Lean Management Consultant Secrets: Hoshin Planning Process

Hoshin Planning Process

Hoshin Planning

Today many organizations small and large, delivering products or services, whether manufacturing, food services or healthcare, are struggling to implement “Lean Tools” to gain a competitive advantage.  However, what is needed before starting on any Lean journey is a clear, and documented strategic plan.  Many companies do an “annual goal setting”, but I want to tell you about a better, and more effective, approach called Hoshin Kanri or Hoshin Planning.

In Japanese, hoshin means shining metal, compass, or pointing the direction, kanri means management or control. The name suggests how Hoshin Planning aligns an organization toward accomplishing all of its goals.

Hoshin kanri is the process that management uses to manage the achievement of Goals and Objectives, while having an eye on the future for breakthroughs. Also called Hoshin Planning, it is a Strategic planning/Strategic management methodology, based on a concept popularized in Japan by Professor Kaoru Ishikawa in the late 1950s when he said that “each person is the expert in his or her own job and Japanese TQC (Total Quality Control) is designed to use the collective thinking power of all employees to make their organization the best in its field.” “It is a management system in which all employees participate, from the top down and from the bottom up, and humanity is fully respected.”

Hoshin” is a goal with an instruction manual (method, control item & target) to address a CBN (Company Business Need).  “Kanri” is the management of both Process and Resource to consistently achieve needed results:

–        Goals and Targets                                                              Hoshin Planning Process

–        Horizontal Coordination

–        Vertical Alignment

–        Process Management

–        Subordinate development through the job

The Hoshin planning process is intended to help an organization:

  • Focus on a shared goal to avoid wasting resources
  • Communicate that goal to all leaders to magnify and utilize the collective knowledge
  • Involve all leaders in planning to achieve the goal thereby breaking down the “silos”
  • Hold participants accountable for achieving their part of the plan and build an accountable organization

Many “Lean tools” are utilized to make the Hoshin planning process successful.  The process needs to be managed for continuous improvement (Kaizen) using PDCA.  The Hoshins must be determined based on need after you grasp the situation (Genchi Genbutsu) by going on Gemba walks.  Finally, problems need to be solved using scientific problem solving methodology.

Get Kaizened Inc. is a leading lean consulting and training company headquartered in California, United States, serving clients of different sizes and industries worldwide. Our hands-on consulting solutions have saved our clients millions of dollars while our training solutions have helped them sustain the efficiency gained from our consultants’ implementations. Hoshin Kanri Implementation is one of our popular consulting solutions while our Hoshin Kanri Training courses, classes, webinars and seminars have helped various managers and experts reach their goals. Contact us today for more information about our consulting and training solutions. 

Be Sociable, Share!