Business Commons^™

Does The Importance Of Environmental Issues Within An Industry Affect The Relationship Between Lean Operations And Corporate Financial Performance?, Andrew S. Manikas, James R. Kroes, Benjamin P. Foster

IT and Supply Chain Management Faculty Publications and Presentations

Lean operations and environmental sustainability have been generally accepted to be complementary activities, although prior studies have not found consistent relationships between these factors and corporate financial performance. It has been proposed that these inconsistent findings might be due to industry-specific differences in sustainability. Thus, this study examines: (i) whether the level of leanness in companies is related to the importance of environmental sustainability and (ii) if the relationship between companies’ leanness and their financial performance is heightened by the importance of environmental issues inherent in their industries. To measure the importance of environmental issues in an industry, we employ …