Strategic Kaizen: Master Plan (episode 1 of 10)

 30/06/2021
By Dr. Alin Posteucă

Strategic KAIZEN: The Master Plan based on Productivity Business Model

The Strategic KAIZEN projects play a central role in the continuous fulfillment of the Manufacturing Cost Improvement (MCI) targets in the Manufacturing Cost Policy Deployment (MCPD) system by directing strategic systematic improvements aimed at reducing / eliminating the costs of the 37 main categories of losses and waste scientifically determined.

The first book on MCPD presents the 7 basic steps of MCPD that take place with a specific general framework called Productivity Business Model which aims to continuously support the Productivity Master Plan (thinking model presented in the first 66 pages of the book).

In order to continuously support Productivity Master Plan, Strategic KAIZEN and KAIKAKU projects are planned, implemented and evaluated continuously. In MCPD thinking, the concept of Cost Policy means Manufacturing Cost Improvement Targets and Means. The Strategic KAIZEN and KAIKAKU projects are Manufacturing Cost Improvement Means to achieve Manufacturing Cost Improvement Targets.

The concept of Strategic KAIZEN was presented for the first time in step 4 (annual action plan for MCI for each product family cost to meet MCI targets) and in step 5 (engage the workforce to execute the MCI targets) of the MCPD system (in 2017).

The concept of Strategic KAIZEN has over 50 appearances in the text of the first book about MCPD in 2017 such as:

”…mid-term business strategy and mid-term cost improvement strategy need detailing of the long-term, both systemic (KAIKAKU) and systematic (KAIZEN) strategicimprovement projects.” (p.101);

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”…evaluation of past performance (usually the last three years) is done in detail for key performance indicators (KPIs) (…) refers to the identification of those KPIs that should support strategic improvement projects, both systemic (KAIKAKU) and systematic (KAIZEN).” (p.103).

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”The process of translation of strategies and objectives to concrete actions (policy deployment) at the level of the entire company requires systematic and systemic improvements at all levels of the organization, both on the short term and, especially, on the medium and long terms” (p. 84)

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Dr. Alin Posteucă is a consultant in productivity and profitability, CEO of Exegens® and the author of Manufacturing Cost Policy Deployment (MCPD) and Speed-Based Target Profit (SBTP) concepts. His major research areas include manufacturing policy deployment, manufacturing cost improvement and visible profitability of operational excellence by improving productivity. His recent research includes the impact of Industry 4.0 on planning and developing synchronous profitable operations and on information systems of cost and budget in order to substantially improve the operational unit costs.

He has been actively involved in various industrial consulting and training projects for more than 20 years, delivering training/ workshop programs in Productivity, Innovation, Business Transformation and Leadership for over 5,000 participants.

He has a Ph.D. in Industrial Engineering and a Ph.D. in Managerial Accounting. He has an MBA Degree and a BA Degree in Accounting and Computer Science and he is certified Public Accountant in Romania. He has published in various research journals and presented papers at numerous conferences and congresses regarding Productivity, Profitability and Industrial Engineering.

Dr. Alin Posteucă is the author of Manufacturing Cost Policy Deployment (MCPD) and Speed-Based Target Profit (SBTP) concepts, published in four books at Productivity Press – Routledge/ CRC, New York (USA).

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