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Strategy DeploymentHoshin Kanri Planning
Hoshin Kanri“Ho” means direction“Shin” means needle“Hoshin” means compass
Hoshin Kanri“Kan” means control or channelling“Ri” means reason or logic
Hoshin KanriHoshin is a planning and implementation process which gives ‘direction’ to an organization when looking at future strategyThe analogy that is used is directing a fleet of ships to all arrive at the same destination, at the same time!!
Hoshin PlanningFacilitates the creation of business processes that result in a sustained competitive advantage in Quality, Delivery Cost and Innovation. Aligns the major strategy objectives with the specific resources and action plans.Consists of a seven step process that begins with high level strategic objectives and ends with the local level improvement targets.‘Catchballing’ is the driving force of alignment, clarification, and employee involvement.
1. Establish Organizational Vision2. Develop 3-5 Year Strategic PlanOptional in some modelsThe 7-Step Hoshin Planning CyclePHASE 1: Well-done Strategic Planning3. Develop Annual ObjectivesPHASE 2: Heart of Hoshin Planning Process4. Deploy to Depts. to Develop Plans Including Targets and Means5. Implementation6. Regular Progress Reviews Monthly + Quarterly7. Annual Review The seven steps of the Hoshin planning process (Jolayemi, 2008)
Strategic Plan3-5 Year Strategic Plan sets a plumb line against which objectives are set for the year Objectives set the roadmap and allow the Senior Management Team to identify Projects and Strategies that will meet them.2. Develop 3-5 Year Strategic Plan
Transition to HoshinTypically, this is the transition point from Strategy development into Strategy deploymentThe heart of Hoshin Planning lives here!!Annual Objectives are those objectives that we need to achieve this year which will enable us to reach our overall 3-5 year Breakthrough ObjectivesThis is the typical point where the Hoshin Matrix is initiated to begin the Strategy and Objectives Deployment3. Develop  Annual Objectives
Hoshin Planning X-MatrixMatrix appears complicated at firstDeveloped as the strategic planning documentArticulates intent of the companies action through linking vision, strategic objectives and actionable activitiesAssigns High level ownership to key areas of focusOutput is the actionable improvements that are reviewed and modified, through “catchballing” to a finalize a plan
Hoshin planning presentation
Hoshin planning presentation
Hoshin planning presentation
“Catch ball”A top down and bottom up approach
Stakeholders ‘catch’ the improvement topic and through Kaizen, VSM etc develop ideal current state, identify other issues etc
This is then thrown back to the management team with a plan for improvement4. Deploy to Depts. to Develop Plans Including Targets and Means

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Hoshin planning presentation

  • 2. Hoshin Kanri“Ho” means direction“Shin” means needle“Hoshin” means compass
  • 3. Hoshin Kanri“Kan” means control or channelling“Ri” means reason or logic
  • 4. Hoshin KanriHoshin is a planning and implementation process which gives ‘direction’ to an organization when looking at future strategyThe analogy that is used is directing a fleet of ships to all arrive at the same destination, at the same time!!
  • 5. Hoshin PlanningFacilitates the creation of business processes that result in a sustained competitive advantage in Quality, Delivery Cost and Innovation. Aligns the major strategy objectives with the specific resources and action plans.Consists of a seven step process that begins with high level strategic objectives and ends with the local level improvement targets.‘Catchballing’ is the driving force of alignment, clarification, and employee involvement.
  • 6. 1. Establish Organizational Vision2. Develop 3-5 Year Strategic PlanOptional in some modelsThe 7-Step Hoshin Planning CyclePHASE 1: Well-done Strategic Planning3. Develop Annual ObjectivesPHASE 2: Heart of Hoshin Planning Process4. Deploy to Depts. to Develop Plans Including Targets and Means5. Implementation6. Regular Progress Reviews Monthly + Quarterly7. Annual Review The seven steps of the Hoshin planning process (Jolayemi, 2008)
  • 7. Strategic Plan3-5 Year Strategic Plan sets a plumb line against which objectives are set for the year Objectives set the roadmap and allow the Senior Management Team to identify Projects and Strategies that will meet them.2. Develop 3-5 Year Strategic Plan
  • 8. Transition to HoshinTypically, this is the transition point from Strategy development into Strategy deploymentThe heart of Hoshin Planning lives here!!Annual Objectives are those objectives that we need to achieve this year which will enable us to reach our overall 3-5 year Breakthrough ObjectivesThis is the typical point where the Hoshin Matrix is initiated to begin the Strategy and Objectives Deployment3. Develop Annual Objectives
  • 9. Hoshin Planning X-MatrixMatrix appears complicated at firstDeveloped as the strategic planning documentArticulates intent of the companies action through linking vision, strategic objectives and actionable activitiesAssigns High level ownership to key areas of focusOutput is the actionable improvements that are reviewed and modified, through “catchballing” to a finalize a plan
  • 13. “Catch ball”A top down and bottom up approach
  • 14. Stakeholders ‘catch’ the improvement topic and through Kaizen, VSM etc develop ideal current state, identify other issues etc
  • 15. This is then thrown back to the management team with a plan for improvement4. Deploy to Depts. to Develop Plans Including Targets and Means
  • 16. Catchballing4. Deploy to Depts. to Develop Plans Including Targets and Means
  • 17. Benefits of Hoshin PlanningEvery employee is clear of their role and objectives
  • 19. Everyone understands the goals of the organisation
  • 20. Aligns resources, objectives and metrics to all goals and at all levels of the organization
  • 21. Employees are involved in setting targets, improvement schedules and reviews
  • 22. There is a clear line of sight

Editor's Notes

  1. First we will look at the literal meaning of Hoshin Kanri to understand how it guides an organization from development of vision through strategy deployment
  2. Together it suggests we set our compass in a direction in a control and logic
  3. We understand that our strategic plan is developed in support of achieving our vision.The 3-5 year strategic plan sets…
  4. Developing the annual objectives is typically
  5. Matrix may appear complicated at firstIt is a strategic planning documentThat articulates the intent of the companies actions through
  6. An action plan is developed for each improvement priority.Here we will define the process owner, the improvement team, the background and the relationship to the annual objective. All the steps necessary to deliver on the annual objective are listed.
  7. Catchballing is a unique element of hoshin planning and is at its heartStakeholders “catch” the improvement initiative through kaizen and value stream mapping and through their involvement they identify other improvement ideas and develop their plans of actions and then plans for improvement are thrown back to management
  8. The concept of catchballing can be represented in this way whereby the strategy of the leadership become the objective for middle management who develops strategy and actions plans, their strategy becomes the objective of line management who develop strategy and actions plans for which they become accountable. As we can see this ensures that the objectives and strategy are linked up and down the organization
  9. What at the benefits of Hoshin planning to the organization?