Winning strategies Wave riders

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Winning strategies Wave riders

• Team A3
• Nick
• Tega
• Mine
• Henry
• Faizan

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Outline

• Definition of hoshin kanri
• Comparison between hoshin kanri, management by
  objective and balance scorecard
• How to minimize the disadvantages
• Policy deployment

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HOSHIN KANRI

• Deploy and share the direction, goals and
  approaches of corporate management to employees,
  and for each unit of the organisation to conduct
  work according to the plan. Then, evaluate,
  investigate, and feed back the results, or go
  through the cycle of PDCA continuously and
  attempt to continously improve the performance of
  the organisation.
• 
  Mizunode
• Eureka, W.E. Ryan, N.E. (1990

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Advantages Disadvantages
HOSHIN KANRI Communication of share strategic vision. Focuses on the whole organisation . Continually improved planning process. (akao,2001) Rigid implementation, difficult in some cultures Requires long term commitment, patience and ongoing support Static, objectives must be stable during a five year period (Akao,2001)
MANAGEMENT BY OBJECTIVE Helps and increases employees motivation Identify problems and lead to good planning. develop leadership qualities (jackson,2006) Failure to give guidelines to goals Danger of inflexibility (jackson,2006)
BALANCE SCORECARD Choose a general prediction of what would happen with future performance. there will be ability to align the company toward new organisational strategies. Process to help identify what need to be measured in order to reach goals. Its implementation takes time and effort. There is a need to be sustain top level support for the success. There needs to be a good deal of work and funding for the plan to work
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Step taken to minimize the disadvantages of
HOSHIN KANRI

• Rigid implementation
• feedback
• Long term commitment
• Leadership good communication
• Objectives must be stables during 5 years period
• Review periodically the strategies and change if
  it is needed

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Policy deployment

• Vision
• kings of the European waters

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Policy deployment

• Company strategic goals
• Customer satisfaction
• Quality
• Reduce production cost
• Market share
• Effective supply chain

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Company strategic goals

• increase customer satisfaction by 25 through
  customer survey every three months.
• To have only 3.4 defects per million
  opportunities over 5 years period
• to reduce the cost of production and
  administrative cost by 17 over 5 years period

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• Increase market share by 40 by measuring sales
  percentages against our competitors joint
  ventures with local European companies
• Decrease the lead time from 10 days to 7 days
  from supplier to customer over a period of five
  years

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Marketing department

• 40 market share
• Invest in new technology that makes 100 our
  product recyclable to make an eco friendly
  product(implementation of CSR)
• forecasting
• An aggressive marketing campaign once every three
  mothns

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Production department

• Quality improvement
• DFSS and Six Sigma implementation
• Lower cost at production
• Speed at production
• Outsourcing

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Financial department

• High revenue rate
• Increase price by 2.5 upon entering the European
  markets
• Invest in a new financial software system

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Human resources

• High skill people
• Arrange training programs at every level
• Skill improvement

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Assumptions

• If wave rider uses the hoshin kanri concept
• Able to monitor the break through activities
• If you open new company
• Understanding a long range direction
• To make a vision reality
• To monitor continuous improvement of the key
  business processes
• The global economy is going to get better

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• Any comments and question

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References

• Akao, Y. (2001). Hoshin kanri Policy deployment
  for succesfull TQM. Portland productivity press.
• Jackson, T. (2006). Hoshin kanri for the lean
  enterprise, developing competitive capability and
  managing profit . New york prodcutivity press.
• Sheridan, B. (2002). Policy deployment.
  Milwaukee ASQC quality press.
• Tennat, C., Robert, P. (2001, October).
  Knowledge and process management . Hoshin Kanri
  a tool for strategic policy deployment .
• Eureka, W.E. Ryan, N.E. (1990). The
  Process-Driven Business Managerial perspectives
  on policy management. ASI Press, Dearborn, USA