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JMTM
27,5
The impact of managerial
commitment and Kaizen
benefits on companies
692 Midiala Oropesa Vento
Received 18 February 2016
Department of Engineering in Quality Systems,
Revised 23 May 2016 Autonomous University of Ciudad Juárez, Ciudad Juárez,
30 May 2016 Chihuahua, México, and
Accepted 1 June 2016
Jorge Luis García Alcaraz, Aidé Aracely Maldonado Macías and
Valeria Martínez Loya
Department of Industrial Engineering,
Autonomous University of Ciudad Juárez, Ciudad Juárez, Chihuahua, México

Abstract
Purpose – The purpose of this paper is to analyze the effects of both managerial commitment and the
professional development of human resources on the benefits obtained from Kaizen implementation at
the planning stage in Mexican maquiladora companies.
Design/methodology/approach – As part of the methodology, a questionnaire is validated and
administered to 423 workers in different companies from the states of Tabasco, Baja California, Sinaloa
and Chihuahua. Moreover, a structural equation model is proposed to relate four latent variables:
two concerning managerial commitment and the professional development of human resources, and
two more related to the kinds of benefits obtained (economic and for human resources).
Findings – Results demonstrate that managerial commitment has a direct and positive impact on
economic benefits and those for human resources. The major contribution of this study is, however,
the determination of dependency measures between these variables.
Practical implications – This research contributes to the improvement and change, since the results
of the research can be extended to the sustainability of other improvement activities, presenting
additional areas for future research, such understanding will increase the likelihood that the results of
application of Kaizen are sustained, eliminating waste and improving support within the organization.
Finally, this research makes contributions to the field of industrial engineering and management
disciplines of engineering and operations management, as it focusses on the improvement of integrated
systems of people, materials, information, equipment and energy, these systems they are integral to the
modeling of this investigation.
Originality/value – This study tests the hypotheses and their relation to the sustainability of Kaizen
in time for them to use the analysis technique of structural equations. For the author, this is the first
study to determine the causal relationships between the critical success factors and benefits of Kaizen,
determining a measure of dependence between them.
Keywords Kaizen, Educational level, Managerial commitment, Partial least squares (PLS)
Paper type Research paper

1. Introduction
Western companies tend to manage their business activities by establishing short-term
benefits, but this may prevent them from identifying and meeting beyond their
Journal of Manufacturing
Technology Management immediate needs; in addition, short-term process planning can limit the corporate
Vol. 27 No. 5, 2016
pp. 692-712
vision, quality levels of production and profitability.
© Emerald Group Publishing Limited
1741-038X
According to Japanese managerial teams, the success of many companies in Japan is
DOI 10.1108/JMTM-02-2016-0021 dependent on the establishment of high-quality standards for products, production
processes, services and workers’ skills. Therefore, quality has become a philosophy to Impact of
be implemented at all organizational levels. However, it demands the implementation of managerial
a continuous improvement process (Ramadani and Gerguri, 2011). Such an approach
must be permanently applied, since it ensures a constant search for excellence and
commitment
innovation, as well as an increased productivity and reduced costs. As a result, efforts
in organizations are reoriented in order to better meet the needs and expectations from
both internal and external customers. 693
Similarly, a continuous improvement process – also known as Kaizen – demands a
specific leadership attitude on the part of managers. They must encourage
the participation of all members of the company, take part in every supply chain
(SC) process and commit to a full performance in their positions. In fact, managers
are responsible for the implementation of Kaizen and become the major motivator
during its implementation. However, in order to establish such plan in a
certain department or the entire organization, it must be economically profitable
(Glover et al., 2011).
The appropriate implementation of Kaizen must reflect on economic benefits and
also on the human resources. This is one of the reasons that makes Kaizen an attractive
asset, since it enables a company to benefit from the maximum potential of human
resources while enjoying from a number of benefits (Topuz and Arasan, 2013).
As a result, Mexican businesses have become increasingly interested in the
application of improvement processes for their systems. For instance, there is a
type of company, known as a maquiladora, which has recently begun to pay
attention to Kaizen. Many of these enterprises are located on the border between
Mexico and the USA, and represent foreign investments from different countries.
The Mexican city of Ciudad Juárez caters for 324 of these maquiladoras, and they are
mainly known for importing raw materials, which are transformed into
finished products that are finally exported, especially to the USA and Canada.
However, even though Kaizen may seem attractive from different perspectives, as a
foreign philosophy it can be often misinterpreted or misunderstood. As a result,
benefits gained from its implementation may not be satisfactory or meet the
expectations of managers.
The objective of this research is to analyze the impact of both managerial
commitment and the professional development of employees on the benefits that
Mexican maquiladoras obtain from Kaizen implementation. Such analysis is achieved
by means of a structural equation model integrating four latent variables and
proposing six relationship hypotheses. In addition, it is worth mentioning that both
managerial commitment and human resources are studied, since they are the main
factors responsible for the correct application Kaizen.
The remainder of this paper is organized into four sections, in addition to this
introduction. Section 2 discusses the literature review about Kaizen, while Section 3
describes the methodology followed. Then, Section 4 discusses results obtained from
the study and the model analyzed. Finally, Section 5 addresses conclusions proposed
based on the results.

2. Literature review
2.1 Kaizen in the industry
As part of a continuous improvement process, Kaizen emerged from the
Toyota Production System. It has had such an impact that the process is still
valid for competitive environments in which efficiency and speed are crucial (Ramadani
JMTM and Gerguri, 2011). It is therefore well known that companies today can benefit
27,5 from large competitive advantages if they successfully implement Kaizen into
their systems.
In addition, Kaizen seeks to attain greater quality and productivity as it helps to
improve accountability and commitment from employees (Ramadani and Gerguri,
2011; Rodríguez et al., 2002). Therefore, it has become a popular approach in companies
694 around the world and a salient research topic in scientific literature (Burch, 2008;
Cooney and Sohal, 2004; Cheng and Van de Ven, 1996; Gondhalekar et al., 1995;
Terziovski and Sohal, 2000). Due to the agitated and uncertain economic environment
caused by the financial crises of 2008 and 2009, Mexican businesses have been
motivated to improve their operations once they realized their workforce was not
efficient enough to reduce costs. They have since seen the opportunity to implement
and try Kaizen philosophies (Kumiega and Van Vliet, 2008).
The success of this philosophy is based on the participation from employees in effort
made for improvement. The contributions of all human resources are considered
essential in order to make small and gradual changes (Lefcovich, 2007), and the
company is strongly focussed on identifying problems and their original causes, as
well as the solutions and norms that need to be implemented to solve these issues and
prevent them from arising again (Vonk, 2005). For instance, companies with
applied Kaizen approaches have reported that workers individually make from
between 25 and 30 suggestions every year, and 90 per cent of these suggestions are
usually implemented.
From this perspective, Toyota is known as a leader company in Kaizen
implementation. In 1999 one of its production centers in the USA reported that
7,000 employees had made more than 75,000 recommendations to the company’s
system and that 99 per cent of them had been implemented (Lefcovich, 2003).
Unfortunately, as far as Mexico is concerned, 25 per cent of Kaizen projects are
abandoned, which makes it an obvious area of opportunity to be studied, especially
from the perspective of human resources who guarantee the success of the philosophy.
In order to perform this study, the sustainability of Kaizen in Mexican
companies must be measured by identifying the critical success factors (CSFs)
required for its implementation. This would also enable us to recognize and measure
their impact on the benefits of companies in monetary terms and for human
resources. These CSFs must, however, be clear and standardized in order to be
successfully understood.

2.2 CSFs for Kaizen

The notion of a CSF emerged from the areas of strategic management and business
management. However, it became more relevant in industries thanks to Daniel (1961)
who argued that all information irrelevant to the success of an organization had to be
eliminated. Eventually Rockart (1981) defined CSFs as the minimal number of
tasks needed to guarantee satisfactory results and the competitive performance
of a company.
Several CSF for Kaizen have been addressed in the literature review. For this
research, 235 articles were found, which addressed 51 different CSFs and 41 types of
benefits that could be gained from the implementation of Kaizen. As previously
stated, the purpose of this study is to define how and to what extent CSFs
related to managerial commitment and the professional development of workers
impact on economic and human resources benefits. Understanding this better
would help to propose solutions to guarantee greater sustainability of Kaizen in Impact of
Mexican maquiladoras, which has become a difficult task. In fact, as Bateman (2005) managerial
and Friedli et al. (1999) point out, several organizations struggle to support Kaizen
over time, and more than 50 per cent of them fully realized the complexity of the
commitment
problem only at the end of the process, although this percentage may be lower if
empirical research about Kaizen is considered (Glover et al., 2013).
695
2.3 Managerial commitment in Kaizen
2.3.1 Professional development of human resources at the planning stage of Kaizen.
It has been reported that managers generally do not feel concerned with the way in
which relationships are established between management departments and the rest of
the organization (Watson and Sallot, 2001), even though such relationships can bring
positive results. However, it is important to know that strategic processes – including
the development, implementation and supervision of strategies – do reflect the type of
leadership in companies.
Therefore, managers must be leaders in the implementation of changes in order to
face new challenges. They must also guarantee that their companies adapt and
successfully face new circumstances (Sutari, 2015). Yet when companies and their
human resource departments struggle to adapt to or resist these changes, managers
may focus on different aspects than the workforce. They may worry about the profile of
the company, its management, goals and objectives, as well as other internal or external
variables that can be seen to determine the success or failure of a business. Factors
related to human resources may therefore not be viewed as equal areas of concern,
although employees are the key to the successful implementation of continuous
programs (Farris et al., 2009).
One effort that managers must make for human resources is to develop and use
different effective managerial skills to build better relationships between them and the
other employees. Adopting a new managerial behavior is in fact an effective tool to
increase closeness and trust between managers from different departments and the rest
of the organization, and this communication enhances the commitment from all human
resources functions to the different goals of a particular strategy (Dale et al., 2007; Yuan
and Shen, 2011). Such a commitment in fact grows when employees positively develop
a sense of belonging toward the company, which makes them feel more interested in
achieving particular objectives for the success and wellbeing of the organization (Han
and Kamber, 2000).
In order for a Kaizen system to be maintained and expanded at all levels of a
company, managers must also first train employees in different quality and teamwork
techniques and other problem-solving skills (Aoki, 2008; Jørgensen et al., 2003). In fact,
professional development and training do not only provide employees the knowledge
needed to be actively involved in continuous development programs, but they also
increase trust in the organization and support processes of change.
Moreover, professional development encourages a culture of change, which is
essential for every company and often precedes positive results. Its goal is mainly to
integrate employees so they manage to maintain positive relationships among
themselves and help the company adapt to its external environment. Similarly,
professional development and training shape the way in which workers perform their
tasks, while motivation is the driver needed to accomplish any activity required
(Bateman, 2005; Dale et al., 2007).
JMTM Finally, from this discussion it is concluded that managerial commitment and the
27,5 professional development of human resources are crucial for Kaizen management.
Thus, it is possible to propose the first working hypothesis of this study:
H1. Managerial commitment has a positive and direct impact on the professional
development of human resources when Kaizen is implemented.
696
2.4 Benefits of Kaizen
2.4.1 Benefits for human resources. There has been much discussion in the
literature about the benefits derived from the implementation of Kaizen in companies.
For instance, the benefits have been categorized (Alukal and Manos, 2006)
into qualitative and quantitative. Qualitative benefits focus on human resources and
include motivation and self-esteem. From this perspective, researchers (Farris
et al., 2009) carried out an empirical study in six companies to identify input variables
and process factors related to human resources when implementing Kaizen.
Their results concluded that, in order for companies to impact on their employees’
attitudes and problem-solving skills, management departments had to provide support
from a facilitator who clearly understood and communicated the objectives that had
to be achieved.
Similarly, it has been affirmed that human resources must have their training
constantly updated to collaborate with Kaizen programs, since their contribution is key
to any improvement (Marin-Garcia et al., 2009). Therefore, the successful
implementation and maintenance of Kaizen largely depends on the collaboration of
employees, and they are also related to the benefits that these human resources can
bring (Bhuiyan and Baghel, 2005). This allows for the proposal of the second working
hypothesis in the context of Mexican maquiladoras:
H2. The professional development of human resources has a positive and direct
effect on human resources benefits gained by companies when Kaizen
is implemented.
As far as managerial commitment is concerned Dale et al. (2007), Saad et al. (2006) and
Upton (1996) have all mentioned that it is a cornerstone for companies in the successful
implementation of any initiative. Likewise Farris et al. (2009) pointed out that the best
strategy to measure the commitment of managers was to identify the amount of
resources assigned to the professional development of employees. Thus, in order to
assess the effect of managerial commitment on the benefits for human resources
derived from Kaizen in Mexican maquiladoras, this research proposes a third
working hypothesis:
H3. Managerial commitment has a positive and direct impact on the human
resources benefits gained by companies from the implementation of Kaizen.
2.4.2 Economic benefits. Considering again the classification of Alukal and Manos
(2006), quantitative benefits from Kaizen implementation concern economic benefits
such as time saving and the reduction of movement distances in materials handling,
personnel required, waiting times and cycle times, as well as the reduction of stages in
production processes (Alukal and Manos, 2006). Likewise, Kaizen is associated with a
decrease in workplace accidents and reduced inventories of both work in process and
finished products. It equally encourages process-oriented thinking and seeks to avoid
failure of machinery and equipment, reduce machinery set-up times and increase Impact of
inventory turnover (Lefcovich, 2007). managerial
The professional development of human resources is key to maintain and support
improvement systems. Workers must be trained to perform different tasks of several
commitment
positions. Similarly, managers need to be trained in teamwork and problem-solving
techniques and they must also be able to organize groups to work on improvements in
products or processes. Thus, a company learns from its human resources and 697
it is reflected in its economic benefits (Alukal and Manos, 2006; García et al., 2013;
Prajogo and Sohal, 2004; Salgueiro, 1999).
Through well-planned training exercises, training offers significant economic
benefits to any company. Workers improve their skills to become more effective at
work, in order to produce a better product and spend less time finish tasks. This means
that companies that have trained workers will evolve into competitive companies
which earn money (Pineda Herrero, 2000).
Employees can develop specific and often new functions through training, and
new machines and methods of working can be implemented inside of a company in
order to get more benefits and become more competitive (Anderson et al., 1994;
Atehortua-Tapias, 2010; Lee and Dale, 1998; Pineda Herrero, 2000).
Well-trained employees occasionally can execute the activities of absent employees,
and this can sometimes lead to a company avoiding hiring unnecessary people.
Which can then lead to higher work flexibility (Kumiega and Van Vliet, 2008;
Oropesa-Vento et al., 2015; Suárez-Barraza and Ramis-Pujol, 2010).
Therefore, in order to determine whether the professional development of human
resources and the economic benefits of Mexican maquiladoras are related, the fourth
working hypothesis of this research is constructed:
H4. The professional development of human resources has a positive and direct
impact on the economic benefits gained by companies from the implementation
of Kaizen.
Another important aspect to highlight is that managerial commitment during Kaizen
implementation exists only when there is leadership from departments and top
positions. Similarly, internal or external facilitators are needed to effectively coordinate
improvement plans, the management department must provide all necessary resources
(physical space, economic support and time), the company must have a change-oriented
culture and it ought to motivate and be committed to every member (García et al., 2010,
2013; Salgueiro, 1999; Sherman et al., 1994). In economic terms, all this brings many
benefits, since it reduces delivery times, inventory, resources used and costs,
while simplifying management processes and maximizing profits.
Managers fully committed to the organization will be more focussed on achieving
the company’s objectives (Uribe, 2004). This type of manager has a sense of
appreciation and belonging to the enterprise.
Ivancevich et al. (1997) stated that organizational commitment involves three attitudes:
a sense of identification with the organizational goals; a sense of involvement with
organizational duties; and a sense of loyalty to the organization. They also mentioned that
the lack of commitment can decreases the effectiveness of the organization and the concept
of commitment is inherent in the leader who is a key player in company management.
Organizations with high levels of performance have leaders who are deeply
committed to the concept of the team that, in order to develop effectively, carry on a
JMTM series of requirements, including a high-level commitment, setting clearly goals, the
27,5 employer-employee trust, willingness to take risks, share information and resources
and a commitment to training (Alukal and Manos, 2006; Atehortua-Tapias, 2010;
Cheser, 1998; Francisco, 2007).
From this perspective, it can be suggested that managerial commitment and
economic benefits gained from Kaizen implementation are connected in the context of
698 Mexican maquiladoras. This allows for the proposal of the fifth working hypothesis:
H5. Managerial commitment has a positive and direct effect on the economic
benefits obtained by companies when implementing Kaizen.
As previously stated, the benefits Kaizen adds to human resources are reflected in
increased self-esteem and more personal motivation. However, employees also benefit
from a reduced employee turnover, managers adopt more positive attitudes and
improve their skills for the implementation of improvement systems and less clients are
lost as they become more satisfied with the products/services. Consequently, the
company is economically favored, which helps it to continuously adapt to abrupt
changes in the market (Garza, 2005).
In many cases, it is necessary to know something about the relationship or
dependency between two dependent variables considered in the same study population.
Many cases may appear where a suspicion about some relationship exists and, for that
reason, it is fundamental determine whether there is dependency between them. Thus, it
is necessary to know the “degree of relationship” between both (de Rivera, 2002).
A large number of enterprises are unaware of the economic benefits that are often
brought on by human resources staff being properly trained that lead to continuous
improvement. In fact, in any company, incentivized human resources offer significant
economic benefits (Pineda Herrero, 2000).
Employees improve their professional skills to become more effective at work in
order to be more efficient and productive. This means that companies that have trained
employees turn into competitive companies and earn money (Cooney and Sohal, 2004) .
When employees feel comfortable with their work, the work environment is better,
thus encouraging the employees to become more involved with the company and
improving its corporate image as a result. In addition, if employees feel comfortable in
their work, job stress, anxiety and absenteeism are reduced.
The company does not have to incur many costs as it can largely control financial
factors. Employee turnover is lower so investment in recruitment is minimal and internal
promotions utilize a company’s existing human capital properly. Businesses have to
adapt to existing labor standards and current legislation by training staff and keeping
them up to date with current regulations (Delbridge and Barton, 2002; Doolen et al., 2008).
The above mentioned are the main economic benefits obtained from proper training;
however, there may be more that will depend on each company and sector.
According to the previous, this research seeks to evaluate the relationship that
exists between the economic benefits obtained by companies and those obtained for
human resources in the context of Mexican maquiladoras. Hence, the sixth and last
working hypothesis can be proposed as it follows:
H6. Human resources benefits have a direct and positive impact on the economic
benefits gained by companies with the implementation of Kaizen.
Figure 1 shows the six hypotheses previously proposed and discussed for this research.
 H5
Impact of
Managerial
Commitment
Economic
Benefits
managerial
commitment
H4

H1
H6 699

H3

Professional Figure 1.
Benefits in
development
Human Proposed model
of human and hypotheses
H2 Resources
resources

3. Methodology
3.1 Questionnaire design
In order to meet the objective of this research and validate the hypotheses proposed, a
questionnaire was designed based on the literature review about CSFs for Kaizen
implementation and its benefits for both companies and human resources. The research
was carried out on databases such as Elsevier, Scirus, ScienceDirect, Web of Science,
Ebscohost, Ingenta, Springer and Google Scholar. Academic textbooks were also
considered for the rational validity of the questionnaire.
After its design, the survey was validated by four judges (judges’ validation stage),
two scholars and two engineering experts in continuous improvement and lean
manufacturing for the maquiladora sector. All judges individually assessed the
questionnaire in terms of its relevance, coherence, adequacy, clarity of content and the
structure of items integrating the four latent variables to be analyzed: managerial
commitment, professional development of human resources, economic benefits and
human resources benefits.
Once the judges’ validation was achieved, a pilot test was conducted by
administering the questionnaire to 30 expert engineers in the areas of lean
manufacturing and continuous improvement in maquiladoras from the Mexican cities
of Ciudad Juárez and Los Mochis. The survey was composed of three sections: CSFs for
Kaizen at the three stages: planning, execution and control; benefits obtained from the
implementation of Kaizen; and demographic data from participants.
As for the first section, it included 51 questions addressing the CSFs. A total of three
dimensions with 13 items were identified for the planning stage, while the execution
stage was also formed by three dimensions but with 21 items in total. Finally, 17 items
in three more dimensions were determined for the control stage. However, this research
merely reports items concerning the planning stage of Kaizen implementation.
As far as the assessment of Kaizen benefits is concerned, the survey included
41 questions. In total, 14 evaluated economic benefits, 14 analyzed competitiveness gained
and 13 assessed Kaizen benefits for human resources. In addition, the last section asked
five questions of demographic nature. Finally, the questionnaire had to be answered with
a Likert scale including values from 1 to 5. Table I introduces the scale used to answer the
global question: “To what extent the following activities have been implemented in this
company?” (Cox et al., 2006; Devaraj et al., 2004; Schroeder et al., 2007).
JMTM 3.2 Data collection process
27,5 A hard copy of the questionnaire was provided to participants of Mexican
maquiladoras from the cities of Villahermosa, Tabasco; Los Mochis, Sinaloa; Tijuana,
Baja California; and Ciudad Juárez, Chihuahua. As inclusion criteria, members of the
sample were managers who had directed at least two Kaizen groups. Also, the general
objective of the survey was presented to all participants before they answered it.
700
3.3 Data analysis and validation
For their descriptive analysis, data gathered was incorporated into a database designed
with SPSS 21.0® software, which allows for a multivariate analysis. Then tests were
performed to detect missing values in items, which were replaced by the median (Hair
et al., 2013; Nordgaard et al., 2010). In addition, outliers were identified by standardizing
variables. Absolute values higher than 3.3 in the analysis were considered extreme
values (Han and Kamber, 2000; Kaiser, 2010). Similarly, the four latent variables from
the model were statistically validated by calculating the Cronbach’s α index to
determine internal consistency of items. Values higher than 0.7 for this index were
required (Nunnally, 1978).
The validation process of data also relied on the average variance extracted (AVE)
index to assess convergent validity of variables. Likewise, cross-factor loadings were
used to evaluate discriminant validity of items from every latent variable, and only
values higher than 0.50 were accepted. Furthermore, p-values from latent variables
were estimated to assess their statistical significance (Alcaraz et al., 2014). However, to
evaluate collinearity problems, 10 was set as the maximum cut-off value for the index
of variance inflation factor (VIF) (Avelar-Sosa et al., 2014). Finally, R2 and adjusted
R2 coefficients were taken into account to evaluate parametric predictive validity,
although Q2 was used as an indicator of non-parametric predictive validity, since
data were obtained with an ordinal scale. Values of the Q2 had to be higher than 0
(García-Alcaraz et al., 2014).

3.4 Structural equation model

In order to prove the hypotheses stated in Figure 1, the model was evaluated by means of
structural equation modeling (SEM). This technique has been widely and recently used in
the validation of causal relationships when Kaizen is involved. For instance, in their
research, García et al. (2014) determined the impact of the human factor on the successful
implementation of Kaizen in industrial enterprises in Ciudad Juarez, Chihuahua, Mexico.
However, SEM has also been used in SC studies to model the relationships among
flexibility, uncertainty and firm performance (Merschmann and Thonemann, 2011).
For this research, the SEM model was executed on WarpPls 5.0®, since the main
algorithms of this piece of software are based on partial least squares, widely
recommended for small-sized samples as well as for non-normal and ordinal data
(Kock, 2013). Similarly, three model fit indices proposed by (Kock, 2013) were analyzed:
average path coefficient (APC), average R2 (ARS) and average inflation factor of VIF
variance (AVIF). For the APC and ARS, p-values were analyzed to determine the

1 2 3 4 5
Table I.
Answering scale Never Rarely Sometimes Frequently Always
efficiency of the model by establishing a maximum cut-off p-value of 0.05. This means Impact of
that inferences were made with 95 per cent of confidence level, and the null hypothesis managerial
tested was that APC and ARS equaled 0, against the alternative hypotheses stating
that APC and ARS were different from 0. As for the AVIF index, a value lower than 5
commitment
was desirable.
In addition, three different effects were measured in the structural equation model:
first, direct effects (appearing in Figure 1 as arrows connecting one latent variable to 701
another); second, indirect effect (given by paths with two or more segments); and
finally, total effects (the sum of direct and indirect effects between two latent variables).
In order to determine the statistical significance of such effects, the p-values were also
analyzed, considering the null hypothesis: βi ¼ 0, vs the alternative hypothesis: βi≠0.

4. Results
4.1 Description of the sample
In total 423 complete questionnaires were collected, 313 of which were answered by male
respondents and 110 by female participants. Table II shows the descriptive analysis of the
sample reporting both the industrial sector of companies surveyed as well as the work
position of respondents. For instance, it is observed that 87 participants are engineers in
the area of improvement processes and 85 are technicians. Likewise, 68 are operators with
experience in Kaizen implementation, 62 are supervisors and 53 hold management
positions. As for the industrial sector of companies, Table II shows that 211 participants
work in the automotive sector while 69 are related to the machinery industry.

4.2 Instrument validation

Table III introduces the indexes obtained from latent variables. All values of the
Cronbach’s α index are higher than 0.8, which demonstrates that all latent variables
have internal validity. Moreover, it is observed that values of the R2, adjusted R2 and Q2
are all higher than 0.2. Therefore, all latent variables involved also have predictive
validity. And as for their convergent validity, value of AVE in all cases is higher than
0.5, the minimum cut-off value established. Finally, all VIF values are lower than 3.3,
which implies that there are no collinearity problems between latent variables.

4.3 Descriptive analysis

Table V shows results from the descriptive analysis of items or activities performed at
the planning stage of the Kaizen implementation for the categories of managerial
commitment and professional development of workers. Values of the three percentiles

Industrial Work position In

sector Operator Administrator Engineer Manager Supervisor Technician charge Total

Textile 1 0 1 2 2 2 0 8
Automotive 46 17 46 17 33 44 8 211
Electrics 6 9 12 4 7 5 1 44 Table II.
Plastics 5 6 5 5 0 8 0 29 Contingency table:
Machinery 2 6 10 14 12 20 5 69 work position of
Other 8 7 13 11 8 6 9 62 respondents/
Total 68 45 87 53 62 85 23 423 industrial sector
Source: Prepared by authors of companies
JMTM Human
27,5 Professional development of Managerial Economic resources
human resources commitment benefits benefits

R2 0.526 0.640 0.477

Adjusted R2 0.525 0.638 0.475
Composite reliability 0.864 0.891 0.946 0.952
702 Cronbach’s α index 0.803 0.837 0.938 0.945
Average variance
extracted (AVE) 0.560 0.672 0.563 0.605
Table III. Variance inflation
Coefficients from factor (VIF) 2.654 2.485 2.726 2.304
latent variables Q2 0.527 0.642 0.477

(25th, 50th and 75th) as well as the interquartile range (IR) are included for every item or
activity. Similarly, percentile results are arranged according to the highest values of the
50th percentile or median. Different values of this percentile imply that certain activities
were considered more significant and present in companies than others. For instance, the
highest rated items concern the conception of the company as a learning community, and
the establishment of policies, objectives and structures for Kaizen activities (Table IV).
Table V introduces the analysis of Kaizen benefits assessed by the survey. Results
from this analysis are also arranged based on the highest values of the 50th percentile or
median. It can be observed that the greatest economic benefit gained by companies from
Kaizen implementation is the result of timely and correct deliveries to customers. As for
values of the IR, the highest one (2.04) is associated with the reduction of delivery times,
while the lowest (1.41) concerns the general productivity of maquiladoras surveyed.
Table VI stands for the descriptive analysis of Kaizen benefits for human resources.
Items are sorted by first considering the highest values of the median or 50th percentile.
From this perspective, higher customer satisfaction ranks as the first item. As for the
IR, the highest value is 1.73, while the lowest is 1.52. Lower IR values imply greater
consensus among participants regarding the significance of an item.

Percentiles Interquartile
Item 25th 50th 75th range (IR)

This company can be considered a learning community (Formac3) 3.18 4.08 4.79 1.61
Policies, objectives and structures for Kaizen activities are established
(CompG2) 3.14 4.06 4.80 1.66
The opinions of customers are considered when making changes in
Table IV. the company (CompG3) 3.01 4.04 4.81 1.80
Descriptive analysis Members of improvement teams have the required experience and
of items from skills (Formac4) 3.23 4.03 4.74 1.51
managerial Managers plan the provision of resources that are necessary for
commitment and improvement programs (physical space, economic support, time)
professional (CompG1) 3.07 3.98 4.77 1.70
development of A culture of continuous improvement is encouraged (CompG4) 3.07 3.98 4.76 1.69
workers at the A plan is developed to recognize failures (CompG5) 3.12 3.96 4.72 1.60
planning stage of Administrative staff and operators are trained (Formac1) 3.01 3.91 4.72 1.72
Kaizen The management department is trained in teamwork and problem-
implementation solving skills (Formac2) 2.96 3.86 4.68 1.72
Economic benefits Percentiles Interquartile
Impact of
Item 25th 50th 75th range (IR) managerial
commitment
The company timely delivers the correct amount of product(s) to
customers 3.18 4.13 4.83 1.64
Major and better economic balance is achieved 3.34 4.09 4.75 1.41
Profits are maximized 3.28 4.08 4.78 1.50
The stages in production processes have been reduced 3.20 4.05 4.79 1.59 703
Failures in machinery and equipment have decreased 3.28 4.04 4.72 1.44
Manufacturing costs have been reduced 3.16 3.97 4.69 1.53
Operation and design cycles have been reduced 3.10 3.93 4.68 1.59
Productivity has increased 3.09 3.90 4.67 1.58
Cash flows have improved 3.17 3.90 4.64 1.47 Table V.
Productivity has increased 3.03 3.89 4.67 1.64 Descriptive analysis
The amount of defective products has decreased 3.07 3.88 4.65 1.58 of economic benefits
Movement distances of materials have been reduced 2.88 3.86 4.69 1.81 obtained from the
Waste has been reduced in terms of inventory, waiting times, implementation of
materials transport and motion 2.88 3.84 4.66 1.77 Kaizen at the
Delivery times have been reduced as much as possible 2.66 3.79 4.70 2.04 planning stage

Percentiles Interquartile
Item 25th 50th 75th range (IR)

Customer satisfaction has increased 3.22 4.07 4.78 1.55

Responsibility and commitment from employees have become
more visible 3.16 3.98 4.68 1.52
Accidents and cumulative trauma disorders (CTDs) due to
inappropriate ergonomic conditions have been reduced 3.14 3.96 4.71 1.56
Workers focus their attention on issues of major importance 3.14 3.95 4.68 1.54
The attitudes and skills of managers have improved to make changes
of continuous improvement 3.10 3.92 4.67 1.57
Communication among administrative levels has increased 3.06 3.84 4.61 1.55
The attitudes and skills of managers have improved in general 3.04 3.83 4.61 1.58
Greater collaboration from all members of the company has been Table VI.
achieved 3.06 3.82 4.61 1.55 Descriptive analysis
Individuals are positively influenced by changes occurring 3.02 3.81 4.61 1.59 of human resources
Human resources are more motivated 3.01 3.79 4.59 1.58 benefits obtained
All members of the company participate in and contribute to the from the
construction of a new system 2.92 3.78 4.60 1.68 implementation of
Customer attrition and employee turnover have decreased 2.86 3.75 4.59 1.73 Kaizen at the
The self-esteem of employees has increased 2.89 3.74 4.57 1.69 planning stage

4.4 Structural equation model

Figure 2 shows the relationships initially proposed between latent variables analyzed
(see Figure 1). Every segment or relationship includes a β-value as well as a p-value
from the statistical significance test. Furthermore, values of R2 are also provided for
dependent latent variables. These values stand for the percentage of variance
explained by independent variables. Finally, since all relationships proposed are
statistically significant, the model does not need to be modified. It can therefore be
considered as the final model.
JMTM R 2 = 0.64

27,5 Managerial
 = 0.38
(p < 0.01) Economic
Commitment Benefits

 = 0.14
(p < 0.01)

704
 = 0.73  = 0.39
(p < 0.01) (p < 0.01)

 = 0.33
(p < 0.01)

Professional Benefits in
Figure 2. development Human
Initial and final of human  = 0.41 Resources
resources (p = 0.01)
model evaluated 2
R 2 = 0.53 R = 0.48

However, before interpreting results, six efficiency indexes were obtained and studied.
These indexes concern:
(1) APC ¼ 0.395, p o0.001;
(2) ARS ¼ 0.548, p o0.001;
(3) average adjusted R2 ¼ 0.546, p o 0.001;
(4) average inflation factor of VIF variance (AVIF) ¼ 2.148, acceptable if ⩽ 5,
ideally ⩽ 3.3;
(5) average of the total collinearity VIF (AFVIF) ¼ 2.542, acceptable if ⩽ 5,
ideally ⩽ 3.3; and
(6) Tenenhaus GoF ¼ 0.573, small ⩾ 0.1, medium ⩾ 0.25, large ⩾ 0.36.
Based on values obtained above from APC and ARS, it can be concluded that in general
all relationships between latent variables are statistically significant and that the model
has predictive validity. Likewise, values of AVIF and AFVIF are both lower than 3.3,
which frees latent variables from collinearity problems among and inside of them.
As for the Tenenhaus goodness-of-fit index, it is lower than 0.36. Therefore, it is proved
that the model is efficient and statistically stable.
4.4.1 Direct effects between latent variables. Figure 2 illustrates the direct effects
between latent variables, which are used to prove the hypotheses initially proposed.
Thus, based on results obtained and the figure, it is concluded that:
H1: there is enough statistical evidence to state that managerial commitment has a
direct and positive impact on the professional development of human resources in
Mexican maquiladoras. When the first latent variable increases its standard deviation
by one unit, the standard deviation of the second latent variable rises by 0.73 units.
H2: there is enough statistical evidence to declare that the professional development
of human resources has a direct and positive impact on human resources benefits
obtained by Mexican maquiladoras from the implementation of Kaizen, since when the
first latent variable increases its standard deviation by one unit, the standard deviation
of the second latent variable increases by 0.41 units.
 H3: there is enough statistical evidence to state that managerial commitment has a Impact of
direct and positive impact on the human resources benefits obtained by Mexican managerial
maquiladoras in a success Kaizen environment. When the first latent variable increases
its standard deviation by one unit, the standard deviation of the second increases
commitment
by 0.33 units.
H4: there is enough statistical evidence to declare that the professional development
of human resources has a direct and positive impact on the economic benefits obtained 705
by Mexican maquiladoras when Kaizen has been successfully implemented, due to
when the standard deviation of the first latent variable increases by one unit, the
standard deviation of the second latent variable rises by 0.14 units.
H5: there is enough statistical evidence to state that managerial commitment has a
direct and positive impact on the economic benefits obtained by Mexican maquiladoras
when Kaizen has been successfully implemented. This is proved since when the first
latent variable increases its standard deviation by one unit, the standard deviation of
the second latent variable increases by 0.38 units.
H6: there is enough statistical evidence to declare that human resources benefits
obtained in a successful Kaizen environment have a direct and positive impact on the
economic benefits of Mexican maquiladoras, since when the first latent variable
increases its standard deviation by one unit, the standard deviation of the second
increases by 0.39 units.
4.4.2 Size of direct effects between latent variables. Note that certain latent variables
from the model in Figure 2 can be directly explained by two or more other latent
variables. In these cases, the values of the R2 must be decomposed, as it is shown
in Table VII. For instance, it is observed that latent variable economic benefits depends
on three latent variables, and both human resources benefits and managerial
commitment have the greatest direct effects on it. Likewise, human resources benefits
can be explained by both managerial commitment and professional development of
human resources. In this case, the effect of the latter has the highest value, and it is
therefore the one that causes the greatest and most important impact.
4.4.3 Sum of indirect effects between latent variables. Indirect effects between
latent variables are also analyzed in this research and are introduced in Table VIII.

From
Professional
To Managerial commitment development of HR HR benefits R2
Table VII.
Professional development of HR 0.53 0.53 Size of direct effects
Economic benefits 0.274 0.091 0.275 0.64 between latent
HR benefits 0.208 0.27 0.48 variables

Managerial commitment Professional development of HR

Economic benefits 0.343 ( p o0.001) 0.159 ( p o 0.001) Table VIII.

ES ¼ 0.247 ES ¼ 0.105 Sum de indirect
HR benefits 0.300 ( p o0.001) effects between
ES ¼ 0.189 latent variables
JMTM These effects occur between two latent variables through a third one or more
27,5 latent variables (mediators). Also, it can be observed from the table that all indirect
effects between latent variables are statistically significant, since the p-values of the
parameters are lower than 0.05. Likewise, the highest indirect effect occurs between
managerial commitment and economic benefits, and has a value of 0.343. This implies
that when the standard deviation of the first latent variable increases by one unit, the
706 standard deviation of the second latent variable also increases by 0.343 units. However,
as Figure 2 shows, the direct effect in this relationship (0.33) is lower than the indirect
effect, which is caused by both professional development of human resources and human
resources benefits.
Another relationship with important indirect effects exists between managerial
commitment and human resources benefits. In this case, when the standard deviation
of the first latent variable increases by one unit, the standard deviation of the second
latent variable also increases by 0.300 units. Similarly, professional development and
economic benefits are indirectly related by human resources benefits, and this indirect
effect has a value of 0.159 units.
4.4.4 Sum of total effects between latent variables. Table IX summarizes the total
effects found between latent variables. As in previous cases, all of them are statistically
significant. For example, the total effect in the relationship between human resources
benefits and economic benefits has a value of 0.385. This indicates that when the first
latent variable increases its standard deviation by one unit, the standard deviation of
the second latent variable also increases by 0.385 units.
The relationship between managerial commitment and economic benefits has also
interesting properties, since it includes both direct and indirect effects. On the one hand,
direct effects represent 0.38 of the total effect. On the other hand, the total indirect effect
has a value of 0.343. Therefore, the total effect that exists in this relationship has a
value of 0.723. As in previous situations, this indicates that when the first latent
variable increases its standard deviation by one unit, the standard deviation of the
second latent variable increases by 0.723 units.
Note that managerial commitment also has a particular behavior in its relationship
with human resources benefits. It is statistically demonstrated that when the former
increases its standard deviation by one unit, the standard deviation of the latter also
increases by 0.630 units. However, even though the total effect in this relationship has a
value 0.630, 0.33 is caused by a direct effect, while the total indirect effect between
them, which is given by professional development, has a value of 0.30. Similar
interpretations may be provided for the remaining relationships.

From
Professional
To Managerial commitment development of HR HR benefits

Professional development of HR 0.725 ( p o0.001)

ES ¼ 0.526
Economic benefits 0.723 ( p o0.001) 0.298 ( p o0.001) 0.385 ( p o0.001)
Table IX. ES ¼ 0.522 ES ¼ 0.197 ES ¼ 0.275
Sum of total effects HR benefits 0.630 ( p o0.001) 0.414 ( p o0.001)
between variables ES ¼ 0.396 ES ¼ 0.270
5. Conclusions and industrial implications Impact of
This research analyzes four latent variables associated with the implementation of managerial
Kaizen in Mexican maquiladoras. On the one hand, two of these variables concern
activities carried out at the planning stage in terms of managerial commitment
commitment
and professional development of human resources. On the other hand, the two
remaining variables involve benefits obtained by companies, both economic and for
human resources. From the assessment of these variables the following conclusions 707
are thus proposed:
• Managerial commitment to Kaizen is the key to its successful implementation.
This latent variable proved to have a direct and positive impact on the
professional development of human resources, their benefits and the economic
profits for companies. Therefore, it can be stated that managers play a crucial
role in the effective implementation of Kaizen during its planning stage.
• The professional development and training of human resources must be
appropriately planned in order to guarantee the results that Kaizen offers.
Failure to provide adequate training or opportunities for professional
development is detrimental to continuous improvements made in production
processes.
• The professional development of human resources has a direct and positive
impact on the economic benefits that Mexican maquiladoras obtain from the
implementation of Kaizen. Therefore, managers and administrators must strive
to provide operators and supervisors opportunities to professionally train, since
workers are the true drivers of change.
• Managers of Mexican maquiladoras must focus on reaching benefits for human
resources, since they have the highest impact on economic benefits. Satisfied
employees bring more profits to companies.

6. Future research
Results obtained from the model in Figure 2 show that R2 values for dependent latent
variables (professional development of human resources, human resources benefits and
economic benefits) are far from reaching the unit, which is the maximum value. As for
future research, the following proposals can be considered to increase the explanatory
quality of the model:
• Analyze activities carried out at the implementation and control stages of
Kaizen, since this study merely assessed those activities performed at the
planning stage.
• Propose a structural equation model that integrates the three implementation
stages of Kaizen.
• Analyze the availability of economic resources for the support of Kaizen projects
as a variable. Even with a strong managerial commitment, continuous
improvement projects may fail with little availability of such resources.
• Assess the role of human resources with green belt and black belt certifications in
the successful implementation of Kaizen.
• Evaluate other variables associated with the implementation of both Kaizen and
control systems for maintaining standards reached.
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About the authors

Midiala Oropesa Vento is a Graduate of Mechanical Engineering and received his MSc in
management from the University of Camaguey (Cuba). He is a Research Professor and a student
of last semester of PhD program in Engineering Sciences at the Autonomous University of
Ciudad Juarez, México. He worked on projects in the area of lean continuous improvement
(Kaizen) applied in manufacturing companies and has published several papers in scientific and
national and international conferences as author, co-author and reviewer magazines. He is a
Researcher recognized by the National Council of Science and Technology of Mexico
(CONACYT). He is a Member of the Mexican Society of Operations Research. His main research
areas are related to total quality management. Midiala Oropesa Vento is the corresponding
author and can be contacted at: midialaoropesa@yahoo.es
Jorge Luis García Alcaraz is a Research Professor in the Department of Industrial Engineering
at the Autonomous University of Ciudad Juárez. He is a Founding Member of the
Mexican Society of Operations Research and an Active Member of the Mexican Academy of
Engineering. PhD, Garcia is a Researcher recognized by the National Council of Science and
Technology of Mexico (CONACYT) through the National System of Researchers at level 1.
He received an MS in Industrial Engineering from the Technological Institute of Colima (Mexico),
a PhD in Industrial Engineering from the Technological Institute of Ciudad Juárez (Mexico) and a
post-PhD at the University of La Rioja (Spain). His main research areas are related to
JMTM multi-criteria decision making and modeling applied to production processes. He is the author/
co-author of over 100 articles published in journals, conferences and congresses.
27,5 Aidé Aracely Maldonado Macías is a Research Professor in the Department of Industrial
Engineering at the Autonomous University of Ciudad Juárez, México. She received her PhD in
Industrial Engineering from the Technological Institute of Ciudad Juárez (Mexico). She is a
Researcher recognized by the National Council of Science and Technology of Mexico
(CONACYT) through the National System of Researchers at level 1. Her main research areas are
712 related to technology transfer and cognitive ergonomics.
Valeria Martínez Loya, is a Research Student of the Bachelor Program in Industrial
Engineering and Systems at the Autonomous University of Ciudad Juárez, México.

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