What is The Hoshin Planning System, and what are best practices, tools and online templates for teams and organizations?
Definition of Hoshin Planning System
The Hoshin Planning System is a seven-step procedure that outlines how to implement business strategy. More specifically, this system aims to align the goals that the organization is trying to achieve with its strategy and the resources that are available within the company.
Description of Hoshin Planning System
The seven steps in the Hoshin Planning System should be followed in this order:
- Step 1: Establish Organizational Vision. Before creating a new vision statement, it is important to assess the current state of the organization to determine how far away it is from what it is envisioned to be. This assessment involves examining current policies, organizational hierarchies, current long-term goals, and older mission and vision statements.
- Step 2: Develop Breakthrough Objectives. A breakthrough objective is the large-scale change that the organization wants to make that should take roughly three to five years to implement. Identifying these larger changes involves exploring new areas in the industry, new clientele, etc.
- Step 3: Develop Annual Objectives. This stage involves breaking the larger goals into smaller goals for the year.
- Step 4: Deploy Annual Objectives. After identifying the yearly goals, break them down into actionable items for each department or individual in the company. In this way, every level of the organization is collectively working toward achieving the breakthrough objectives. Breaking it down in this way helps to align and integrate every level of the company. Additionally, progress toward smaller goals should be monitored and completion dates should be cataloged to record progress towards the breakthrough objective.
- Step 5: Implement Annual Objectives. At the end of each year, the smaller tasks that are needed to implement the annual improvements should be completed.
- Step 6: Conduct Monthly Reviews. Keeping detailed records of smaller task completion will help to determine how successful the organization is in meeting its larger goals and will also help to identify any changes to current tasks or new projects that need to be added to the strategy. Having a meeting every month helps to keep everyone accountable for getting their work done efficiently and on time.
- Step 7: Conduct Annual Reviews. Meetings should also be held at the end of the year to determine how far off target the organization is from reaching its breakthrough objectives. Keeping track of this progress will help to determine what should be done differently the following year.
Tools & Templates
The Balanced Scorecard and SWOT analyses can be used to complement the Hoshin Planning System. Specific metrics and data analyses are often needed to assess progress around cascading Hoshin Planning Systems.
upBOARD's Online Hoshin Planning System Tools & Templates
Unlike most traditional Hoshin Planning System techniques, upBOARD’s online Hoshin Planning System tools allow any team or organization to instantly begin working with our web templates and input forms. Our digital platform goes far beyond other software tools by including progress dashboards, data integration from existing documents or other SaaS software, elegant intuitive designs, and full access on any desktop or mobile device.
Learn more about upBOARD’s portfolio of other business strategy best practice tools and templates, including:
2 X 2 Matrix, ADL Matrix, Affinity Diagrams, Baker’s 4 Strategies of Influence, Balanced Scorecard, Benchmarking, Blue Ocean Strategy, Bowman Strategy Clock, Build-Measure-Learn Feedback Loop, Business Model Canvas, CAGE Distance Framework, Competitive Analysis, Competitive Landscape Analysis, Contingency Planning, Core Competence Analysis, Critical Success Factors, Discovery Driven Planning, Economic Value Added, First Mover Advantage, Five Forces Model, Force Field Analysis, Gap Analysis, GE McKinsey 9-Box Matrix, Go To Market Strategy, Hambrick & Frederickson’s Strategy Diamond, Hedgehog Model, Hook Model of Behavioral Design, Hoshin Planning System, Kay’s Distinctive Capabilities Framework, Key Outcome Indicators, Kotler’s Five Product Levels Model, Kotler’s Pricing Strategies, Lafley & Martin’s Five Step Strategy Model, McKinsey 7S Model, McKinsey’s Seven Degrees of Freedom for Growth, Mergers & Acquisitions, Mission Statements, Mullin’s Seven Domains Model, OGSM Framework, Ohmae’s 3-C’s Model, Partner Relationship Management, PEST Analysis, PESTLE Analysis, Porter’s Diamond, Portfolio Management, Purpose Statements, Pyramid of Purpose, Scenario Planning, Simonson & Rosen’s Influence Mix, SMART Performance Metrics, SMARTER Goals, SOAR, Strategic Goals, Strategy Map, Strategy Roadmap, Strategy Uncertainty Map, SWOT Analysis, TOWS Matrix, Triple Bottom Line, USP Analysis, Value Chain Analysis, Value Disciplines Model, Value Net Model, Values Statement, Vision Statements, VRIO Analysis, and Weisbord’s Six-Box Model.