Hoshin Kanri is a great starting point for Lean implementation. Based on my experience, I’d suggest you use this tool after you map a comprehensive current state value stream map and identify the improvement opportunities. Make sure you use the Hoshin Kanri approach to define organizational goals and objectives. You can capture current year goals and translate them into objectives, projects, and finally assign improvement teams to those projects. Check this out in the ‘X’ matrix below:
Figure 1: An example of a Hoshin matrix
Another perspective is that the Hoshin Kanri tool helps translate missions into strategies, strategies into objectives, objectives into goals, and goals into actions for everyone in the organization. Here’s a flowchart explaining this process:
Figure 2: Hoshin translates missions into measurable goals and objectives
You can also use Hoshin to cascade a 5-year goal down to 3 years, and then finally to current year goals and objectives.
Steps in Hoshin Kanri
- Firstly, define the current year goals.
- Secondly, define the objectives and align them to the goals.
- Thirdly, identify projects and use a current state map if need be.
- Fourthly, define the targets for these projects.
- Lastly, assign responsibilities.