A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises

The introduction of ASEAN Economic Community (AEC) in 2015 poses another challenges to the Small and Medium Enterprises (SMEs) in Malaysia to remain competitive in a larger market of ASEAN, apart from the existing effect of globalization from low cost countries such as China and India. It is importa...

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Main Authors: Mohd Ghazali, Maarof, Fatimah, Mahmud
Format: Article
Language:English
Published: Elsevier Ltd 2016
Subjects:
Online Access:http://umpir.ump.edu.my/id/eprint/11546/1/A%20Review%20of%20Contributing%20Factors%20and%20Challenges%20in%20Implementing%20Kaizen%20in%20Small%20and%20Medium%20Enterprises.pdf
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author Mohd Ghazali, Maarof
Fatimah, Mahmud
author_facet Mohd Ghazali, Maarof
Fatimah, Mahmud
author_sort Mohd Ghazali, Maarof
collection UMP
description The introduction of ASEAN Economic Community (AEC) in 2015 poses another challenges to the Small and Medium Enterprises (SMEs) in Malaysia to remain competitive in a larger market of ASEAN, apart from the existing effect of globalization from low cost countries such as China and India. It is important for these SMEs to remain competitive in the market since SMEs contribute significantly to the Malaysian economy. One method to improve business competitiveness is by applying the concept of continuous improvement also known as Kaizen. This paper reviews some selected factors contributing to the successful implementation of Kaizen and its challenges among small and medium enterprises. The factors such as good communication between the top management and their employees, clear corporate strategy, the presence of a Kaizen champion personnel in the organization, good knowledge management and employees empowerment were found to contribute to the successful implementation of Kaizen. The review also found that resistance to change, failure to motivate employees, lack of understanding on companies’ strategic path and difficulties in managing continuous improvement itself formed some of the challenges in implementing Kaizen. It appears some similarities exist between small and medium enterprises, and large companies interm of the contributing factors in implementing Kaizen. Thus, this paper can provides some insights into the factors contributing to successful implementation of Kaizen and its challenges. Hopefully, this paper can be beneficial to the Small and Mediun Enterprises as well as other industry players in formulating their continuous improvement or Kaizen strategies.
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spelling UMPir115462018-03-27T03:06:35Z http://umpir.ump.edu.my/id/eprint/11546/ A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises Mohd Ghazali, Maarof Fatimah, Mahmud HD28 Management. Industrial Management The introduction of ASEAN Economic Community (AEC) in 2015 poses another challenges to the Small and Medium Enterprises (SMEs) in Malaysia to remain competitive in a larger market of ASEAN, apart from the existing effect of globalization from low cost countries such as China and India. It is important for these SMEs to remain competitive in the market since SMEs contribute significantly to the Malaysian economy. One method to improve business competitiveness is by applying the concept of continuous improvement also known as Kaizen. This paper reviews some selected factors contributing to the successful implementation of Kaizen and its challenges among small and medium enterprises. The factors such as good communication between the top management and their employees, clear corporate strategy, the presence of a Kaizen champion personnel in the organization, good knowledge management and employees empowerment were found to contribute to the successful implementation of Kaizen. The review also found that resistance to change, failure to motivate employees, lack of understanding on companies’ strategic path and difficulties in managing continuous improvement itself formed some of the challenges in implementing Kaizen. It appears some similarities exist between small and medium enterprises, and large companies interm of the contributing factors in implementing Kaizen. Thus, this paper can provides some insights into the factors contributing to successful implementation of Kaizen and its challenges. Hopefully, this paper can be beneficial to the Small and Mediun Enterprises as well as other industry players in formulating their continuous improvement or Kaizen strategies. Elsevier Ltd 2016 Article PeerReviewed application/pdf en cc_by_nc_nd http://umpir.ump.edu.my/id/eprint/11546/1/A%20Review%20of%20Contributing%20Factors%20and%20Challenges%20in%20Implementing%20Kaizen%20in%20Small%20and%20Medium%20Enterprises.pdf Mohd Ghazali, Maarof and Fatimah, Mahmud (2016) A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises. Procedia Economics and Finance, 35. pp. 522-531. ISSN 2212-5671. (Published) http://dx.doi.org/10.1016/S2212-5671(16)00065-4 DOI: 10.1016/S2212-5671(16)00065-4
spellingShingle HD28 Management. Industrial Management
Mohd Ghazali, Maarof
Fatimah, Mahmud
A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises
title A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises
title_full A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises
title_fullStr A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises
title_full_unstemmed A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises
title_short A Review of Contributing Factors and Challenges In Implementing Kaizen in Small and Medium Enterprises
title_sort review of contributing factors and challenges in implementing kaizen in small and medium enterprises
topic HD28 Management. Industrial Management
url http://umpir.ump.edu.my/id/eprint/11546/1/A%20Review%20of%20Contributing%20Factors%20and%20Challenges%20in%20Implementing%20Kaizen%20in%20Small%20and%20Medium%20Enterprises.pdf
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