Page 179 - How To Implement Lean Manufacturing

Planning and Goals 157

Lean Manufacturing System

5 Yr. 1 Yr.
Vision Plan

CEO’s Plan
annual
audit Deploy
to all
Audit Execute
Monthly
review

Daily Detailed
management Implementation

Quality Consultants

FIGURE 9-1 The H-K planning model.

wish to highlight two. First, H-K planning is an integrated continuous process that is
graphically described in Fig. 9-1. It includes long-range planning such as the five-year
vision and the one-year plan, and also requires periodic reviews as well as daily man-
agement. This is in contrast to most planning efforts, which have a huge influx of effort
and management time at only the goal development and quarterly review. In Leanspeak,
H-K planning is a continuous, rather than a batch, planning process.
However, beyond this the key uniqueness in H-K planning is the concept of “catch-
ball,” which is most evident at the goal development phase. Just what is this thing
called “catchball”?
In “catchball,” goals are first created by top management based on the needs of the
business. These goals are “what” must be controlled to be successful. The manager then
introduces this goal to the next level and asks “how” do we do that? The next level
replies as to “how” it must be done, including help that may be needed from top man-
agement. This creates a down-up-down-up-down process somewhat like negotiation, except it
is not a negotiation. Its purpose is to make sure the goals are properly aligned and the means
exist to execute the goals. The next level turns their “how” into a “what” and asks their
subordinates, “How will you do that?” and so forth…
For example. The plant manager decides we must improve OEE by 15 percent, that
is the “what” that must be accomplished. This goal then goes to the production man-
ager, and the plant manager asks him “how” he will do it. The production manager says
he will improve OEE by reducing machinery downtime, but he needs another engi-
neer… Maybe both agree, if so, the goal goes to the next level. Hence a down-up-down
process that leads to agreement of the goals and the means to achieve the goals.
The process of “Catchball” has a number of extremely strong benefits, including:
• Goals are thoroughly deployed.
• Goals are mutually understood.