KAIZEN

The continuous Improvement

process program
 What is Kaizen ?
A kanji word - made up of KAI & ZEN. KAI
means „change‟ and ZEN means for the
„better‟.
Thus KAIZEN means „Change for the Better‟
and implies Continuous Improvements in all
areas & at all levels.
It implies a continuous improvement in all
company functions, and at all levels.
 What is Kaizen ? Cont…
The wider meaning is continuous
improvements, done consistently, at every
time, every step, every place, leading to self
development.
This in turn influences the neighborhood
development , not only at the company level,
but also the society at all the three levels that
one plays – such as producer, consumer and
a good social being…….
 Kaizen model
KAI = Change
ZEN = Good (For the better)
KAIZEN = Continuous Improvement
THE KAIZEN ORGANIZATION

EFFORTS WITHIN
CUSTOMER ORGANIZATION CUSTOMER
EXPECTATIONS SATISFACTION
 Why Kaizen ?
 Change is the only permanent solution.
 Change is required to meet the challenges of
changing needs of customers
 Person close to the job knows best about
the job
 Enhances the pride of people
(By contributing their share)
 Kaizen Flow
Performance
Bonus Plan

COMMITTEE
KAIZEN

Plan Best Team Kaizen

Do Award rewards
Check
Team Act
members Cycle
 Kaizen

GRADUAL, CONTINUOUS, NEVER-

ENDING, IMPROVEMENTS WITH
“LITTLE THINGS” DONE BETTER.

SETTING AND ACHIEVING

EVER HIGHER STANDARDS
INVOLVING EVERYONE
 Kaizen and Innovation

Kaizen believes on continuous

incremental improvements.

Innovation is based on “ sudden

and drastic improvement ”
 How is Kaizen is different from
Innovation ?

Effect – Long Term and long lasting but

undramatic v/s the Short Term
Change – gradual and constant v/s abrupt and
volatile
Involvement – everybody v/s few champions
Req – little invst. reqd, but great efforts to
maintain it.
Efforts of orientation – People v/s Technology
 How is Kaizen different from
Innovation ? Cont…
Approach – Collective, system-oriented
v/s individualistic
Feedback – limited v/s comprehensive
Time frame – continuous and incremental
v/s intermittent

Science Technology Design Prodn. Mkt.

Innovation Kaizen
 Kaizen System concept
Starting from top management to total
employee involvement by supporting and
encouraging self-directed KAIZEN teams.

The system necessarily starts with faith,

conviction, complete commitment, and the
impassioned involvement by the top
management team in the KAIZEN system.

Thereafter it should percolate to middle

management, and with successful
implementation at both these levels, it
should go down to all lower levels.
 Kaizen System concept.
Cont…
Empowering people and giving them
protected freedom. Empowerment
means effective delegation of authority
to the lower level to take decisions in
their work area, but keeping the
responsibility with the self. This shall
create an environment of protected
freedom at the work place.
Organizational Structure of KAIZEN

CEO

Advisor

KAIZEN COMMITTEE

Facilitators

Team Coordinators

Member Member Member Member

Kaizen or Continuous Process
Improvement, implementation
Goal:
To achieve perfection by
continuously improving the
business & production process.
Perfection is an Elusive goal,
however one must continuously
strive for attaining it.
 Aim
 To make the process
1. Efficient
2. Effective
3. Under control
4. Simplify and
5. Adaptable
To Achieve this GOAL…..
 Requirements
 View all work as a process.
(whether production or business)
 Make all processes
1. Effective
2. Efficient
3. Adaptable
 Anticipate the change in
customer needs.
 Requirements. Cont…

 Control in process performance

using measurements such as
1. Scrap reduction
2. Cycle time
3. Control charts
 Maintaining constructive
dissatisfaction with present
levels of performance.
 Requirements. Cont…
 Eliminate waste and rework

 Find activities that do not add value to

the product or service

 Eliminate non conformities at all

phases of every ones work; even if the
increment of improvement is very small

 Use bench marking to improve

competitive advantage
 Requirements. Cont…
 Innovate to achieve Break
through
 Incorporate the lessons learnt
into future activities
 Use technical tools such as
1. SPC
2. Experimental Design
3. Bench Marking
4. QFD, and so on….
 Process
 Process refers to business and
production activities. It has Input,
Process, and Out Put activities.
Process
Process

Input Out Put

People
Material Information
Equipment
Money Data
Method
Information Product
Procedures
Data Service
Environment
Material
 Process. cont…
 The process definition should begin
with Internal/External Customers.
 Customer defines the purpose of
organisation and every process
within it.
 The process improvements must be
defined in terms of
1. Customer satisfaction
2. Quality of products
3. Good service
 Process. cont…

 The process must have value

added activities and repeatability.

 It must be a part of process

improvement.
 Improvement
 The five basic points

1. Reduce resources More resource

Waste
2. Errors Reflects Poor Workmanship.
3. Meet or Exceed Customer Satisfaction
Improved Process.
4. Make the process safer More Productive.
5. Make the process more satisfying to the
person doing it.
 Juran’s Trilogy

 The process improvement involves

three important components.
1. Planning (5stages)
2. Control
3. Improvement
 1. Planning Stage
I Marketing External customer

Stated Automobile
Needs
Real Transportation

These Needs must be translated to requirements

II Internal customer

III Develop product or Service Features.

1) customer needs
2) needs of the organisation
3) compititive
4) optimise the cost of all stake holders
 Planning Stage. Cont…
 These needs are to be
analyzed by Multifunctional
Team using the tools such as,
1. QFD
2. CE
3. Taguchi‟s Quality Engineering
4. FMEA and so on…
 Stage IV
 Develop the process to produce
product and service features.
This task is carried by design team, for
which the facilities required are

1. Training 4. Operation
2. Control 5. Maintenance
3. Scaling up 6. Process Capability
(prototype) Evaluation
 Stage V
 Operation:

1. Process planning
2. Production facilities
3. Men
4. Material
5. Positrol (positive control) i.e., the
important variables are to be kept
under control.
 2. Control stage
 This is being used by operating forces
to help the product, process, and
service requirements. They also get the
feed back. The steps involved are
1. Evaluating actual operating
performance
2. Comparing actual performance to
goals, and
3. Acting on the difference
 Tools used in this stage
 SPC
 Pareto Diagram
 Flow Charts
 Cause and Effect Diagram
 Check Sheets
 Histogram
 Control Charts
 Scatter Diagram
Find whether the process is centered or not.
 3. Improvement stage
 This stage involves developing an
effective Infrastructure through
Quality Council.

The Duties of Quality council are

1. To identify improvement projects and
establishing the team
2. Providing the resources to determine the
causes
3. Developing solutions
4. Establishing control to hold the gains.
Phases of Kaizen
Process
 Problem solving method

Phase-VII Phase-I
Continuously improve Identify the oppertunities

Phase-VI Phase- II
Pilot or Varify changes Define the Scope

Phase-IV Phase-III
Phase-V
Envision the future Analyse the current
Implement changes
process process
 Phase I
Identify and prioritize opportunities
for improvement, through the
following two steps

Identify the problem

Form the „TEAM‟
 Identification of Problem

Pareto analysis of Repetitive External

Alarm
Field failures
Complaints
Return
Other complaints
Pareto analysis of Repetitive
External Alarm

Provides Information on
1. Scrap
2. Rework
3. Sorting
 Feed back information
Proposals from suggestion schemes
Field survey of user needs
Data on performance of products v/s
competitors
Comments of key people (customers,
suppliers, critics, journalists)
Brain storm with working groups

These feed backs provides opportunities for

improvement
 Formation of Team
If the team is a natural work group it is
complete
If the problem is Multifunctional in
nature, then it must selected by
“Quality Council”
The team leader is the owner of the
process
Goals and dead lines are determined
Work is carried
 Phase II
Problem statement must be crystal clear
“ A Well Defined Problem is Half Solved”
The characters required are
1. Clear description & that must be
understood easily
2. What is wrong, when it happens and
where it is occurring. ( not why it is wrong
and who is responsible)
 Phase II. Cont…
It should focus on
1. What is known
2. What is un known
3. What needs to be done
It should be with the facts & free of
judgements
Should emphasize on the Impact on
customer
 Problem statement charter to the
team
Charter specifics
1. Authority who authorized the team
2. Objective and Scope specific areas to be
improved and the expected outputs
3. Composition who are the team members,
process and sub process owners
4. Direction and control guide lines for the
operation of the team
5. General methods to be used, resources
and specific mile stones.
 Phase III
Analyzing the current process
Key activities are to determine measurements
needed to analyse the process
1. Gather data
2. Define process boundaries
3. Out puts
4. Customer and supplier inputs
5. Process flow
6. Identification of root causes
7. The levels of customer satisfaction
 Process flow Diagram
Team must develop a process flow
diagram
Process flow diagram is an “Eye opener”
Target performance measures are
defined
“NO MEASUREMENT, NO IMPROVEMENT”
“WHAT GETS MEASURED, GETS DONE”
 New products
Establish performance measures W.R.T
customer requirements
Determine the data needed to manage
the process
Establish regular feed back with
customers and suppliers
Establish measures for Quality/cost and
inputs/out puts
 Required data

Design information data

Process information data
Statistical information data
Quality information data
 Phase IV
Envision the future process
Finding the solution using creativity
techniques such as
1. Brain storming
2. Check listing
3. Attribute listing
4. Synectic and so on….
 Phase V

Implement changes
Objectives are to provide
1. Implementation plan
2. Obtaining approval from the quality
council
3. Implementing the process
 Phase VI
Pilot or verifying the changes.
1. Monitoring
2. Evaluating
3. Finding the effectiveness of the process
4. Reviewing the process
5. Making pilot changes in small scales

To monitor measurements must be taken

 Phase VII
Continuous improvement
Continuously strive to improve
1. Quality
2. Delivery
3. Reduce cost
Continuously strive to reduce
1. Complexity
2. Variation
3. Out of control process
 Phase VII. cont…

Continuously review the progress made by

1. Quality council
2. Work group
Establish areas for future improvements
and track performance W.R.T. Internal and
External customers.
 KAIZEN Progress

Initial Period (2 to 3 months): Motivation

Phase

 Gain Familiarity with the system

 Identify Obvious / trivial Kaizens
 Obtain Mixed response including
enthusiasm, ridicules, cynicism etc
 Reasons for „Some drop in productivity‟
 KAIZEN Progress. Cont….
Medium Term (3 months onward) HRD
Phase

 Measure Significant improvements.

 Identify Some mistakes, errors that surfaces.
 Identify Shortage of Kaizens.
 Exploring applications elsewhere (at home)
 Middle management begins to take interest
 KAIZEN Progress. Cont…
Long Term (8 m to 1-2 yrs and further)
Improvement Phase
– Kaizens work in groups
– Complex problems are solved
– Postulate Need and awareness for training
– Exhibit High expectancy for rewards
– Evolving good organizational structure
– Major savings and increase in productivity
And further… Institutionalization Phase
So that KAIZEN becomes culture
 Aligning the continuous
improvements by HOSHIN KANRI

HOSHIN=Objectives
KANRI=Control or Management
To delight the customer through the
manufacturing and servicing
process by implementing the quality
goals of the organization.
Implementation of 5‟s techniques.
Aligning the continuous improvements
by HOSHIN KANRI. Cont…

Organizational goals which are framed at

different levels involving people at all levels
are to be used as measurable goals in order
to make the employees understand the
importance of quality improvement process

Performance development by focusing on

the efforts in kaizen evaluation and
conducting performance appraisal
 5S – The House Keeping Tool

SEIRI Sort of unnecessary items in the work-place

and discard them
Sorting out
SEITON Arrange necessary items in good order so that
Systematic they can be easily picked for use. A place for
everything & Everything in its place
Arrangement
SEISO Clean your work place completely so that there
is no dust on floor, machine and equipment.
Spic &Span

SEIKETSU Maintain high standard of housekeeping and

Standardising work place organisation at all times.

SHITSUKE Train people to follow good house keeping

Self Discipline disciplines autonomously
Why House keeping is Important…?

Workplaces become clean and better organised.

Results are visible to everyone – Insider and
outsider.
Visible results enhances generation of more and
new ideas.
People get automatically disciplined.
People become proud of clean and organised
workplace.
Resultant good company Image generates more
business.
Happier people involvement
Greater people involvement.
Why House keeping is Important…?
Low employee turnover.
Increased number of suggestions.
Better use of floor space.
Less inventories
Better flow of work
Low accident rates
High yield of materials
Stepping stone to TQM, ISO and
other QMS
Where can 5S be implemented ?
AT OFFICE AT HOME
Sorting Out: Sorting Out:
Used./broken pens Broken toys
Useless papers/files Old clothes
Old diaries Broken suitcases
Broken furniture Old packing cases
Systematic arrangement: Systematic arrangement:
File cabinets unlabeled Cluttered drawers, cupboards,
Cluttered drawers, shelves, book cases.
bookcases, tables Kitchen things in disarray
Records and documents not Clothes not kept well in
arranged well almirahs
File heaps and papers all over Newspapers left in a heap in
store rooms
Where can 5S be implemented ?
AT OFFICE AT HOME
Spic & Span: Spic & Span:
Dirty furniture Dirty furniture
Dust and grime in computer, Unclean floor
copiers, OHP’s etc Dusty windows, bookshelves,
Littered dirty floor walls, cupboards, etc
Cobwebs Cobwebs
Dirty windows Grime in kitchen,
Dust in hidden places and top Grime in fans, lamps, other
of shelves equipments
Standardizing: Standardizing:
Lack of pest control Lack of pest control
Toilets not disinfected Toilets not disinfected
Self Discipline: Self Discipline:
Continuous Training & Continuous Training &
education education
The end
Feed Back
 Course:
 Teachers Name:
 Method of Teaching: Like or Dislike
 Course coverage: Sufficient or Insufficient
 Knowledge of the teacher in the subject: good
fair bad
 Are you satisfied with his teaching methods:
satisfied not satisfied
 Give a rating for teachers performance in a
scale of 1-10
 What improvements you expect from the
teacher