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Hoshin Kanri: Policy Management In Japanese‐Owned UK Subsidiaries

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  • Barry J. Witcher
  • Rosemary Butterworth

Abstract

This paper presents the findings from an ESRC two‐year research project about Hoshin Kanri (policy management). Hoshin Kanri is a form of corporate‐wide management that combines strategic management and operational management by linking the achievement of top management goals with daily management at an operation level. The research explored practice in real time in three Japanese manufacturing UK‐based subsidiaries. This paper consists of: an introductory review of the Hoshin Kanri and Japanization literature; a description of the research and a presentation of the three case studies and the main specific issues; and a discussion of the model and the parts played by lean working and TQM, catchball and nemawashi, strategic management, and the uniqueness of Hoshin Kanri, especially in relation to conventional planning, MBO (management by objectives), and the balanced scorecard. Hoshin Kanri is found to be an organizing framework for policy‐based objectives. These are translated into QCDE (quality, cost, delivery, education) targets which are used in daily management to drive progress. Hoshin Kanri employs a participative approach to developing and deploying objectives, and is driven by a process of review. Hoshin Kanri must be managed as a process. Some of the main issues include changes in organization and personnel, problems with administering periodic review, and cross‐functional working in departmental forms of organization.

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  • Barry J. Witcher & Rosemary Butterworth, 2001. "Hoshin Kanri: Policy Management In Japanese‐Owned UK Subsidiaries," Journal of Management Studies, Wiley Blackwell, vol. 38(5), pages 651-674, July.
    • Handle: RePEc:bla:jomstd:v:38:y:2001:i:5:p:651-674
    DOI: 10.1111/1467-6486.00253
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    Cited by:

    1. Beatriz Gaspar & António Carrizo Moreira & Carolina Cercas & Rafaela Queirós & Salomé Campos, 2022. "The Internationalization of Nongovernmental Organizations: Characteristics and Challenges," Administrative Sciences, MDPI, vol. 12(4), pages 1-23, October.
    2. Klaus E. Meyer & Chengguang Li & Andreas P. J. Schotter, 2020. "Managing the MNE subsidiary: Advancing a multi-level and dynamic research agenda," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(4), pages 538-576, June.
    3. Chau, Vinh Sum & Gilman, Mark & Serbanica, Cristina, 2017. "Aligning university–industry interactions: The role of boundary spanning in intellectual capital transfer," Technological Forecasting and Social Change, Elsevier, vol. 123(C), pages 199-209.
    4. Klaus E. Meyer & Chengguang Li & Andreas P. J. Schotter, 0. "Managing the MNE subsidiary: Advancing a multi-level and dynamic research agenda," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 0, pages 1-39.
    5. Elaine Lawrence & Duncan Andrews & Brian Ralph & Chris France, 2002. "Applying organizational environmental tools and techniques," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 9(2), pages 116-125, June.

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