Hoshin= Direction Kanri= Execution “Ho” means Direction“Shin” means Needle“Kan” means Tube“Ri” means Logic
After World War II, Japan was faced with the difficult task of rebuilding just about everything. Japan had suffered a military defeat, and the Allied forces did not want Japan's military might to resurface. General Douglas MacArthur commanded the occupying forces. His objective was to help Japan rebuild its economy and infrastructure without allowing the military to be rebuilt.
First step: ACTION; higher objectives and priorities are set by top most authority (strategic planning)Second step: PLAN; each division, subsidiary, section suggest its own objectives, defines the means and necessary resources, as well as indicators to monitor progress. This is the alignment phase of the company or "objectives Deployment".At the end of inner negotiations - consensus is mandatory - lower level proposals will get approval by their supervisor.Third step: DO; division managers, subsidiary heads, section leaders explain their plan to their staff and required actions merge with daily business.Fourth step: CHECK; review and improve, check and react. Checking can be daily or at lower frequency. This check is active, meaning it will bring reaction to any drift.
Hoshin Kanri is intended to help an organization• Focus on a shared goal.• Communicate that goal to all leaders.• Involve all leaders in planning to achieve the goal.• Hold participants accountable for achieving their part of the plan.
Why Use Hoshin Planning? VS.To Align Objectives and Targets Throughout the Organization