Hoshin Kanri is a method used for strategic planning. The term refers to "policy deployment" or "directional deployment." The process of hoshin kanri aligns an organization vertically as well as horizontally . In general there are 7 steps to the hoshin or directional planning process.
1. Establish Vision.
2. Assess current state.
3. Set annual objectives.
4. Build a plan for implementation.
5. Execute your plan.
6. Review, evaluate and adjust as necessary (Monthly).
7. Repeat (annually).
The deployment of Hoshin Kanri will often start as a top - down process but as the organization reaches the second and third phase of hoshin planning it should become a top - down and bottom - up process that involves management, project teams and other resources to align resources and gain consensus of the direction. This process is often referred to as catchball, nemawashi or our own personal ©Vision methodology. Hoshin Kanri strives to get every employee pulling in the same direction at the same time. It achieves this by aligning the strategic goals of the company with the tactical plans of middle management and the work performed by all employees.
A constraint is any factor or element such as cost, schedule and scope that prevents a system from performing at the highest level possible in relation to its objective. There are many types of constraints that prohibit performance. Continuous Improvement strategies such as: Lean, Six Sigma and the Theory of Constraints are effective ways to reduce or remove constraints.
1. Cost/ Resources
2. Schedule/ Time
3. Scope/ Quality
5. Policy or Procedure
Block Scheduling is a scheduling technique where "blocks of time" are set aside to different tasks or projects, such as:
Have you tried block scheduling?
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A cell, cellular layout or work cell is a close arrangement or setup of people, machines or workstations. The purpose of a cellular layout is to fulfill a processing sequence while simultaneously reducing wait times, transportation and other forms of muda. In addition to removing various forms of waste cells are very effective add promoting and facilitating effective flow. Cells can be in many different shapes and attempt to spread work evenly amongst the resources.
The balanced scorecard shows key metrics on a dashboard which provide key performance indicators and insight regarding four main areas of an organization: Financial, Customer, Internal Business Processes and Learning and Growth. The balanced scorecard is used in strategic planning and management in a wide variety of industries. For more in depth study of the balanced scorecard we recommend reading Dr. Robert Kaplan and Dr. David Norton's book titled The Balanced Scorecard: Translating Strategy into Action.
A standard that is set to monitor sales data for specific items in forecasting models. The standard is usually set to be tripped or triggered when the demand for a period is different from the forecast by more than some number of mean absolute deviations.
A Kaizen blitz is a rapid improvement event. It is designed to make a fast improvement or impact to an opportunity or an issue. A blitz will usually take place over a 1 to 5 day period, but could be as quick as a few minutes. This gives teams an opportunity to make rapid, quick improvements. A kaizen blitz may follow the 4 steps outlined in the PDCA cycle:
A cost driver is any factor or factors that causes a change (increase/decrease) in an activities cost. Activities often have more than one cost driver attached to them.
Functional layouts are by far the most common layout you will find in organizations. These layouts can be seen in how machines and people are positioned. A functional layout is a workplace configuration in which operations/processes are organized by the type of work (function) they do. For example, a manufacturing plant that has sanders in one area, saws in another and assembly in another is a functional layout. The machines are grouped according to the function they perform.