Linkages between lean six sigma, green manufacturing, circular economy and operational performance in manufacturing organizations of a developing country

Purpose – This study aims to investigate the mediating role of sustainability-related practices, specifically Green Manufacturing Practices (GMP) and Circular Economy Practices (CEP), in the relationship between Lean Six Sigma (LSS) implementation and operational performance (OP) among manufacturing small and medium-sized enterprises (SMEs) in Pakistan. Design/methodology/approach – A quantitative survey was conducted among manufacturing SMEs using structured questionnaires. A hybrid analytical approach combining PLS-SEM via SmartPLS 4.0, SPSS and ANN modeling was employed to examine relationships, mediation effects, and predictive validation. Findings – The results indicate that integrating GMP and CEP with LSS strategies improves OP, providing a well-structured pathway for SMEs to enhance operational efficiency. Moreover, GMP and CEP partially mediate the relationship between LSS and OP. Originality/value – This study provides significant insights for researchers and practitioners, suggesting that combining LSS with sustainable initiatives like GMP and CEP offers a pragmatic approach to enhancing OP. The findings provide actionable insights for SME managers and policymakers by demonstrating how sustainability-related practices can serve as strategic bridges between lean methodologies and continuous improvement initiatives.