Lean Management

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The Impact of Lean Implementation on Operational Performance: A
Study of Composite Manufacturing Companies in Malaysia

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BACKGROUND INFORMATION

In 2012, the Asia-Pacific region accounted for 36 per cent of the worldwide market in value for composite production and 41 per cent in volume, according to
Frederique Mutel, president and chief executive officer of the JEC Group, which is the world‟s largest composite industry organization, representing, promoting and expanding the industry. From JEC group‟s annual survey the Asia-Pacific region has experienced strong growth rates in terms of composites production 6.9 per cent per annum, according to of the composites market since 2002. By 2015, the region is expected to account for 50 per cent of total composites production for all sectors, not just aerospace.
In Malaysia, Composites Technology Research Malaysia (CTRM), Asian
Composites Manufacturing (ACM) and SME Aerospace are winning composite work from the majors (Mutel, 2013). CTRM is a major supplier for composites for the Airbus
A320 family, supplying 20 per cent of the wing surface. In addition, it is active on
Boeing programs (737, 767, 777 and 787), Eurocopter helicopters (EC130), Bombardier
CSeries and the Mitsubishi Regional Jet. ACM, meanwhile, which is a Boeing-Hexcel company, produces advanced composite structures for the wings for Boeing aircraft and is active on the 737, 747, 767 and 777 programs. Spirit Aerospace, the world‟s largest supplier of commercial aircraft assemblies and components, has established its own subsidiary in Malaysia named SME Aerospace which manufactures composite subassemblies for Airbus single-aisle aircraft, plus some A350 XWB work and 777 wing works. Mutel (2013) also stated that, with the growing use of composites in aerospace production comes a challenge. The whole aerospace supply chain is under pressure to deliver composites structures and parts with a triple challenge; quality, lightness and



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