Kaizen

08/15/13
KAIZEN
STRATEGY FOR CONTINUOUS
IMPROVEMENT
QMS Management Consultants Sdn Bhd
98-1-31 Prima Tanjung, Jalan Fettes, Tanjong Tokong 11200 Pulau Pinang
Tel : 604-8996020 Fax : 604-8994020 Email : admin@qms-mal.com

Kaizen QMS Management Consultants Sdn Bhd 2
Topics of Discusion
Kaizen
Introduction Why
Kaizen?
Terms Used
Typeso
f
Kaizen
Gemba
Kaizen
Kaizen
Tools
Practical
Similar
Programs

Introduction To Kaizen
• KAIZEN means improvement.
• KAIZEN means continuing improvement
in personal life, home life, social life, and
working life.
• KAIZEN means continuing improvement
involving everyone - managers and
workers alike, when applied to the
workplace.
KAIZEN as originally defined in the book of:
"KAIZEN, the Key to Japan's Competitive Success"
by Mr. Masaaki Imai, is:

Traditional Management
Figure 1: How Kaizen Systems Differ From Traditional Systems
Characteristics Kaizen Traditional
Purpose  employee involvement and
development
 communication
 economic benefits
 economic benefit its
Focus  many very small changes (e.g.
revising a form)
 elimination of daily hassles
 few very large changes (e.g.
changing a manufacturing
process)
“breakthroughs”
Awards  few dollars
 merchandise
 usually thousands of dollars
 cash
Participation  50% and higher
 many ideas accepted
 5% and lower
 many ideas not accepted
Implementation  employees implement most of
own ideas
 quick
 suggestion implemented =
improvement idea
 Management, engineering driven
 slow, drawn-out
employees less accountable
 suggestion = improvement idea
Adoption rate  near 100%  approximately 25%
Administrator  majority of time spent processing
implemented ideas and issuing
awards
 specialist
 Majority of time spent investi-
gating un-implemented ideas and
explaining “rejected” ones
 manager
Suggestions
received per
year
 Thousands  Hundreds
Highest award  Varies (or merchandise valued
at)
 Large amount
Motivators  Intrinsic satisfaction — personal
development and recognition
 frequent feedback and awards
 extrinsic rewards money
infrequent

 The Wet Blanket List
• Too busy to study it.
• Premature timing.
• No budget.
• Theory is different than practice.
• Does not match corporate policy.
• Not our business.
• Common sense.
• Isn’t there something else for you to do?
• Are you dissatisfied with your work?
• I know the result, even if we don’t do it.
• I will not be held accountable for it.
• Can’t you think of a better idea?
 The Traditional Management
• Two classes of people in an organization - Thinkers
and Workers
• Thinkers who think and innovate new ideas
• Workers who are required to work with their hands.

 Not Invented Here (NIH) Syndrome
• That’s not ours.
• Their culture is different.
• We did not learn that way.
• We’ve tried that, it could not work.
• We are doing what we can.
 Type A - Total Rejection
• Over confident about past success or
excessively biased with ethnocentrism which
indicates a real NIH person.
 Type B - Unconditional Imitation
• Blindly follow to implement when having a new
idea, prone to fail and end with a giving up.
 Type C - Selective Acceptance
• Picking up the workable elements in the
beginning and proceed from the point.
• Practicing learning by doing until determine
which elements could be implemented well and
improved afterward.

Kaizen Values and
Concepts
 Kaizen Values
• Contains two elements - improvement/change and
ongoing/ continuity.
• “Business as usual” contains the element of continuity
without improvement.
• “Breakthrough” contains the element of change or
improvement without continuity.
• Constant improvement
• Continual, organized efforts.
• Incremental improvements.
 Kaizen Concepts
• Kaizen is an umbrella concept covering most of those
uniquely Japanese practices that have recently such
worldwide fame.
• These concepts have helped companies generate a
process-oriented way of thinking and develop
strategies that assure continuous improvement
involving people at all levels.
• Not a day should go by without some kind of
improvement being made somewhere in the company.

Kaizen Values and
Concepts
 Kaizen7 Key Concept
• Standardize-Do-Check-Act (SDCA) to Plan-DO-Check-Act
(PDCA) - Follow the Shewhart cycle
• The next process is the customer – Ask what you can do to
improve product or services that you pass along to the next
process.
• Quality first – Improving quality automatically improves
cost and delivery, while focus on cost usually causes
deterioration in quality and delivery.
• Market-in vs. product out – Instead of pushing products
into the market and hoping customers will buy them, ask
potential customers what they need/want and develop
products that meet these needs and wants.
• Upstream management – The sooner in the design/pilot
test/production/market cycle a problem can be found and
corrected, the less time and money is wasted.
• Speak with data – The statistical tools will provide data for
convincing arguments.
• Variability control and recurrence prevention – Ask ‘Why?’
five times to get to the real cause of a problem and to
avoid just treating the effect of the problem.

 The Kaizen Umbrella
• Customer orientation
• TQC (Total Quality Control)
• Robotics
• QC Circles
• Suggestion System
• Automation
• Discipline in workplace
• TPM (Total Productive
Maintenance)
• Kanban
• Quality Improvement
• Just-in-time
• Zero Defects
• Small-group activities
• Cooperative labor -
management relations
• Productivity Improvement
• New-product development
Figure 2
Figure 3
KAIZEN
Kaizen Values and
Concepts

Kaizen and Management
 Maintenance, Innovation and KAIZEN
 Maintenance
• Maintaining current status.
• Procedures are set.
• Standards are implemented
• For lower level of an organization.
 Innovation
• Breakthrough activities
• Purchase new machine, equipment.
• Developing new markets.
• Directing R&D.
• Change of strategy.
• For top level of an organization
 KAIZEN
• Small steps of continuing improvement
• Implemented by lower/ middle management and
workers.
• Encouraged, cultivated and directed by top
management.

Kaizen and Management
 Maintenance, Innovation and KAIZEN
Top Mgmt
Mid-Mgmt
Supervisors
Workers
KAIZENInnovation
Maintenance
 Innovation and KAIZEN
Figure 4
Figure 5
KAIZEN VS. INNOVATION
FACTOR KAIZEN INNOVATION
Size of improvement Small improvements Major improvements
Basis of improvement
Conventional
knowledge
Technology or
equipment
Main resource Personal involvement Money investment
People involved Many people A few champions
Orientation Improve the process Improve results
Economy Even in slow economy
Mainly in good
economy

Management
Commitment
 Top Management
• Introduce Kaizen as a corporate strategy
• Provide support and direction bt allocating
resources
• Establish policy and cross-functional goals.
• Realize goals through deploymwnt and audits.
• Build systems, procedures, and structures
conducive to KAIZEN.
 Middle Management and Staff
• Deploy and implement goals as directed through
policy deployment and cross-functional
management.
• Use KAIZEN in functional capabilities.
• Establish, maintain and upgrade standards.
• Make employees conscious through training
programs.
• Assist employees develop skills and tools for
problem solving.

Management
Commitment
 Management Commitment
 Supervisors
• Use KAIZEN in functional roles.
• Formulate plans and provide guidance to workers.
• Improve communication and sustain high morale.
• Support Small Group Activities and individual
suggestion system.
• Introduce discipline.
• Provide KAIZEN suggestion.
 Workers
• Engage in KAIZEN through suggestion system
and small group activities.
• Practice discipline
• Engage in continuous self-development to
become better problem solver.
• Enhance skills and job-performance expertise
with cross-education.

KAIZEN by Total Quality
Control (TQC)
 Quality Control (QC) and the “Quality of
People”
 Quality Control
• Defined as “ a system of means to economically
produce goods or services which satisfy customer
requirements” - JIS Z8101 (1981)
• Quality is associated with products, services, way
people work,way machines were operated, and
way systems and procedures are dealt with.
 Quality of People
• A company able to build quality into its people is
already halfway towards producing quality
products.
• Total Quality Control starts with human-ware.
• TQC is defined as implementing quality control
effectively necessitates the cooperation of all
people in the company.

Control (TQC)
People”
 Total Quality Control
• Elaborate system of Kaizen strategies as
management tools within TQC movement.
• Used Seven Statistical Tools or 7 QC Tools as a
management tools.
• TQC dealt with:
 Quality assurance
 Cost reduction
 Meeting production quotas
 Meeting delivery schedules
 Safety
 New-product development
 Productivity improvement
 Supplier management
 Marketing, sales and services
• Six features of TQC characteristics:
 Company-wide TQC, with all employees participating.
 Emphasis on training and education
 QCC activities
 TQC audits
 Application of statistical methods
 Nationwide TQC promotion

Control (TQC)
People”
 Speak With Data
• Establish data collection and evaluation system.
• Information should be shared among executives.
• There is always a possibility of improvement if
information/data is properly:
 collected
 processed
 channeled
 put to practical use
• Effective communication network
• Develop various systems, tools and formats to
facilitate:
 new product development
 cross-functional organizations
 systems diagrams
 quality deployment.
• Quality First, Not Profit First
• Basic elements to manage a company are:
 quality (products, services and work)
 quantity
 delivery (time)
 cost
 safety
 employee morale

Control (TQC)
People”
 Quality First, Not Profit First (cont’d)
• First, establish the technologies and system to make
products that can satisfy customers.
• Second, making good products at low cost and in
large quantity without sacrificing quality.
 The Five “Why”s
• TQC encourages people to go back to the previous
process on the production line to seek out a problem’s
causes.
• Improvement requires that always be aware of what
comes from the previous process.
• Ask “why” for five times as to dig out the causes and
seek the root cause of any problem.
• By repeating “why” five times, it is possible to identify
the real cause and hence the real solution.
 The Next Process Is The Customers
• Realization of the next internal and external
customers.
• Never send defective parts to the following processes.
• Extracted into the Kanban and JIT system.
• Assuring quality to each customer at each stage will
assure quality in the finished product.

Control (TQC)
People”
 Training
• TQC starts with training and ends with training
• Aim for training is to instill TQC thinking in all
employees and employees awareness
• In building quality into people, it should starts with
training and educating the people, from top
management to workers including the vendors.
 Cross Functional Management
• TQC encompasses various levels of management
as well as various functional departments as
people are not to be isolated.
• TQC seeks:
 Mutual understanding
 Collaboration
 Contagious spirit
 “Break departmental barriers”
• Strengthening the horizontal and vertical
interrelations among different organizational
levels
• Facilitates company-wide communication.

Control (TQC)
 PDCA Cycle
 Initially was based on a division of labor among
supervisors, inspectors, and workers. (See to Figure 6)
 Plan
• Plan improvements in present practices by using
statistical tools:
 Pareto Diagrams
 Cause-and-Effect Diagrams
 Histograms
 Control Charts
 Scatter Diagrams
 Graphs
 Checksheets
 Do
• Application of plan
 Check
• Seeing if it has brought the desired improvement
 Action
• Preventing recurrence and institutionalizing the
improvement as a new practice to improve upon
 PDCA is a process through which new standard are
set only be challenged, revised, and replaced by
newer and better standards.
 Process of stabilization is often called Standardize-
Do-Check-Action cycle.

Control (TQC)
 PDCA Cycle Plan
(Mgmt)
Plan
(Mgmt)
Check
(Inspector)
Check
(Inspector)
Do
(Worker)
Do
(Worker)
Action
(Mgmt)
Action
(Mgmt)
Plan
(Management)
Plan
(Management)
Check
(Inspectors &
Mgmt)
Check
(Inspectors &
Mgmt)
Do
(P-D-C-A)
(Worker)
Do
(P-D-C-A)
(Worker)
Action
(Management)
Action
(Management)
Figure 6 : Initial PDCA
Figure 7 : Revised PDCA

Control (TQC)
 Interaction of PDCA and SDCA Cycles
P
C
A
D
P
C
A
D
S
C
A
D
S
C
A
D
KAIZEN
KAIZEN
Maintenance
Maintenance
Figure 8 : Interaction of PDCA and SDCA cycles with KAIZEN and Maintenance

KAIZEN by Small Group
Activities
 Small Group Activities
 Defined as
• Informal
• Voluntary organization
• Small group organized
 Formed for the purpose of stimulating cross-
development among its members.
 Improves quality, increases productivity and lowers
costs.
 Small Group Activities represent
• non-confrontational improvements
• informal ways of solving problems
• introducing improvements
 Advantages
• Strengthen the sense of teamwork
• Improves communications
• Sharing and coordinating group members respective
roles better
• Improves morale
• Workers acquire new skills and knowledge
• Develop more cooperative attitudes
• Group is self-sustaining and solves problems
• Labor-management relations are greatly improves.

Activities
 Implementing Small Group Activities
 Forming a team
• Within the same workplace
• Elect a leader
• Assign roles to each members
 Bringing problems to light
• Find problems within the workplace
 Selecting a subject
• Select subject that every member able to involve
 Planning activities
• According to QC Story
• Use 5W1H for making plan
• Divide the work amongst members
 Understanding the present condition
• Data collection
• Consider facts from different angles
• Classify the obtained information/data
 Setting a target
• Determine for improvement
• Dateline of completion
• Show in figures

Activities
 Implementing Small Group Activities (cont’d)
 Analyzing causes
• Use 5-Why
• Examine the facts and data obtained
 Studying the measures
• Collect ideas from all members i.e. Brainstorming
session
• Collect as many ideas as possible
 Carrying out the measures
• Decide a plan of implementation using 5W1H
• Persist in executing the plan
 Confirming the effects
• Evaluate the results item by item on the measures
• Confirm the tangible or intangible achievement
 Maintaining the obtained results
• Standardization
• Preventing effect shrinking
• Provide education and training to members

Activities
 Implementing Small Group Activities (cont’d)
 Summary and review
• Check the achievement of the plan
• Make future plans
 Presentation
• According to QC Story
 Suggestion Scheme
 Three major types of suggestion system in an
organization:
• Individual suggestion system and no QC Circles
• QC Circles and no individual suggestion system
• QC Circles and individual suggestion system
 Main subjects for the suggestions may cover for
• Improvements in one’s own work
• Saving in energy, material and other resources
• Improvements in the working environment
• Improvements in machines and processes
• Improvements in jigs and tools
• Improvement in office work
• Improvements in product quality
• Ideas for new products
• Customers services and customer relations

Activities
 Suggestion Scheme (cont’d)
 Stages of Suggestion System
• First stage
 Management should make every effort to help the
workers to provide suggestions.
• Second stage
 Management should stress employee education so that
employee can provide better suggestion.
• Third stage
 Management should concern with the economic impact of
the suggestion.
 Suggestion System Goals
• Making job easier
• Removing drudgery from the job
• Removing nuisance from the job
• Making the job safer
• Making the job more productive
• Improving product quality
• Saving time and cost

Activities
 Suggestion Scheme (cont’d)
 Guidelines on suggestion system:
• Always show positive response to suggestion for
improvement
• Help workers to write easily and give them helpful
suggestions about their work
• Try to identify even the slightest inconvenience for the
workers. (This requires good communication skills)
• Make a clear target.
• Use competition and games to initiate interest e.g.
displaying individual achievement charts.
• Implement accepted suggestions as soon as possible.
Give awards before payday, if possible.

KAIZEN by Visible
Management
 Visual Management
 Definition:
• A technique of providing information and instruction
about elements of a job in a clearly visible manner
for worker to maximize his productivity
 Visual management is deployed in three areas
• For displaying characteristic figures, data and
graphics
• For depicting and controlling processes
• For identifying and marking sources of risks, setting
and standards.
 In making the workplace easy to understand:
1. Make clear the location of set-up articles, parts, and
materials.
2. Any abnormality should be easily noticeable by
stock management, set-up order, progress status,
or other information management procedures.
3. Place the line stop notice board (abnormality control
board) in a conspicuous place.
4. Put Kanban at the head of the line so the present
status of production, line status, and the necessary
overtime (if any) are clearly visible.
5. Post the standard work sheet so that the cycle time,
procedures, and standard time can be easily seen.

KAIZEN by Visible
Management
 Visible Management Through 5Ms
• MAN
 Worker’s morale can be measured by the number of
suggestions each person makes, the level of participation
in QC Circles, and absenteeism.
 A "multi-skilled" board indicating who is trained to do
what and to what level of proficiency.
• METHOD
 Working method can be made visible by using standard
operating sheets displayed at each work station which
show sequence of steps, procedures, safety items,
quality checkpoints, and what has to be done when
variability occurs.
• MEASUREMENT
 Gauges are well marked to show safe operating ranges.
 Trend charts are used at each gemba(workplace) which
show ability to meet production schedules, decrease of
quality problems, reduction in set-up times, and reduction
in safety problems.

KAIZEN by Visible
Management
 Visible Management Through 5Ms(cont’d)
• MATERIALS
 Implementing "5S" tools for cleanliness, efficiency, and
order.
 With "5S," everything has its own place or location; a clear
declination is made between material storage areas and
hallways; and every tool is in the right place.
 Each tool is outlined, so that if you only see an outline you
know the tool is being used by someone.
 Production schedule attainment is made visible.
 Production control boards clearly show schedule attainment
by the month, day, and hour.
 TAKT time is clear, a meter at the workstation makes a
minute-by-minute assessment of whether or not the
production rate is exactly meeting the customer's demands.
 Kanban is used to let people know when materials need to
be replenished, ordered, or transported.
 Rejects are made visible so everyone knows they have
occurred and why they occurred.

KAIZEN by Visible
Management
 Visible Management Through 5Ms(cont’d)
• MACHINE
 Indication lights are used to indicate problems.
 A matrix of lights showing a machine down by what reason,
i.e. scheduled down, changeover and set-up, quality
problems, machine breakdown, preventive repair, etc.
 Lubrication levels, frequency, and type are indicated on the
lubricant chart or transparent covers are made, so the
operator can see if the machine is working correctly.
 Transparent covers are made to replace metal housings, so
the operator can see if the machine is working correctly.
Figure 9 : Examples of Visual Management

KAIZEN by 5S Activities
 5S Activities
 Introduction
• Defined as fundamental discipline for creating and
maintaining a highly organized, high performance work
place.
• Focused on
 production
 quality
 safety
 delivery
 environment
 training
 The 5S principles are :
• SEIRI - Shifting - Keeping only the minimum
of what is required
• SEITON - Sorting - “A place for everything and
everything in its place”
• SEISO - Sweeping - Items clean and able to
function properly. Return parts in
good conditions.
• SEIKETSU - Spic & Span - Working environment
clean and safe
• SHITSUKE - Strict - Follow the rules and make
them a habit.

KAIZEN by 8 Wastes
Elimination
 The 8 Wastes
• Defined as anything that increases cost without
adding value.
• Present Status of Ability = Work + Waste
• Work Contents = Net Operation + Operation +
Non-value Added Operations + Motion + Waste
• The 8 wastes are:
1. Over-production 5. Inventory
2. Waiting 6. Motion
3. Transportation 7. Defects
4. Over-processing 8. People utilization
Motion
Waste
Net Operation
Operation
Non-value Added
Operation
Figure 10 : Content of Operation In The Workplace

KAIZEN by 8 Wastes
Elimination
• Overproduction – Production more than production schedule
• Waiting – Poor balance of work; operator attention time
• Transportation – Long moves; re-stacking; pick up/put down
• Processing – Protecting parts for transport to another process
• Inventory – Too much material ahead of process hides
problems
• Motion – Walking to get parts because of space taken by high
WIP.
• Defects – Material and labor are wasted; capacity is lost at
bottleneck
• People – Excessive usage of manpower and overtime
• Examples of Waste
 Watching a machine run
 Waiting for parts
 Counting parts
 Producing parts that aren’t needed
 Moving parts over long distances
 Storing inventory
 Looking for tools or parts
 Machine breakdown
 Rework and scrap
 Products that don’t meet the needs of customers

KAIZEN by 8 Wastes
Elimination
 The 3-MUs
 MUDA : or waste is created when unnecessary
work is done, unnecessary material is
used or processing is done
 MURA : or irregularity occurs whenever a
smooth work flow is interrupted in an
operation, or the flow of parts to
machines is interrupted, or change in
production schedule is made.
 MURI : or strenuous work, or conditions for both
workers and machines as well as the
work process e.g. when a new worker is
assigned to do the job will be strenuous
and the chances are he will be slower in
his work.
 Methods to eliminate the 8 Wastes
• Ask 5W1H (Why, What, Where, When, Who, Why)
• Repeat 5 Why (Why, Why, Why, Why, Why)
• Look for the 3 MUs
• Simplify/ Combine/ Eliminate

KAIZEN in Production
Floor
 The Real Place - GEMBA
 GEMBA is referring as the “real place”
 GEMBA is where the value-adding activities to
satisfy the customer are carried out.
 Good management means establishing:
• control
• maintaining the process
• improving the process.
 Therefore:
1. To establish control, you must be able to measure
2. To measure you must be able to define
3. To define you must be able to quantify
4. Quantifying is only possible at the place where value
is added: The GEMBA.
 It is necessary to pay attention on the GEMBA
because:
• Solutions are grounded in reality and emphasize
commonsense, low-cost approaches.
• Continual adjustment and improvement becomes
possible.
• Resistance to change is minimized.
• It is not always necessary to gain upper management
approval to make changes.
• Reality lies in the work-site, not at the desks.

KAIZEN in Production
Floor
 The Golden Rules of GEMBA Management
• Staying in close contact with and understanding
GEMBA is the first step in managing a work site
effectively.
• The five golden rules of GEMBA Management
are:
1. When a problem (abnormality) arises, go to
gemba first.
2. Check the gembutsu (relevant item).
3. Take temporary countermeasures on the spot.
4. Find the root cause.
5. Standardize to prevent recurrence.

KAIZEN by Total
Productive Maintenance
 Total Productive Maintenance (TPM)
 What is TPM?
• Breakdown maintenance
 repairs to make failed machine operational
• Preventive Maintenance
 system of periodic inspection & maintenance to keep
machines operating
• TPM combines preventive maintenance and total
quality concepts i.e. TPM is a process of taking the
methodologies of Preventive Maintenance, quality
control and small group activities, mixing them
together and using the final output to improve
productivity.
 How does it work?
• Small teams look at all aspects of a machine or
process with the goal of eliminating waste - or zero
losses.

KAIZEN by Total
 Total Productive Maintenance
 Why do TPM?
• One of the largest assaults on quality is the breaking
down or deterioration of machines.
• Aiming to reach 100% up-time on all machinery
through the use of cross-functional teams.
• Equipment is not kept up at the condition it was in
when it was new.
• Dusts collects, leaks appear and are not fixed,
vibrations begin to wear parts which contributes
deterioration of equipment.
 How stop the deterioration and breakdowns?
• Through the TPM methodologies,
 learn to spot abnormalities with the equipment
 fix the problem immediately
 set up an inspection system to monitor the equipment
 set up a series of standards that the equipment must
meet in order to stay running
 learn how to track down equipment problems to the root
cause

KAIZEN by Total
 Zero losses
• Losses are categorized as follows:
1. Break down loss - the machine is inoperable
2. Set up and adjustment loss - the time it takes to
change over to different parts or different processes
3. Minor stoppage loss - product gets stuck in a
machine, slowing down throughput
4. Speed loss - worn parts slow down the operating
time of a machine
5. Defect and rework loss - producing defective work
that must be scrapped or redone.
6. Start up and yield loss - machines take longer to
warm up as they get older
 TPM requires management to:
• Design products that can be easily produced on
existing machines
• Design machines for easier operations,
changeover, maintenance
• Train & retrain workers to operate machines
• Purchase machines that maximize productive
potential
• Design preventive maintenance plan spanning life
of machine.

KAIZEN by Total
 Factors contributes to machine problems:
• Machines
• Dirty and oily
• Oil pan overflow
• Leaks
• Overheated
• Vibration
• Improper routine inspection
• Operators
• Lack of concern for dirty machines
• No training is given to conduct simple maintenance.
• Lack of knowledge
• Keeping quiet when problem arises
• Quantity more important than maintenance
• Repair Crew
• Do not practice 5 Why to seek for the root cause
• Do not teach operator on simple maintenance
• Attending for major breakdowns only
• Always assumed machines eventually breakdown
• Suggestion through new machines for improvement.

KAIZEN by Total
 Steps to achieve TPM
1. Practice the 5S activities
2. Identify problems causes and take the necessary
action
3. Draw up standards for cleaning and oiling
4. Review the total system implemented
5. Setting standards for checking procedures
6. Male sure everything is in order and in place
7. Policy deployment.

KAIZEN Tools
 Seven QC Tools
 The seven tools of QC:
1. Pareto diagram
2. Tally-sheet
3. Cause-and-Effect diagram
4. Control Chart
5. Histogram
6. Graph
7. Scatter diagram
<1> Pareto Diagram
• From the information gathered from tally-sheets,
many minor problems will be eliminated, leaving only
the few main problems to be tackled.
<Uses>
• To grasp the problem
• To grasp the past and present situation of the problem
• To stratify
• To confirm the improvement results

KAIZEN Tools
 Seven QC Tools (cont’d)
<2> Tally-Sheet
• To analyze the situation and to look at the important
questions.
• Depending on the checking done and the data that is
available, a table or diagram is derived.
<Uses>
 To grasp the past and present situation
 To stratify
 To grasp the changes through time
 To grasp the improvement results
 To confirm the standards.
<3> Cause-and-Effect Diagram
• The Effect (result) which is influenced by the main
factors (causes) is placed as in a fishbone diagram.
• Using this, the real causes of the problem can be
found.
<Uses>
 To grasp the causal relationship between cause and
effect
 To stratify

KAIZEN Tools
<4> Control Charts
• This is a broken line graph used to grasp the variation
in the data, which is entered through planning the
control limit lines of a centerline, an upper control limit
and a lower control limit.
<Uses>
To discover the variables
To grasp the control situation
<5> Histogram
• The data has a tendency to be centered upon a
maximum of large numerical value, and from there it
spreads out, gradually decreasing.
• The analysis of the situation is placed into columnar
graph
<Uses>
Grasp the past and present situation
To stratify
To confirm the improvement result

KAIZEN Tools
<6> Graphs
• Useful information about control and improvement is
put into diagrams, which are visual and easily
comprehensible.
• Column(bar) graphs, broken line graphs, pie charts,
belt graphs, radar graph and so on is commonly used.
<Uses>
To analyze the cause
To record the time and contents
To record the time and schedule control
To grasp the large and small numbers and time changes
<7> Scatter Diagram
• This is a diagram where you utilize two sets of data to
plot (enter) them onto the vertical axis and the
horizontal axis.
• From the analysis of the situation, the congenial
relationship of the data can be seen.
<Uses>
To grasp the past and present situation
To grasp the correlation

KAIZEN Tools
 New Seven QC Tools (cont’d)
 The new seven tools of QC:
1. Tree Diagram
2. Relations Diagram
3. Matrix Diagram
4. Matrix Data Analysis
5. Affinity Diagram
6. Arrow Diagram
7. Process Decision Program Chart (PDPC)
 New seven QC Tools is for supervisors and staff
development and to re-arrange verbal data into
diagrams.
<1> Tree Diagram
• After establishing the goals of the objectives, targets
and results, achieving the goals by systematically
developing the steps (plans) at a glance the entire
picture of the problem.
<Uses>
To pursue the steps needed to achieve the objectives
(targets)
To grasp the problem areas

KAIZEN Tools
<2> Relation Diagram
• This is used to solve the problem by rationally seeing
the relationship between “Cause - Results”, and
“Objective - Measures”, where complicated
circumstances are interwoven into the problem
(phenomenon).
<Uses>
To grasp the casual relationship between cause and effect
To grasp the relationship between objectives and
measures
To grasp the problem areas
<3> Matrix Diagram/ Matrix Data Analysis
• This is used to find the relationships between two or
more sets of information.
<Uses>
To identify and analyze relationships between information/
data
To rate the presence and the strength of relationships

KAIZEN Tools
<4> Affinity Diagram
• This is used to gathering and grouping ideas
effectively.
<Uses>
 To summarize ideas/ issues by understanding the
essence of problems and breakthrough solutions.
 Encourages creativity by everyone at all phases of a
process.
 Encourages non-traditional connections among ideas/
issues.
 Breaks down long-standing communication barriers.
<5> Arrow Diagram
• This is used as a schedule planning diagram.
• The relation between the essential operations are
shown as a network for schedule control.
<Uses>
 To grasp the whole work process with clear
understanding of problem areas.
 To identify areas for improvement
 To ease the checking process for the progress situation
of a operation.
 Mutual understanding and agreement of views

KAIZEN Tools
<6> Process Decision Program Chart
• Is a technique to anticipates at the development stage
of various results and lead the process in the desired
direction.
• Effective for unexpected problems which arise where
quick expectation targets can be set and readjustment
to the route made.
<Uses>
 To forecast the future and taking the necessary action.
 Essential events are confirmed with ease
 To have collective views for easy modifications
 To achieve the end goal with clear and accurate
manner.

KAIZEN Tools
 Problem Solving by PDCA Cycle
 Plan
1. Select the problem/ process that will be addressed first
(or next) and describe the improvement opportunity.
 Look for changes in important business indicators
 Assemble and support the right team
 Review customer data
 Narrow down project focus.
 Develop purpose statement
2. Described the current process surrounding the
improvement opportunity.
 Select the relevant process or process segment to
define the scope of the project
 Describe the process under study
3. Describe all of the possible causes of problem and
agree on the root cause(s).
 Identify and gather helpful facts and opinions on the
cause(s) of the problem
 Confirm opinions on root cause(s) with data whenever
possible.

KAIZEN Tools
• Plan (cont’d)
4. Develop an effective and workable solution and
action plan, including the solution or process change.
 Define and rank solutions
 Plan the change process : 5W1H
 Do the contingency planning when dealing with new
and risky plans
 Set targets for improvement and establish monitoring
methods
• Do
5. Implement the solution or process of the change
 Implement the solution in a small scale first
 Follow the plan and monitor the milestones and
measures.
• Check
6. Review and evaluate the result of the change
 Confirm or establish the means of monitoring the
solution for the validity of measures.
 Check for unintended effect and unintended
consequences.

KAIZEN Tools
 Action
7. Reflect and act on learning.
 Assess the results and problem-solving process and
recommend changes
 Continue the improvement process where needed;
standardize where possible.
 Celebrate success

KAIZEN and Management
Functions
 Role of Top Management
• Responsible for establishing Kaizen as the
overriding corporate strategy
• Communicating this commitment to all levels of the
organization
• Allocating the resources necessary for Kaizen to
work.
 Role of Middle Management
• Responsible for implementing Kaizen policies
established by top management.
• Establishing, maintaining and improving work
standards.
• Ensuring that employees receive the training
necessary to understand and implement Kaizen.
• Ensuring that employees learn how to use problem
solving and improvement tools.

KAIZEN and
Management Functions
 Role of Supervisors
• Responsible applying the Kaizen approach in their
functional roles;
• Developing plans for carrying out the Kaizen
approach at the functional level;
• Improving communication at the workplace;
• Maintaining morale; providing coaching for
teamwork activities;
• Soliciting Kaizen suggestions from employees and
making Kaizen suggestions.
 Role of Employees
• Responsible for participating in Kaizen through
teamwork activities,
• Making Kaizen suggestions,
• Engaging in continuous self-improvement activities,
• Continually enhancing job skills through education
and training,
• Continually broadening job skills through cross-
functioning training.

KAIZEN: Conclusion
Kaizen teams typically improve all three of the major
drivers (quality, cost, and delivery) by eliminating non-
value adding tasks and improving process
documentation.
The resulting documentation (set-up sheets, process
procedures, and quality standards) makes training
more effective; and, by causing more consistent task
execution, it also improves quality.
The documentation is helpful for companies pursuing
ISO certification and also forms the standard from
which to launch further improvement efforts. As
quality improves, both cost and delivery improve.
Floor space requirements and total process times are
usually reduced by at least 20 percent.
In conclusion, Kaizen is a low-cost, team-oriented
approach that leverages company resources.

Kaizen

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