Cultural Impact on Lean Six Sigma and Corporate Success: Causal Analyses Considering the Effects of National Culture and Leadership (Forum Marketing)

To achieve a better understanding of the influence of National Culture, Corporate Culture and Leadership Style on Lean Six Sigma implementation and Corporate Success a quantitative empirical web-based survey with Lean Six Sigma professionals involved in the social professional network LinkedIn was carried out by Miriam Jacobs. The outcome of this survey suggests, that certain constellations of these five factors are more successful than others. Companies with an almost equal balance across different Leadership Styles and types of Corporate Culture achieve the best results, while companies equipped with a Rational and Hierarchical Corporate Culture in the absence of transformational, participative or supportive leadership are likely to fail. Contents · Theoretical Foundations and Concepts for Lean Six Sigma, Corporate Culture, National Culture, Leadership Style and Corporate Success · Development of an Overall Hypothesized Model · Introduction and Implementation of Structural Equation Modeling with Partial Least Squares (PLS) to Test the Hypothesized Model · Practical Implications and Recommendations Target Groups · Researchers and students in the fields of management, leadership and quality management · Executives who are concerned with Lean Six Sigma The Author Dr. Miriam Jacobs wrote her dissertation under the supervision of Prof. Dr. Armin Töpfer at the Faculty of Economics and Business Management, Research Group Corporate Management and Marketing at Technische Universität Dresden Foreword 7 Acknowledgements 9 Overview 11 Contents 12 List of Figures 17 List of Tables 20 Glossary 24 1 Introduction 26 1.1 Overview and Problem Statement 26 1.2 Purpose and Research Questions 29 1.3 Conceptual Framework and Methodology 33 2 Theoretical Foundations 38 2.1 The Concept of Lean Six Sigma 38 2.1.1 Roots and Definition of Lean Management 38 2.1.2 Roots and Definition of Six Sigma 44 2.1.3 The Character of Lean Six Sigma 48 2.2 Definition of Organization and Corporation 52 2.3 The Concept of Corporate Success 53 2.3.1 Definition of Corporate Success 53 2.3.2 Measurement of Corporate Success 56 2.4 The Concept of Corporate Culture 59 2.4.1 Definitions of the Underlying Concept Organizational Culture 59 2.4.2 Definition of Corporate Culture 64 2.5 The Concept of National Culture 66 2.5.1 Definition and Values of National Culture 66 2.5.2 Value Based Frameworks Exploring National Culture 67 2.5.3 Evaluation of the National Culture Frameworks 75 2.6 The Role and Concept of Leadership Style 78 2.6.1 Definition and Behaviors of Leadership Style 78 2.6.2 Charismatic and Transformational Leadership 83 2.7 Summary of Definitions and Research Framework 87 3 Literature Review 91 3.1 Structure and Methodology of the Literature Review 91 3.2 The Relationship between Lean Six Sigma and Corporate Success 94 3.2.1 Six Sigma Benefits 96 3.2.2 Lean Management and Performance Outcomes 98 3.2.3 TQM and Performance Outcomes 99 3.2.4 Hypothesized Relationship between Lean Six Sigma and Corporate Success 102 3.3 The Relationship between Corporate Culture and Corporate Success 104 3.3.1 Bivariate Analyses of Corporate Culture and Corporate Success 108 3.3.2 Multivariate Analyses of Corporate Culture and Corporate Success 120 3.3.3 Hypothesized Relationship between Corporate Culture and Corporate Success 126 3.4 The Relationship between Corporate Culture and Lean Six Sigma 128 3.4.1 Six Sigma and Corporate Culture 129 3.4.2 Lean Six Sigma and Corporate Culture 131 3.4.3 TQM and Corporate Culture 132 3.4.4 Hypothesized Relationship between Lean Six Sigma and Corporate Culture 139 3.5 The Impact of National Culture 140 3.5.1 National Culture and Quality Management 140 3.5.2 National Culture and Corporate Culture 152 3.5.3 National Culture and Leadership Style 157 3.5.4 Hypothesized Impact of National Culture 169 3.6 The Impact of Leadership Style 172 3.6.1 Leadership Style and Quality Management 173 3.6.2 Leadership Style and Corporate Culture 175 3.6.3 Leadership Style and Corporate Success 181 3.6.4 Hypothesized Impact of Leadership Style 182 3.7 Summary of the Literature Review and Hypothesized Model 183 4 Methodological Foundations 188 4.1 Structural Equation Modeling 188 4.1.1 Overview of SEM 188 4.1.2 SEM and Causal Modeling 194 4.1.3 Reflective and Formative Measurement Models 195 4.2 Partial Least Squares Path Modeling (PLS) 198 4.2.1 Assessment of the Measurement Models with PLS 199 4.2.2 Assessment of the Structural Model with PLS 201 4.2.3 Assessment of the Overall Modell with PLS 204 4.3 Level of Analysis 205 4.4 Operationalization of the Concepts 206 4.4.1 Operationalization of Lean Six Sigma 206 4.4.2 Operationalization of Corporate Success 207 4.4.3 Operationalization of Corporate Culture 209 4.4.4 Operationalization of National Culture 210 4.4.5 Operationalization of Leadership Style 211 4.5 Statistical Survey Questions 212 4.6 Design of the Structural Equation Model 212 5 Empirical Study and Results 214 5.1 Data Collection Procedure 214 5.1.1 Target Population and Sample 214 5.1.2 Survey Distribution 215 5.2 Analysis 218 5.2.1 Descriptive Sample Statistics 219 5.2.2 Assessment of the Reflective Measurement Models 223 5.2.3 Assessment of the Formative Measurement Models 232 5.2.4 Assessment of the Structural Model 237 5.2.5 Cluster Analysis 247 5.3 Results Summary 251 6 Summary and Conclusion 255 6.1 Summary of Key Findings 255 6.2 Limitations and Directions for Future Research 258 6.3 Practical Implications and Final Conclusions 262 Appendix A Survey Questionnaire 270 A.1 Introduction 270 A.2 Lean Six Sigma 271 A.3 Corporate Success 272 A.4 Corporate Culture 273 A.5 Leadership Style 274 A.6 National Culture 275 A.7 Statistics 276 Appendix B Letters for Survey Distribution 279 B.1 Discussion Thread in LinkedIn groups 279 B.2 Individual Invite to LinkedIn Members 280 B.3 Reminder of October 23rd, 2010 281 B.4 Reminder of December 11th, 2010 282 Appendix C Operationalization of Measurement Models 283 C.1 Measurement Model Lean Six Sigma (A1) 284 C.2 Measurement Model Corporate Success (C) 285 C.3 Measurement Model Corporate Culture (A2) 286 C.4 Measurement Model National Culture (B1) 287 C.5 Measurement Model Leadership Style (B2) 288 Appendix D Clusters 289 D.1 Cluster 1 290 D.2 Cluster 2 291 D.3 Cluster 3 292 D.4 Cluster 4 293 Appendix E Details of Research Analysis 294 E.1 Levels of Research Analysis 294 E.2 Current Literature on (Lean) Six Sigma 297 References 300 To achieve a better understanding of the influence of National Culture, Corporate Culture and Leadership Style on Lean Six Sigma implementation and Corporate Success a quantitative empirical web-based survey with Lean Six Sigma professionals involved in the social professional network LinkedIn was carried out by Miriam Jacobs. The outcome of this survey suggests, that certain constellations of these five factors are more successful than others. Companies with an almost equal balance across different Leadership Styles and types of Corporate Culture achieve the best results, while companies equipped with a Rational and Hierarchical Corporate Culture in the absence of transformational, participative or supportive leadership are likely to fail. Contents · Theoretical Foundations and Concepts for Lean Six Sigma, Corporate Culture, National Culture, Leadership Style and Corporate Success · Development of an Overall Hypothesized Model · Introduction and Implementation of Structural Equation Modeling with Partial Least Squares (PLS) to Test the Hypothesized Model · Practical Implications and Recommendations Target Groups · Researchers and students in the fields of management, leadership and quality management · Executives who are concerned with Lean Six Sigma The Author Dr. Miriam Jacobs wrote her dissertation under the supervision of Prof. Dr. Armin Töpfer at the Faculty of Economics and Business Management, Research Group Corporate Management and Marketing at Technische Universität Dresden Front Matter....Pages i-xxviii Introduction....Pages 1-12 Theoretical Foundations....Pages 13-65 Literature Review....Pages 67-163 Methodological Foundations....Pages 165-190 Empirical Study and Results....Pages 191-231 Summary and Conclusion....Pages 233-247 Back Matter....Pages 249-320