We believe that policy deployment, also known as strategy deployment (Hoshin Kanri or Hoshin Planning) is the most effective method for ensuring executional success. Policy Deployment is a multi-year planning and alignment process with an annualized focus on implementation, all with the goal of achieving strategic long-term breakthrough objectives beyond historical measures.
TBM is the leading consulting service provider for Policy Deployment development and implementation. We provide the framework and structure for you to successfully implement a management system and business process for executional excellence, including:
- Identifying the critical 3-5 year breakthroughs, the one-year objectives, annual improvement priorities and measurable targets for each initiative.
- Management system design and implementation for working "in" and "on" the business
- Management and associate training for Policy Deployment, root cause identification and countermeasure culture
TBM provides the framework and structure of a business management system to achieve your critical strategic breakthrough objectives, including: driving profitable sales growth, increasing speed to market, operating effectively across a global footprint, creating free cash flow, creating a culture of flexibility and responsiveness, and implementing a culture of operational excellence. A dynamic approach to strategy deployment can improve the success rate.
Here are some sobering statistics related to execution success that TBM can help your organization overcome:
In the late 1980s, Anand Sharma, TBM founder and CEO, worked with a Japanese business leader, Dr. Fakuda, to leverage a planning and execution tool known as the X-Matrix as part of a higher-level management process for improving executional success. Over the past twenty years, companies like Danaher, Hubbell and Vermeer have adopted the Policy Deployment / Strategy Deployment process to focus on strategic objectives that will drive breakthrough performance and ensure a disciplined process for achieving those objectives.
We work with your leadership team to develop breakthrough goals, ensure that everyone understands the business changes required to achieve them, and zero-in on the two to three breakthroughs that will deliver the optimum results. We can help you translate three- five-year objectives into annual goals and priorities and set concrete performance targets. We help you balance work "in the business" with working "on the business."
We also realize that it takes a significant effort on behalf of the management team and project owners to embrace the Policy Deployment process. We therefore developed and introduced Dploy Solutions, a cloud-based system that helps managers focus, monitor, and measure and sustain improvement efforts by providing a global, real-time view of progress across the entire organization. The tool drives visibility and accountability by helping leaders prioritize objectives, focus on projects that will make a meaningful impact, and quickly identify and initiate root-cause analysis and countermeasure actions to ensure that progress continues to be made.
Clients that embrace Policy Deployment (Hoshin Kanri) tend to outperform the market and their nearest competitors. For example, Danaher Corporation leverages the Danaher Business System and the Policy Deployment process to create huge shareholder value. Hubbell CEO Tim Powers has used the Policy Deployment process for 11 years now and says it has been a key contributor to their success.
EPS Trends for Public Companies
Embracing Policy Deployment
TBM success stories include:
- Went from a $1.3B (2001) to a $2.9B business in 2011 despite a severe economic downturn and a service offering heavily embedded in new construction
- Increased net income from $48 to $268 million in 2011
- Reduced inventory from 93 to 49 days and generated $240M+ cash in five years
In 2010, Vermeer set out to create a five-year strategic breakthrough plan to nearly double their revenue and EBITDA by 2015
- They already achieved their EBITDA objective three years ahead of schedule
- They are on track to achieve their revenue target two years early
- Management engagement / commitment gives them strong ability to execute
- They have created an exceptional enterprise-wide culture of high performance and continuous learning
WIKA ALEXANDER WIEGAND SE & CO. KG
WIKA's long-term objective was to create a new business model for differentiation, value creation and growth. Through the use of Policy Deployment, the organization has achieved significant breakthrough results
- 2X sales in 10 years
- 1% EBIT improvement every year
- Productivity gains in all aspects including sales and administration
- Improved profitability during recession
In "Leadership Is a Contact Sport," Pactiv CEO and President John McGrath shares his passion for going where the action is. He talks about how Policy Deployment (also known as Strategy Deployment) and the Pactiv Business System guides strategic execution, performance improvement, and talent development at the global foodservice and packaging supplier.
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Customer Insights: TBM and Dploy Solutions help a plastics manufacturer take the mystery out of strategy deployment
This report reveals how a customer needed to provide its employees with a clear line of sight into its business strategy - from the over-arching strategic vision to the operator level.
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This product demo explains how the Dploy Strategy provides the framework and structure to enable the Policy Deployment process at your organization - across multiple sites and cross-functional teams.
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This report describes the only comprehensive cloud-based management system that aligns business initiatives with strategic and operational objectives. Read more and request a personal demo for you and your team.
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More and more companies are using policy deployment—a management tactic that is also known as strategy deployment, Hoshin Kanri, or Hoshin Planning—to keep change and process improvement activities aligned with strategic objectives. Achieving business targets depends in large part on how well policy deployment itself is executed across multiple businesses, sites and teams. As this management briefing describes, companies that maintain a strong linkage between projects and objectives are more likely to make business changes that contribute to both cost savings and revenue growth year after year. The extent of that contribution depends on how well projects are executed at all levels.
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