PurposeFrontline teams are at the centre of lean transformations, but the teams also transform as they implement lean. This study examines these changes and seeks to understand how lean relates to team psychological safety and learning.Design/methodology/approachThis research setting is the Romanian division of a leading European energy company. The authors collected team-level audit and survey data, which the authors used to test the effect of lean implementation on team psychological safety and learning. The authors’ team-level data are complemented with qualitative interviews conducted with team members and headquarters leaders.FindingsThe results of the regression analyses show that leanness is positively associated with team psychological safety, which is in turn positively associated with learning. Thus, this research provides evidence that leanness – mediated by team psychological safety – increases team learning.Practical implicationsLean changes team dynamics and learning positively by ensuring and promoting an emotionally sound work environment with clear team structures, an appropriate level of autonomy, and strong leadership.Originality/valueThis paper contributes evidence of important psychological mechanisms that characterise team-level lean implementation. Particularly, the authors highlight how team psychological safety mediates the relationship between leanness and team learning.

PurposeWhen is manufacturing in high-cost environments and more profitable for multinational manufacturers and when in low-cost environments? While the literature offers many cues to answer this question, too little empirical research directly addresses this. In this study, we quantitatively and empirically investigate the financial effect of companies' production footprint in low-cost and high-cost environments for different types of production networks.Design/methodology/approachUsing the data of 770 multinational manufacturing companies, we analyze the relationship between production footprints and profitability during four calendar semesters in 2018 and 2019 (N = 2,940), investigating the moderating role of companies' production network type.FindingsWe find that companies with networks distinguished by both high levels of product complexity and process sophistication profit the most from producing to a greater extent in high-cost countries. For these companies, shifting production to low-cost countries would be associated with negative performance implications.Practical implicationsOur findings suggest that the production geography of companies should be attuned to their network type, as defined by the companies' process sophistication and product complexity. Manufacturing in low-cost countries is not always the best choice, as doing so can adversely affect profits if the products are highly innovative and the production processes are complex.Originality/valueWe contribute to the scarce empirical literature on managing global production networks and provide a data-driven analysis that contributes to answering some of the enduring questions in this critical area.