Organization Culture and Lean Implementation: A Study in Micro, Small and Medium Engineering Enterprise

This study investigates the organizational culture and lean readiness using the Organiza tional Culture Assessment Instrument (OCAI) and Lean Culture Assessment Model (LCAM) to implement lean for improving productivity in one of the Indian Micro, Small, and Medium Enterprises (MSMEs). The OCAI study results found that the organization has a family-style corporate culture and horizontal leadership. LCAM results showed that the company’s score on lean readiness is very low. Further, study through interaction with key organizational personnel revealed that the day-to-day operations were cluttered and lacked direction. The diagnostic study helped identify the cultural issues and problems of the company. The imple mentation of lean was undertaken for 15 months, resulting in a reduced workforce and timely delivery of orders. It also generated cash through the liquidation of scraps and non-productive assets. A refreshed culture further led to sustained and improved motivation among staff with a sense of achievement.