Skip to main content
SpringerLink
Log in

Structural equation modeling to identify the human resource value in the JIT implementation: case maquiladora sector

  • ORIGINAL ARTICLE
  • Published:
The International Journal of Advanced Manufacturing Technology Aims and scope Submit manuscript

Abstract

The research analyzes the particularities of the Mexican maquiladora industry in the Just in Time (JIT) implementation process as a global example of maquiladoras, analyzing 31 competitive advantages or benefits obtained after a JIT implementation process, which were integrated into four dimensions: Human Resources, Production Process, Inventory Management, and Economic Performance of companies. The study proposes a structural equation model which assumes that human factor is the most important benefit obtained after JIT implementation and is proposed as the initial or independent latent variable, being the final latent variable or last benefits the company’s Economic Performance. The final results in the model show how the capabilities and skills in Human Resources affect 86 % of the variance of the Production Process, which together explains the 82 % of Inventory Management. Finally, Human Resources, Production Process, and Inventory Management explain 79 % of Economic Performance obtained from JIT.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  1. Gupta A (2011) A conceptual JIT model of service quality. Int J Eng Sci Tech 3(3):2414–2427

    Google Scholar 

  2. Helm R, Gritsch S (2014) Examining the influence of uncertainty on marketing mix strategy elements in emerging business to business export-markets. Int Bus Rev 23(2):418–428. doi:10.1016/j.ibusrev.2013.06.007

    Article  Google Scholar 

  3. Marín F, Delgado J (2000) Las técnicas justo a tiempo y su repercusión en los sistemas de producción. Econ Ind 331:35–41

    Google Scholar 

  4. Eng T-Y, Ozdemir S (2014) International R&D partnerships and intrafirm R&D–marketing–production integration of manufacturing firms in emerging economies. Indust Mark Manag 43(1):32–44. doi:10.1016/j.indmarman.2013.07.013

    Article  Google Scholar 

  5. Balasubramanian R, Padhi A (2005) The next wave in US offshoring. McKinsey Q 1:6–9

    Google Scholar 

  6. Jun M, Cai S, Shin H (2006) TQM practice in maquiladora: antecedents of employee satisfaction and loyalty. J Oper Manag 24(6):791–812. doi:10.1016/j.jom.2005.09.006

    Article  Google Scholar 

  7. Hadjimarcou J, Brouthers LE, McNicol JP, Michie DE (2013) Maquiladoras in the 21st century: six strategies for success. Bus Horiz 56(2):207–217. doi:10.1016/j.bushor.2012.11.005

    Article  Google Scholar 

  8. Inegi (2013) Monthly statistics for manufacturing industry, maquiladora and export services (immex). Mexican national institute of statistics and geography, Mexico, DF

  9. Machuca JAD (2002) JIT facing the new millennium. Int J Prod Econ 80((2):131–134. doi:10.1016/S0925-5273(02)00312-2

    Article  Google Scholar 

  10. Singh S, Garg D (2011) JIT system: concepts, benefits and motivations in Indian Industries. Int J Manag Bus Stud 1(1):26–30

    Google Scholar 

  11. Contreras OF, Carrillo J, Alonso J (2012) Local entrepreneurship within global value chains: a case study in the Mexican automotive industry. World Dev 40(5):1013–1023. doi:10.1016/j.worlddev.2011.11.012

    Article  Google Scholar 

  12. Sargent J, Matthews L (2009) China versus Mexico in the Global EPZ Industry: Maquiladoras, FDI quality, and plant mortality. World Dev 37(6):1069–1082. doi:10.1016/j.worlddev.2008.10.002

    Article  Google Scholar 

  13. Lawrence JJ, Hottenstein MP (1995) The relationship between JIT manufacturing and performance in Mexican plants affiliated with U.S. companies. J Oper Manag 13(1):3–18. doi:10.1016/0272-6963(95)00018-N

    Article  Google Scholar 

  14. Garg D, Deshmukh S (1999) JIT purchasing: literature review and implications for Indian industry. Prod Plan Control 10(3):276–285. doi:10.1080/095372899233235

    Article  Google Scholar 

  15. Garg D, Deshmukh S, Kaul O (1996) Critical analysis in JIT purchasing in Indian context. Product J 37:271–279

    Google Scholar 

  16. Kumar V (2010) JIT based quality management: concepts and implications in indian context. Int J Eng Sci Technol 2(1):40–50

    Google Scholar 

  17. Bonavia T, Marin-Garcia JA (2011) Integrating human resource management into lean production and their impact on organizational performance. Int J Manpow 32(8):923–938. doi:10.1108/01437721111181679

    Article  Google Scholar 

  18. Power D, Sohal AS (2000) Human resource management strategies and practices in just-in-time environments: Australian case study evidence. Technovation 20(7):373–387. doi:10.1016/S0166-4972(99)00151-0

    Article  Google Scholar 

  19. Inman RA, Sale RS, Green KW Jr, Whitten D (2011) Agile manufacturing: relation to JIT, operational performance and firm performance. J Oper Manag 29(4):343–355. doi:10.1016/j.jom.2010.06.001

    Article  Google Scholar 

  20. Dong Y, Carter CR, Dresner ME (2001) JIT purchasing and performance: an exploratory analysis of buyer and supplier perspectives. J Op Manag 19(4):471–483. doi:10.1016/S0272-6963(00)00066-8

    Article  Google Scholar 

  21. Bonito J (1990) Motivating employees for continuous improvement efforts. Prod Invent Manag Rev APICS News 8:225–236

    Google Scholar 

  22. Chong V, Rundus M (2000) The effect of new manufacturing practices and intensity of market competition on organizational performance: an empirical investigation. Paper presented at the International Conference on Management Research Accounting Research and Case Symposium, Mesa, AZ, USA, January 6–8, 2000

  23. Ebrahtmpour M, Schonberger RJ (1984) The Japanese just-in-time/total quality control production system: potential for developing countries. Int J Prod Res 22(3):421–430. doi:10.1080/00207548408942463

    Article  Google Scholar 

  24. Bartezzaghi E, Turco F, Spina G (1992) The impact of the just-in-time approach on production system performance: a survey of Italian industry. Int J Oper Prod Manag 12(1):5. doi:10.1108/EUM0000000001292

    Article  Google Scholar 

  25. Kumar V, Garg D (2000) JIT elements in Indian context: an analysis. Product J 41(2):217–222

    Google Scholar 

  26. Macbeth DK, Baxter L, Farguson N, Neil G (1988) Buyer-vendor relationship with just-in-time: lessons from us multinationals. Ind Eng 20(9):38–41

    Google Scholar 

  27. Martel M (1993) The role of just-in-time purchasing in Dynapert’s transition to world class manufacturing. Prod Invent Manag J 34:71–76

    Google Scholar 

  28. Parnaby J (1988) A systems approach to the implementation of JIT methodologies in Lucas Industries. Int J Prod Res 26(3):483–492. doi:10.1080/00207548808947878

    Article  Google Scholar 

  29. Sakurai K (1986) Japanese worker attitudes: a key factor in productivity. Int J Oper Prod Manag 6(1):42–53. doi:10.1108/eb054754

    Article  Google Scholar 

  30. Balakrishnan R, Linsmeier T, Venkatakchalam M (1996) Financial benefits from JIT adoption: effects of customer concentration and cost structure. Account Rev 71(2):183–205

    Google Scholar 

  31. Hall R (1983) Zero inventories. Dow Jones-Irwin, Homewood

    Google Scholar 

  32. Hong J-D, Hayya JC, Kim S-L (1992) JIT purchasing and setup reduction in an integrated inventory model. Int J Prod Res 30(2):255–266. doi:10.1080/00207549208942893

    Article  MATH  Google Scholar 

  33. Singhvi S (1992) Employee involvement in JIT success: Eicher experience. Product J 33:366–369

    Google Scholar 

  34. Ha D, Kim S-L (1997) Implementation of JIT purchasing: an integrated approach. Prod Plan Control 8(2):152–157. doi:10.1080/095372897235415

    Article  Google Scholar 

  35. Fiedler K, Galletly JE, Bicheno J (1993) Expert advice for JIT implementation. Int J Oper Prod Manag 13(6):23–30. doi:10.1108/01443579310038994

    Article  Google Scholar 

  36. Dutton B (1990) Switching to quality excellence. Manuf Syst 8:245–256

    Google Scholar 

  37. Padukone H, Subba R (1993) Global status of JIT-implication for developing countries. Product J 34(3):419–429

    Google Scholar 

  38. Singh P, Bhandarkar A (1996) Paradigm shift in Indian industries: the need for tolerance of ambiguity. MDI Manag J 9:106–112

    Google Scholar 

  39. Bozbura FT, Beskese A, Kahraman C (2007) Prioritization of human capital measurement indicators using fuzzy AHP. Expert Syst Appl 32(4):1100–1112. doi:10.1016/j.eswa.2006.02.006

    Article  Google Scholar 

  40. Flynn B, Salakibara S, Schroeder R (1995) Relationship between JIT and TQM practices and performance. Acad Manag J 38(5):1325–1360

    Article  Google Scholar 

  41. Garg D (1997) Relevance of JIT purchasing in Indian industries. Kurukshetra University, India

    Google Scholar 

  42. Roy R, KK G (1996) IT: world scenario and possibility of its applicability in Indian industries. Paper presented at the National conference on operation research in modern technology, REC Kurukshetra, India, March 8–9

  43. Green KW Jr, Inman RA, Birou LM, Whitten D (2014) Total JIT (T-JIT) and its impact on supply chain competency and organizational performance. Int J Prod Econ 147(Part A):125–135. doi:10.1016/j.ijpe.2013.08.026

    Article  Google Scholar 

  44. Prodipto R (1999) Data warehousing for textiles, Texinfotech-99. Paper presented at the Techno park (I) Ltd, New Delhi

    MATH  Google Scholar 

  45. Vrat P, Mittal S, Tyagi K (1993) Implementation of JIT in Indian environment: a Delhi study. Product J 34:251–256

    Google Scholar 

  46. Bortolotti T, Danese P, Romano P (2012) Assessing the impact of just-in-time on operational performance at varying degrees of repetitiveness. Int J Prod Res 51(4):1117–1130. doi:10.1080/00207543.2012.678403

    Article  Google Scholar 

  47. Giunipero LC, Law WK (1990) Organizational support for just-in-time implementation. Int J Logist Manag 1(2):35–40. doi:10.1108/09574099010804572

    Article  Google Scholar 

  48. Priestman S (1985) SQC and JIT: partnership in quality, does culture make a difference. Qual Prog 18(5):31–35

    Google Scholar 

  49. Singh A (1989) Just-in-time system: an integrated system. Product J 30(3):309–314

    Google Scholar 

  50. RC B, RE C, IC C (1994) Switching rules for JIT purchasing. Prod Invent Manag J 35(3):13–17

    Google Scholar 

  51. Vuppalapati K, Ahire SL, Gupta T (1995) JIT and TQM: a case for joint implementation. Int J OperProd Manag 15(5):84–94. doi:10.1108/01443579510083686

    Article  Google Scholar 

  52. Boer J, Blaga P (2012) A more efficient production using quality tools and human resources management. Procedia Econ Finance 3(0):681–689. doi:10.1016/S2212-5671(12)00214-6

    Article  Google Scholar 

  53. Blaga P, Jozsef B (2014) Increasing human resource efficiency in the production process. Procedia Technol 12(0):469–475. doi:10.1016/j.protcy.2013.12.516

    Article  Google Scholar 

  54. Jabbour CJC, Jabbour ABLS, Govindan K, Teixeira AA, Freitas WRS (2013) Environmental management and operational performance in automotive companies in Brazil: the role of human resource management and lean manufacturing. J Clean Prod 47(0):129–140. doi:10.1016/j.jclepro.2012.07.010

    Article  Google Scholar 

  55. Martínez-Jurado PJ, Moyano-Fuentes J, Jerez-Gómez P (2014) Human resource management in lean production adoption and implementation processes: success factors in the aeronautics industry. BRQ Bus Res Q 17(1):47–68. doi:10.1016/j.cede.2013.06.004

    Article  Google Scholar 

  56. Jayaram J, Das A, Nicolae M (2010) Looking beyond the obvious: unraveling the Toyota production system. Int J Prod Econ 128(1):280–291. doi:10.1016/j.ijpe.2010.07.024

    Article  Google Scholar 

  57. Narayana SA, Kumar Pati R, Vrat P (2014) Managerial research on the pharmaceutical supply chain—a critical review and some insights for future directions. J Purch Supply Manag 20(1):18–40. doi:10.1016/j.pursup.2013.09.001

    Article  Google Scholar 

  58. Lengnick-Hall ML, Lengnick-Hall CA, Rigsbee CM (2013) Strategic human resource management and supply chain orientation. Hum Resour Manag Rev 23(4):366–377. doi:10.1016/j.hrmr.2012.07.002

    Article  Google Scholar 

  59. Greer CR, Ireland TC, Wingender JR (2001) Contrarian human resource investments and financial performance after economic downturns. J Bus Res 52(3):249–261. doi:10.1016/S0148-2963(99)00108-3

    Article  Google Scholar 

  60. Kesti M (2012) Organization human resources development connection to business performance. Procedia Econ Financ 2(0):257–264. doi:10.1016/S2212-5671(12)00086-X

    Article  Google Scholar 

  61. Lampel J, Giachetti C (2013) International diversification of manufacturing operations: performance implications and moderating forces. J Oper Manag 31(4):213–227. doi:10.1016/j.jom.2013.04.001

    Article  Google Scholar 

  62. Katou AA, Budhwar PS (2010) Causal relationship between HRM policies and organisational performance: evidence from the Greek manufacturing sector. Eur Manag J 28(1):25–39. doi:10.1016/j.emj.2009.06.001

    Article  Google Scholar 

  63. Fullerton RR, McWatters CS (2001) The production performance benefits from JIT implementation. J Oper Manag 19(1):81–96. doi:10.1016/S0272-6963(00)00051-6

    Article  Google Scholar 

  64. Hofer C, Eroglu C, Rossiter Hofer A (2012) The effect of lean production on financial performance: the mediating role of inventory leanness. Int J Prod Econ 138(2):242–253. doi:10.1016/j.ijpe.2012.03.025

    Article  Google Scholar 

  65. Brox JA, Fader C (1997) Assessing the impact of JIT using economic theory. J Oper Manag 15(4):371–388. doi:10.1016/S0272-6963(97)00005-3

    Article  Google Scholar 

  66. González-Benito J, Suárez-González I, Spring M (2000) Complementarities between JIT purchasing practices: an economic analysis based on transaction costs. Int J Prod Econ 67(3):279–293. doi:10.1016/S0925-5273(00)00032-3

    Article  Google Scholar 

  67. Cao Q, Schniederjans M (2004) A revised EMQ/JIT production-run model: an examination of inventory and production costs. Int J Prod Econ 87(1):83–95

    Article  Google Scholar 

  68. Maiga AS, Jacobs FA (2009) JIT performance effects: a research note. Adv Account 25(2):183–189. doi:10.1016/j.adiac.2009.06.003

    Article  Google Scholar 

  69. Singh R, SH S, Metri B, Kaur R (2011) Organizational performance and retail challenges: a structural equation approach. Sci Res 3:159–168

    Google Scholar 

  70. Cronbach L (1951) Coefficient alpha and the internal structure of tests. Psychometrika 16(3):297–334. doi:10.1007/BF02310555

    Article  Google Scholar 

  71. Liu H, Ke W, Wei KK, Hua Z (2013) The impact of IT capabilities on firm performance: the mediating roles of absorptive capacity and supply chain agility. Decis Support Syst 54(3):1452–1462. doi:10.1016/j.dss.2012.12.016

    Article  Google Scholar 

  72. Nunnaly J (1978) Psychometric theory. Mc Graw Hill, New York

    Google Scholar 

  73. Fornell C, Larcker D (1981) Evaluating structural equation models with unobservable variables and measurement error. J Mark Res 18(1):39–50

    Article  Google Scholar 

  74. Nunnaly J, Bernstein I (1994) Psychometric theory. Mc Graw Hill, New York

    Google Scholar 

  75. Rexhausen D, Pibernik R, Kaiser G (2012) Customer-facing supply chain practices—the impact of demand and distribution management on supply chain success. J Oper Manag 30(4):269–281. doi:10.1016/j.jom.2012.02.001

    Article  Google Scholar 

  76. Lin C, Chow W, Madu C, Kuei C, Pei Y (2005) A structural equation model of supply chain quality management and organizational performance. Int J Prod Econ 96(3):355–365

    Article  Google Scholar 

  77. Zailani S, Jeyaraman K, Vengadasan G, Premkumar R (2012) Sustainable supply chain management (SSCM) in Malaysia: a survey. Int J Prod Econ 140(1):330–340. doi:10.1016/j.ijpe.2012.02.008

    Article  Google Scholar 

  78. Ramanathan U, Gunasekaran A (2014) Supply chain collaboration: impact of success in long-term partnerships. Int J Prod Econ 147(0):252–259. doi:10.1016/j.ijpe.2012.06.002

    Article  Google Scholar 

  79. Blome C, Schoenherr T, Eckstein D (2014) The impact of knowledge transfer and complexity on supply chain flexibility: a knowledge-based view. Int J Prod Econ 147(0):307–316. doi:10.1016/j.ijpe.2013.02.028

    Article  Google Scholar 

  80. Hair J, Anderson R, Tatham R (1987) Multivariate data analysis. Macmillan, New York

    Google Scholar 

  81. Hair J, Black W, Babin B, Anderson R (2009) Multivariate data analysis. Prentice Hall, Upper Saddle River

    Google Scholar 

  82. Giaquinta M (2009) Mathematical analysis: an introduction to functions of several variables. Springer, New York

    Book  Google Scholar 

  83. Kaiser H (2010) Mathematical programming for agricultural, environmental, and resource economics. Wiley, Hoboken

    Google Scholar 

  84. Rosenthal R, Rosnow R (1991) Essentials of behavioral research: methods and data analysis. Mc Graw Hill, Boston

    Google Scholar 

  85. Wold S, Trygg J, Berglund A, Antti H (2001) Some recent developments in PLS modeling. Chemometr Intell Lab Syst 58(2):131–150. doi:10.1016/S0169-7439(01)00156-3

    Article  Google Scholar 

  86. García-Alcaraz J, Maldonado-Macias A, Iniesta AA, Robles GC, Hernández GA (2014) A systematic review/survey for JIT implementation: Mexican maquiladoras as case study. Comput Ind 65(4):761–773. doi:10.1016/j.compind.2014.02.013

    Article  Google Scholar 

  87. García-Alcaraz J, Maldonado A, Alvarado A, Rivera D (2014) Human critical success factors for kaizen and its impacts in industrial performance. Int J Adv Manuf Technol 70(9–12):2187–2198. doi:10.1007/s00170-013-5445-4

    Article  Google Scholar 

  88. Avelar-Sosa L, García-Alcaraz J, Vergara-Villegas O, Maldonado-Macías A, Alor-Hernández G (2014) Impact of traditional and international logistic policies in supply chain performance. Int J Adv Manuf Technol 1–13. doi:10.1007/s00170-014-6308-3

  89. Kock N (2013) Using WarpPLS in e-collaboration studies: what if I have only one group and one condition. Int J e-Collab 9(3):12

    Article  MathSciNet  Google Scholar 

  90. Cenfetelli R, Bassellier G (2009) Interpretation of formative measurement in information systems research. MIS Q 33(4):19

    Google Scholar 

  91. Petter S, Straub D, Rai A (2007) Specifying formative constructs in information systems research. MIS Q 31(4):623–656

    Google Scholar 

  92. Kline R (1998) Principles and practice of structural equation modeling. Guilford, New York

    Google Scholar 

  93. Tastle WJ, Wierman MJ (2007) Consensus and dissention: a measure of ordinal dispersion. Int J Approx Reason 45(3):531–545. doi:10.1016/j.ijar.2006.06.024

    Article  MathSciNet  Google Scholar 

  94. García-Alcaraz J, Rivera L, Blanco J, Jiménez E, Martínez E (2014) Structural equations modelling for relational analysis of JIT performance in maquiladora sector. Int J Prod Res 52(17):4931–4949. doi:10.1080/00207543.2014.885143

    Article  Google Scholar 

  95. Merschmann U, Thonemann UW (2011) Supply chain flexibility, uncertainty and firm performance: an empirical analysis of German manufacturing firms. Int J Prod Econ 130(1):43–53. doi:10.1016/j.ijpe.2010.10.013

    Article  Google Scholar 

  96. Yang S, Albert R, Carlo TA (2013) Transience and constancy of interactions in a plant-frugivore network. Ecosphere 4(12):147. doi:10.1890/ES13-00222.1

    Article  Google Scholar 

  97. Ketkar M, Vaidya OS (2012) Study of emerging issues in supply risk management in India. Procedia Soc Behav Sci 37(0):57–66. doi:10.1016/j.sbspro.2012.03.275

    Article  Google Scholar 

  98. Fullerton RR, McWatters CS (2002) The role of performance measures and incentive systems in relation to the degree of JIT implementation. Account Organ Soc 27(8):711–735. doi:10.1016/S0361-3682(02)00012-0

    Article  Google Scholar 

  99. Świerczek A (2013) The impact of supply chain integration on the “snowball effect” in the transmission of disruptions: an empirical evaluation of the model. Int J Prod Econ. doi:10.1016/j.ijpe.2013.08.010

  100. White RE, Prybutok V (2001) The relationship between JIT practices and type of production system. OMEGA 29(2):113–124. doi:10.1016/S0305-0483(00)00033-5

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Department of Industrial Engineering and Manufacturing, Institute of Engineering and Technology, Autonomous University of Ciudad Juárez, Av. Del Charro 450 Norte. Partido Romero, 32310, Ciudad Juárez, ZP, Mexico

    Jorge Luis García-Alcaraz, Diana Jazmín Prieto-Luevano & Aidé Aracely Maldonado-Macías

  2. Department of Mechanical Engineering, University of La Rioja, C/Luis de Ulloa, 20, 26004, Logroño, La Rioja, Spain

    Julio Blanco-Fernández & Emilio Jiménez-Macías

  3. Department of Quantitative Methods, Faculty of Economics Sciences, Universidad de Zaragoza, Gran Vía, 2, 50005, Zaragoza, ZP, Spain

    José María Moreno-Jiménez

Authors
  1. Jorge Luis García-Alcaraz
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Diana Jazmín Prieto-Luevano
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Aidé Aracely Maldonado-Macías
    View author publications

    You can also search for this author in PubMed Google Scholar

  4. Julio Blanco-Fernández
    View author publications

    You can also search for this author in PubMed Google Scholar

  5. Emilio Jiménez-Macías
    View author publications

    You can also search for this author in PubMed Google Scholar

  6. José María Moreno-Jiménez
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Jorge Luis García-Alcaraz.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

García-Alcaraz, J.L., Prieto-Luevano, D.J., Maldonado-Macías, A.A. et al. Structural equation modeling to identify the human resource value in the JIT implementation: case maquiladora sector. Int J Adv Manuf Technol 77, 1483–1497 (2015). https://doi.org/10.1007/s00170-014-6561-5

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s00170-014-6561-5

Keywords

Search

Navigation