Track: Supply Chain Management (SCM)

Abstract

This paper reports a structural equation model in which total productive maintenance (TPM), just-in-time (JIT), and overall equipment efficiency (OEE) indexes are analyzed as latent independent variables and how they affect the economic sustainability (ES) of the companies through the flow of materials and their disruptions. The variables are related using six hypotheses in the model, evaluated with information from 239 responses to a questionnaire applied to the Mexican maquiladora industry. The partial least squares technique is applied to validate these hypotheses. The results indicate that TPM is highly related to JIT, SE, and OEE, and likewise, JIT has a direct relationship with OEE and SE. It is concluded that lean manufacturing tools applied to materials flow in a production system must be highly monitored to avoid disruptions that affect the economic income of companies.