Hoshin Kanri and A3: a proposal for integrating variability into the policy deployment process

Purpose: The purpose of this paper is to propose a methodology to support the Hoshin Kanri (HK) process taking into account the variance of senior managers’ perspective regarding the relationships among objectives, key performance indicators and continuous improvement (CI) projects. Design/methodology/approach: A four-step methodology incorporates the A3 report into the HK, whose deployment was weighted by the variability among managers’ perception about the importance of each decision. This methodology was applied in a market-leader Mexican auto parts manufacturing company that is undergoing a Lean Manufacturing (LM) implementation. Findings: The results indicate that the proposed methodology provides an easier approach to consolidate different perspectives and weight the importance of CI projects. Moreover, it minimizes the possibility of managerial conflicts or the influence of a determined senior manager on others’ opinions during the deployment and prioritization. Practical implications: This work may be of great interest to managers, consultants and professionals who deal with the implementation of LM and wish to prioritize the importance of CI projects within the perspective of HK. Originality/value: HK provides a systematic approach to integrate strategic management with daily routine management through an adequate deployment of organizational policies to all levels. However, companies usually struggle with several issues such as the style of senior managers and consensus establishment among different opinions, which emphasizes the relevance of the proposed methodology in this study.