ABSTRACT

Introduction ......................................................................................................... 162 Two Levels of Policy Deployment .................................................................... 165

Planning for Policy Deployment .................................................................. 165 Daily Management of Policy Deployment ................................................. 165

Develop a Hoshin Strategic Plan Summary .................................................... 169 Hoshin Methods ............................................................................................. 169

How to Create a Hoshin Strategic Plan Summary for Your Organization ............................................................................................... 169

Drive Your Strategy Down to the Department Level: Develop a Hoshin Plan Summary ....................................................................................... 172

Develop Implementation Strategies for Your Hoshin Plan Summary ... 173 Decide Where You Want to Focus Your Improvement Efforts ................ 174

Develop Your Hoshin Action Plan .................................................................... 174 Develop Your Hoshin Implementation Plan ................................................... 176 Conduct a Hoshin Implementation Review .................................................... 177

Step 1: Measure Your Organization’s System Performance ..................... 178 Step 2: Set Your Core Business Objectives .................................................. 178 Step 3: Evaluate Your Business Environment ............................................ 178 Step 4: Provide the Necessary Resources .................................................... 178 Step 5: Define Your System Processes ......................................................... 179

Three Main Tools of Policy Deployment ......................................................... 179 Deming’s Plan-Do-Check-Act Cycle ......................................................... 180 Cross-Functional Management .................................................................... 180 Catchball .......................................................................................................... 181

Conclusion ........................................................................................................... 181 Homework Problems .......................................................................................... 181 Reference .............................................................................................................. 182

This chapter provides a detailed description of Hoshin Kanri, also known as policy deployment. Hoshin Kanri is a strategic decision-making tool that focuses resources on critical initiatives to accomplish organizational objectives. This process tool links major objectives with specific support plans throughout an organization. This chapter also presents an integrated approach to using Hoshin Kanri and value stream mapping to strategically select Lean initiatives.