Kaizen Essay ⋆ Business Essay Examples ⋆ EssayEmpire

Kaizen is the Japanese term for continuous improvement and refers to Japanese management practices that aim to lead a company to higher quality and superior performance. The philosophy of Kaizen was popularized in the West by Masaaki Imai in his book about Kaizen, which created worldwide interest in the concept. The term itself is not clearly defined, and is often confused with concepts like Kanban system, total quality management (TQM), and just-in-time management(JIT). However, Kaizen is neither a single management activity nor a management technique but can be best described as a positive attitude or the philosophy of creating the highest value and quality for the customer. Kaizen is performed by making small changes on an everyday basis to improve productivity, safety for all employees, and business process effectiveness while reducing waste. The overall goal is to enhance the quality of products and maximize cost-efficiency and safety of manufacturing processes.

Western corporations started to show an interest in how to implement Kaizen in their organizations when Japanese companies were at the height of their economic success during the 1980s. This interest has resulted in Kaizen methods being codified in ISO 900 and Sigma Six initiatives.

Kaizen is a process—not a result-oriented management approach. It is based on two main aspects: First, Kaizen is not restricted to a single management discipline, but rather should be part of every single business process. Second, Kaizen is a continuous process that is supported by all members of a Japanese organization. We can distinguish between two types of Kaizen: Gemba (actual workplace) Kaizen and Teian (plan) Kaizen. Gemba Kaizen is an action-oriented approach; it refers to improvement activities that are performed at the actual workplace, such as on the shop floor or on the manufacturing line. Teian Kaizen, on the other hand, represents the theory-based approach and refers to strategic improvements influ-enced by top management. Gemba and Teian Kaizen aim at developing higher production and quality standards.

Kaizen is executed in a number of ways. Gemba Kaizen methods are quality circles and suggestion systems. In quality circles, a specialized team develops and designs ideas on how to improve the company’s performance. Suggestion systems encourage employees to submit suggestions on how to improve work processes and customer satisfaction. Another aspect that is related to Gemba Kaizen is the 5S-System: Seiri (sort), Seiton (setting in order), Seiso (clean), Seiketsu (systematize), and Shitsuke (standardize). Seiri refers to discarding items that are unnecessary and keeping only the relevant ones for the production process. Seiton describes how all these leftover items are organized. Seiso means to clean all these items, as well as the workplace and all other materials used in the manufacturing process. Seiketsu refers to making all the cleaning, control, and improvement processes a regular activity at the workplace, and shitsuke means to standardize and sustain the process to support long-term Kaizen goals.

The most prominent Teian Kaizen methods include total quality control and JIT management. Total quality control is implemented in all phases of the manufacturing or work processes, and is not only result-oriented. JIT management refers to a production system in which all the parts used during the manufacturing process are delivered only when needed at exactly the right time and in the right amount. By doing so, waste is cut and costs can be reduced.

Besides improving quality and safety, another major aim of Kaizen is the elimination of Muda, Mura, and Muri. Muda includes all corporate activities that do not add value to the product or service, such as overproduction, unnecessary movements or worker waiting time, excessive inventory, or unnecessary repairs. Mura describes overburdening people or equipment or any other type of irregularity. Muri on the other hand refers to unnecessary difficulties during the production process.

Kaizen is not just the task of a special group within a company—employees of all levels, from the CEO down, participate in Kaizen activities. However, Kaizen can also include outside stakeholders, such as suppliers. When the Kaizen philosophy is applied, every single organization member is responsible for the improvement processes.

Bibliography:

Katsuki Aoki, “Transfering Japanese Kaizen Activities to Overseas Plants in China,” International Journal of Operations and Production Management (v.28/5–6,2008);
Imai, Gemba Kaizen: A Commonsense, Low-Cost Approach to Management (McGraw-Hill, 1997);
Imai, Kaizen—The Key to Japan’s Competitive Success (McGraw-Hill/Irwin, 1986);
Matthew E. May, The Elegant Solution: Toyota’s Formula for Mastering Innovation (Free Press,2007);
Chris Ortiz, “All-out Kaizen: A Continuous Improvement Plan Delivers Change to the Production Floor … and Dollars to the Bottom Line,” Industrial Engineer (v.38/4,2006);
Andrew Scotchmer, 5S Kaizen in 90 Minutes (Management Books 2000, 2008);
Katsuaki Watanabe, “Lessons from Toyota’s Long Drive,” Harvard Business Review(v.85/7–8, 2007).

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