A model-based approach of flexibility and its impact on organization and employee welfare in lean environment

Abstract

In today’s organizational environment, the need to accomplish more with less people constitutes a source of employee stress. Increasing worker utilization may improve productivity in the system in the short run but at the cost of welfare of workers. This will negatively affect the capability of an organization to innovate, which is harmful for it in the long run. Hence, it becomes essential to take care of the welfare of both the employees and the organization simultaneously. An innovative model has been developed for a manufacturing system in lean environment to examine the current ‘welfare’ state which is considered as a combination of a set of welfare parameters for both the employees and the organization. Subsequently, a set of flexibility parameters have been identified and their respective impacts on the current ‘welfare’ state observed. The model has been tested with the help of an Indian case study which revealed a positive impact of flexibility.