AA STRATEGY FORY FOR
Kaizen aims to eliminate waste ("activities that add cost but do notKaizen aims to eliminate waste ("activities that add cost but do not
add value").add value").
It is often the case that this means "to take it apart and put backIt is often the case that this means "to take it apart and put back
together in a better way."together in a better way."
This is then followed by standardisation of this 'better way' withThis is then followed by standardisation of this 'better way' with
others, through standardized work.others, through standardized work.
Kaizen concentrates at improving the
process rather than at achieving certain
Such managerial attitudes and process
thinking make a major difference in how
an organization masters change and
Kaizen and Management
Management has two major components:
Maintenance, and Improvement.
MAINTENANCE: The objective of the maintenance function is
to maintain current technological, managerial, and operating
IMPROVEMENT: Under the improvement function,
management works continuously towards revising the current
standards, once they have been mastered, and establishing
higher ones. Improvement can be broken down between
innovation and Kaizen. Innovation involves a drastic
improvement in the existing process and requires large
investments. Kaizen signifies small improvements as a result
of coordinated continuous efforts by all employees.
Visual Control & the Workstation
The 5 SThe 5 S
Be organized to
Ensure space for each
thing, and a thing for
each space. No more
Maintain a clean and
orderly space to make
rejects and scrap..
This is a way of
Employee Empowerment: the Suggestion System
• The suggestion system is an integral part of an established management system that aims at involving
employees in Kaizen. The number of worker's suggestions is regarded as an important criteria in reviewing
the performance of the worker's supervisor and the manager of the supervisor.
• The Japanese management encourages employees to generate a great number of suggestions and works
hard to consider and implement these suggestions, often incorporating them into the overall Kaizen strategy.
Management also gives due recognition to employee's efforts for improvement. An important aspect of the
suggestion system is that each suggestion, once implemented, leads to an upgraded standard.
Kaizen's Starting Point:
Setting the Right Mindset & Business Environment
• not a single day should go by without some kind of improvement being made somewhere in the company
• customer-driven strategy for improvement - any management activity should eventually lead to increased
• quality first, not profit first - an enterprise can prosper only if customers who purchase its products or services
• recognition that any corporation has problems and establishing a corporate culture where everyone can
freely admit these problems and suggest improvement
• problem solving is seen as cross-functional systemic and collaborative approach
• emphasis on process - establishing a way of thinking oriented at improving processes, and a management
system that supports and acknowledges people's process-oriented efforts for improvement
The Key Kaizen Practices
Mindset & Culture Production Process
• customer orientation
• quality control (QC) circles
• suggestion system
• discipline in the workplace
• small-group activities
• cooperative labor-
• total quality control (TQC)
• quality improvement
• automation & robotics
• zero defects
• total productive
• just-in-time (JIT)
• productivity improvement
• new product development
• Voluntary groups of employees who work on
similar tasks or share an area of responsibility
• They agree to meet on a regular basis to discuss &
solve problems related to work.
• They operate on the principle that employee
participation in decision-making and problem-
solving improves the quality of work
• Quality Circles were first seen in the United States in the
• After World War I Japanese started using them for
improving products and reliability of manufacturing
• Circles were developed by Dr, Kaoru Ishikawa in Japan in
• By 1975 Japanese were topping the world in quality and
• Circles were re-exported to the US in the early 1970’s and
was accepted all over the world
• 1980s brought TQM and reduction in use of Quality
1. It is people – building philosophy
2. It is based on providing self - motivation
3. Also based on deriving happiness in improving
environment without any compulsion or monetary
4. It calls for progressive attitude on the part of
5. Willingness of management to make adjustment in style
Quality Circle concept has three major attributes:
a. Quality Circle is a form of participation management.
b. Quality Circle is a human resource development
c. Quality Circle is a problem solving technique.
The concept of Quality Circle is primarily based upon
recognition of the value of the worker as a human being,
as someone who willingly activises on his job, his wisdom,
intelligence, experience, attitude and feelings.
The objectives of Quality Circles are multi-faced.
a) Change in Attitude.
From "I don’t care" to "I do care"
Continuous improvement in quality of work life through
humanisation of work.
b) Self Development
Bring out ‘Hidden Potential’ of people
People get to learn additional skills.
c) Development of Team Spirit
Individual Vs Team – "I could not do but we did it"
Eliminate inter departmental conflicts.
d) Improved Organisational Culture
Positive working environment.
Total involvement of people at all levels.
Higher motivational level.
Participate Management process.
Basic Framework of Organisational Structure for Quality Circles
Launching Quality Circles
Expose middle level executives to the concept.
Explain the concept to the employees and invite them to
volunteer as members of Quality Circles.
Nominate senior officers as facilitators
Form a steering committee.
The Steps involved in launching of quality circles are:
Arrange training of coordinators, facilitators in basics of
Quality Circle approach, implementation, techniques and
operation. Later facilitator may provide training to Circle leaders
and Circle members.
A meeting should be fixed preferably one hour a week for the
Quality Circle to meet
Formally inaugurate the Quality Circle.
Arrange the necessary facilities for the Quality Circle meeting
and its operation.
Launching Quality Circles
Training is very essential for successful operation of Quality Circles
Such Training comprises of:
Brief Orientation programme for top management
Programme for middle level executives
Training for facilitators
Training for circle leaders
Process of Operation
1. Problem Identification: Identify a number of problems
2. Problem Selection: Check priority and importance
3. Problem analysis
4. Generate alternative solutions
5. Select most appropriate solution
6. Prepare plan of action
7. Present solution to management
8. Implementation of solution
Basic problem solving Techniques
1. Brain Storming
2. Pareto Diagrams
3. Case and Effect Relation
4. Data Collection
5. Data Analysis
Tools used for analysis
2. Bar Charts, Line Graphs
4. Control Charts
5. Scatter diagrams
• Increase Productivity
• Improve Quality
• Boost Employee Morale
• Inadequate Training
• Unsure of Purpose
• Not truly Voluntary
• Lack of Management
• Quality Circles are not
really empowered to