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Int. J. Logistics Systems and Management, Vol. 26, No.

1, 2017 85

Integrating sustainable development, lean, and


logistics concepts into a lean sustainable logistics
model

Sooksiri Wichaisri and Apichat Sopadang*


Excellence Center in Logistics and Supply Chain Management,
Department of Industrial Engineering,
Faculty of Engineering,
Chiang Mai University,
Chiang Mai, Thailand
Email: sooksiri.wi@gmail.com
Email: sopadang@gmail.com
*Corresponding author

Abstract: This paper presents to identify opportunities and gaps of research for
the integration of sustainable development, lean, and logistics concepts into a
lean sustainable logistics model. Conceptual evaluation is the first step to
understand the main points and link each concept. These concepts consist of
four components, including the goals, elements, benefits, and limitations of
each. The three relationships investigated in this research consist of the
interfaces of sustainable development and logistics management, sustainable
development and lean concept, and lean concept and logistics management.
Following the conceptual evaluations and interfaces among them, the three
concepts are integrated into a lean sustainable logistics model. There are
four stages, comprising discordant action, proficiency, cooperation, and
interdependence, for analysing the constructed model combination of lean
sustainable logistics. Then the lean sustainable logistics model can be
synthesised for implementation in organisations to achieve long-term benefits.

Keywords: sustainable development; lean; logistics; conceptual evaluation;


integration.

Reference to this paper should be made as follows: Wichaisri, S. and


Sopadang, A. (2017) ‘Integrating sustainable development, lean, and logistics
concepts into a lean sustainable logistics model’, Int. J. Logistics Systems and
Management, Vol. 26, No. 1, pp.85–104.

Biographical notes: Sooksiri Wichaisri is PhD candidate in Industrial


Engineering, Chiang Mai University, Thailand. She currently works as a
research student in Excellence Center of Supply Chain and Logistics
(E-LSCM), Chiang Mai University, Thailand. She received her Bachelor
degree and Master of Engineering of Industrial Engineering from Chiang Mai
University, Thailand. Her research interests are lean manufacturing, sustainable
supply chain and logistics management.

Apichat Sopadang is an Associate Professor at Industrial Engineering


Department and the head of Excellence Center in Logistics and Supply Chain
Management (E-LSCM), Chiang Mai University. His research interests
focus on supply chain management, logistics management, multiple criteria
decision-making, and risk management. He has been worked on various
national and international projects in the field of logistics and supply chain

Copyright © 2017 Inderscience Enterprises Ltd.


86 S. Wichaisri and A. Sopadang

management. He currently works on redesigning the supply chain for Thai


industry and aviation industry in preparation for AEC participation funded by
Thailand Research Funds and Office of the National Research Council of
Thailand.

This paper is a revised and expanded version of a paper entitled ‘The


conceptual framework of lean sustainable logistics’ presented at International
Conference on Logistics and Transportation (ICLT 2014), Kuala Lumpur,
Malaysia, 26–29 August 2014.

1 Introduction

Nowadays, industries need to survive during this critical period. Economics and
environmental problems affect business operations, so they should boost their
competitive advantage by increasing profits, including reducing costs and environmental
impacts. Sustainable development is also one of the concepts that can be used to analyse
overall business processes for developing and improving business performance.
According to the Report of the 1987 World Commission on Environment and
Development (Brundland, 1987), sustainable development is “development that meets the
needs of the present without compromising the ability of future generations to meet their
own needs”. This concept balances the economic, environmental, and social dimensions
for achieving long-term benefits.
Supply chain and logistics management involves sustainable development
to provide economic and environmental benefits and incorporate social responsibility
into its operations. The research trend between sustainable development and supply
chain and logistics management is towards more remarkable research opportunities
(Carter and Easton, 2011). Logistics functions can identify opportunities and provide
recommendations to move forward sustainability for business operations (Dey et al.,
2011). They are important keys for economic growth and competitiveness by increasing
revenues and decreasing production costs. Particularly, green logistics management
considers environmental impacts by using green processes in purchasing, manufacturing,
design, and recycling. Its effects on economic, environmental, and operational
performance for competitiveness (Zhu et al., 2012; So and Xu, 2014). Previous research
highlights an activity of reverse logistics to manage product returns that concern social
and environmental impacts in manufacturing (Chan et al., 2012; Nikolaou et al., 2013). In
addition, these impacts have an effect on the stakeholders’ quality of life, which affects a
firm’s competitive advantage.
Moreover, the strategies of green, lean, and global supply chain are correlated by the
influence of the external environment (Mollenkopf et al., 2010). There have been
numerous research works on lean and green supply chains and logistics to improve a
firm’s environmental performance (e.g., Duarte et al., 2011; Azevedo et al., 2012;
Hajmohammad et al., 2013). The lean concept aims to improve business performance by
eliminating waste and creating value in business processes. The lean concept is an
interesting issue that can also be applied in sustainable logistics to increase competitive
advantage by following economic, environmental and social perspectives.
For these reasons, this paper proposes to identify opportunities and gaps of research
to integrate sustainable development, the lean concept, and logistics management into a
Integrating sustainable development, lean, and logistics concepts 87

lean sustainable logistics model. These concepts are evaluated to comprehend the idea of
connecting each concept to the lean sustainable logistics model. The rest of this paper is
divided into four sections. Conceptual evaluations of the three concepts are constructed in
Section 2. Section 3 presents the interfaces among these concepts and examines their
relationships. Next, Section 4 shows steps to integrate the concepts. The results and
discussion is described in Section 5. Finally, conclusions and future research are
described in Section 6.

2 Conceptual evaluations of sustainable development, lean, and logistics


management

An increasing number of firms have moved toward sustainability in logistics for


long-term benefits. Sustainable development can apply to logistics management with
three sustainable perspectives to improve business performance and reduce costs and
environmental and social impacts simultaneously that are considered critical. Thus, for
their survival, firms have started to consider all stakeholders to achieve long-term
development.
In addition, firms have adopted the lean concept with logistics management as a
business strategy to improve their performance through elimination of all wastes.
Generally, wastes are identified in business processes to reduce them for continuous
improvement. Following previous research, sustainable development and lean concepts
are related with logistics management to improve business operations. Thus, three of
these concepts are more exciting for model integration that should be recognised in
business for competitive advantage. These concepts need to identify opportunities and the
gaps of research by conceptual evaluation. The linkage points are defined to understand
each concept. This section describes each concept under topics such as goals, elements,
benefits, and limitations. The details are described below.

1.1 Sustainable development


One of the strategies considered in business processes includes effective environmental
and safety practices in industry, which lead to sustainable development. At the business
level, Martinez-Jurado and Moyanto-Fuentes (2013) defined sustainable development as
“meet[ing] the needs of a firm’s direct and indirect stakeholders without compromising
its ability to meet the needs of future stakeholders”. At the plant level, the three pillars
(economic, social, and environmental dimensions) of the triple bottom line (TBL) are
used to analyse sustainable impacts. To apply sustainable development in organisations,
business processes are being changed for continuous improvement.
Elkington (1997) described TBL as an idea of sustainable perspectives to balance
economic, social, and environmental performance and create value for profits, plants, and
people. First, the economics dimension considers not only the manufacturing costs at the
operations level (Gimenez et al., 2012; Taha et al., 2015) but also the environmental and
human assets (Carter and Roger, 2008). Second, the environmental dimension is related
to protecting natural resources. At present, renewable resources are more important, and
non-renewable ones are decreasing in production. Examples of environmental impacts
are encompassing biodiversity loss, climate change, land use, freshwater consumption,
chemical pollution, ocean acidification, energy efficiency, energy consumption, and
88 S. Wichaisri and A. Sopadang

waste management. Green operation is an initiativefor environmental analysis to move


toward sustainable operations (Shrivastava et al., 2014). Moreover, to control
environmental impacts, organisations can make eco-effective improvements concerning
human needs and quality of life. Finally, the social dimension involves internal and
external communities when considering quality of life (Gimenez et al., 2012). Traditional
stakeholders are customers, employees, suppliers, society, government, and
manufacturing organisations, which relate with knowledge and capability, ethics,
transparent human rights, labour rights, and the political system. These social metrics
directly concern social perspectives. Previous research has indicated the lack of safety
and health programs, causing poor work conditions (Svensson, 2007; Zavala et al., 2011;
Todorut, 2012; Martinez-Jurado and Moyano-Fuentes, 2013).
Table 1 Sustainable development concept

Characteristics Descriptions Sources


Goals • “Meet the needs of the present without Brundland (1987)
compromising the ability of future generations to
meet their own needs”.
• Survive by improving business processes with a Rosen and Kishawy
sustainable perspective. (2012)
• Achieve long-term benefits through sustainable
dimensions.
Elements • The TBL is an idea about sustainable Elkington (1997)
perspectives that consist of economic,
environmental, and social dimensions.
Benefits for Reducing: Lewis (2000), Reddy
each dimension et al. (2000), Dakov
• Investment costs (economic dimension) and Novkov (2007),
• Environmental impacts – carbon footprint and Schwartz et al.
dependence on fossil fuels, energy consumption, (2008), Dey et al.
pollution, and wastes (environmental dimension) (2011), Carter and
Easton (2011), Zhu
• Congestion (social dimension) et al. (2012), Rota
Increasing: et al. (2013),
Shrivastava et al.
• Efficiency and effectiveness of business (2014) and So and
processes (economic dimension) Xu (2014)
• Environmental friendliness, waste management
(environmental dimension)
• Operational safety, personal health, trust,
satisfaction, and quality of life (social
dimension)
Limitations • Simulated results of improvement are required
for long-term evaluation.
• The social aspect depends on environmental
impacts and satisfaction in each culture.

Thus, the concept of sustainable development is evaluated by considering goals,


elements, benefits, and limitations, as shown in Table 1. The goal of sustainable
development is balancing the three dimensions to improve business processes that can
Integrating sustainable development, lean, and logistics concepts 89

achieve long-term benefits (Brundland, 1987; Rosen and Kishawy, 2012; Santiteerakul
et al., 2014). To improve business operations, there are keys of perspective for
manufacturing such as process, product, and materials (Vimal and Vinodh, 2013). The
limitations of sustainable development are related to the social aspect, which depends on
environmental impacts and satisfaction in each culture. Additionally, some business
improvements cannot measure successful processes over the short-term. However, these
processes can use simulated results to evaluate long-term development. Thus, sustainable
development can be applied to organisations to improve business processes for future
survival with their stakeholders.

1.2 The lean concept


The lean concept is described by Womack et al. (1990) in their book The Machine that
Changed the World. Toyota’s production system (TPS) also applies the lean concept for
production management by eliminating waste (muda). Ohno (1988) defined muda as not
creating value within the firm and across the value chain. There are seven types of
wastes, consisting of overproduction, waiting, transportation, inappropriate processing,
inventory, unnecessary movement, and defect (Ohno, 1988). Wastes can be found at any
time and in any place. It is necessary to eliminate them to add value to a product and
drive competitive advantage. Traditionally, lean tools, such as value stream mapping
(VSM), Pareto analysis, five-why analysis, and source inspection, are used to identify and
eliminate wastes to improve production flow (Westin et al., 2013; Saleeshya et al., 2015).
Table 2 shows the characteristics of the lean concept. Its goals are identifying and
eliminating all forms of wastes that are non-value added activities in business processes,
as well as creating value at the end for customers and other stakeholders. The core of the
lean concept concerns flow, value, pull, minimising waste, and continuous improvement
(Ciarniene and Vienazindiene, 2012; Lewis, 2000; Pettersen, 2009; Vinodh et al., 2011).
Then the elements of the lean concept involve wastes and values. Wastes relate to the
cost, inventory level, lead time, and cycle time that are non-value added activities. Values
concern customer satisfaction as measured by customers, employees, and investors. Thus,
wastes and values of firms consider using a gender inclusive term, materials, and
machines through flows of information and materials from the upstream to the
downstream of the value chain.
The advantages of the lean concept are reducing wastes, costs, inventory level, and
lead time, and improving productivity and quality. The lean concept helps organisations
find hidden problems that do not create value. Normally, the lean concept realises the
economics issue that considers reducing costs and time, which is mainly needed by
business. However, social and environmental issues are also currently important to
consider for firm performance. Examples of social issues, which are realised by the lean
concept, are related to workplace hazards and the number of accidents. Resolving these
issues is essential so firms can increase customer satisfaction and enhance their
competitive advantage.
The lean concept is mostly applied in batch-and-queue or mass production by
ensuring the smooth flow of operations. The batch-and-queue mode or mass production
focuses on the efficiency of machines and workers. The well-organised flow of the
system leads to improved cost, time, and performance through integrating people,
machines, materials, and facilities.
90 S. Wichaisri and A. Sopadang

Table 2 Lean concept

Characteristics Descriptions Sources


Goals • Focuses on waste elimination to change Duarte and Cruz-Machado
structure of business processes from (2012), Govindan et al. (2013),
upstream to downstream Hajmohammad et al. (2013),
Mahapatra and Mohanty
(2007), Simons and Zokaei
(2005), Vinodh et al. (2011)
and Wojtys et al. (2009)
• Initially focuses on cost reduction and Agus and Hajinour (2012) and
externally focuses on improving customer Pettersen (2009)
satisfaction, product quality, and business
performance
• Creates value to stakeholders by allocating Shamah (2013a, 2013b)
whole resources
Elements • Wastes refer to non-value-added activities Ciarniene and Vienazindiene
that concern people, machines, and (2012), Shamah (2013a) and
materials Tanco et al. (2013)
• Wastes are related to human activities and
resource consumptions without creating
value
• Value creation is at the core of
organisational goals that concern
customers, employees, and investors
• Flows of information and materials Seth and Gupta (2007) and
Westin et al. (2013)
Benefits • Reducing wait time, lead time, cycle time, Govindan et al. (2013),
work in process (WIP), and inventory for Hajmohammad et al. (2013)
the companies that are achieving good and Wichaisri and Sopadang
results. (2012)
• Increasing customer satisfaction, Ciarniene and Vienazindiene
productivity, change of attitude, and (2012)
quality, and speeding up delivery time
• Flexibility Govindan et al. (2013) and
Hajmohammad et al. (2013)
• Improving quality and productivity Mahapatra and Mohanty
(2007), Simons and Zokaei
• Increasing performance and enhancing (2005), Vinodh et al. (2011)
competitiveness and Saleeshya et al. (2015)
Limitation • Batch-and-queue or mass production

1.3 Logistics concept


Logistics management is “part of the supply chain process that plans, implements and
controls the efficient, effective flow and storage of goods, services and related
information from the point of origin to the point of consumption in order to meet
customers’ requirements” (Council of Logistics Management, http://www.clm1.org/) and
“getting the right goods, in the right quantity, to the right place, at the right time, and the
Integrating sustainable development, lean, and logistics concepts 91

right cost” (Institution of Production Engineers, 1989). Logistics management involves


activities to obtain raw materials and distribute finished goods to customers. These
activities include transportation, inventory management, warehousing, materials
handling, purchasing, and packaging, which are used to analyse logistics processes in the
proper place, at the desired time, and in the optimal quantities (Dey et al., 2011).
Nowadays, logistics management has become an important strategy for business
development and competitiveness by improving organisations (Diaz et al., 2011). It plays
a vital role in competitive strategies that include cost, cycle time, and capacities
(Witkowski, 2010). Examining relationships among logistics activities is required to
analyse business planning and management.
Table 3 Logistics concept

Characteristics Descriptions Sources


Goals • “Getting the right goods, in the right quantity, to Institution of
the right place, at the right time, and the right Production Engineers
cost” (1989)
• “Plans, implements and controls the efficient, Council of Logistics
effective flow and storage of goods, services and Management
related information from the point of origin to the (http://www.clm1.org/)
point of consumption in order to meet customers’
requirements”
• Coordinate the movement of products and Georgiana (2014) and
information through the supply chain in a way Knaak et al. (2006)
that meets customer requirements at minimum
cost.
Elements • People: human resources, supplier relationships, Institution of
and marketing and sales Production Engineers
(1989)
• Finance: economics, accounting, law, and
environment
• Technologies: control, transport, and information
systems
• Organisation: management skills
• Key activities (transportation, inventory Dey et al. (2011),
management, and information flow) Grant et al. (2006) and
Sternberg et al. (2013)
• Supporting activities (warehousing, materials
handling, purchasing, protective packaging
design, and information maintenance)
• Transport operations (delays, variable Sanchez-Rodrigues
demand/poor information, delivery constraints, et al. (2010)
and lack of coordination)
Benefits • Reducing cost, cycle time, and capacities to Witkowski (2010)
increase competitive advantage
• Improving logistics activities and business Dey et al. (2011) and
performance Diaz et al. (2011)
• Smooth flow of materials and information in
business processes
Limitation • No single standard for improving logistics
processes, depends on organisational
characteristics
92 S. Wichaisri and A. Sopadang

The logistics concept cogitates the logistics’ characteristics (Table 3). In considering
business processes, logistics activities encompass transportation, inventory management,
warehousing, materials handling, purchasing, and packaging (Dey et al., 2011; Grant
et al., 2006; Sternberg et al., 2013). Sanchez-Rodrigues et al. (2010) discussed transport
operations, studying the factors of delays, variable demand, poor information, delivery
constraints, and lack of coordination to evaluate the uncertainty of logistics operations.
Logistics should also consider people, finance, technologies, and management skills to
attain more effective and efficient flow processes (Institution of Production Engineers,
1989). Logistics management can reduce cost, cycle time, and capacities and improve
activities and business performance, including smooth flows of materials and information
from suppliers to customers at less cost. Each logistics function is analysed to plan and
control organisations. There is no standard process for logistics improvement; it depends
on the features of each organisation, which is the limitation of the logistics model.
Following conceptual evaluation, characteristics of each concept are concluded in
Table 4. They are identified to understand the main points and link each model for the
area opportunities and the gaps to integrate these concepts all together.
Table 4 Conclusion of each concept

Characteristics Sustainable development Lean Logistics management


Goals Improving business Focus on waste Plans, implements, and
processes to achieve elimination and create controls the movement
long-term benefits value to stakeholders of products and
through sustainable information from origin
dimensions point to customer point
at the right time, to the
right place, and getting
the right thing
Elements Economic, environmental, Wastes and value Logistics activities
and social dimensions creation
Materials and
information flows
Benefits Reducing costs, Reducing wait time, lead Improving business
environmental impacts, time, cycle time, work – performance for smooth
and congestion in-process (WIP), and flows of materials and
Increasing effectiveness inventory information
and efficiency of business Reducing cost, cycle
processes time, and capacities
Limitations Simulated results of Batch-and-queue or mass No single standard for
improvement are required production improvement
for long-term evaluation
For each culture, social
aspect depends on
environmental impacts
and satisfaction

This section is the first step to evaluate the model of sustainable development, lean
concept, and logistics for understanding the core of models. In the next section, the
interfaces and relationships among sustainable development, the lean concept, and
logistics are examined.
Integrating sustainable development, lean, and logistics concepts 93

2 Interfaces among concepts of sustainable development, lean, and


logistics management

This section presents the interfaces among sustainable development, lean, and logistics
concepts, and examines their relationships. The three interfaces are between sustainable
development and logistics management, sustainable development and lean, and lean and
logistics management. They are briefly reviewed in the following sub-sections.

2.1 Interface of sustainable development and logistics management


Sustainable development can be applied with logistics management to improve business
processes as business strategies for long-term development. Sustainable development
concerns intra- and inter-organisational activities (So and Xu, 2014). Minimal work has
been done to study sustainable logistics (e.g., Dey et al., 2011; Jumadi and Zailani, 2010;
Monnet and Net, 2011; Witkowski, 2010). Sustainable logistics proposes to combine
costs and environmental impacts for improving business performance and strengthening
logistics. To identify opportunities for organisations, logistics functions need to
implement sustainability. Generally, logistics functions are customer service, demand
forecasting, distribution communications, inventory control, material handling, order
processing, parts and service support, plant and warehouse site selection, purchasing,
packaging, return handling, salvage and scrap disposal, traffic and transportation, and
warehousing and storage (Dey et al., 2011). Nowadays, implementing sustainable
logistics focuses on transportation by reducing transport cost, carbon emission, and
pollution. Monnet and Net (2011) and Witkowski (2010) recommended improving
transport activities, specifically those producing more carbon emissions and pollution, to
implement a sustainable transport system. Dixit and Vaish (2013) are concerned with
reverse logistics of product returns to assess their impacts through sustainable
perspectives. Jumadi and Zailani (2010) argued for the need to integrate green innovation
into logistics for long-term development. Thus, previous research highlighted economic
and environmental impacts that affected society. The previous studies that focused only
on transportation and warehousing did not cover all the logistics activities. They also
concentrated on the strategic level and could not be fully implemented.

2.2 Interface of sustainable development and the lean concept


The lean concept is an initiative that is applied with sustainable development for
achieving business values (Bergmiller et al., 2011; Handfield et al., 2005; Kidwell, 2006;
Vinodh et al., 2011). Zokaei et al. (2010) created stages of lean and green maturity,
comprising trade-off, ambidexterity, synergy, and symbiosis. These stages concern the
relationship between lean and green processes to improve companies’ sustainability and
the effectiveness of the green movement.
Previous studies applied sustainable development with the lean concept by
considering manufacturing and environmental wastes (Table 5). Manufacturing wastes
are related to the seven wastes defined by Ohno (1988). Environmental impacts, which
affect business processes, are important to consider in reducing wastes through the lean
concept (Kidwell, 2006). Handfield et al. (2005) considered environmental impacts that
concerned the disposal of products at the end of their life cycles. Environmental wastes
refer to unnecessary resources (Torres and Gati, 2009; Vinodh et al., 2011). The seven
94 S. Wichaisri and A. Sopadang

wastes are also defined in terms of environmental wastes, including excess energy and
water usage, hazardous waste, solid waste, carbon emission, and polarisation resources
(EPA, 2007). The lean concept and sustainable development aim to improve business and
environmental performance by minimising or eliminating waste. Hajmohammad et al.
(2013) adjusted environmental practices, comprising the management system, pollution
prevention to reduce hazardous pollutants, and energy consumption of firms. Moreover,
some wastes involve employees, particularly the inadequate utilisation of the workforce,
their physical skills, creativity, and other abilities (e.g., Bamber and Dale, 2000; Mehta
et al., 2012; Ray et al., 2006; Tenescu and Teodorescu, 2014; Vinodh et al., 2011).
Table 5 Dimensions of previous researches for wastes reduction

Sustainable dimensions
Sources
Economic Environmental Social
Bamber and Dale (2000) 3
Mehta et al. (2012), Miller et al. (2010), Ramesh et al. 3 3
(2008), Ray et al. (2006), Taleghani (2010) and
Tenescu and Teodorescu (2014)
Bergmiller et al. (2011), Faulkner and Badurdeen 3 3
(2014), Georgiana (2014), Handfield et al. (2005),
Kidwell (2006), Kosztyó et al. (2008), Li et al. (2012),
Müller et al. (2013) and Torres and Gati (2009)
Brown et al. (2014) and Vinodh et al. (2011) 3 3 3

Therefore, the interface of sustainable development and the lean concept is not
considered in each logistics activity. Previous research aimed to minimise manufacturing
and environmental wastes by considering economic and environmental dimensions. They
did not cover all logistics activities. Moreover, the developed lean tools in terms of
sustainability were not analysed and assessed on the social dimension.

2.3 Interface of lean concept and logistics management


Lean logistics considers the lean concept with logistics operations by using lean tools and
methods for identifying and eliminating all wastes, as well as adding more value (Jones
et al., 1997). Both the lean concept and logistics management are correlated by perfect
time and waste management (Ab Rahman, 2013). Previous research applied lean logistics
to improve logistics processes. There are many non-value added activities in logistics
processes (e.g., Wu, 2002; Jirsák and Holman, 2012). Transportation and warehouse
activities focus on process improvement. Sternberg et al. (2013) identified waste in
transportation activity, in which the seven wastes could be considered; for instance,
waiting waste is unnecessary. The warehouse activity also involves unnecessary stock,
WIP, finished goods, and defects (Bamber and Dale, 2000). Regarding waiting waste in
the warehouse, examples include changing the setup time, idle time, and movement of
workers, which entail wastes in inventory and warehouse activities (Domingo et al.,
2007; Sullivan et al., 2002). To implement lean tools in logistics processes, KANBAN
and VSM are directly concerned. On the other hand, other lean tools, such as teamwork,
5S, and total productive maintenance (TPM), are indirectly related to logistics processes.
Lean tools can apply to analyse logistics processes initially. In addition, to measure
Integrating sustainable development, lean, and logistics concepts 95

performance of supply chain and logistics, Waqas Azfar et al. (2014) intend that the lean
concept measures operational performance. Therefore, the interface of the lean concept
and logistics aims to reduce cost and time in terms of non-value-added activities in
logistics operations that highlight the economic dimension.
The next section describes the integration of sustainable development, lean concept,
and logistics management into the lean sustainable logistics model.

3 Methodology

This section is core to describe how to integrate the lean sustainable logistics model,
which is called the LSL model. The steps to a developed LSL model involve two parts:
the conducted model and confirmation model, as shown in Figure 1. This paper
highlights only steps to conduct the LSL model. Also, the confirmation model will be
ensured in the future research.

Figure 1 Steps to integrate the lean sustainable logistics model

Sustainable Development

Lean Concept Literature Review

Logistics Management

Maturity Stages Relationship Analysis

Characteristics

Qualitative Model Conducted Model Components

Applications

Statistical Analysis Confirmation Model

The research articles on sustainable development, lean concept, and logistics


management are reviewed to identify research opportunities and the gap between these
concepts. Then, maturity stages are used to analyse their relationship and can understand
and explore contexts of each concept for integration. Next, the LSL model is conducted
based on qualitative analysis concerning characteristics, elements and applications.
This model can be developed in an operational level to improve and implement the
business process of organisations for competitiveness. Future research will expand this
model to confirm the ideas by using statistical analysis.
96 S. Wichaisri and A. Sopadang

4 Results and discussions

This section presents results and discussions of LSL model based on the proposed
methodology. There are three sub-sections comprising of data collection, maturity stage
and LSL model, as described below;

5.1 Data collection


Based on the proposed methodology, the reviewed literature comprised documents
published from 2004 to 2014, which were selected by using Google Scholar.
The keywords used for the search were sustainable development, lean concept, and
logistics management, including their combinations. Of the 25,400 articles found, only
460 focused on sustainable development, lean concept, and logistics management. Most
of these filtered articles researched green logistics and supply chain management, which
were irrelevant to the topic of integration into the LSL model. Only 68 articles tackled
integrating the three concepts into this model, which came from 53 scientific journals and
15 scientific conference proceedings (Table 6). These articles were reviewed to evaluate
the concepts, examine the relationships among the concepts, as presented in Section 2.
There were eight papers about the lean concept and logistics management, 21 papers
discussed sustainable development and logistics management, and 33 papers covered
sustainable development and the lean concept. The other papers did not clearly focus on
these concepts. The conceptual framework of lean sustainable logistics was presented as
an idea for integration, as shown in Figure 2 (Sopadang et al., 2014).
Table 6 Articles related to sustainable development, logistics, and lean concepts

Sustainable development Lean Logistics


Sustainable development 21 33 21
Lean - 29 8
Logistics - - 11
Source: Google Scholar

Figure 2 Lean sustainable logistics


Integrating sustainable development, lean, and logistics concepts 97

5.2 Maturity stage


Based on the literature, to integrate these concepts into the LSL model, four stages can be
applied to analyse their relationships. The stages consist of discordant action, proficiency,
cooperation, and interdependence, as shown in Figure 3.

Figure 3 Maturity stages

Maturity Stages of Sustainable Development, Lean, and Logistics Concepts

Discordant Action Proficiency Cooperation Interdependence

Concepts of lean and logistics Lean : creates value activities by Wastes form Increases
management need to increase eliminating all wastes people competitive advantage
profits that are not considered
by balancing economic, Logistics: plans and controls the
environmental, and social Responds to customer
movement of goods, people, and Manufacturing
impacts requirements
information for increasing business wastes
extremely well
performance
Sustainable development: balances
Sustainable development is
economic, environmental, and social Environmental Achieves long-term
balancing economics,
dimensions for achieving long-term wastes benefits
environmental and social aspects
benefits

Source: Adapt from Zokaei et al. (2010)


First, the stage of discordant action considers functions among sustainable development,
the lean concept, and logistics management that do not operate in the same way. Business
operations are analysed through logistics activities to control business flows smoothly for
improving their business performance. The lean and logistics concepts can also increase
the productivity of companies, which affects social and environmental aspects.
Environmental impacts, such as carbon emission and water and air pollution, and social
impacts, such as noise pollution and employees’ health and safety, are caused by
production machinery or distributed trucks. Thus, the environmental and social impacts
are critical dimensions of sustainable development that are in conflict with logistics and
the lean concepts.
Second, the proficiency stage analyses valuable features of the three concepts.
Following conceptual evaluations, logistics management highlights plans and controls the
movement of goods, people, and information to increase business performance.
Additionally, the lean concept emphasises creating value activities by eliminating all
wastes to reduce costs, time, inventory, space, defects, and reworks. Moreover,
sustainable development balances economic, environmental, and social dimensions to
achieve long-term benefits.
Third, the stage of cooperation analyses the combined work among these three
concepts. Logistics management can increase organisational profits. The lean concept can
reduce wastes of logistics activities. Sustainable development can balance economic,
environmental, and social aspects by reducing environmental impacts, costs, and time, as
well as increasing profits and quality of life. Therefore, the lean concept, logistics
management, and economics dimensions of sustainable development operate to reduce
wastes and increase profits. Additionally, environmental and social aspects of sustainable
development are realised to reduce environmental impacts and increase quality of life.
98 S. Wichaisri and A. Sopadang

Finally, the stage of interdependence considers methods and approaches to integrate


and apply the LSL model. Sustainable development, lean concept, and logistics
management need to respond to customer requirements extremely well and achieve
long-term benefits.

5.3 LSL Model


As mentioned above, the previous researches on sustainable logistics are emphasising
economic and environmental aspects to improve business processes. Their impacts affect
social aspects indirectly. The activities of transportation and reverse logistics are
highlighted. Also, the other logistics activities are neglected to move toward
sustainability. Moreover, the previous researches are not fully implemented with a
sustainable perspective in operational levels of organisations. Most of them create
conceptual frameworks to improve economic and environmental impacts clearly. Then,
social impact highlights employees in companies and neglects communities and
suppliers. Also, social impact is controlled by organisations’ policies. As a result, these
concepts are more exciting to combine notions into the LSL model. This model creates
guidelines to implement the operational level for long-term development.
Then the LSL model is constructed (Figure 4). The model is proposed to improve and
implement organisation. Wastes in terms of sustainability, which are related with wastes
from manufacturing, the environment, and humans, involve this model to eliminate all of
them for a smooth flow of business processes. Firms that apply the LSL model can
strengthen their competitive advantage by increasing productivity and reducing
environmental impacts including responding to customer requirements extremely well.
Employees, communities, and suppliers can then have access to a better quality of life.

Figure 4 Lean sustainable logistics model

Definitions Goals

Developed model by integrating concepts of


Achieving long-term benefits
sustainable development, lean, and logistics to
across the flow of materials
improve and implement firms for long-term
and information
development

Logistics Activities
Wastes in terms of Sustainability of
Wastes
Logistics Activities
Sustainable Perspectives

Sustainable Lean Tools

Methods of Lean Sustainable Logistics

Measurements of Overall Lean


Sustainable Logistics
Advantages

Strengthen their competitive


Organizations at Operational Level Improvements & Implementation advantage &
A better quality of life
Integrating sustainable development, lean, and logistics concepts 99

Next, the element of this model is wastes in terms of sustainability of logistics activities,
which are critical components of this model. The wastes in terms of sustainability of
logistics activities concern wastes from manufacturing, the environment, and humans
through sustainable perspectives. These wastes are categorised into logistics activities.
Then sustainable lean tools are created with sustainable perspectives for the elimination
of all wastes and creating values simultaneously by the mapping of materials and
information flows and improvement tools. The sustainable lean tools can apply with
methods of lean sustainable logistics. After that, organisations need to measure overall
lean sustainable logistics in order to understand performance levels of business processes.
However, the limitation of this model is its focus on the operational level for full
implementation in organisations.
Therefore, the LSL model can be applied by organisations in order to improve and
implement their business processes for competitive advantage. However, stakeholders,
such as employees, customers, suppliers, and local communities, are considering the
model to achieve long-term benefits.

6 Conclusions and future research

This paper aims to identify research opportunities and the gap of research between
sustainable development, the lean concept, and logistics management. Then, this paper
attempts to integrate the LSL model for improving business processes. There are 68
articles involving these concepts, which are published from 2004 to 2014. These articles
were reviewed to evaluate the concepts and examine the relationships among the
concepts. The four maturity stages are used to analyse their relationships. These stages
can define conflict, proficiency, cooperation, and interdependence of three concepts. The
results found that the previous researches are focusing on an environmental perspective
by reducing economic and environmental impacts that affect social impact indirectly.
There are two logistics activities involving the research on sustainable logistics such as
transportation and reverse logistics. However, the other logistics activities, such as
demand forecasting and planning, inventory management, material handling, and
packaging, are affected by operational performances. These activities also hide wastes in
the processes that should be eliminated. Additionally, the previous researches are
implemented in organisation that has not accomplished the three perspectives
simultaneously by waste reduction. Also, social impact highlights employees in
companies and neglects communities and suppliers. Then, the research on sustainable
logistics is not fully implemented in organisations with the three perspectives.
The LSL model is constructed by integrating sustainable development, lean, and
logistics concepts for achieving long-term benefits. These concepts are more exciting
ideas to provide the model that can be applied in an operational level to improve business
operations by eliminating wastes in terms of sustainability. This model does not only
consider economic and environment perspectives. It affects social perspectives
comprising internal and external companies such as employee, supplier, community, and
customer. The model focuses on wastes in terms of sustainability that are classified into
logistics activities to manage operational levels in organisations. Then, wastes in terms of
sustainability are classified into logistics activities that are identified in business
processes for waste elimination and value creation. In addition, the model can identify
and analyse wastes to eliminate for sustainable business value creation. After that, the
100 S. Wichaisri and A. Sopadang

LSL model can be developed and fully implemented in operational levels of


organisations.
The LSL model involves a quantitative model based on research articles. There is a
not statistical result for confirming the LSL model, which is a limitation of this paper. To
add reliability to the LSL model, statistical results are one of the techniques. In the future,
this model will be developed by using a bibliometric analysis and statistical analysis to
ensure the results for the reliable model. The research articles on sustainable logistics will
identify a clustered relationship to explore the correlation results of the lean sustainable
logistics model.

Acknowledgements

The authors would like to gratefully acknowledge the Excellence Center in Logistics and
Supply Chain Management (E-LSCM), Chiang Mai University for the supporting of this
research work. Financial support from the Thailand Research Fund through the Royal
Golden Jubilee Ph.D. Program (Grant No. PHD/0122/2553) to Sooksiri Wichaisri and
Assoc. Prof. Dr. Apichat Sopadang.

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