Lean principles, learning, and knowledge work: Evidence from a software services provider

Abstract

In this paper, we examine the applicability of lean production to knowledge work by investigating the implementation of a lean production system at an Indian software services firm. We first discuss specific aspects of knowledge work-task uncertainty, process invisibility, and architectural ambiguity-that call into question the relevance of lean production in this setting. Then, combining a detailed case study and empirical analysis, we find that lean software projects perform better than non-lean software projects at the company for most performance outcomes. We document the influence of the lean initiative on internal processes and examine how the techniques affect learning by improving both problem identification and problem resolution. Finally, we extend the lean production framework by highlighting the need to (1) identify problems early in the process and (2) AcknowledgmentsWe would like to express our gratitude to Alexis Samuel, Sambuddha Deb, Ravishankar Kuni, Seema Walunjkar, and many other individuals at Wipro for their significant commitment of time and effort for this project. Special thanks are due to H. Kent Bowen for his advice and encouragement over the course of this project. We would also like to thank the special issue editors, consulting editor, and reviewers whose thought-provoking comments and suggestions have significantly improved this paper. This paper benefited, as well, from the thoughts and comments of Rob Austin, Vishal Gaur, Robert Hayes, Ananth Raman, Zeynep Ton, and Noel Watson. Finally, we are grateful to the Division of Research of Harvard Business School for funding. All errors remain our own.Lean Principles, Learning, and Knowledge Work -1 -Lean Principles, Learning, and Knowledge Work:Evidence from a Software Services ProviderAbstract In this paper, we examine the applicability of lean production to knowledge work by investigating the implementation of a lean production system at an Indian software services firm. We first discuss specific aspects of knowledge work-task uncertainty, process invisibility, and architectural ambiguity-that call into question the relevance of lean production in this setting. Then, combining a detailed case study and empirical analysis, we find that lean software projects perform better than nonlean software projects at the company for most performance outcomes. We document the influence of the lean initiative on internal processes and examine how the techniques affect learning by improving both problem identification and problem resolution. Finally, we extend the lean production framework by highlighting the need to (1) identify problems early in the process and (2) keep problems and solutions together in time, space, and person.

Is lean service promising? A socio-technical perspective

“…This is critical information, needed by managers to improve the flow of processes and hence increase customer satisfaction (Swank, 2003). Staats et al (2011) reported case-based evidence indicating that some of the technical practices (such as visualisation, standardisation and process mapping) were very effective in improving processing time and labour productivity in a software service firm. Piercy and Rich (2009) found that the elimination of NVAs through lean technical practices freed staff time, decreased lead and cycle time, reduced costs, and thus improved customer value.…”

“…These arguments leave service managers unclear whether lean manufacturing practices can be equally as valid for service-based processes, and substantiate the need for further research on lean system in the service context (Hadid and Mansouri, 2014;Staats et al, 2011). In response, this study seeks to answer the following question: Do lean system practices have an additive and/or non-additive (interaction) impact on operational and/or financial performance of for-profit service firms?…”

“…Given the resources needed to address such resistance (De Leeuw and van den Berg, 2011), adopting lean practices can prove more costly in services. Furthermore, to implement lean practices, employees should be trained to be able to implement lean practices (Staats et al, 2011). The cost of training, estimated to be as high as $50,000 (Swink and Jacobs, 2012), can be another inhibitor.…”

Job design under lean manufacturing and the quality of working life: a job demands and resources perspective

“…Although originally designed for use in manufacturing, its principles have also been adopted in the service industry (Abdi, Shavarini & Hoseini, 2006), the public sector (Kollberg, Dahlgaard & Brehmer, 2006) and knowledge work (Staats, Brunner & Upton, 2011). Since the original coining of the term in the late 1980s (Krafcik, 1988;Womack et al, 1990), its meaning and measurement has been a hotly debated topic of inquiry.…”

“…Increased pressure on organisations to remain competitive in terms of their product cost, service and quality, has led to the establishment of lean manufacturing as one of the most widely used production systems, as its positive impact on organisational performance and competitive advantage has been widely demonstrated (Brown et al, 2006;Cua et al, 2001;Fullerton & Wempe, 2009). As a result it has now extended beyond manufacturing into the service industry (Abdi et al, 2006), the public sector (Kollberg et al, 2006) and knowledge work (Staats et al, 2011).…”