An Integration Framework For Lean Production And Marketing Mix Toward Business Performance Of Malaysian Food Industry

Abstract

Business performance is a critical issue for organizations, especially in the food industry, which faces multiple challenges that are forcing companies in the industry to improve their strategies to remain competitive. There is a need for looking at factors that improve this performance of the organizations. Therefore, this paper aims at develop an integration framework for lean production practices and marketing mix strategy toward improving the business performance of Malaysian companies in the food industry. To have empirical evidence about these relationships, data have been collected from (187) executive managers for (1309) Malaysian companies in the food industry. using a self-administered questionnaire. The collected data have been analyzed using both descriptive statistics and multiple regressions. Correlation analysis and multiple regressions using SPSS, version 22 have been performed to measure the relationship between variables and to test the hypotheses related to the study. The results of the paper reveal that lean production practices and marketing mix strategy have a direct positive effect on business performance. The findings of the paper also revealed that lean production practices and marketing mix strategy positively correlation. Moreover, lean production and marketing mix strategy integration affect business performance. This paper gives an insight to the policymakers and practitioners especially in designing the future development of improvement programs for the food processor companies in Malaysia by focusing on the integration among functional areas, especially the integration between marketing and operations, which proved that it improves business performance.