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Applicability of ISO 56002 in Production Processes

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Applicability of ISO 56002 in Production Processes School of Innovation, Design and Engineering Applicability of ISO 56002 in Production Processes Master thesis work Innovative Production - PPU503 30 credits, Advanced level Product and process development Production and Logistics Zeinab Sayahi (2021) Commissioned by: Tutor (company): - Tutor (university): Mikael Johnsson Examiner: Antti Salonen ABSTRACT The popularity of the term innovation is growing rapidly. Its significant role in the increasingly competitive world is not deniable. Consequently, to secure their profitable growth, enterprises across the world try to improve their innovation capabilities. After publishing the first international standard by ISO, in the realm of innovation management system, this current thesis project is performed to investigate the challenges and motivations that production units may have in implementing the new standard, ISO 56002, in their production processes. The empirical part of the project is carried out in cooperation with five Swedish industrial companies. A variety of companies regarding to the type of activities, size, age, etc. were selected. Based on the content of standard ISO 56002, the collected data from prior research and empirical findings, an analysis is performed. The results shows that organizations have different approaches toward managing innovation activities and their current innovation management’s capabilities is a determining factor for challenges with ISO 56002. However, all respondents have positive attitude toward the implementation of ISO 56002 in the production processes and consider it as a useful standard with many potential benefits for their organizations. Challenges that companies may confront, in applying ISO 65002 in the production processes, are culture, involvement of leadership, immaturity in working with processes, etc. Considering the consensus about the culture as a challenge, a model to enhance the employee’s engagement is suggested. This thesis is one of the pioneers in investigating the applicability of ISO 56002:2019 in a production process. It can provide production units with useful information and contribute to the innovation management community. The empirical information is collected from companies that have not implemented ISO 56002. Future studies by focusing on the companies with ISO 56002, can shed light on new aspects of the standard’s applicability in the production processes and develop findings of the present thesis. Additionally, the implementation of standard’s various features in production processes can be inspected individually. Keywords: ISO 56002:2019, ISO 56000:2020, Standard, Innovation, Innovation Management System, Production Process ii ACKNOWLEDGEMENTS This thesis is the last part of the master program “Progress and Process Development – Production and logistics”. It is not only the outcome of my own time and effort. This research work includes both theoretical and empirical expertise and guidance from others. “Quality output demands quality input”. A big part of the knowledge in this report has been cultivated based on the experience obtained through numerous years that interviewees have spent in industrial development fields. I would like to express my great appreciation toward nice people who took their time, participated in interviews, and generously shared their precious opinions and knowledge. I would also give my thanks to Mr. Antti Salonen who patiently supported me from the beginning of my study until the graduation. And surely, I would present my thanks to Mr. Mikael Johnsson who led me through the journey of this thesis project. My special gratitude goes to my partner, for encouraging and supporting me during the project work. Finally, I dedicate this thesis to my parents and lovely children. Zeinab Sayahi Katrineholm, June 2021 iii Contents 1. INTRODUCTION ................................................................................................................... 1 BACKGROUND ................................................................................................................................................ 1 PROBLEM FORMULATION................................................................................................................................. 3 AIM AND RESEARCH QUESTIONS...................................................................................................................... 5 PROJECT SCOPE AND LIMITATIONS ................................................................................................................... 6 OUTLINE OF THE THESIS .................................................................................................................................. 6 2. THEORETIC FRAMEWORK .............................................................................................. 7 DEFINITIONS ................................................................................................................................................... 7 56000 SERIE ................................................................................................................................................. 18 ISO 56002 .................................................................................................................................................... 19 3. RESEARCH METHOD ........................................................................................................ 26 RESEARCH .................................................................................................................................................... 26 METHOD AND METHODOLOGY ...................................................................................................................... 26 RESEARCH PROCESS ...................................................................................................................................... 29 DATA COLLECTION ....................................................................................................................................... 29 4. RESULT ................................................................................................................................. 38 5. ANALYSIS............................................................................................................................. 49 6. CONCLUSIONS .................................................................................................................... 57 7. REFERENCES ...................................................................................................................... 58 8. APPENDICES ....................................................................................................................... 68 iv ABBREVIATIONS CIRP The International Academy for Production Engineering HLS High-Level Structure IMA Innovation Management Assessment ISO International Organization for Standardization ISO/TC 279 Technical Committee of ISO in Innovation Management MBCE Model-Based System Engineering MSS Management System Standards OECD The Organisation for Economic Co-operation and Development PDCA Plan-Do-Check-Act (cycle) SDG Sustainable Development Goals SIMS Standardized Innovation Management System TQM Total Quality Management v INTRODUCTION Chapter 1 This thesis studies the applicability of ISO 56002 in a production process. ISO 56002 provides generic and comprehensive guidance for the establishment, implementation, maintenance, and continual improvement of an innovation management system for use in all types of organizations (ISO 56002:2019). This chapter is dedicated to an introduction of the thesis work. In addition to explaining the background and the context, the problem is formulated, and the aim, scope and outline of the thesis is presented. Background Countless published research papers and literatures focus attention on the innovation and benefits that it creates in human life. Sveiby et al. (2012) considers innovation one of the most commonly mentioned concepts in social science. Regardless of which aspects or types of innovation are studied, research works point out to a great deal of advantages. As a key driver for economic growth and national wealth, innovation is considered as the ultimate solution in the welfare related problems (OECD, 2010). Innovation has extensive effect on humans’ life. “Innovation is central to improvements in living standards and can affect individuals, institutions, entire economic sectors, and countries in multiple ways” (OECD, 2018, p.19). Furthermore, in a highly competitive context that many firms are subjected to fierce, innovation is the most reliable tool to cope with the competition (Mamasioulas et al., 2020). New customer requirements, emerging technologies and equipment (Romero, D. et al., 2017), digitalisation and sustainability (Karlsson, 2019a) are just some of the many factors that urges the companies to constantly improve and renew themselves and their offerings. According to The Organisation for Economic Co-operation and Development (OECD), innovation is the heart of value creation in small and medium enterprises, a key feature to improve productivity and sustainable resource use (OECD, 2013). Many authors go beyond the benefits and consider innovation essential for a firm’s existence. Bessant and Rush (2009) consider both product and process innovations important because without them, the businesses risk to be outpaced in the increasingly competitive world. Sveiby, et al. (2012), believe innovation is not only a key driver of organizations’
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