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1.

0 Introduction to Continuous Improvement

1.1 Definition

Continuous improvement is, as the name suggests, a practice of constantly


reexamining and improving processors. The terms continuous improvements can be very
abstract if not placed in a specific context. Explained shortly, it is a never-ending strive for
perfection in everything you do. In Lean management, continuous improvement is also
known as Kaizen.

Kaizen originated in Japan shortly after the end of the Second World War. It gained
massive popularity in manufacturing and became one of the foundations of Toyota’s rise
from a small car maker to the largest automobile manufacturer on the planet. In the context
of the Lean methodology, continuous improvement seeks to improve every process in your
company by focusing on enhancing the activities that generate the most value for your
customers while removing as many waste activities as possible.

Continuous improvement means to consistently strive to improve your products or


service according to the highest standards. It is a process which, in the long term, achieves
customer focus, enhanced quality of service delivery, simplified processes and procedures,
attitudinal change and recognition of customers, both internal and external.

Continuous improvement is now a necessity. As companies compete for survival and for
market dominance, they must consider:

 Ever higher productivity

 That customer loyalty is decreasing; customers now look for what product or
service best meets their needs, not who is offering it

 Product life cycles are decreasing

 Aiming for zero defects

 The effect of technology on business and customers

 That those who cannot maintain improvement are falling behind


1.2 Benefits to Organization

Continuous improvement processes allow businesses to uncover problems and find


ways to fix them. Small, positive changers made overtime can dramatically impact a
business’s overall process.

With practice and time, companies learn internally how to work in an organized
efficient manner, identify opportunities, and make changes accordingly. They also learn how
to pinpoint areas where value is added, where value is absent, and how to dispose of
invaluable waste.

An organization that adopts the continuous improvement approach will see


immeasurable benefits, including:

 Increased productivity and efficiency


Continuous improvements in processes can help remove inefficiencies and
ultimately improve the productivity of team members. With tools for enhancing
processes, organizations can evaluate performance metrics and evolve processes
without restricting the way teams work. Reporting and analytics provide insights
into delivery trends to remove bottlenecks, predict future issues, and adapt
workflow processes for improved productivity.

 Faster time to market


Improving processes by adopting tools such as Kanban boards and Gantt Charts can
help companies deliver software applications and other products into production
more quickly. Scrum teams, Kanban teams, and operations teams can achieve a
continuous flow of value by identifying hurdles sooner and resolving them more
quickly.

 Improved product quality


In addition to accelerating development, process improvements can lead to higher
product quality. For example, by deploying the proper testing methods, companies
can be more assured that products will advance to production only when
performance, security, integration, and other issues have been resolved.
 Increased customer satisfaction and loyalty
Producing higher-quality products and delivering them in a timely manner can lead
to more satisfied customers. Happy customers are often return customers, and
that loyalty leads to increased revenue for businesses.

 Improved employee morale


Inefficient processes can be highly discouraging for workers. Who wants to be part
of a system that’s broken and leads to frustration? “Weak business processes can
cause the morale of even the most hard-working employees to decline if they start
to feel that all their efforts are being overwhelmed by the flaws of a system,” notes
online job site Cleverism.

 Competitive advantage
Continuous process improvements can help set companies apart from their
competition. As noted in an Industry Week article, “the key to differentiating your
company is that your competitors do not design products, process orders through
customer service, manufacture them in your plants or even sell and distribute
them exactly like you do, and that’s where you can create a uniqueness that could
yield a competitive advantage. It also is where your continuous improvement
projects are concentrated.”
1.3 Steps to Start Continuous Improvement in Organization

The Continual Improvement Process (CIP) is an ongoing effort to improve products,


services, or processes. It’s is a six step systematic approach to plan, sequence and implement
improvement efforts using data and elaborates on the Shewhart Cycle (Act, Plan, Do, Study).
The CIP provides a common language and methodology which enables understanding the
improvement process. The CIP always links back to each organization own goals and
priorities.

The six (6) steps of the Continuous Improvement Process are:

1. Identify Improvement Opportunity:


Select the appropriate process for improvement, evaluate process and select a
challenge or problem
2. Analyse:
Identify and verify the root cause(s)
3. Take Action: 
Plan and implement actions that correct the root cause(s)
4. Study Results:
Confirm the actions taken to achieve the target
5. Standardize Solution: 
Ensure the improved level of performance is maintained
6. Plan for Future:
Plan what is to be done with any remaining problems and evaluate the team’s
effectiveness set a target for improvement

Tools that can be used to help with the Continual Improvement Process are:

 Flowcharts

 Affinity Diagram

 Pareto Chart

 Cause and Effect Diagram

 Scatter Diagram

 Check Sheet
 Control Chart
References

http://acqnotes.com/acqnote/careerfields/continuous-improvement-process

https://en.wikipedia.org/wiki/Continual_improvement_process

https://www.planview.com/resources/articles/why-process-improvement-important/

https://sielearning.tafensw.edu.au/toolboxes/toolbox316/ci/ci_c01.html

https://www.cmtc.com/blog/the-benefits-of-adopting-a-continuous-improvement-approach

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