Lean Thinking and Corporate Accountability: Governance Lessons from High-Performance Operations

Abstract

Organizations are embracing lean thinking as a way of maximizing efficiency and performance in the modern competitive environment. Nonetheless, minimal studies have been done regarding its implications to corporate accountability and governance. In this work, the authors examine the interconnection between high-performance operations and lean practices as the dependent variable, corporate accountability as the intermediate variable, and digitalization as an intervening variable. It was done with the help of a quantitative method of data collection, which sampling 200 respondents throughout Indian MSMEs and manufacturing and service companies was made. The paper utilizes the Partial Least Squares Structural Equation Modeling (PLS-SEM) as the test of the model proposed. This finding indicates that lean practices have great benefits on corporate accountability and operations performance. The relationship between lean thinking and performance partially mediate through corporate accountability, and the relationship is enhanced by digitalization. The research adds value to the body of knowledge by combining the concept of lean operations and governance framework, and presents viable suggestions to managers, policymakers and investors in realizing sustainable and responsible high-performance operations.