Tag Archives: Decision Making

Hoshin Kanri and the Kanri Noryoku Program: Rejuvenating Toyota

In my previous posts I explained how Hoshin Kanri works. This post looks at how Toyota embeds Hoshin Kanri as part of their overall management structure. Toyota started this in 1979 when director Masao Nemoto started the Kanri Noryoku Program (管理能力プログラム), usually shortened to KanPro. Continue reading Hoshin Kanri and the Kanri Noryoku Program: Rejuvenating Toyota

Hoshin Kanri – Part 4: The X-Matrix?

Is more better?

When googling Hoshin Kanri, you will sooner or later come across an X-Matrix. It is a visually very impressive tool, but I am in serious doubt about its usefulness. It focuses on the creation of the Hoshin items, but to me this approach is overkill, and – even worse – may distract the user from actually following the PDCA, especially the Check and Act parts. While the article is highly critical, I hope reading it and understanding the shortcomings help you better understand how Toyota thinks. Continue reading Hoshin Kanri – Part 4: The X-Matrix?

Hoshin Kanri – Part 3: Hierarchical Hoshins

Hoshin Kanri can be used individually, but its full potential is shown across the levels of corporate hierarchy. The goals of a Hoshin Kanri should be derived from the Hoshin Kanri of the next-level hierarchy above. This post is part of a larger series on Hoshin Kanri. Let’s look at the hierarchy structure: Continue reading Hoshin Kanri – Part 3: Hierarchical Hoshins

Hoshin Kanri – Part 1: The To-Do List

This week I will look at Hoshin Kanri (方針管理, policy management). The word is often used as a sort of miracle cure for the problems in your organization. The tool itself, however, is rather mundane, although it did significantly help Toyota. This, of course, did not stop the West from over-complicating and over-hyping it. This post is the start of a small series on Hoshin Kanri. Continue reading Hoshin Kanri – Part 1: The To-Do List

How to Do Brainstorming

A lot of lean is about problem solving, and most of these problems are complex and difficult. Otherwise, someone would have solved them already. Hence, I would like to introduce you to different creativity techniques for problem solving. Most of them can be used in groups to access the collective wisdom and creativity. Most of them are also suitable to develop a number of alternative solutions, of which you can pick the best ones (see my previous post on Japanese Multidimensional Problem Solving). Many of them can be combined in sequence. Let me start with the most common one, brainstorming: Continue reading How to Do Brainstorming

Lean Is Tough – The Phases of a Lean Transformation

Sometimes, consultants sell lean as a quick and easy way  to success that pays for itself. Unfortunately, this is usually not true, as many companies have found out the hard way. Getting lean in a company is similar to getting a lean body; it is usually neither quick nor easy. Let me show you the different phases of a lean transformation. Continue reading Lean Is Tough – The Phases of a Lean Transformation

Dealing with Uncertainty

UncertaintyA lot of decisions in lean manufacturing have uncertainty. How many products will I sell (and what is my customer takt)? Which layout is more efficient? Should I believe expert A or expert B? Uncertainty is a part of life in manufacturing. In fact, the higher up you go in the hierarchy, the more you have to deal with uncertainty. And often these are not just simple “A or B” type of questions, but highly complex and interacting decisions like “What should our new line look like?” Here are some suggestions on how to deal with uncertainty. Please note that they will not answer all of your questions but will help you make better decisions. Continue reading Dealing with Uncertainty