Operations management in times of COVID-19 crisis: the role of management approaches to achieve resilience

Abstract

The 2019 coronavirus pandemic (COVID-19) has had devastating consequences worldwide. To limit its spread, several approaches based on social distancing were adopted by governments and industries, which affected companies and their supply chains. The COVID-19 outbreak has entailed human, technological, and managerial constraints for manufacturing companies due to scarce resources or supply chain disruptions. This thesis aims to investigate the role of LM and Industry 4.0 during major breakdowns and present the legacy of COVID-19 on operations management. To achieve this goal a survey, systematic literature review (SLR), and semi-structured interviews with industry practitioners was carried out. In empirical research, we investigate the role of lean manufacturing (LM) and Industry 4.0 to improve the company’s response and resilience in times of unprecedented crisis. We use structural equation modeling with partial least squares estimation (PLS-SEM) to analyze the data collected. Our findings show that companies’ operational responses to COVID-19 can enable manufacturers to mitigate the loss of performance; operational performance can be enhanced by developing Industry 4.0 smart capabilities and LM practices. We demonstrate that Industry 4.0 initiatives support manufacturing companies’ flexibility, agility, and responsiveness in COVID-19 context. Besides, we discuss the emerging themes during the pandemic while presenting a proposition for future research. This study can help managers achieve performance stability during disruptive times, such as the COVID-19 crisis, using Industry 4.0 or LM to make their companies responsive and resilient.