Lean Principle 5 – Policy Deployment (Hoshin)
Every employee aligned to the vision and implementing the plan to achieve it
Policy Deployment is a 7-step process that begins with high-level strategic objectives and ends with local level improvement targets. The process is facilitated by the use of the ‘X-Matrix’, providing a clear line of sight for both the individual and their team to the objectives flowing from the company strategy.
The purpose of Policy Deployment is to align the whole organisation to the achievement of its goal.
- Align Strategy and Execution
- Focus on a shared goal
- Communicate that goal to all in the organisation
- Involve all leaders in planning to achieve the goal
- Hold participants accountable for their part of the plan
- Everyone understands the goals of the organisation
- Every employee is clear of their own role and objectives
- Leadership evident at all levels
- Aligns resources, objectives and metrics to goals at all levels of the organisation
- Involves employees in having input to target setting, improvement plans and reviews
- Provides a clear line of sight through the organisation
- Creative problem solving everywhere
- Radical breakthrough improvements
- Focuses the entire business on a few vital goals rather than the trivial many
Policy Deployment takes the vision for the company and turns it into a tangible plan of action for all employees to engage in. The action plans, usually in the form of 100 or 90 day plans provide a measurable drumbeat throughout the year for the policy deployment.
These Operational Excellence pages talk about fundamental lean principles and associated tools. Understanding how to apply these principles and tools to the individual circumstance of discrete organisations is where expertise and experience is paramount. The GENEO team has many decades of experience in doing exactly this.