What is Hoshin Kanri?

Integrated Management Systems:

ERP & Hoshin Kanri Simple Overview…

Many companies receiving either the Deming or Japan Quality Awards have implemented both ERP and Hoshin Kanri. ERP, Enterprise Resource Planning is the best strategy for integrating company-wide management processes. Hoshin Kanri—often called Policy Deployment and several other names—is a medium and long-range business implementation strategy that directly integrates with a company’s business philosophy and vision —one that includes, at minimum, the definition and implementation of annual targets and measures.

Hoshin Kanri - Initial Requirements For Changing To This Business System Are As Follows:

Measuring the business system as a whole

Setting core objectives of the business

Understanding the environmental situation in which the business operates

Defining processes that make up the system, and their activities, goals, & metrics

Providing resources to perform activities to achieve business objectives.

ERP - There are five major elements required for correctly defining a closed-loop planning & scheduling system:

1. An integrated business operating process that links strategic plans and business plans to sales plans and operations plans.

2. A people-driven process that is supported by a computer system.

3. A formal resource planning process that involves all functions within a company.

4. Defined responsibilities and performance measurements for all functions in a company.

5. Communications among all functions in a company as well as communications among all divisions and sister companies.

Hoshin is an integrated management philosophy and so is Enterprise Resource Planning. ERP is better known. Hoshin Kanri is the newest addition. It was developed in Japan but it is based on the US techniques of Management by Objectives and the classical Plan-Do-Check-Act improvement cycle. Hoshin Kanri is used to communicate company policy to everyone in the organization. Its primary benefit is to focus activity on the key things necessary for success. Japanese Deming Prize winners credit Hoshin as being a key contributor to their business success. Progressive US companies, like Hewlett-Packard and Xerox, have also adopted Hoshin as their strategic planning process. Almost all Malcolm Baldrige National Quality Award winners use some form of "Hoshin like" planning process.

In its simplest form, Hoshin Kanri is nothing more than a system of forms, targets and rules that encourage employees to analyze situations, create plans for improvement, conduct performance checks, and take appropriate action. In practical application, however, is much more.

HOSHIN PLANNING CLASSES:
Breakthrough Improvement From Vision-Driven Leadership

WHAT IS HOSHIN PLANNING?: An Overview of The Hoshin Planning System		2-DAYS
HOSHIN INVOLVEMENT, EMPOWERMENT, & IMPROVEMENT: Leveraging the Creative Talent of Your Workforce Thru Hoshin Planning		2-DAYS
IMPLEMENTATION: RESEARCHING YOUR BEST OPTIONS Developing Deployment Strategies For Training & System Development		3-DAYS

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