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.