A critical evaluation of the two (2) research papers is required to be able to answer the questions appropriately. The two (2) research papers exemplify how lean operations have been applied in the manufacturing and service sectors and the benefits gained from its implementation in areas of new product development.

Research Paper 1

Title: THE EFFECT OF INVENTORY MANAGEMENT ON FIRM PERFORMANCE: CONTROLLING FOR KEY CONFOUNDING VARIABLES

Abstract: This study examined the effect of inventory management on firm performance and controlled for key covariate, namely company size, capital size, and industry. A quantitative research technique and a cross-sectional survey were employed to gather data for testing hypotheses. Data was collected on 165 Accra-based firms that met the selection criteria. A self-reported questionnaire was used to collect data. Pearsons correlation test and Confirmatory Factor Analysis (CFA) were used for analysis of the data. Results revealed that, inventory management had a positive effect on operational and marketing performance but not on financial performance. Company and capital size have a positive effect on inventory management. It is concluded that improving inventory management can cause an increase in firm performance in terms of operational and marketing performance, especially in the light of a marginal increase of resources

Conclusion

This study found that inventory management makes a positive effect on operational and marketing performance. It is therefore concluded that increasing the level of inventory management, and its effectiveness can improve firm performance in terms of operational and marketing performance. Firms may as a result benefit from taking steps to improvement the effectiveness of inventory management. It is also confirmed that company size and capital size make a significant positive effect on inventory management. It is hence concluded that inventory management improves as resources are increased in terms of personnel and funds.

Controlling for company size, industry, and capital size reduced the effect sizes produced by

inventory management on operational and marketing performance. This, coupled with the positive effect of capital and firm size on operational and marketing performance, suggests that organizational resources make a major impact on firm performance depending on how management controls them. Based on this assertion, it is recommended that management of firms increases the impact of resources on the effectiveness of inventory management by taking the following steps: i. Management should be committed towards providing more funds for expanding and resourcing the inventory management department. Making funds available should be accompanied with providing adequate resources for the management at the inventory management department. ii. Employees must be regularly trained in the inventory management department to plan and execute key corporate activities. In training employees, suitable methods and trainers must be used to ensure that training makes its maximum impact on employees. iii. The budgetary allocation and number of personnel available to the inventory management department must be increased over time in response to changing organisational needs and market demands. In other words, management must ensure that resources available to the inventory management department are upgraded periodically to meet the firms production capacity as well as market demand.

Research Paper 2

Title: THE EFFECT OF LEAN OPERATIONS IN MANUFACTURING ON FIRM PERFORMANCE: THE CASE OF MANUFACTURING FIRMS IN ACCRA

Abstract: This study examined the influence of lean operations on firm performance, considering some business characteristics controlled variables. A correlational design was employed, and a sample of 162 participants were drawn from a targeted research population of beverage manufacturing firms in Accra. Pearsons correlation test and structural equation modelling (SEM) were used to test hypotheses. The study found that lean operations had a positive effect on operational and financial performance but not marketing performance. None of the controlled variables or firm characteristics (i.e. firm size, firm age, operational capital, total asset) had a significant effect on firm performance. The study concluded that firm performance in terms of operational and financial performance improves as lean management enhances in practice. It was recommended that firms should invest more in lean management and train employees to more effectively handle its planning and execution.

Conclusion

The study found that lean operations have a positive influence on operational performance, which means that operational performance in the beverage companies would improve when lean operations are enhanced in practice. It is therefore concluded that improving lean management by investing more in it and training employees to more effectively handle its planning and execution can engender operational efficiency in the beverage firms. The study also found that lean management makes a positive influence on financial performance. That is, increasing lean management can cause an increase in financial performance. If so, increasing the effectiveness of lean operations as suggested above can offer the companies higher profitability. This study however did not confirm the relationship between lean operations and marketing performance. Moreover, none of the covariates or confounding variables influences lean operations, but these outcomes could be attributed to the use of a relatively small sample. Given the findings reached, this study concludes that lean management best predicts operational and financial performance of the firm in the beverage manufacturing industry.

NB: The original versions of the two (2) research papers are attached to allow you to

Questions.

1. Identify and discuss two (2) key problems that the two (2) research papers seek to address and justify their contributions to current research in lean manufacturing.

2. Identify and discuss five (5) key findings of the two (2) papers and demonstrate how these findings contributes to improving the fortunes of the case study organisations?

3. Explain two (2) strengths and weaknesses of the methodology used by the two (2) research papers and suggest a way to deal with the weaknesses in future research .

4. Based on the proposed weaknesses, appraise five (5) out of the seven (7) stages involved in developing a new product or service for an organisation which intends to deploy lean manufacturing as a strategy for competitive advantage.

5. Based on the findings and conclusions of the two (2) research papers, discuss five (5) reasons why incorporating lean manufacturing throughout the new product development cycle is important.

6. a) Critically assess the benefits in using a Visual Management System (VMS) in new product development.

b) State and explain five (5) key metrics or key performance indicators (KPIs) that you will recommend in a manufacturing setup that intends to develop a new product using lean technique.