PDCA (Plan-Do-Check-Act) is a problem-solving iterative method for improving processes and products continuously. Let’s discover each stage of the PDCA cycle and the benefits it will bring to your processes.
Explained briefly, the Plan-Do-Check-Act cycle is a model for carrying out change. It is an essential part of the Lean manufacturing philosophy and a key prerequisite for continuous improvement of people and processes.
First proposed by Walter Shewhart and later developed by William Deming, the PDCA cycle became a widespread framework for constant improvements in manufacturing, management, and other areas.
PDCA is a simple four-stage method that enables teams to avoid recurring mistakes and improve processes.
As we've explained the PDCA's meaning, let’s get deeper into the topic and learn more about the cycle.
The American statistician and physicist Walter Shewhart is considered the father of PDCA. He was passionate about statistical analysis and quality improvement, and he built the foundation of PDCA recorded in numerous publications.
At first, he developed a 3-step repeating cycle for process improvement also known as "the Shewhart cycle". The three phases of this cycle were:
Years later, inspired by Shewhart’s ideas, William Deming expanded the model into a learning and improvement cycle consisting of the following steps:
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This model was redesigned by the Japanese Union of Scientists and Engineers (JUSE) in 1951 and became what we know today as a PDCA cycle.
PDCA cycle is an iterative process for continually improving products, people, and services. It became an integral part of what is known today as Lean management. The Plan-Do-Check-Act model includes solutions testing, analyzing results, and improving the process.
For example, imagine that you have plenty of customer complaints about the slow response rate of your support team. Then you will probably need to improve the way your team works to keep customers satisfied. That is the point where PDCA comes into play.
Let’s take a closer look at the four stages of the PDCA process.
PLAN stage of PDCA cycle
At this stage, you will literally plan what needs to be done. Depending on the project's size, planning can take a major part of your team’s efforts. It will usually consist of smaller steps so that you can build a proper plan with fewer possibilities of failure.
Before you move to the next stage, you need to be sure that you answered some basic concerns:
Keep in mind you and your team may need to go through the plan a couple of times before being able to proceed. In this case, it is appropriate to use a technique for creating and maintaining open feedback loops, such as Hoshin Kanri Catchball. It will allow you to collect enough information before you decide to proceed.
DO Stage of PDCA cycle
After you have agreed on the plan, it is time to take action. At this stage, you will apply everything that has been considered during the previous stage.
Be aware that unpredicted problems may occur at this phase. This is why, in a perfect situation, you may first try to incorporate your plan on a small scale and in a controlled environment.
Standardization is something that will definitely help your team apply the plan smoothly. Make sure that everybody knows their roles and responsibilities.
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CHECK stage of PDCA cycle
This is probably the most important stage of the PDCA cycle. If you want to clarify your plan, avoid recurring mistakes, and apply continuous improvement successfully, you need to pay enough attention to the CHECK phase.
This is the time to audit your plan’s execution and see if your initial plan actually worked. Moreover, your team will be able to identify problematic parts of the current process and eliminate them in the future. If something goes wrong during the process, you need to analyze it and find the root cause of the problems.
ACT stage of PDCA cycle
Finally, you arrive at the last stage of the Plan-Do-Check-Act cycle. Previously, you developed, applied, and checked your plan. Now, you need to act.
If everything seems perfect and your team managed to achieve the original goals, then you can proceed and apply your initial plan.
It can be appropriate to adopt the whole plan if objectives are met. Respectively, your PDCA model will become the new standard baseline. However, every time you repeat a standardized plan, remind your team to go through all steps again and try to improve carefully.
The PDCA methodology is widely used for problem-solving and to create quality process improvements. By deploying this model, organizations aim to enhance their internal and external processes by eliminating any issues along the way of the work process.
The cyclical nature of this model allows teams to identify and remove defects early in the process and restart the cycle until the desired outcome is reached. This increases efficiency and eliminates ineffective elements until the optimal solution can be identified.
Because of the continuous approach of PDCA, organizations can use this model to gather relevant information before considering whether to progress with a plan or make improvements. This data-driven approach provides a ground basis for organizations’ continuous improvement of processes, products, services, and people.
A specific characteristic of PDCA is that it is relatively versatile. This trait of the cycle allows it to be used across various businesses, organizations, departments, and even individual teams. There is no limitation in terms of its implementation, and it could be applied in the following scenarios:
Reducing waste in all aspects of work is an all-time mission for Nestlé. To respond to this message, the company successfully rolled out the concept of Lean management. Furthermore, they introduced the Kaizen method to make sure that everyone in the company meets the idea of continuous improvement. Following the principle of Kaizen that every slight improvement should be made to increase efficiency and reduce costs, the company implemented the PDCA cycle to provide guidelines. (Source: TheGemba.com)
In addition, Nestlé Waters is an example of how techniques such as Value Stream Mapping (VSM) can help illustrate the flow of materials and information from raw material to the final product. As a result of implementing this process, the bottling plant has experienced a significant increase in its process efficiency.
Lockheed Martin operates in the aerospace industry and is a bright example of how the Kaizen methodology brings results to a company's operations. Implementing the PDCA cycle has standardized the projects and increased the quality of the products and services by targeting a problem and solving it through multiple iterations. Improvements were noticed in the period 1992-1997 when the company made 38% reduction in manufacturing costs, 50% reduction in inventory, and a reduction in delivery time from 42 to 21.5 months. (Source: 6Sigma.com)
Nike embraced Lean manufacturing with the belief that this continuous improvement philosophy is the foundation of their advanced sustainable manufacturing and empowering their workforce. To improve the quality of work conditions and deliver the highest-quality product while eliminating non-value-added activities, Nike implemented the PDCA cycle as part of their process improvement training. (Source: OpEx Learning)
The PDCA cycle is a simple but powerful framework for fixing issues on any level of your organization. It can be part of a bigger planning process, such as Hoshin Kanri.
The repetitive approach helps your team find and test solutions and improve them through a waste-reducing cycle.
The PDCA process includes a mandatory commitment to continuous improvement, and it can have a positive impact on productivity and efficiency.
Finally, keep in mind that the PDCA model requires a certain amount of time, and it may not be appropriate for solving urgent issues.
Six Sigma is a quality and process improvement approach that provides organizations with a set of tools and techniques to improve work performance and increase the quality of products and services. One of the tools included in that toolset is the PDCA cycle.
While Six Sigma provides the framework for determining what is slowing the process, methods like PDCA explain the steps to identify and eliminate issues.
PDCA stands for "Plan-Do-Check-Act", whereas PDSA is for "Plan-Do-Study-Act". Even though these two 4-step models are designed to bring improvements into processes, the difference between them is one stage in each cycle.
At the "Check" stage in PDCA, the team needs to audit its plan’s execution and see if its initial plan worked. In contrast, the "Study" stage in PDSA aims to analyze in depth the results of any change applied at each step, ensuring long-term process improvements. Either way, you can use both models by studying and checking the results obtained from tests.
Both PDCA and Kaizen strive for continuous improvement through small, incremental changes and creating an organizational culture of Lean thinkers and problem-solvers. The developed Kaizen methodology includes doing small experiments and monitoring results, then adjusting when new improvements are suggested. To apply this concept in practice, the PDCA cycle provides a framework to promote improvements continuously.
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