Saturday, October 31, 2015

Kaizen Simplified - Pragathi



I have taught TQM for many years as an official subject for MBA students. During this time, I have also done multiple kaizen projects local and international with various industries. To name a few: HLL Life care Limited; Grasim Bhivani Textiles Limited; PT Elegant textiles Indonesia; TiE-Hubli and many more. The marriage between Academia and industry has given me a crisp understanding of kaizen. I am hoping to address things that I find important. Please free to share your views and opinion, I am happy to engage in a constructive discussion.
 
What is Kaizen?
According to Wikipedia kaizen means “change for better”. Kaizen means gradual, marginal, small, and continuous improvements done in our personal/professional life with zero or minimum investments to improve the quality of life and quality of work.
 
When I was conducting a workshop on kaizen, at Bhivani Textiles Limited, one of the participants asked me what is the meaning of kaizen from an Indian perspective. I told him kaizen means Pragathi, and that’s my definition of Kaizen.
 
Why Kaizen?
To remain competitive, we need kaizen. Kaizen is a mindset and more of a common sense. If kaizen becomes way of life, we will be in a virtuous cycle.
 
Can we do kaizen in real life?
Kaizen can be done everywhere and by everyone. As a student, you can practice kaizen in your daily activities. For example, if you want to improve your fitness, start it today without any procrastination and increase the phase step by step. If you want to learn a new language learn every word each day and slowly increase the phase. In industry every person can do kaizen in their work area to improve their efficiency and effectiveness.
 
How to measure Kaizen in an organization?
Kaizen Participation Index (KPI) is a measure of Kaizen. Improve KPI every year to make kaizen program effective.
 
In simple words KPI measures “the percentage of employees engaged in an organization.” 
KPI = No. of people participated in kaizen * 100/ Total number of employee 
 
How to identify Opportunities for Kaizen?
Kaizen is supposed to be driven by intrinsic motivation – kaizen tends to be ideas that make our own work easier or allow us to do a better job for customers. If we want to improve our task kaizen will just happen. The opportunities to identify in kaizen are:
1.     Problem to solution
2.     War on waste
3.     Opposite requirements
4.     Perfection of know
5.     Seize the unknown
 
What are the main sources of Kaizen?
1.     Customer surveys
2.     Employee suggestions
3.     Brainstorming
4.     Benchmarking
5.     Performance appraisal
 
Famous companies that started and engaged in Kaizen
Toyota Production System is well known for implementing kaizen. Whenever problems were identified in the work area, it was seen as an opportunity for kaizen. Now kaizen has become the way of life at Toyota. On an average every employee implements one kaizen per month.
In India companies such as: Reliance Industries; Zydus Cadila; ABB Limited; Crompton Greaves; Thermax Limited; ITC Limited and many more have promoted kaizen.
 
Real life Kaizen Examples
My friend Vinayak Lokur, CEO of Expert Engineering, has been kind to share real life Kaizen examples from his organization. Thank you Vinayak.  Expert Engineering is an OEM supplier of Industrial valves for a number of leading companies in India, Russia, East and South Africa.
Below are 3 real life Kaizen examples with Kaizen worksheets.
 
Simple Kaizen -  as simple as organizing data
 
Commonsensical Kaizen

Technical Kaizen

 
Feel free to share your comments and suggestions. As said earlier I would be glad to cover a topic/subject that interests you.
 

4 comments:

  1. Kaizen through your blog was informative.
    However, I see an industrial perspective with realtime implemention and also a success story of Toyota.
    In my view, industries can be dealt with this implementation through seminars to the leadership teams or perhaps, through auditing.

    More elaboration over the realtime domestic practices along with the use cases would help!

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    1. Thanks for the suggestions. It is clearly mentioned in my article that, Toyota Production System is a success story of Kaizen. Kaizen should become the organisation culture for implementation and measured by Kaizen Participation Index. More about kaizen in my next article.

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  2. Thank you for sharing the kaizen idea. As per the examples stated, kaizen can be well implemented in industrial areas. Many of us work in the service industry. How far Kaizen is implemented in these industries! We can observe the performance and better productivity in manufacturing industry through Kaizen, but evaluation of performance and better service is very hard. Please enlighten us in this behalf.

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    Replies
    1. Thanks for your comments. Kaizen is practiced not only in manufacturing but also in service industry. There is a methodology to evaluate Kaizen. Please read my next article on kaizen to learn about Kaizen practices in service industry and methodology for evaluating kaizen.

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