Digital transformations and supply chain management: a Lean Six Sigma perspective
| DOI | https://doi.org/10.1108/JABS-10-2020-0415 |
| Published date | 22 June 2021 |
| Date | 22 June 2021 |
| Pages | 340-353 |
| Subject Matter | Strategy,International business |
| Author | Huay Ling Tay,Hui Shan Loh |
Digital transformations and supply chain
management: a Lean Six Sigma
perspective
Huay Ling Tay and Hui Shan Loh
Abstract
Purpose –With the advent of technologicalconnectivity and access to massive data,the possibilities of
augmentingLean Six Sigma’s Define-Measure-Analyze-Improve-Control (LSS’sDMAIC) problem-solving
approach withadvanced technologies are enormous. This paperaims to examine digital transformations
(DT) of supplychains from a process improvement angleusing the LSS DMAIC approach.
Design/methodology/approach –This paper uses a case study approach. Three exemplary case
studies were examinedto shed light on how LSS can aid in DT to achieve enterprise-wide improvements
and enhancevalue across the supply chains.
Findings –The paper providesa conceptual framework based on a structured DMAICproblem-solving
approach to driveimprovements in supply chains. The conceptualframework also provides a systematic
approachfor big data to be integrated in LSS initiatives to achieve greatersupply chain performance.
Originality/value –This paper extendsresearch in LSS supply chains by providing a guidancethrough
a conceptual framework that integrate DT and LSS supply chains to support successful digital
transformationand LSS supply chains.
Keywords DMAIC, Lean Six Sigma, Supply chains, Digital transformation, Data science
Paper type Research paper
1. Introduction
Digital transformation (DT) is becoming one of the main challenges facing enterprises in
different industries all over the world. Today, technological evolutions have become an
integral part of many enterprises, from the use of the cloud computing, artificial intelligence,
mobility and the Internet of Things (IoT). These have reshaped many supply chain
processes and operations.
To remain competitive, many organizations are under pressure to digitally transform or risk
being made obsolete by market forces. Work processes are expected to transform with the
adoption of disruptive technologies and workers will have to learn and relearnknowledge as
well as acquire data analytics skills to bridge gaps in organizations’ competencies
(Angappa et al., 2017). This is especially so when organizations face the challenges
brought about by the COVID-19 pandemic.
In the similar vein, the aim of Lean Six Sigma (LSS), a well-established methodological
framework, has traditionally focused on cutting waste and reducing process variance to
drive operational efficiency. With the advent of technological connectivity and access to
massive data, there is a significant “evolution” of LSS. The possibilities of augmenting LSS’s
Define-Measure-Analyze-Improve-Control (DMAIC) problem-solving approach with
advanced technologies are enormous. We posit that LSS complements the rationale for the
adoption of disruptive technologies in operations and processes for optimizing outputs. A
Huay Ling Tay and
Hui Shan Loh are both
based at School of
Business, Singapore
University of Social
Sciences, Singapore.
Received 21 October 2020
Revised 30 December 2020
18 January 2021
Accepted 19 January 2021
PAGE 340 jJOURNAL OF ASIA BUSINESS STUDIES jVOL. 16 NO. 2 2022, pp. 340-353, ©EmeraldPublishing Limited, ISSN 1558-7894 DOI 10.1108/JABS-10-2020-0415
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