Beyond Strategic Kaizen

©Vinay Dahiya

Recently started reading a book on 'Beyond Strategic Kaizen' by Alin Posteucă . Sharing my learnings on concept of 'Strategic Kaizen'

Objective of Strategic Kaizen:

- Improve organizational results strategically by revitalizing the entire operational flow to achieve target profit.

- Focus on continuous strategic improvement of non-productivity at the core business process level.

Strategic Kaizen Projects:

- Involve managerial activities for study and selection.

- Utilize small group workshop activities for development and implementation.

Key Factors of Strategic Kaizen:

- Emphasizes continuous improvement of non-productivity using measures and targets.

- Aims to maximize effectiveness by eliminating cost of losses and waste.

Implementation Challenges:

- Some view it as an easy way to make money, but proactive and preventive effort and time allocation are crucial.

- Requires doubling productivity and achieving at least a fivefold increase in ROI.

Priority for Top Management:

- Should be the priority of top management teams to achieve sustaining business strategies.

Strategic Kaizen Way:

- Involves the full, continuous involvement of all organizational members.

Maximizes strategic productivity improvement potential.

Planning and Control: - Defined as a participatory, systematic, and scientific planning and control process. - Aligns financial and operational business strategy with improvement activities. Measurement and Goal Setting: - Involves continuous measurement of productivity. - Sets continuous productivity growth targets in line with the company’s vision and mission. Operational Alignment: - Directs strategic financial and operational improvements across the organization. - Ensures everyone understands their role in achieving systematic improvement goals. Evaluation Criteria: - Asks whether improvements contribute to the company’s vision, both operationally and financially. - Challenges the approach if improvements do not clearly contribute to the company’s vision. Relationship with Traditional Kaizen: -Distinct from traditional kaizen involving shop floor activities. - Requires full involvement of top managers and all personnel for new improved standards.

Symbiosis with Kaikaku:

- Inseparable symbiosis between Strategic Kaizen and traditional kaizen with kaikaku (radical change/improvement).

Conclusion:

- Strategic Kaizen is essential for organizations that have already implemented routine small improvement groups.

Aims to reach new improved standards through scientific, measurement-based improvements.

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