The PDCA cycle is a method for making changes to work processes and improving standards. The letters PDCA stand for Plan, Do, Check, and Act. This cycle is employed by people at many levels of an organization. In many ways, PDCA is a great introduction to Lean manufacturing. Like all Lean methodologies, the PDCA cycle pushes production toward efficiency and strives to make processes better. Leaders use it to improve and check in on standard work procedures, teams can use it during a kaizen event to make changes, and managers might use it after a Gemba walk to try out improvement suggestions.
During the 4 phases of the cycle, people do the following:
- Plan: Assess the current state and look for improvements. If a problem exists, examine it in detail. Develop possible solutions and means of execution. In this phase, gather as much information as possible to make informed decisions about how to proceed.
- Do: Try out the plans, making sure everyone involved understands the changes. This implementation phase is key to getting accurate results.
- Check: Follow up to see how effective the changes are. Spend some time comparing the new state to how things were previously
- Act: If the changes work, continue using them and make them the new standard. This will be the new point of reference for future PDCA efforts.
The cycle is continuous. This means once it's completed, people can begin looking for further solutions to implement in the future. This tool is an important part of kaizen (continuous improvement), as it provides a framework for carrying out ongoing changes.
Origins of the PDCA Cycle
Dr. W. Edwards Deming, a leader in the field of quality management, popularized the Plan-Do-Check-Act cycle, sometimes called the Deming Cycle or Shewhart Cycle, since Deming always credited American physicist Walter A. Shewhart's work for the basis of PDCA. Later in his life, Dr. Deming referred to this cycle as the PDSA cycle, changing the Check stage to Study to get people to do more analysis during this phase. In either case, this process is based on the scientific method where someone makes a hypothesis, tests it out, and takes appropriate action based on the results.
Implementing the PDCA Cycle
Any organization can use the PDCA cycle to differentiate itself from competitors, simplify operations, reduce expenses, increase profits, and keep its customers satisfied. Here are the 4 steps of implementing the PDCA cycle:
Plan
During this stage, you will plan what needs to be done for your project. It can be a major portion of your team's work depending on the project's size and involves breaking work into smaller steps to create a solid plan with minimal chances of mistakes. Remember, you and your team might need to review the plan several times before moving ahead so you can collect enough information before making decisions.
Do
Once you've finalized the plan, it's time to put it into action, which means applying everything you and your team considered in the previous stage. However, unexpected issues might come up during this phase so it's best to try out your plan on a small scale first in a controlled environment. It's also helpful to have a standard way of doing things to make it easier for your team to follow the plan. Everyone should know what their job is and what they are responsible for.
Check
When it's time to evaluate your plan, you need to focus on the "CHECK" phase. This is where you examine how well your plan was carried out and see if it turned out as expected. By doing this, your team can spot any issues with the plan and fix them for next time. If something doesn't go as planned, you should look into what caused the problem and learn from it. This is also your chance to make continuous improvements to your processes.
Act
If the changes work, continue using them and make them the new standard. This will be the new point of reference for future PDCA efforts. But if it doesn't work out, the company may need to go back to the beginning and make a new plan to try something different. The cycle is continuous. This means once it's completed, people can begin looking for further solutions to implement in the future. This tool is an important part of kaizen (continuous improvement), as it provides a framework for carrying out ongoing changes.
When to Use the PDCA Cycle?
The PDCA cycle can be used in any process to help a business continuously improve. By going through the cycle repeatedly, an organization can implement better standards, improve efficiency, and give better service to its customers to increase quality and a stronger competitive position.
You can use PDCA for:
Managing regular tasks: Set up and maintain consistent company day-to-day operations, and define a standard of quality for regular activities.
Managing Improvement: Maintain a consistent level of quality, continually adjust to changing conditions, and find ways to stand out in the market.
Benefits of the PDCA Cycle
Now let’s understand the benefits of using the PDCA cycle for continuous improvement in any business.
Identify Areas for Improvement
Following the four stages of the PDCA cycle can help you systematically analyze your organization’s current processes, identify gaps, and understand the root causes of problems. This way, you can have a deeper understanding of the challenges your business is currently facing and their possible solutions.
Implement Improvements Effectively
Organizations can prevent overwhelming their employees and minimize failure risk by dividing the improvement process into smaller, more manageable steps. Additionally, the PDCA cycle promotes continuous improvement, where each cycle builds on the previous one.
Data-Driven Decision Making
The cycle focuses on data collection and analysis for informed decision-making. This data-driven approach guarantees that improvements are based on evidence and not on assumptions.
Increased Adaptability
The cycle promotes a proactive approach to change. Regularly evaluating processes and looking for improvements can help businesses adjust to market shifts, customer needs, and emerging technologies.
Employee Engagement
It encourages employee involvement in the improvement process which improves their morale and creates a sense of ownership.
The Plan-Do-Check-Act Cycle and Lean Manufacturing
The PDCA cycle has become an important part of Lean manufacturing in many businesses. Like value stream mapping, OEE, and Takt time, PDCA can help identify waste for elimination and contribute to kaizen efforts. It's often used when a problem has been identified and people need to figure out how to fix it. The PDCA is a great step to take after a business has just evaluated their facility’s Takt time and discovered production to be out of sync. Another great time for PDCA is after they've calculated Overall Equipment Effectiveness (OEE) and found suboptimal results.
PDCA can be used at any time, though, regardless of whether a problem has presented itself. To start using PDCA, people involved should spend some time observing the current situation to determine what’s wrong or what could be done better. Having enough information makes a big difference in whether PDCA will yield successful results.
The PDCA cycle is a helpful way to think about improving any process in the workplace, so it’s beneficial to teach employees how to do it and have them participate in the process. PDCA is usually a team effort, but the thinking behind it can be used by individuals to improve their tasks, too.