The kaizen, or continuous improvement, cycle and the maintenance cycle are the two major subcycles used to control the cost reduction process. Explain the four steps of the kaizen subcycle and the maintenance cycle
The kaizen subcycle is entails a Plan-Do-Check-Act sequence. The Plan step consists of setting kaizen standards, which are currently attainable standards that reflect the planned improvement that should be achieved for the coming period. The Do step consists of taking action to implement the planned improvements. The Check step involves comparing actual results, such as costs, to the kaizen standard to provide a measure of the level of improvement that was attained. Finally, in the Act step, this new level is set as a minimum standard for future performance, which locks in the realized improvements. This simultaneously initiates the maintenance cycle and a search for additional improvement opportunities.
The maintenance cycle follows a traditional Standard-Do-Check-Act sequence. First, a standard is set based on prior improvements, thus locking in these improvements. The Do step consists of taking action. The Check step involves checking the results to ensure that performance conforms to this new level. Finally, if the performance does not conform to the new level, the Act step entails taking corrective action to restore performance.
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