PlanBase: What is Hoshin Kanri?

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What is Hoshin Kanri?

Hoshin Kanri (sometimes called Policy Deployment) is an annual planning process that helps an organization set goals with measurable milestones and reconcile actual performance against those milestones.  A high-level goal (objective) is refined through the levels of management at an organization into strategies that ensure its achievement.  Each manager is assigned an objective (or more) and is responsible for creating strategies to achieve their objective. They must also define measurable milestones (metrics) for judging their progress.

Hoshin Planning is hierarchical: each manager's strategies become their direct-reports' objectives.  As the plan cascades down an organization in a series of discussions and planning sessions, implementation tables are created to define the detailed tasks necessary for achieving the primary objective.

Plans are reviewed quarterly.  Each objective or strategy is judged dispassionately against the metrics that were created at the beginning of the year.  This reconciliation process provides critical insight into where the organization needs to focus in order to achieve the strategic breakthroughs it needs.

PlanBase Hoshin is a software product that makes Hoshin Kanri easier and more effective.  If you would like more information on PlanBase Hoshin software, please contact us.