Title: Lean Operations in Service Industry: A Critical Review of its Benefits, Challenges and Strategies
Authors: David Iriabe
Volume: 9
Issue: 10
Pages: 125-132
Publication Date: 2025/10/28
Abstract:
This study conducts a critical review of Lean Operations in the service industry, focusing on its benefits, challenges, and strategies. Lean Management Theory is used as the theoretical framework to understand the principles and practices of Lean Operations. The study employs a qualitative research approach, collecting secondary data from various databases, including ResearchGate, Google Scholar, JSTOR, ScienceDirect, Emerald Insight, and Scopus. The data is analyzed using thematic analysis to identify patterns, themes, and relationships between variables. The study finds that Lean Management offers numerous benefits, including operational improvement, cost reduction, increased customer satisfaction, and a positive corporate culture. However, implementing Lean in service industries poses challenges such as standardizing customized services, cultural resistance, limited visibility, and complexity. To overcome these challenges, organizations can adopt strategies like flat management structures, supplier relationship management, customer relations management, standardization, and process improvement. The study's findings have implications for the development of effective Lean strategies and practices in service organizations. By understanding the benefits, challenges, and strategies of Lean Operations, service organizations can achieve significant improvements in efficiency, productivity, and customer satisfaction, ultimately driving business success.