Strategy deployment, often known in Lean circles as Hoshin Kanri or Policy Deployment, is a technique for ensuring that the strategic goals and objectives are the drivers of every activity throughout the organization. Strategy deployment software supports this effort by serving as the management platform for projects related to the goals. This post covers the benefits and capabilities of the best strategy deployment solutions.

As the end of 2018 quickly approaches, many management teams are somewhere in the process of preparing the plan for 2019. Regardless of where you are in that process, this is a good time to reflect on whether or not your 2018 strategy came to fruition. Did your organization achieve the goals it set out for itself? Was adequate progress made toward your long-term objectives? Was progress assessed adequately and frequently enough?

If your results were disappointing, you are not alone. Effective strategy deployment is a struggle for many organizations; it's common to start the year off with excellent intentions but struggle to align the origination around the strategy. Communication, feedback, and measurement all take hard work and constant attention - which is tough with the day-to-day firefighting most businesses are faced with.

The good news is that there are some ways to integrate strategic planning and management into the daily rhythm of your organization.

If you’ve decided to embrace the Lean business methodology, we offer our congratulations. It is an excellent approach to reducing waste, capturing opportunities for improvement, and creating a culture of innovation.

When most leaders start their Lean journey -- and it is a journey, we’re sure no one has achieved Lean perfection yet --  they focus on training managers and staff to ensure that they understand what Lean is really all about. This is a critical undertaking, but our clients have found that it is not enough on its own.

In addition to education, you and your team need the right tools in place to support Lean, and that starts with Lean management software.

Not only does software make your organization more effective at continuous improvement, but it also increases your strength as a leader.

Here’s why software should be a central part of your Lean strategy.

One of the most essential responsibilities of leaders is making sure that activities are driven by the strategic goals and objectives of the organization. Strategy deployment, also known as Hoshin Kanri or Policy Deployment is a technique for doing exactly that. The purpose is to ensure clear communications and consistent direction so that everyone is aligned and working toward the most critical breakthrough goals, often called True North. When successful, the strategy, day-to-day tactics, and operations are all in lockstep. The strategic deployment plan also serves as a feedback loop with key performance indicators coming from the bottom up.

Getting the most out of a strategy deployment plan requires preparation and active management. There are four critical stages to consider.

Hoshin Kanri (sometimes called "strategy deployment") is an approach that helps companies achieve breakthrough goals over a three- to five-year time horizon.

The methodology is effective because it allows leaders to keep their eye on the long-term objectives that will change the game, without losing sight of the day-to-day improvements that can add up to significant benefits.

However, we won’t lie. Effective strategy deployment isn’t easy.

Too often, the strategic plan gets lip service, but little else. If you are looking for help making sure that your organization arrives at “True North,” an X-Matrix might help.

X-Matrix Design

X-Matrices are visualization tool made up of five sections. The layout of the matrix helps define the relationships between each of them.

One thing that we like to remind our clients who are implementing the Hoshin Kanri method of strategy deployment is that most of your employees have probably been through strategic planning exercises before.

Even more likely, they’ve probably watched management go through an annual planning drill and then present the scheme to the rest of the organization like Charlton Heston as Moses in The Ten Commandments.

That means that the first order of business needs to be convincing the team that this is an entirely different approach that will have a meaningful impact on how work gets done. For that reason, it is necessary to have a solid plan for introducing Hoshin Kanri to the organization.

Here are a few of the things that we’ve seen work very well.

The Hoshin Kanri method of strategic planning and deployment is brilliantly simple, yet powerful. It helps organizations navigate toward their “true north,” while practicing continuous daily improvement. However, like most great ideas, the devil is in the details. When we talk to leaders who have tried the approach but failed to get the desired results, the problem is usually not in the effort, but instead, in the execution. We’ve compiled a few tips to help make sure you achieve the intended outcomes.

Provide training about the approach and let people know what to expect and why Hoshin Kanri is different from other strategic planning tools.

I’m just going to put this out there – your employees have been through strategic planning exercises before. Anyone who’s been around the block at all has seen various goal setting schemes come and go. You’ll probably get enthusiastic nods while you’re in the meeting, but expect eye rolls and Dilbert jokes as soon as management leaves the room. Success depends on convincing your team that this is not the annual plan that gets sent out and then stuck in a drawer. A large part of the discussion should be focused on how Hoshin Kanri will guide everyday decisions and be a consistent part of how the organization is managed.

If you have implemented - or are planning to implement - strategy deployment software, let me take a minute to congratulate you. Too many organizations leave what is arguably the most important function of the organization without support. Pat yourself on the back for recognizing that if software helps you manage everything from your finances to your customer relationships, it can help manage the strategic direction of the company as well. That said, not all strategy deployment software implementations are equally effective. We’ve seen leaders with their hearts in the right place make tactical mistakes that diminish - or even eliminate - the value of strategy deployment software. Don’t let these missteps happen to you.

Hoshin Kanri is a powerful strategic planning tool because it helps align the organization top to bottom around breakthrough objectives. It lets leaders take the long view with a three to five-year plan, but addresses the need to have short-term goals as well. Our clients that use the approach find that it makes decision making easier and speeds the way to consensus. Here are a few best practices that they have uncovered along the way.

We get the chance to chat with folks who are interested in implementing strategy deployment software within their organizations almost every day. Most of the people we talk to really understand the need for this kind of solution and how it can benefit their company. Convincing others, however, can be a challenge. Not everyone immediately recognizes the valuable returns that a structured approach to strategy execution can provide. We’d like to help. Here are the most important elements of a compelling case for strategy deployment software, along with some relevant quotes from business leaders and other visionaries.