Desktop Banner
Mobile Banner

Hoshin Kanri

Achieve True North: Align team, Execute Strategies, Deliver Results

Hoshin Kanri (also called Policy Deployment) is a strategic planning and execution methodology used to align an organization’s goals (the “True North”) with its daily operations. Originating from Japanese Total Quality Management (TQM) practices, the term translates roughly to “direction setting” (Hoshin = compass, Kanri = management/control).

Hoshin Kanri is the most superior approach for performance measurement and improvement across organisation covering all functions and employees. Hoshin Kanri ensures

  • Long-term vision and strategic objectives are cascaded down to all levels of the organization
  • Day-to-day activities are aligned with company goals
  • Progress is measured, reviewed, and continuously improved

Our expertise in Hoshin Kanri and HoshinPMS performance management system can help you achieve greater results through right strategies, managing continuous improvement projects & its implementation. We help you establish appropriate 3 to 5 year long term business objectives, and translate those to annual objectives with concrete actions and targets.

Our Hoshin Kanri Impact

+ 0 % +25

Improvement in employee performance

0 % -40

Reduction of low performers

+ 0 % +50

Increase in achievement of set targets

+ 0 % +50

Improvement in execution of strategies

Benefits of Hoshin Kanri

Strategic Goal Alignment

Ensures every department and team contributes to company-wide goals through cascading process for goal and strategy deployment

Strategic Resource Deployment

Ensures that an organization’s resources—people, time, capital, and capabilities—are focused on the most critical strategic objectives based on 80/20 principle.

Focussed Execution

Bridges the gap between strategic vision and daily operations by aligning goals, activities, and resources at every level.

Continuous Improvement Culture

Integrates PDCA (Plan-Do-Check-Act) and continuous projects into strategic planning and daily management.

Employee Ownership

Encourages participation and engagement from all levels through the catchball goal deployment process for setting goals and strategies. This process improves commitment, understanding and ownership for goals.

Improved Employee Performance

Regular reviews process as per Hoshin Control process helps improve performance by taking quick actions based on problem solving and gap analysis.


Steps of Hoshin Karni

Hoshin Planning

Hoshin Planning (Strategic Planning Phase) is the starting point of the Hoshin Kanri process focusing on defining the organisation’s strategic direction and priorities. At this stage, corporate strategy is shaped using data, reflection, and creativity using following methodology:

  • Hansei Reflection: It begins with a wide scan and reflection (hansei) to assess current performance.
  • SWOT Analysis: Narrow the focus by analyzing strengths, weaknesses, opportunities, and threats, and defining long-term vision and priorities.
  • Hoshin Goals & Strategies: Establish clear Hoshin goals. Explore multiple strategic options to address weaknesses and leverage strengths, then select the highest-impact strategies for maximum results.
  • L1 Goal Deployment: Deploy selected strategies into Level 1 (L1) goals, creating the foundation for cascading objectives across all levels of the organization.

Hoshin Deployment

Hoshin Deployment is the process of translating an organization’s long-term strategy into actionable goals at every level using following methodology:

  • Cascading of Corporate goals: Corporate (L1) goals cascade down through functions, departments, teams, and finally into daily work (L4), ensuring alignment across the organization. This process uses catchball, a two-way dialogue that validates feasibility, aligns resources, and creates ownership. 
  • Goals & Strategies at each level: Each level defines its own goals connected to higher-level objectives, ensuring that individual efforts directly support corporate strategy. The outcome is a clear line of sight from boardroom strategy to frontline execution, with every employee engaged in delivering the vision.

Hoshin Control

Hoshin Control ensures that deployed goals are continuously managed and sustained through following tools and techniques. 

  • Continuous Improvement Projects: It balances strategy execution through Continuous improvement projects and strategy execution plans for senior and middle managers.
  • Daily Work Management: For ground level teams, a daily work management system is established to achieve the set goals and targets.
  • Regular Reviews: Progress is tracked through structured daily, weekly, and monthly reviews, enabling quick correction of deviations. 
  • Recognition and Rewards: Recognition and reward systems act as the powerhouse, reinforcing achievements and sustaining motivation. 

By combining disciplined review cycles with positive reinforcement, Hoshin Control ensures strategies are not just deployed but also effectively executed and embedded into the organization’s culture. 

Key tools used in Hoshin Kanri

Pareto Analysis

Hansei

PDCA

Catchball

SWOT

Loose Brick Analysis

Daily Work Management

HoshinPMS

Achieve new levels of performance and efficiency by implementing a digital lean system integrated with performance of the organisation. Discover how a Hoshin Kanri–based Performance Management System enables smarter, faster, and more advanced lean implementation.

Our Clients Results

CASE STUDY

Multi-subsidiary food group drives performance and culture change using Hoshin Kanri

Hoshin Kanri

A large FMCG group in Kenya with multiple operating subsidiaries across Kenya and Uganda used Hoshin Kanri to turn its strategic intent into a clear set of priorities, align plants and functions behind those goals, and build a disciplined performance-improvement and continuous-improvement culture across the organisation.

Advanced Lean Manufacturing Tools

Connect with our Experts!

With experience across diverse industries and challenges, we deliver unparalleled insights and solutions especially designed as per the needs. For more details, contact us today!

contact-with-expert-form