon a Natural Resource-Based View (NRBV), this paper aims to propose a quantitative model that could be used to investigate whether Lean Manufacturing (LM) practices/tools can improve the three aspects of corporate sustainability performance (economic, environmental, and social). This paper is based on a theoretical study to develop a new model by reviewing the literature and proposing new ideas according to the Natural Resource-Based View (NRBV). Reviewing the literature showed that there is a significant association between LM practices/tools implementation and the improvement on three aspects of corporate sustainability performance (economic, environmental, and social). This paper provides insights to manufacturing managers about the ability of LM practices to reduce cost of operations and maximize the value provided to customers. Further, it highlighted the importance of LM practices implementation to manage organizations’ activities responsibly in terms of their environmental, social, and economic effects. By proposing such a quantitative model according to a NRBV, this study contributes to a broader understanding of how LM practices affect three pillars of sustainability.