What is Kaizen? Definition of Kaizen, Kaizen Meaning

Kaizen is a system that aims at continuous improvement. It is a term of Japanese origin that means "change for the better". It is a business philosophy ... Nifty16,818.10-40.5AbbottIndia19,181.101040.9ProInvestingbyAdityaBirlaSunLifeMutualFundInvestNowMiraeAssetHybridEquityFundDirect-Growth12.35% InvestNowMarketWatchSearch+HomeETPrimeMarketsNewsIndustryRISEPoliticsWealthMutualFundsTechJobsOpinionNRIPanacheETNOWMoreBusinessNews›Definitions›Business›KaizenCategoriesGlossaryEconomyInsuranceEquityTransportationSPORTSSpaceTechnologyEntertainmentAstronomyAnalyticsCommodityEducationFinanceHuman-ResourceMutualFundMathematicsReal-EstateMarketingSecurityShippingRetailHRSoftware-DevelopmenttestingBudgetBusinessSuggestanewDefinitionProposeddefinitionswillbeconsideredforinclusionintheEconomictimes.comBusinessPREVDEFINITIONInvoiceReadMoreNEXTDEFINITIONLquidationReadMoreWhatis'Kaizen'KaizenKaizenDefinitionKaizenisasystemthataimsatcontinuousimprovement.ItisatermofJapaneseoriginthatmeans"changeforthebetter".ItisabusinessphilosophyingrainedinJapanesecultureregardingtheprocessesthatcontinuouslyimproveoperationsandinvolveallemployees.Accordingtothissystem,productivityimprovementisaslowandsystematicprocess.Thereareseveralideasorprinciplesinthissystem.PrinciplesofKaizenToproperlyunderstandexactlywhatisKaizen,youneedtounderstanditsprinciples.Therearetenprinciplesinthissystemwhichareasfollows:Leaveassumptionsaside.Neverstoptheprocessofimprovement.Cullinformationfromvariousindividuals.Oncemistakesareidentified,findtheirsolutions.Establishanenvironmentthatfacilitatestheaccomplishmentoforganizationalgoals.Solveproblemsinaproactivemanner.Insteadoftryingtobeperfect,oneshouldgoforadaptivechange.Inordertogettotherootoftheproblem,ask"why"5timesratherthansimplyaccepttheobviousissue.Findnon-expensiveminorimprovementsbyusingcreativity.Don'tbesatisfiedwiththestatusquo.UnderstandingtheWorkingofKaizenThemajorobjectivesofthekaizensystemareasfollows:QualitycontrolJust-in-timedeliveryStandardizedworkUseofefficientequipmentEliminationofwasteInthissystem,youaresupposedtomakeminorchangesoveracertaintimeperiod.Theultimateaimhereistoenhancetheorganisationalworkplaceandmakeitmoreproductive.Kaizendoesn’tbelieveinaslowerlevelofprogress.Ratheritrecognizesthatminorchangescanhaveamassiveinfluenceinthefuture.Itdoesn’tmatterfromwhomtheimprovementscomewithinthecompany.Theycouldbefromemployersoranyemployee.StepsinKaizenBelowarethevariousstepsinthissystemthatshouldbepractisedonanongoingbasis:Seektheinvolvementofemployees.Appointresponsibilitytocertainemployeestorecogniseproblemsandgatherinformation.Collectandusefeedbackfromallemployeesinordertofindtheproblem.Iftherearemultipleimportantproblems,createalist.Thenextstepinvolvesmotivatingemployeestocomeupwithsolutions.Fromalistofallthesolutionsoffered,selectthebestone.Testtheselectedsolutionbyimplementingit.Makesureeveryoneparticipatesinit.Analyzetheresultsoftheimplementedsolutionatvariouspointsintime.Thismeanscheckingprogressatspecifictimeintervals.Ifresultsturnouttobegoodenough,thesolutionshouldbeadoptedonanorganisation-widesale.Keeponperformingtheabove-mentionedstepsonarepeatbasis.Keeponidentifyingnewerproblemsandtestingnewersolutions.Kaizen5SframeworkAmajoraspectoftheKaizensystemisthe5Sframework.Followingthisframework,anexemplaryphysicalworkplacecanbecreated.The5Sesemphasizethefollowing:CreationofavisualorderOrganizationCleanlinessStandardizationforenhancingprofitabilityEfficiencyServiceSafetyLetusbrieflydiscussthe5Ses:Shitsuke/Sustain:Thismeansdisciplineandcontinuouseffort.Seiso/Shine(cleanliness):Thismeansensuringthecleanlinessoftheworkspace.Seiri/Sort:Thisinvolvestheseparationofnecessaryitemsfromunnecessaryones.Seiton/Setinorder:Thisinvolvesanarrangementofitemstofacilitatetheirquickandeasyaccess.Seiketsu/Standardize:Thismeansastandardizedcleanupbyadoptingthemostefficientpractices.Whatarethevariousbenefitsofkaizen?Thevariousbenefitsofthissystemareasfollows:EfficientandsmootherprocessesWorkspacesthataresaferaswellascleanerProducingproductsandservicesofhighqualityMinimizationofcostsAhighlevelofengagementbytheemployeesHighlyefficientcustomerserviceWhatroledoesmanagementplayinaKaizensystem?Theroleofmanagementinthissystemisacrucialonewhichinvolves:Consistentlyidentifyingwaysforimprovingworkandperformance.Toidentifytheproblemsandsearchfortheirsolutionsthatcanbeeffectivelyimplemented.Ensuringthemaintenanceandimprovementofstandards.Establishinggoalsaimedatimprovement.Tosupportaparticularactionifthereisevidenceforit.ExplainthecontinuousimprovementmindsetinKaizen?Continuousimprovementisamindsetinthethissystem.Inthismindset,thereisaninvolvementofallemployeesandsmallchangesmustbeimplemented.Thisway,ahighlyefficientworkplacecanbecreated.Inshort,continuousimprovementimpliesthefollowing:Aconsistentenhancementorimprovement.Anaccurateandclear-cutdefiningofthegoalsoftheorganization.Providingmanagersandemployeeswithallthenecessarytoolstoaccomplishthegoals.Explainthestrategyofjust-in-time(JIT)inventory?Thestrategyofjust-in-time(JIT)inventorystrategyfacilitatestheminimizationofexcessiveinventorybythemanagement.Themanagementisabletodosobymatchingtherawmaterialsdeliveryandproductionschedule.WithJIT,organisationscanreducecostsbecausemanufacturershavenoneedtomakepaymentsofinventorycarryingcosts.Moreover,itresultsinthereductionofwastebecausethereisnoexcessinventorytobemaintained.Disclaimer:Thiscontentisauthoredbyanexternalagency.Theviewsexpressedherearethatoftherespectiveauthors/entitiesanddonotrepresenttheviewsofEconomicTimes(ET).ETdoesnotguarantee,vouchfororendorseanyofitscontentsnorisresponsiblefortheminanymannerwhatsoever.Pleasetakeallstepsnecessarytoascertainthatanyinformationandcontentprovidediscorrect,updatedandverified.ETherebydisclaimsanyandallwarranties,expressorimplied,relatingtothereportandanycontenttherein.KAIZENWHATISKAIZENKAIZENDEFINITIONPREVDEFINITIONInvoiceReadMoreNEXTDEFINITIONLquidationReadMoreAcquisitionhatisAcquisition?Anacquisitionisreferredtoasabusinesstransactioninwhichonefirmbuysallorpartofanothercompany'sstockorassets.Theacquisitioncommonlyhappenstogaincontrolofandexpandonthetargetcompany'sstrengthswhilealsocapturingenergies.Thiscanalsobeaccountableforanacquisitiondefinition.Therearethreekindsofbusinesspairings:acquisition(s);bothAmalgamationHaveyoueverplayedwithclaybefore?Orwater?Orsand?Ifyouhave,youmightknowthatputtingtwopiecesofclaytogetherformsanewpieceofclaymuchbiggerthanboth.Keepthisideainmindbecausethiswillhelpusunderstandtheconceptofamalgamation.Justastwopiecesofclaycometogethertoformanevenbiggerclay,thesamecanhappeninthefinancialworldwithcorporations.WhatBusinessIsBusiness?Abusinesscanbedescribedasanorganizationorenterprisingentitythatengagesinprofessional,commercialorindustrialactivities.Therecanbedifferenttypesofbusinessesdependingonvariousfactors.Somearefor-profit,whilesomearenon-profit.Similarly,theirownershipalsomakesthemdifferentfromeachother.Forinstance,therearesoleproprietorships,partnerships,BusinessEthicsicsEthicsareimportantforeverybusiness,theyarewhatsteeracompanyintherightdirection,andhelpitgainmoralbacking.Topicssuchasbribery,corruption,socialobligations,etccomeunderthestudyofbusinessethics.Theseethicsprotectthepublicandtheenvironmentfrommistreatmentandexploitationfromcorporations.Whatisbusinessethics?Businessethicsdefinition:BusinessethCapitaleXpenditurendituresAreyoustartinganewbusiness,orareyoualreadyanentrepreneurandnowwanttostartyourjourneyintheinvestmentfield,orareyoulearningaboutfinancing?Ifyes,thenyoumustgettowhatiscapitalexpenditureandwhatareitstypes,uses,andallotherthings.Readaheadtolearneverythingaboutfrom-fromCapExdefinitiontoitsadvantages.ThemoneyinvestedbyacompanytoChurnRateurnRateDefinitionThechurnrateatwhichabusinessoracompanylosesitscustomersoveraperiodoftime.Itmayalsorefertotherateatwhichemployeesquittheirjobattheforminagivenperiodoftime.Foracompanytoexperiencecontinuousgrowth,itisimportanttokeepitsgrowthrate(i.e.,thenumberofcustomersjoiningthecompany'sclientele)morethanitschurnrate.IntheteleCopyrighttIsCopyright?Copyrightisthelegalrightgiventoanintellectualpropertyowner.Asthetermsuggests,itistherighttocopy.Thus,copyrightmeaningisthatwhenapersoncreatesaproduct,theyowntherighttoit.So,onlythatindividualcanhavetheexclusiverighttoreproducethatworkoranyonetheygiveauthorizationto.CopyrightlawgrantstheoriginalcreatorsoftheproductaneCorpSocialResponsibilitycialresponsibilityCorporateSocialResponsibility(CSR)istheideathatacompanyshouldbeagoodneighbourandthinkabouthowitsactionswillaffecttheenvironmentandpeople.Sustainability(themakingofeconomic,social,andenvironmentalvalue)andESGarecloselyrelated(Environmental,Social,andGovernance).Allthreehavetodowithnon-financialthingsthatbusinessesofallsizesCurrentAssetstsWhatisCurrentAssets?Currentassetsareanessentialpartofacompany'sbalancesheet.Itcanbecash,anequivalentofcash,orsomethingacompanycanconvertwithin1-year.Theoperatingcycleofacompanymaybeoveroneyear.Inthatcase,theycanclassifyanassetasacurrentasset(alsocalledacurrentaccount)untiltheycanconvertitintocashwithintheiroperatingcycle.ThistCurrentRatiooWhenitcomestotheidentificationofabusiness’ssolvency,whichisitsabilitytospenditsshort-termobligationswiththeuseofexistingassets,onecanutilizemanyaccountingratios.Oneofthemostcommonlyusedonesisthecurrentratio,whichaidsintheevaluationofthecomprehensivefinancialstatusofanenterprise.IfyouarenotsureaboutwhatthecurrentratioisandwhyisitRelatedNewsDeVry,KaizennowteamupforEduPristineplayEdupristinehadpartneredwithDeVryEducationGroupin2014bylaunchingcontentcoursesofferedbyoneofDevry’ssubsidiaries.PEfirmKaizensetsupacceleratorinSiliconValleyPrivateequityfirmKaizenhassetupanacceleratorinSiliconValleyintheUStoenabletechnologytransferandkeepabreastofinnovationsinthesector.10businessjargonsthathavecaughtthefancyofthecorporateworldFromthedayswhenmanufacturingdominatedtheeconomytothegrowthofknowledge-basedcompaniesofthenoughties,businessjargonhasreflectedthetimes.ManagingProductionWhat’smore,newtechnologies,newanalyticaltoolsandnewwaysoflookingatcustomersaremakingitpossible,withgreaterprecisionthaneverbefore,tolearnwhatcustomerstrulyvalue.Kaizen,BertelsmanntoinvestRs22crinEducomp'sonlinebizEducompSolutionstodaysaidKaizenPrivateEquityandBertelsmannwillinvestRs22crinitse-tutoringandeducationsubsidiary,Authorgen.TrendingDefinitionsDebtfundsReporateMutualfundGrossdomesticproductDataminingAdvertisingProductMonopolyCryptographyDepreciation199000Sensexjumpsover500pts,Niftytests17,000;metal,autostocksrally262000BuyorSell:StockideasbyexpertsforSeptember29,2022109000Stocksinfocus:AnupamRasayan,RamcoCements,BlueDartandmore97000Governmentaimstocontrolnaturalgaspricestotameinflation,sourcessay124000Sensexdeclinesover400pts,Niftybelow16,900;banking,metalsstocksdrag298000BuyorSell:StockideasbyexpertsforSeptember28,2022115000Stocksinfocus:MaxVentures,BPCL,BirlaCorpandmore164000Sensexendsmarginallylower;Niftynear17K;IGLrallies7%173000Sensexrises300pts,Niftyabove17,050;FMCG,ITstocksgainMailthisDefinition