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KAIZEN
Small Steps, Big Impact
© Operational Excellence Consulting. All rights reserved.
© Operational Excellence Consulting
LEARNING OBJECTIVES
2
Comprehend the
fundamental concepts of
Kaizen, including its
principles and
philosophy.
Develop proficiency in
implementing Kaizen
activities to
systematically eliminate
waste and drive
continuous improvement
within the organization.
Acquire knowledge of
Kaizen management
practices, focusing on
their application to
enhance organizational
performance.
Learn problem-solving
tools and techniques for
effective Kaizen
implementation,
emphasizing the crucial
role of management.
NOTE: This is a PARTIAL PREVIEW.
To download the complete presentation, please
visit: https://www.oeconsulting.com.sg
© Operational Excellence Consulting
CONTENTS
3
1 Introduction to Kaizen
2 Kaizen Concepts
3 Kaizen Practices
4 Kaizen Management
5
Kaizen Approach to
Problem Solving
6
Key Kaizen Problem
Solving Tools
7 Kaizen Implementation
8
Key Factors for Kaizen
Success
© Operational Excellence Consulting
“
Kaizen is a culture of daily,
incremental improvement.
PASCAL DENNIS
4
Author of “Lean Production Simplified”
© Operational Excellence Consulting
Definition:
● Kaizen, derived from the Japanese
words “Kai” (change) and “Zen” (to
become good), translates to
continuous improvement.
Explanation:
● The essence of Kaizen lies in the
constant pursuit of positive change,
fostering a culture of improvement.
WHAT IS KAIZEN?
5
改 善
Change Good
Kai Zen
© Operational Excellence Consulting
WHAT IS KAIZEN?
6
Continuous
Improvement
A philosophy centered
around perpetual
enhancement in processes,
products, and workplace
practices.
Total
Involvement
Involving everyone, from
managers to employees, in
fostering a culture of
innovation and improvement.
Common-Sense
Approach
Emphasizing practical, cost-
effective solutions over
radical changes, promoting
a sustainable and evolving
improvement process.
© Operational Excellence Consulting
WHAT KAIZEN IS NOT
7
Is only for
manufacturing
Requires massive
overhaul
Just about cutting
costs
Limited to
automation or
implementing IT
systems
Merely a
housekeeping
exercise (e.g., 5S)
It’s only about
employee
suggestions
Just a one-time
event
Fixing people’s
jobs without their
involvement
© Operational Excellence Consulting
IMPORTANCE OF KAIZEN IN MODERN ORGANIZATIONS
8
Relevance
In the fast-paced business
environment, Kaizen is
crucial for organizations
seeking adaptability and
sustainable growth.
Competitive Edge
Kaizen fosters a culture of
innovation and efficiency,
providing a competitive edge
in the market.
Organizational Health
It contributes to the overall
health of an organization by
promoting a proactive and
dynamic approach.
© Operational Excellence Consulting
KAIZEN IN DIFFERENT INDUSTRIES
9
Manufacturing
Improved production
efficiency through line
balancing and waste
reduction, leading to
increased output.
Healthcare
Enhanced patient care
by optimizing
processes, reducing
wait times, and
minimizing errors
through Kaizen
methodologies.
Education
Kaizen applied to
curriculum development
and teaching
methodologies,
fostering continuous
improvement in learning
outcomes.
Finance
Process optimization in
financial institutions,
reducing transaction
times, minimizing
errors, and enhancing
overall efficiency.
Source: Operational Excellence Consulting Research
© Operational Excellence Consulting
BENEFITS OF KAIZEN
10
Empowerment and
Enrichment
Unleashes individual
potential and enhances
the work experience.
Fostering Personal
and Organizational
Growth
Drives development for
both employees and the
company.
Enhanced
Performance Across
All Fronts
Elevates quality, safety,
cost structures,
delivery, environments,
throughput, and
customer service.
Guidance and
Leadership Barometer
Offers insights from
employees and serves
as a leadership
compass.
© Operational Excellence Consulting
INNOVATION PLUS KAIZEN
11
While innovation sets new performance standards, Kaizen ensures their
continuous refinement, safeguarding sustained excellence over time.
KAIZEN
New standard
KAIZEN
New standard
Innovation
Innovation
Source: Adapted from Imai
© Operational Excellence Consulting
MODERN PERCEPTION OF KAIZEN & JOB FUNCTIONS
12
Top Management
Middle Management
Supervisors
Workers
Innovation
Maintenance
Kaizen
Source: Adapted from Imai
© Operational Excellence Consulting
KAIZEN ESSENCE: THE FIVE PILLARS OF CONTINUOUS IMPROVEMENT
13
Quality Focus
A dedicated
emphasis on
improving and
maintaining high
standards of quality.
Human Effort
Harnessing the
collective energy
and commitment of
individuals towards
improvement.
Total Involvement
Encompassing the
entire organization’s
active participation in
the continuous
improvement process.
Communication
Facilitating transparent
and effective exchange
of ideas and
information throughout
the organization.
Willingness to
Change
Cultivating an open
and adaptable
mindset to embrace
positive
transformations.
© Operational Excellence Consulting
ELEVATING EXCELLENCE:
KAIZEN’S JOURNEY
THROUGH CONTINUOUS
IMPROVEMENT AND
STANDARDIZATION
14
Consolidation
through
Standardization
Performance
Enhancement
P
D
C
A
P
D
C
A
Current
Standard
New
Standard
Time
Continuous
Improvement
© Operational Excellence Consulting
© Operational Excellence Consulting
Harness Collective Knowledge:
● Leverage the diverse expertise of all
employees.
● Encourage varied perspectives for
holistic problem-solving.
Diverse Problem-Solving:
● Tap into different viewpoints for
comprehensive solutions.
● Enhance problem-solving by involving
individuals with various skills.
ELEVATING KAIZEN THROUGH
EMPLOYEE INVOLVEMENT
15
© Operational Excellence Consulting
METHODS TO INCREASE PRODUCTIVITY
16
Source: Adapted from Kato & Smalley
How to Increase
Productivity?
Quantitative
Approach
More Staff
More Machines
Work Longer
Qualitative
Approach
Work Harder
Eliminate Waste
& Simplify
Let’s work smarter!
Current
1 Man
1 Machine
1 Hour
100 Units
Future
1 Man
1 Machine
1 Hour
120 Units
TPS Goal
© Operational Excellence Consulting
WASTES (MUDA) IN MANUFACTURING
17
OVERPRODUCTION
Producing sooner, faster or in
greater quantities than customer
demand
INVENTORY
Building or storing extra products
that the customer has not
ordered
TRANSPORTATION
Unnecessary movement of
people or parts between
processes
DEFECTS
Work not done right the first
time such as scrap and rework
OVERPROCESSING
Processing beyond the standard
required by the customer
MOTION
Unnecessary movement of people,
parts or machines within a process
INTELLECT
Not using employees’ full
intellectual contribution
WAITING
People or parts that wait for a
work cycle to be completed
Wastes
The 8 Types of Waste
© Operational Excellence Consulting
“
Good workplaces develop
beginning with the 5S’s.
Bad workplaces fall apart
beginning with the 5S’s.
HIROYUKI HIRANO
18
© Operational Excellence Consulting
● Focuses on effective workplace
organization and standardization
● It allows us to easily spot variation
from standard operating conditions
● Cleaner, safer work environment
● Organized workstations
● Open up space and reduce clutter
5S
19
Sort
Set In Order
Shine
Standardize
Sustain
Source: Adapted from Hirano
© Operational Excellence Consulting
5S EXAMPLE: OFFICE DESK
20
Before After
An office desk before and after conducting 5S Sort and Set In Order. Clutter
and unused items have been removed leaving only what is needed.
© Operational Excellence Consulting
5S EXAMPLE: TOOLING MANAGEMENT
21
Organized tools and materials for better shopfloor efficiency and safety.
© Operational Excellence Consulting 22
KAIZEN EVENT PROCESS
1. Orientation
2. Understand
Current Process
3. Develop Future
State Design
4. Implement
Solutions
5. Report & Celebrate
© Operational Excellence Consulting
© Operational Excellence Consulting. All rights reserved.
● Standard work is an agreed-upon set
of work procedures that establish the
best and most reliable methods and
sequences for each process and each
worker.
● Standard work aims to maximize
performance while minimizing waste in
each person’s operation and workload.
STANDARD WORK
23
23
© Operational Excellence Consulting
© Operational Excellence Consulting. All rights reserved.
● Definition: Daily Huddles are brief,
focused meetings held regularly to
align teams, share updates, and
discuss priorities.
● Purpose: Facilitate quick
communication, address
challenges, and keep everyone
informed on critical matters.
● Format: Typically short, standing
meetings lasting 10-15 minutes.
DAILY HUDDLES
24
© Operational Excellence Consulting
© Operational Excellence Consulting. All rights reserved.
● Leadership plays a crucial role in
driving and sustaining Kaizen
initiatives.
● Leaders must actively support and
participate in Kaizen activities to
inspire the team.
● Leading by example, setting
expectations, and providing
resources are essential for success.
LEADERSHIP IN KAIZEN
25
25
© Operational Excellence Consulting
● Cultivating a Kaizen culture involves
fostering a mindset of continuous
improvement.
● Encourage open communication,
idea-sharing, and a proactive
approach to problem-solving.
● Leadership should emphasize the
value of learning from mistakes and
embracing change.
BUILDING A KAIZEN CULTURE
© Operational Excellence Consulting. All rights reserved. 26
26
© Operational Excellence Consulting
EXAMPLE 1: KAIZEN PROJECT IMPROVEMENT
27
BEFORE AFTER
Reasons project chosen:
§ Difficult to move around a cluttered office.
§ Difficult to find information and supplies.
Tools used on project:
§ Cleaning equipment and tools.
§ 5S principles.
Results:
§ Unwanted materials were discarded.
§ Less waste – e.g. transportation, motion, waiting, etc.
§ Improved staff morale.
Next steps:
§ Conduct monthly 5S audits.
§ 5S for other common areas.
Project type: 5S Area: Sales & Marketing Office Team Leader: John Smith
© Operational Excellence Consulting
KAIZEN EVENT AGENDA: 5-DAY IMPLEMENTATION
28
Day 1 –
Orientation
§ Welcome & Introductions
§ Set expectations
§ Provide focused training
§ Identify the Customer
§ Define Kaizen Charter
Day 2 –
Understand
current situation
Day 3 –
Develop future
state design
Day 4 –
Make the
improvements
Day 5 –
Report &
celebrate
Morning
Afternoon
Lunch
§ Document current state –
process map or value
stream map, identify
waste (opportunities),
data collection, etc.
§ Establish current state
§ Day 1 summary
§ Set objective(s) for Day 2
§ Analyze current state
§ Brainstorm ideas
§ Root cause analysis
§ Prioritize solutions
§ Future state design
§ Analyze current state
§ Brainstorm ideas
§ Root cause analysis
§ Prioritize solutions
§ Future state design
§ Day 2 summary
§ Set objective(s) for Day 3
§ Future state design
§ Mid-week review
§ Implement improvements
§ Implement improvements
§ Try out or simulate new
process
§ Train participants
§ Tweak design as needed
§ Day 3 summary
§ Set objective(s) for Day 4
§ Implement improvements
§ Try out or simulate new
process
§ Train participants
§ Tweak design as needed
§ Create and implement
standard work
§ Measure future state
§ Calculate actual benefits
§ Day 4 summary
§ Set objective(s) for Day 5
§ Finalize future state
§ Complete training on
standard work
§ Final presentation
Lunch & celebration
© Operational Excellence Consulting
OVERCOMING CHALLENGES IN IMPLEMENTATION
29
Identify Common
Challenges
Acknowledge potential
challenges faced during
Kaizen implementation, such
as resistance to change or
resource constraints.
Develop Problem-
solving Strategies
Discuss effective strategies
for overcoming challenges,
emphasizing a proactive
problem-solving mindset
within the team.
Continuous
Improvement Culture
Promote a culture of
continuous improvement,
encouraging team members
to view challenges as
opportunities for growth and
enhancement.
© Operational Excellence Consulting
Operational Excellence Consulting is a management
training and consulting firm that assists organizations
in improving business performance and effectiveness.
Based in Singapore, the firm’s mission is to create
business value for organizations through innovative
design and operational excellence management
training and consulting solutions. For more
information, please visit www.oeconsulting.com.sg
ABOUT OPERATIONAL EXCELLENCE CONSULTING

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Kaizen: Elevating Continuous Improvement for Success

  • 1. KAIZEN Small Steps, Big Impact © Operational Excellence Consulting. All rights reserved.
  • 2. © Operational Excellence Consulting LEARNING OBJECTIVES 2 Comprehend the fundamental concepts of Kaizen, including its principles and philosophy. Develop proficiency in implementing Kaizen activities to systematically eliminate waste and drive continuous improvement within the organization. Acquire knowledge of Kaizen management practices, focusing on their application to enhance organizational performance. Learn problem-solving tools and techniques for effective Kaizen implementation, emphasizing the crucial role of management. NOTE: This is a PARTIAL PREVIEW. To download the complete presentation, please visit: https://www.oeconsulting.com.sg
  • 3. © Operational Excellence Consulting CONTENTS 3 1 Introduction to Kaizen 2 Kaizen Concepts 3 Kaizen Practices 4 Kaizen Management 5 Kaizen Approach to Problem Solving 6 Key Kaizen Problem Solving Tools 7 Kaizen Implementation 8 Key Factors for Kaizen Success
  • 4. © Operational Excellence Consulting “ Kaizen is a culture of daily, incremental improvement. PASCAL DENNIS 4 Author of “Lean Production Simplified”
  • 5. © Operational Excellence Consulting Definition: ● Kaizen, derived from the Japanese words “Kai” (change) and “Zen” (to become good), translates to continuous improvement. Explanation: ● The essence of Kaizen lies in the constant pursuit of positive change, fostering a culture of improvement. WHAT IS KAIZEN? 5 改 善 Change Good Kai Zen
  • 6. © Operational Excellence Consulting WHAT IS KAIZEN? 6 Continuous Improvement A philosophy centered around perpetual enhancement in processes, products, and workplace practices. Total Involvement Involving everyone, from managers to employees, in fostering a culture of innovation and improvement. Common-Sense Approach Emphasizing practical, cost- effective solutions over radical changes, promoting a sustainable and evolving improvement process.
  • 7. © Operational Excellence Consulting WHAT KAIZEN IS NOT 7 Is only for manufacturing Requires massive overhaul Just about cutting costs Limited to automation or implementing IT systems Merely a housekeeping exercise (e.g., 5S) It’s only about employee suggestions Just a one-time event Fixing people’s jobs without their involvement
  • 8. © Operational Excellence Consulting IMPORTANCE OF KAIZEN IN MODERN ORGANIZATIONS 8 Relevance In the fast-paced business environment, Kaizen is crucial for organizations seeking adaptability and sustainable growth. Competitive Edge Kaizen fosters a culture of innovation and efficiency, providing a competitive edge in the market. Organizational Health It contributes to the overall health of an organization by promoting a proactive and dynamic approach.
  • 9. © Operational Excellence Consulting KAIZEN IN DIFFERENT INDUSTRIES 9 Manufacturing Improved production efficiency through line balancing and waste reduction, leading to increased output. Healthcare Enhanced patient care by optimizing processes, reducing wait times, and minimizing errors through Kaizen methodologies. Education Kaizen applied to curriculum development and teaching methodologies, fostering continuous improvement in learning outcomes. Finance Process optimization in financial institutions, reducing transaction times, minimizing errors, and enhancing overall efficiency. Source: Operational Excellence Consulting Research
  • 10. © Operational Excellence Consulting BENEFITS OF KAIZEN 10 Empowerment and Enrichment Unleashes individual potential and enhances the work experience. Fostering Personal and Organizational Growth Drives development for both employees and the company. Enhanced Performance Across All Fronts Elevates quality, safety, cost structures, delivery, environments, throughput, and customer service. Guidance and Leadership Barometer Offers insights from employees and serves as a leadership compass.
  • 11. © Operational Excellence Consulting INNOVATION PLUS KAIZEN 11 While innovation sets new performance standards, Kaizen ensures their continuous refinement, safeguarding sustained excellence over time. KAIZEN New standard KAIZEN New standard Innovation Innovation Source: Adapted from Imai
  • 12. © Operational Excellence Consulting MODERN PERCEPTION OF KAIZEN & JOB FUNCTIONS 12 Top Management Middle Management Supervisors Workers Innovation Maintenance Kaizen Source: Adapted from Imai
  • 13. © Operational Excellence Consulting KAIZEN ESSENCE: THE FIVE PILLARS OF CONTINUOUS IMPROVEMENT 13 Quality Focus A dedicated emphasis on improving and maintaining high standards of quality. Human Effort Harnessing the collective energy and commitment of individuals towards improvement. Total Involvement Encompassing the entire organization’s active participation in the continuous improvement process. Communication Facilitating transparent and effective exchange of ideas and information throughout the organization. Willingness to Change Cultivating an open and adaptable mindset to embrace positive transformations.
  • 14. © Operational Excellence Consulting ELEVATING EXCELLENCE: KAIZEN’S JOURNEY THROUGH CONTINUOUS IMPROVEMENT AND STANDARDIZATION 14 Consolidation through Standardization Performance Enhancement P D C A P D C A Current Standard New Standard Time Continuous Improvement
  • 15. © Operational Excellence Consulting © Operational Excellence Consulting Harness Collective Knowledge: ● Leverage the diverse expertise of all employees. ● Encourage varied perspectives for holistic problem-solving. Diverse Problem-Solving: ● Tap into different viewpoints for comprehensive solutions. ● Enhance problem-solving by involving individuals with various skills. ELEVATING KAIZEN THROUGH EMPLOYEE INVOLVEMENT 15
  • 16. © Operational Excellence Consulting METHODS TO INCREASE PRODUCTIVITY 16 Source: Adapted from Kato & Smalley How to Increase Productivity? Quantitative Approach More Staff More Machines Work Longer Qualitative Approach Work Harder Eliminate Waste & Simplify Let’s work smarter! Current 1 Man 1 Machine 1 Hour 100 Units Future 1 Man 1 Machine 1 Hour 120 Units TPS Goal
  • 17. © Operational Excellence Consulting WASTES (MUDA) IN MANUFACTURING 17 OVERPRODUCTION Producing sooner, faster or in greater quantities than customer demand INVENTORY Building or storing extra products that the customer has not ordered TRANSPORTATION Unnecessary movement of people or parts between processes DEFECTS Work not done right the first time such as scrap and rework OVERPROCESSING Processing beyond the standard required by the customer MOTION Unnecessary movement of people, parts or machines within a process INTELLECT Not using employees’ full intellectual contribution WAITING People or parts that wait for a work cycle to be completed Wastes The 8 Types of Waste
  • 18. © Operational Excellence Consulting “ Good workplaces develop beginning with the 5S’s. Bad workplaces fall apart beginning with the 5S’s. HIROYUKI HIRANO 18
  • 19. © Operational Excellence Consulting ● Focuses on effective workplace organization and standardization ● It allows us to easily spot variation from standard operating conditions ● Cleaner, safer work environment ● Organized workstations ● Open up space and reduce clutter 5S 19 Sort Set In Order Shine Standardize Sustain Source: Adapted from Hirano
  • 20. © Operational Excellence Consulting 5S EXAMPLE: OFFICE DESK 20 Before After An office desk before and after conducting 5S Sort and Set In Order. Clutter and unused items have been removed leaving only what is needed.
  • 21. © Operational Excellence Consulting 5S EXAMPLE: TOOLING MANAGEMENT 21 Organized tools and materials for better shopfloor efficiency and safety.
  • 22. © Operational Excellence Consulting 22 KAIZEN EVENT PROCESS 1. Orientation 2. Understand Current Process 3. Develop Future State Design 4. Implement Solutions 5. Report & Celebrate
  • 23. © Operational Excellence Consulting © Operational Excellence Consulting. All rights reserved. ● Standard work is an agreed-upon set of work procedures that establish the best and most reliable methods and sequences for each process and each worker. ● Standard work aims to maximize performance while minimizing waste in each person’s operation and workload. STANDARD WORK 23 23
  • 24. © Operational Excellence Consulting © Operational Excellence Consulting. All rights reserved. ● Definition: Daily Huddles are brief, focused meetings held regularly to align teams, share updates, and discuss priorities. ● Purpose: Facilitate quick communication, address challenges, and keep everyone informed on critical matters. ● Format: Typically short, standing meetings lasting 10-15 minutes. DAILY HUDDLES 24
  • 25. © Operational Excellence Consulting © Operational Excellence Consulting. All rights reserved. ● Leadership plays a crucial role in driving and sustaining Kaizen initiatives. ● Leaders must actively support and participate in Kaizen activities to inspire the team. ● Leading by example, setting expectations, and providing resources are essential for success. LEADERSHIP IN KAIZEN 25 25
  • 26. © Operational Excellence Consulting ● Cultivating a Kaizen culture involves fostering a mindset of continuous improvement. ● Encourage open communication, idea-sharing, and a proactive approach to problem-solving. ● Leadership should emphasize the value of learning from mistakes and embracing change. BUILDING A KAIZEN CULTURE © Operational Excellence Consulting. All rights reserved. 26 26
  • 27. © Operational Excellence Consulting EXAMPLE 1: KAIZEN PROJECT IMPROVEMENT 27 BEFORE AFTER Reasons project chosen: § Difficult to move around a cluttered office. § Difficult to find information and supplies. Tools used on project: § Cleaning equipment and tools. § 5S principles. Results: § Unwanted materials were discarded. § Less waste – e.g. transportation, motion, waiting, etc. § Improved staff morale. Next steps: § Conduct monthly 5S audits. § 5S for other common areas. Project type: 5S Area: Sales & Marketing Office Team Leader: John Smith
  • 28. © Operational Excellence Consulting KAIZEN EVENT AGENDA: 5-DAY IMPLEMENTATION 28 Day 1 – Orientation § Welcome & Introductions § Set expectations § Provide focused training § Identify the Customer § Define Kaizen Charter Day 2 – Understand current situation Day 3 – Develop future state design Day 4 – Make the improvements Day 5 – Report & celebrate Morning Afternoon Lunch § Document current state – process map or value stream map, identify waste (opportunities), data collection, etc. § Establish current state § Day 1 summary § Set objective(s) for Day 2 § Analyze current state § Brainstorm ideas § Root cause analysis § Prioritize solutions § Future state design § Analyze current state § Brainstorm ideas § Root cause analysis § Prioritize solutions § Future state design § Day 2 summary § Set objective(s) for Day 3 § Future state design § Mid-week review § Implement improvements § Implement improvements § Try out or simulate new process § Train participants § Tweak design as needed § Day 3 summary § Set objective(s) for Day 4 § Implement improvements § Try out or simulate new process § Train participants § Tweak design as needed § Create and implement standard work § Measure future state § Calculate actual benefits § Day 4 summary § Set objective(s) for Day 5 § Finalize future state § Complete training on standard work § Final presentation Lunch & celebration
  • 29. © Operational Excellence Consulting OVERCOMING CHALLENGES IN IMPLEMENTATION 29 Identify Common Challenges Acknowledge potential challenges faced during Kaizen implementation, such as resistance to change or resource constraints. Develop Problem- solving Strategies Discuss effective strategies for overcoming challenges, emphasizing a proactive problem-solving mindset within the team. Continuous Improvement Culture Promote a culture of continuous improvement, encouraging team members to view challenges as opportunities for growth and enhancement.
  • 30. © Operational Excellence Consulting Operational Excellence Consulting is a management training and consulting firm that assists organizations in improving business performance and effectiveness. Based in Singapore, the firm’s mission is to create business value for organizations through innovative design and operational excellence management training and consulting solutions. For more information, please visit www.oeconsulting.com.sg ABOUT OPERATIONAL EXCELLENCE CONSULTING