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You are here: Home / Continuous Improvement / Hoshin Kanri And Business Process Management (BPM)

Hoshin Kanri And Business Process Management (BPM)

February 1, 2012 By HRB Family Business Consulting Leave a Comment

Business Process Management is a Team Sport! It requires everyone to know the process. It requires that we follow the process, all the time.


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Hoshin Kanri is an Eastern phrase. Toyota uses it and translates it as the “point of a compass, the shiny needle that points true North or The Direction.” Key Operating Indicators that are linked and shared are past of a Hoshin System. Everyone in an organization understands that these metrics point the direction we need to travel.
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Hoshin is part of a process and Business Process Management (BPM)
is a TEAM SPORT!

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The Plan, DO, Check, Action cycle is part of BPM. Some of the tools we have begun to use are all part of BPM. Feasibility, Launch Management, meetings are part of a process to insure success. We need to include “run at rate” events; to insure we launch at or better than standard.

Communications are part of a BPM system. A sales strategy, qualifying leads, having a common elevator speech are part of BPM.

Hoshin Planning is more than a compass for steering the direction of your business processes. It is the strategic means of control that allows your organization to make quick turns, changes, and adjustments before you become trapped in a crisis. (click to enlarge)

Having team members from different generations, baby boomers, “X” and “Y”, is always a challenge. In addition our Willie Wonka, “I want it now” society, at times pushes us to skip, forget, blow-off or not give the process its due. Practice, exercise, preparation and doing it again and again make us as an Organization stronger. Dancers, athletes, actors and successful companies train, rehearse and repeat the process everyday.
 
In the book, The Guns of August, the author points outs a number of events that led to World War One. These unrelated and in some cases minor events when linked let the dominoes fall and bang, the entire world is at War. Despite the two paragraphs is some history text, there was a serious of events or process failures. These included:

• Economic miscalculation — some on both sides thought trade was too important and that trade alone would stop a war. We need to be cautious in our Economic calculations that we include the start-up curve and  insure that we plan, train and execute properly, to minimize risks in these periods and costs.

• Unfounded belief in quick warfare — Leaders on all sides thought  there was no way it would  last a more than few weeks. We cannot have unfounded beliefs. We must know that shrink and grow, win and lose; plan and change are the world we live in.

• Over-reliance on morale and the offensive-both sides only planned an offensive struggle, Always having the upper hand and high morale. We cannot rely solely on old relationships. As NAO becomes more involved in SPO, ringing costs and profits out; NAO strategies will also become SPO strategies. People, will be moved around and you will not have any long term relationships with your buyer. We cannot and should not expect anything from the customer in terms of quid pro quo, good deed retention or efforts to help. They are and will be under incredible strain. We cannot rely on one customer, one space or one opportunity.

• Failure to consider treaties and political back lash. We must remember why we are here, OEMs moved work to Independent Box plants and packagers because they were fast, flexible, less expensive. And experts at these services. In today’s world need to understand  our contracts better than ever, We need to be experts. We need to document and consider  actions carefully, to avoid backlash.; but we at times must take action!!

• Out dated forms of wartime etiquette. The generals on both sides did not consider trench warfare, Mustard Gas, and an unfriendly civilian population. As our business changes we cannot be entrenched in out dated methods or stuck with that’s the way we always did it. We must use all the tools in our arsenal, NCRs, the corrective action section of our KOIs and a relentless passion to improve.

 
Business Process Management is a Team Sport! It requires everyone to know the process. It requires that we follow the process, all the time. One exception, means you have violated the process.

Team Sports are were the Talents, gifts of individuals are folded, aligned and sometimes sacrificed, to make the Team better, to get the Organization to follow its Hoshin Kanri.

Filed Under: Continuous Improvement, Process Management Tagged With: anticipatory thinking, bpm, Business process, business process management, business process management bpm, family business consulting, hoshin, hoshin kanri, hoshin planning, leadership, management, process management, processes, strategic management, team sport

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