Evaluation of Lean Manufacturing Concept Implementation in The Upstream Petroleum Industry Through Critical Success Factors (Published)
Lean Manufacturing (LM) implementation depends on careful identification and selection of appropriate critical success factors (CSFs) capable of supporting lean implementation success. Notwithstanding the ubiquity of LM, differences in culture and philosophy of an organization may call for a “unique” set of CSFs to enhance industry-specific LM implementation success. A critical review of extant literature revealed a paucity of studies of CSFs relevant for LM adoption in the upstream petroleum sector in developing economies. This paper, therefore, sought to fill this gap by proposing suitable CSFs for upstream petroleum operations in developing economies. The study adopted a survey-based approach with 115 respondents purposively sampled from upstream petroleum-based organisations. Spearman correlation and Chi-square tests were performed. Data collected and analysed showed that from a list of 48 CSFs identified, 14 were suitable for adoption within the upstream petroleum operation. Thirteen (13) guidelines were also developed for the upstream sector. The results revealed that CSFs are not independent of Lean implementation guidelines. Management Commitment, Active Leadership Sustainable Production, Training and Skills Development, Work Environment, Continuous Improvement Organization, Lean Readiness, Shop Floor Management and Visual Management were found to be among the most critical CSFs for companies operating in the upstream sector of developing economies. The study makes a significant contribution to literature within the context of the study.
Keywords: critical success factors., lean management, petroleum production process, petroleum projects.