Economic Models - Convex Optimization

142 Victoria Miroshnik
process should be provided with the right part, in the right quantity at exactly
the right point of time. The ultimate goal is that every process should be
provided with one part at a time, exactly when that part is needed.
The most important feature of the organizational set-up of the lean
production system is the extensive use of multifunctional teams, which
are groups of workers who are able to perform many different works. The
teams are organized along a cell-based production flow system. The number
of job-classifications also declines. Workers have received training to
perform a number of different tasks, such as the statistical process control,
quality instruments, computers, set-up performances, maintenance etc. In
the lean production system responsibilities are decentralized. There is no
supervisory level in the hierarchy. The multifunctional team is expected
to perform supervisory tasks. This is done through the rotations of team
leadership among workers. As a result, the number of hierarchical levels in
the organization can be reduced. The number of functional areas that are
the responsibility of the teams increases (Kumazawa and Yamada, 1989).
In a multifunctional set-up, it is vital to provide information in time
and continuously in the production flow. The production system is changing
and gradually adopting a more flexible system in order to adopt itself to
changes in demand; which may reduce costs of production and increase efficiency.
There are extensive usages of Kaizen activities and TQM and Total
Productive Maintenance (TPM) to increase the effectiveness of corporate
performances.
4. A Nation-Organization-Leader-Performance Model
Organizational culture is a product of a number of factors: NC, human
resources practice, and leadership styles have prominent influences on it.
These in turn, along with the OC, affect CPs. The proposed model, as in
Fig. 1, is the synthesis of the ideas relating to this central theme. Figures 2
and 3 describe the proposed theoretical model relating OC and CPs. Corporate
performances are measured in terms of the following criteria:
(a) customers’ satisfaction;
(b) employee’s satisfaction and commitment and
(c) contributions of the organization to the society and environment.
Most companies in Japan use these criteria to signify CPs (Basu, 1999;
Nakane, 1970).
There are several latent or hypothetical variables, which jointly can
influence the outcome. National culture is affected by two constructs: