Lean Six Sigma and Industry 4.0 integration for Operational Excellence: evidence from Italian manufacturing companies

TLDR

The study explores integrating Lean Six Sigma tools with Industry 4.0 technologies to develop a new pattern for Operational Excellence. Using grounded theory, the authors interviewed managers from ten Italian manufacturing firms and observed Industry 4.0 and LSS integration practices in one case to develop the pattern. Findings confirm that LSS can serve as a platform for effective Industry 4.0 outcomes, but achieving integration requires reinvented mapping tools, horizontal and vertical integration—including ERP reengineering—and new analytics, marking one of the first studies to outline how to combine LSS and Industry 4.0 for operational excellence.

Abstract

This research investigates a possible integration between Lean Six Sigma (LSS) tools and principles and Industry 4.0 technologies. The aim is the development of a new pattern for Operational Excellence through the grounded theory methodology. Data collection involved interviewing Italian manufacturing managers in ten case organisations as well as a direct observation of practices linked to Industry 4.0 and LSS integration at one of the selected case organisations. Results of the study aligns with preliminary literature supporting LSS providing platform to achieve effective outcome from Industry 4.0 application. The integration needs reinvented mapping tools and implies a horizontal integration and a vertical, end-to-end integration. The latter requires the company to reengineer the ERP modules, while in the horizontal integration the real ultimate goal is to reach a complete automatic synchronisation of the processes named Autonomous Process Synchronisation. Moreover, all the data gathered from production processes and offices needs the development of new analytics at all levels. This is amongst first few studies that answers how to achieve integration between LSS and Industry 4.0 technologies and thus have several research and managerial contributions in advancing operational excellence research.