LEAN AND AGILE PRODUCTION FOR SUSTAINABILITY PERFORMANCE IN MEDIUM AND LARGE MANUFACTURING FIRMS IN SAUDI ARABIA

Manufacturing firms are increasingly pressured to achieve sustainability performance while responding to dynamic and complex business environments. Lean production and agile production have been widely adopted as operational strategies that can potentially enhance sustainability outcomes. However, empirical research examining the combined influence of these production approaches and the role of supply chain collaboration remains limited. This study investigates the relationships between lean production, agile production, and sustainability performance, considering economic, environmental, and social dimensions as distinct constructs. It also examines the moderating role of supply chain collaboration. Data were collected from medium and large manufacturing firms in the Kingdom of Saudi Arabia through an online survey, yielding 181 valid responses. Structural equation modelling (SEM) was employed to test the proposed relationships. The results indicate that lean production positively influences economic, environmental, and social sustainability performance, while agile production demonstrates weaker direct effects when both approaches are examined simultaneously. Supply chain collaboration positively moderates the relationship between lean production and economic sustainability but negatively moderates the relationships between agile production and the sustainability dimensions. These findings contribute to the literature on sustainable manufacturing and provide managerial insights into the strategic use of lean and agile production in enhancing sustainability performance.