Hoshin Kanri

Hoshin Kanri, also known as Policy Deployment, is a strategic planning and management methodology originating from Japan. The term "Hoshin" means "compass" or "direction," and "Kanri" means "management." Hoshin Kanri is a system that aligns an organization's strategic goals with its daily operations and decision-making processes.

Hoshin Kanri was first developed in the late 1950s and 1960s at the Japanese automobile manufacturer Toyota and is often associated with the Lean Management philosophy. It was introduced as a way to ensure that the company's long-term goals were being pursued throughout the organization, from top management to the shop floor. The methodology has since been adopted by many other companies and industries, including manufacturing, healthcare, government, and service organizations.

Hoshin Kanri is a cyclical process that involves four main steps:

  1. Setting strategic objectives: The first step in Hoshin Kanri is to set the organization's strategic objectives for the coming year. This is typically done by top management, who establishes the company's overall vision and direction.

  2. Creating an action plan: Once the strategic objectives have been set, the next step is to create an action plan for achieving them. This involves breaking down the objectives into smaller, measurable goals and identifying the specific actions that will be taken to achieve each goal.

  3. Implementing and monitoring the plan: The third step is to implement and monitor the action plan. This involves communicating the goals and action plan to the rest of the organization and ensuring that everyone is working towards the same objectives. Regular progress updates are made to ensure that the plan is on track.

  4. Continuously improving: The final step in the Hoshin Kanri process is to continuously improve. This involves reviewing the results of the action plan and making adjustments as necessary to ensure that the organization's objectives are being met.

One of the key features of Hoshin Kanri is that it promotes a culture of continuous improvement by involving all employees in the process. By aligning the company's daily operations with its long-term goals, Hoshin Kanri helps to ensure that everyone in the organization is working towards the same objectives and that progress is being made towards achieving them.

The best way to utilize Hoshin Kanri is to adopt it as a company-wide system and involve all employees in the process. This involves:

  1. Clearly communicating the company's strategic objectives and action plan to everyone in the organization.

  2. Encouraging all employees to participate in the continuous improvement process by providing regular training and development opportunities.

  3. Regularly monitoring progress and making adjustments to the action plan as necessary.

  4. Celebrating successes and sharing best practices with others in the organization.

  5. Continuously reviewing the results of the Hoshin Kanri process and making improvements as necessary to ensure that it remains an effective tool for achieving the company's goals.

In a nutshell, Hoshin Kanri is a powerful tool for aligning an organization's strategic objectives with its daily operations and decision-making processes. By involving all employees in the process, it helps to ensure that everyone is working towards the same objectives and that progress is being made towards achieving them. To get the most out of Hoshin Kanri, it is important to adopt it as a company-wide system and continuously review and improve the process.

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