Kaizen explained

Kaizen - a definition
This philosophy implies that small,
incremental changes routinely applied and
sustained over a long period result in
significant improvements.

https://www.epa.gov/sustainability/lean-thinking-and-methods-kaizen
Kaizen tools
value stream mapping
This technique involves flowcharting the steps, …, and other process elements that are involved with a process or transformation.
This helps to identify the non-value-adding elements in a targeted process. It can be used in phase 1 to identify areas to target as
kaizen events.

The 5 whys (root-cause analysis)

Simple asking "why" five times and answering it each time to uncover the root cause of a problem.

Blue ocean strategy ( the innovative approach)

The Eliminate , Reduce, Raise and Create approach ER2C
ER C Framework (Blue Ocean Strategy)
2
The innovative approach
Eliminate Raise

Which practice/factor is Which practice/factor should

irrelevant and should be be raised well above the
eliminated? present situation?

Reduce Create

Which practice/factor is being Which practice/factor should be

overdone and should be created that has never been
reduced? offered before?
 Method & implementation approach
1
Get • Phase 1: Planning & Preparation
employees • Identify target area for improvement
Involved. • Focus on the specific problem within the target area (time taken to perform, quality
2
improvement, new control measures etc..)
Gather
• Create cross-functional teams (also involve people from outside the targeted areas)
Kaizen a list of
problems.
• Define duration of event (depending on scale of the problem not too long)

cycle for
continuous • Phase 2: Implementation
improvement 3
• develop a clear understanding of the "current state" of the targeted process
• Adopt a tool commonly used : value stream mapping , the 5 whys or ER2C approach
Encourage • team members should observe and record improvements achieved .
solutions,
then choose
an idea.
• Phase 3: Follow-up
• Identify key performance indicators
5 4
ularly • Publish and share , accept feedback & suggestions from all
Test the • Routinely track key performance indicators and report
ure and
solution.
se the
ults.
 1
Get
employees
Involved.
7 2

Repeat on Gather
an ongoing Kaizen a list of
problems.
basis.
cycle for
continuous
improvement
3
6 Kaizen requires identifying areas
If successful, Encourage
For improvement, creating solutions
adopt the solutions,
and plans for a rollout – and then
solution. then choose
cycling through the process again
an idea.
for other issues or issues that
were inadequately
addressed
5 4
Regularly
measure and Test the
analyse the solution.
results.
 KAIZEN REPORT
SUBJECT PROCESS / PROJECT
Before After
(incl. pictures, diagrams, etc) (incl. pictures, diagrams, etc)
   

Benefits: Accuracy Quality Cost Timeliness Efficiency Waste Safety Energy Moral

Originated by:   An
  …. team initiative
 KAIZEN REPORT
SUBJECT PROCESS / PROJECT
__________________ __________________
Before After
(incl. pictures, diagrams, etc) (incl. pictures, diagrams, etc)
   
Previous
process New
improved
process

Highlight the
benefit(s) of
the new
process

Benefits: Accuracy Quality Cost Timeliness Efficiency Waste Safety Energy Moral

explain adv.    
gained in a
few words
Originated by: An …. team initiative
 KAIZEN REPORT
e1
pl
am

SUBJECT
ex

Verify closing bank balance with GL balance PROCESS / PROJECT

Before After
(incl. pictures, diagrams, etc) (incl. pictures, diagrams, etc)
1. Retrieve report from OF (MT/CELL/TP)-5 min 1. Retrieve report from Tableau - 3 min
2. Input figures in Excel sheet - 10 min 2. Input bank figures - 10 min
3. Verify with OF report - 20 min

Benefits: Accuracy Quality Cost  Timeliness Efficiency Waste Safety Energy

  Moral
Efficiency - Time taken for this task has been reduced by 22 min on average.

Originated by: Karuni An AR team initiative

 KAIZEN
KAIZENREPORT
REPORT
e2
pl SUBJECT PROCESS / PROJECT
am
SUBJECT PROCESS / PROJECT
Returned cheques (IRDs)
ex

Returned cheques (IRDs)

Before After
(incl. pictures,Before
diagrams, etc) (incl. pictures,After
diagrams, etc)
1.Record IRD details on SMILE (Excel file) (incl. pictures, diagrams, etc) 1. Record IRD details on SMILE (Excel file) (incl. pictures, diagrams, etc)
1.Record
2. Print IRD details
IRD details fromon SMILE
Excel (Excel
sheet file)
(2 copies) 1. Record
2. Print IRD details
IRD details fromon SMILE
Excel (Excel
sheet file)
(1 copy)
3. One copy with IRDs is sent to Treasury copies)
2. Print IRD details from Excel sheet (2 3. Printed IRD details is signed by Karuni copy)
2. Print IRD details from Excel sheet (1
3. One
4. One copy
copy with IRDs is sent to Treasury
is filed 3. Printed
4. IRDs IRD details
+ printed is signed
IRD details by Treasury
sent to Karuni
4. One
5. IRD copysent
details is filed
by mail to Seema Foeud 4. IRDs
5 .IRD + printed
details + scanIRD details
of IRDs sent totoTreasury
e-mailed Seema Foeud (cc Karuni)
5. IRD details sent by mail to Seema Foeud 5 .IRD details + scan of IRDs e-mailed to
6. Save scanned IRDs to SMILE for future reference Seema Foeud (cc Karuni)
6. Save scanned IRDs to SMILE for future reference

   
   
Benefits: Accuracy Quality Cost Timeliness Efficiency Waste Safety Energy Moral
Waste - No more printing of IRD details & filing
Efficiency - Queries from Treasury, auditors etc. will be more easily met as IRDs are saved on SMILE + e-mails sent to Treasury available as backup

Originated by: Ashveen An AR team initiative