Key Points

• Hoshin Kanri has been around since the 1960s and is used by some major companies in Japan and worldwide. 
• Mistakes are not unheard of in the policy deployment world, so it’s a good thing that they are learning opportunities. 
• The good news is that every mistake can be avoided if an organization is truly dedicated to its policy deployment strategies. 

One of the most popular approaches to strategic planning, Hoshin Kanri has been helping companies like Toyota achieve their most important goals for decades. Focusing heavily on continuous improvement, the Hoshin Kanri methodology is pretty straightforward, but this doesn’t mean it’s always launched perfectly. 

Launching Hoshin Kanri can be relatively problematic in many ways and for many reasons if the people responsible for setting it up aren’t constantly watching for potential pitfalls. When properly executed, it can have immediate and long-term impacts, but when launched poorly, it can end up causing more problems than it was attempting to solve. 

What Is Hoshin Kanri? 

Sometimes known as “Policy Deployment,” Hoshin Kanri is a strategic planning and management methodology that hopes to match an organization’s goals, otherwise known as its strategy, with ideal execution or tactics.

Originating in Japan in the 1960s, Hoshin Kanri’s focal point is establishing visions and goals that a company can use as its north star, likely in the next five years. These goals are then broken down into yearly targets, with each department responsible for its own part of any rollout. 

As part of Hoshin Kanri, there are regular meetings, sometimes monthly but also quarterly, to help track progress and identify any issues with the launch. During these meetings, teams can look at any communication issues and allow everyone to get back on the same page regarding strategy, so the next meeting can discuss successes. 

Hoshin Kanri Deployment Goals

Among the most important goals you want to have with Hoshin Kanri, the biggest focus may be getting an organization’s management team on the same page. If they can all be aligned on strategic results, it creates an opportunity to move a company ahead so it’s more effective and efficient. 

In addition, you want to ensure that strategic priorities are the central focus of any deployment. Definitive planning must occur before deployment so that once these plans take shape, they can be immediately acted on. 

As mentioned above, the follow-up meetings will be critical. While these meetings can have different points, they have to ensure that the Hoshin Kanri system is having an impact. If it’s not, then it’s an opportunity to reevaluate goals and ensure they continue to be aligned with the company’s future. 

Common Hoshin Kanri Deployment Mistakes

For over 75 years, Hoshin Kanri has helped organizations, including some of the world’s most notable companies, create roadmaps to success. Whether it’s to bring more structure, reduce waste, increase efficiency, or just move everyone on the same page, it’s all about strategy and execution. The most important thing is that this execution has to be flawless to avoid these mistakes. 

Misaligned Goals

Before any deployment happens, one of the most common and unavoidable mistakes is ensuring everyone is on the same page regarding goals. If these goals are not aligned through upper management, e.g., the C-Suite, it can create a massive disconnect between what is being deployed, how it’s being deployed, and the likelihood of success. 

Ultimately, overcoming this challenge can be relatively easy as long as the goals and operational realities go hand in hand. It just comes down to bringing all the most important stakeholders into the same room ahead of policy deployment and confirming everyone is on the same page with goals. If there are differences of opinion, this is where those opinions are resolved before any further steps are taken.

Lack of Leadership Commitment

Outside of not being aligned on goals, if a company’s leadership isn’t 100% supportive of the Hoshin Kanri rollout, it will create a bad situation for everyone. Leadership needs to provide the right direction, vision, and support for everyone involved in this opportunity. 

If the leadership team doesn’t exhibit the right attitude or behavior toward the rollout, it will be problematic for everyone. Problems roll downhill, so if leaders are not consistent in their messaging or even visible as part of the process, it will undermine every step, and employees will immediately be demotivated to take action to deploy process changes successfully. 

Bad Communication  

Any instance of bad communication can be a common mistake in Hoshin Kanri rollouts. There has to be a process in place that enables management to provide direct communication to employees, whether it’s through town halls, videos posted on an intranet, email, or some other communication tool, it has to happen. 

Separately, beyond just leadership communication, a common mistake is siloed communication between teams. If there isn’t enough communication between different stakeholders working on different projects, the next quarterly meeting where these two teams meet will show plenty of process breakdowns and will only need more work. It’s also possible that without communication, there could be duplication of work, which is why communication is so important. The best way to fix this is simply to ensure regular meetings. 

Resistance to Change

It goes without saying that there will be resistance to changes that came about as part of the deployment of Hoshin Kanri. It’s important that management inside an organization anticipate these changes and understand that moving a giant ship in a new direction takes time. 

Some people will undoubtedly view losing responsibilities or power as an affront to the amount of time they have spent working for a company. This is why there is no question that it’s critical to anticipate any potential resistance messages and work to counter them with messaging about the positive effects Hoshin Kanri will have on an organization, its people, and the bottom line. 

Not Enough Resources

If a company attempts to launch Hoshin Kanri but doesn’t devote the right resources to it, things will go wrong quickly. Depending on the type of organization, any policy deployment will require plenty of time, resources, human resources, training, operational changes, and several other considerations. 

It’s critical that companies anticipate the number of resources necessary to ensure the success of policy deployment. Without enough resources, a launch will have a negative impact and might doom it to failure from the start. 

There is no question that any company not willing to devote financial and human resources to policy deployment will find itself in a bad spot. In this scenario, a company is either “all in” or not. 

Relying On Outdated Tools

Any company that wants to launch a policy deployment program like Hoshin Kanri successfully must figure out how to rely entirely on spreadsheets and siloed data. These outdated tools are great resources, but relying entirely on them alongside things like email and PowerPoint could doom a Hoshin Kanri success story before it begins. 

Instead of laboring over spreadsheets and presentations, employees will be best served by looking at alternative tools that can help easily pass information along without holding anything up. 

Other Useful Tools and Concepts

There is no question that when rolled out successfully, Hoshin Kanri can lead to massive business success. Just ask Toyota. However, it’s very much up to leaders to help make it happen, which is why the role of leadership is such a critical component. 

If you’re looking for something that can counter Hoshin Kanri but works within the same principles, check out Lean Management. This not-so-dissimilar methodology has been equally successful for business in the past. 

Conclusion 

At the end of the day, successfully rolling out Hoshin Kanri depends on many factors, and all of them have to come together to make it all work. Unfortunately, mistakes can and do happen, and not only is this to be expected, but it’s completely okay. The hope is that organizations can learn from these mistakes and utilize them as learning opportunities to make a rollout even more successful in the end. 

The image featured at the top of this post is ©Roman Samborskyi/Shutterstock.com.