1 Introduction
2 Integration of management systems
2.1 General scheme for integration of MSs
2.2 Literature on the integration of MSs
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First stream: This literature addresses basic concepts related to IMS. An IMS is conceptualized as a single set of interconnected processes that share a unique pool of human, informational, material, infrastructure and financial resources in order to achieve a composite of goals related to the satisfaction of a variety of stakeholders (Karapetrovic 2003). Literature in this stream elaborates the concept of integration and provides the basis for more recent IMS literature. Noteworthy works in this stream include Griffith (2000), Karapetrovic (2003), Karapetrovic and Willborn (1998), and Wilkinson and Dale (1999, 2001, 2002).
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Second stream: The second stream of literature focuses on further exploration of IMS and in particular on proving the legitimacy of IMS. This research is generally of an empirical nature and mainly comes from case studies and surveys—see, for example, Douglas and Glen (2000), Jørgensen et al. (2006), Salomone (2008), Zutshi and Sohal (2005). In addition, the second stream literature also focuses on issues, spin-offs, challenges, and factors that influence the integration of MSs. It also reveals a number of strategic, tactical, and operational benefits obtainable from the integration—see, for example, McDonald et al. (2003), Wright (2000), and Zutshi and Sohal (2005). Although this stream focuses on benefits of integration, it does not elaborate the process of integration nor does it provide an understanding of how integration is a precursor of such benefits.
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Third stream: This literature focuses on practical approaches to carrying out integration—with a focus on strategies and process of integration, and degree of integration. Examples are Jonker and Karapetrovic (2004), Jørgensen et al. (2006), Karapetrovic (2002), and Rocha et al. (2007). See a summary of the three streams in Table 1.
Streams in literature | Main topics covered | Supporting literature |
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First stream | Philosophy, basic concepts, and ideas regarding integration | |
Second stream | Proving legitimacy of an IMS | |
Spin-offs from an IMS | ||
Challenges faced in integration of MSs | ||
Issues in integration of MSs | ||
Third stream | Strategies (and process) of integration | |
Degree of integration | ||
IMS: a means to sustainable development | ||
IMS: a means to sustainable management systems |
3 Design of research
3.1 Case selection
Characteristics | Pharmaceutical plant | Textile plant | Automobile plant | Dairy plant |
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Main Products | Solid and liquid dosage forms | Fabric, yarn, denim, stitched garments | Cars | Dairy products |
No. of Employees | >500 | >6000 | >1000 | >500 |
Customers/major markets | Local, South Asia, Middle East, North Africa | Europe and USA only | Local | Middle East, North Africa, Central Asia, Europe, USA, and South Asia |
Management systems implemented | QMS, EMS, OH&SMS, and SA 8000 | QMS, EMS, OH&SMS, and SA 8000 | QMS, EMS, OH&SMS, and SA 8000 | QMS, EMS, OH&SMS |
Plant specific technical systems | Good manufacturing/ distribution practices (GMP/GDP) | Worldwide responsible apparel productions (WRAP) | QS 9000 | Hazard analysis and critical control point (HACCP) |
3.2 Data collection
Source of evidence | Explanation | Purpose |
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Interviews | 6–10 in-depth interviews in each case | Primary source of data: to gain in-depth information about key issues (motivation, process, and outcomes of integration) |
Internal documents and archives | Management manual, operating procedures, work instructions, records, management reviews reports, minutes of management meetings, audit reports, corrective and preventive action reports, performance metrics, technical circulars, and job descriptions | For triangulation purposes: The internal documents and archives provided strong evidence of the managerial actions and actual situation regarding the integration of MSs and lean processes |
On-site observation | Observation of operational activities and informal conversations with operators | To obtain firsthand information of integrated processes and lean practices |
Post-data collection focus group discussion | A panel of three academicians, one consultant, and four tactical level managers from four different organisations all actively involved in the integration of MSs | Better understanding of how integration proceeds and is linked with lean operations |
3.3 Data analysis
4 Within-case description
4.1 Pharmaceutical plant
This is just like killing two birds with one stone: we were interested mainly in the integration… [Later] it dawned to us that integration is the alternate label of lean systems
4.2 Textile plant
[During integration] management was motivated, results were encouraging, and the spirit of change was there; we decided to give it full blow with a simultaneous focus on achieving lean processes
4.3 Automobile plant
Lean practices lie in the instinct of [the] automobile sector. Integration re-emphasized the lean practices and led us to take a more assertive approach to the lean production through enhanced internalisation in our routines
4.4 Dairy plant
Our employees acquired better skills. Integrated working led them to have improved understanding of the processes. This in turn has reduced the number of non-conformances, hazards, and accidents
5 Cross-case analysis
Transformation during integration process | |||||||
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Company | Motivation | Functional changes | Structural changes | Operational improvements | Supply chain integration | Behavioural alignment | Infrastructure for continuous improvement |
Pharmaceutical | To better cater to the needs of stakeholders | • Merging of individual functions (such as, quality, environment, and health and safety) • Integration in support functions (training and audits) • Integrated review and continuous improvement • Integration in supply chain (in pharmaceutical and textile companies) | Development of • Integrated operations manual, operating procedures, work instructions, records and support activities • Integrated routines • Reduction of bureaucratic structures • Changes in organisational chart and hierarchies • Development of an overall lean infrastructure | • Batch mfg. time reduction | Enhanced integration with suppliers, customers, and other stakeholders | • Enhanced employees motivation • Positive behavioural alignment with the integrated system | A strategic level infrastructure for holistic and integrated review of whole organisational processes |
• Waste reduction | |||||||
• Set up time reduction | |||||||
• Labor hour reduction | |||||||
• Machine hour reduction | |||||||
Textile | For sustainable competitive advantage | • Cycle time reduction | |||||
• Reduction in no. of accidents | |||||||
• Waste reduction | |||||||
• Better conformance to regulatory control limits | |||||||
• Increased production efficiency | |||||||
Automobile | To regain the competitive advantage | • Waste generation reduction | The connectivity with suppliers and customers improved (initially inconsistent) | Positive behavioural alignment—enhanced institutionalisation of lean practices | Development of a mechanism for regular review of operational activities—“continuous improvement technique” | ||
• Set up time reduction | |||||||
• Cost reduction | |||||||
• Enhanced compliance to control limits | |||||||
• More environment friendly mfg. | |||||||
• Enhanced focus on lean practices | |||||||
• Reduction in no. of accidents and non-conformances | |||||||
Dairy | For world class operations | • Employees skills development | No significant improvements | Positive behavioural alignment coupled with employees’ skills development | |||
• On-time deliveries | |||||||
• Reduction in product recall rate | |||||||
• Operational errors minimization | |||||||
• Waste generation reduction |
Interview quotes—emerging constructs regarding integration outcomes | Supporting evidence | ||
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Process improvement | Documentation Integration | • Gone are the days when we used to have piles of documents | Standard operating procedures work instructions Production record |
• We still have stacks of procedures but in junk store | |||
• Documentation reduction led us to realize that there were many other important things we needed to focus on | |||
Waste reduction | • There is much less waste than before | ||
• Waste generation is almost eliminated | Production records Inventory records | ||
• When employees are truly conscious about health and safety and environment, they would do everything astutely to avoid waste reduction because waste may be harmful for them as well | |||
Cycle time reduction | • Now we make product in 25% less time | ||
• Skilled employees now do it in shorter time than they used to do it before | Machine hours record Labor hours record Production reports | ||
• Cycle time reduces dramatically after integration | |||
Set up time reduction | • Operators now switch to new product in seconds | ||
• Employees are so skilled and motivated that it does not take them long to switch to new product | |||
Behavioural alignment | • Integration made employees’ work easier and they gained hands-on experience | Labor hours record showing the time employees spend in execution of a particular activity Employees training and evaluation records | |
• We brought safety and convenience to employees work; they obtained skills | |||
• When the operational activities are integrated, employees spend less time in looking for instructions; eventually they feel more comfortable. The integrated handling of various aspects makes employees think and get involved in the job, thus leading to skills development | |||
Continuous improvement infrastructure | • Standards require you to review the processes: integration provided a means to review and improve the whole system in an integrated manner | Management reviews reports, minutes of management meetings, audit reports, corrective and preventive action reports, performance metrics | |
• Integration left behind an infrastructure for continual improvement | |||
• Integrated management reviews and integrated audit is the best means for continuous improvement | |||
Cost reduction | • Cost reduction is something everyone had their eyes on | ||
• Cost reduction is the very first outcome of integration | Production/batch record Company’s annual reports | ||
• Cost reductions came from multiple channels | |||
• Cost reduction is something that tempted us to go further ahead | |||
Performance improvement techniques | • We used SPC to supplement the direct outcomes of integration | Production record of SPC reports Engineering record of total productive maintenance schedules, past maintenances | |
• TPM was employed to sustain the integration |
5.1 The course of integration
5.2 Organisational changes during integration
5.2.1 Process improvement
5.2.2 Behavioural alignment
5.2.3 Reforming bureaucratic structures
5.2.4 Continuous improvement infrastructure
5.2.5 Cost reductions
5.2.6 Supply chain integration and strategic flexibility
5.3 Challenges during integration
6 Results
6.1 Mechanism of action of integration
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Proposition 1: Integration of MSs streamlines processes by reducing physical, structural, and temporal barriers.
6.2 Integration of MSs—a means for lean production
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Proposition 2: The integration of MSs gives rise to lean processes and erects the infrastructure to institutionalise lean production practices in the organisational setting—thus preventing lean processes from rolling back after their implementation.
6.3 Integration of MSs—a means for enabling bureaucracies
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Proposition 3: Integration of MSs builds organisational structures that produce “enabling bureaucracies” and thus creates an enabling context for simultaneous exploitation and exploration.
6.4 Integration of MSs—a means for strategic flexibility
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Proposition 4: Integration enhances external orientation and leads to greater strategic flexibility.