Quality improvements are implemented through various systems, techniques and tools in a company. The implementation of quality initiatives are commonplace in large companies rather than the smaller ones. Small and medium-sized enterprises (SMEs) are usually constrained by their size, expertise and financial resources. Nevertheless, it is important for them to improve their quality of physical work setting and working environment to sustain a competitive advantage. 5S is one of the most widely adopted techniques for industrial housekeeping and, in improving the quality of workplace environment. Since the cost of the development and implementation is one of the main constraints for 5S program at workplace in SMEs, the sustainable design concept shall be adopted. As the main part of the research work, a conceptual model of continuous improvement initiative for quality working environment within small and medium-sized manufacturing companies was developed and proposed. The focus of this research study is on the aspect of how to implement the 5S practices by incorporating sustainable design for improving a quality workplace environment and reducing the environmental impacts through a comprehensive approach. Finally, conclusions are drawn and suggestions made for further research in SME companies.