Lean Manufacturing and Agile Supply Chain: A Cost-Effective Approach to Enhance the Export Performance of Textile Industries

Abstract

Globally competitive companies are under pressure to make more efficient use of resources. To improve their performance, these companies are looking for better management concepts and practices. This paper’s purpose is to examine the effect of supply chain agility (SCA), and lean practices (LP) on Export Performance (EP). In addition, the study investigates the mediating effects of CA on the relationship between SCA, LP, and EP. The sample size for this study was 204 questionnaires from the different textile industries in Pakistan. Of the 204 questionnaires, 180 were usable for data analysis. We divided our population into different clusters. Data was collected directly from the managers dealing with the exports, supply chain, and operations from the textile industries in three Pakistani cities (Faisalabad, Lahore, and Multan). SPSS and SmartPLS are used for data analysis purposes. SCA was found to directly and positively affect EP. LP also positively affected EP. In addition, CA fully mediated the relationship between SCA, LP, and EP. This study encourages the managers of manufacturing firms to adapt LP & rsquo;s and their supply chains (SCs) to become agile and leverage the advantages of their implementation to improve their EP and succeed in the market. This study is one of the first to investigate the effect of SCA and LP on EP. Furthermore, it is the first study to examine CA & rsquo;s mediating effect on the relationship between SCA, LP, and EP.