The Hansei Process Occurs Constantly And Consistently At Toy

The Hansei Process Occurs Constantly And Consistently At Toyota For

The hansei process occurs constantly and consistently. At Toyota, for example, even if a project is successful, there is still a hansei-kai (reflection meeting) to review what went wrong. According to Jeffrey Liker, author of "The Toyota Way," if a manager or engineer claims that there were not any problems with the project, he or she will be reminded that there is always room for improvement. In other words, they have not objectively and critically evaluated the project to find opportunities for improvement, or they did not stretch to meet (or exceed) their expected capacity. Reflect on the coursework that you completed while working toward the final project in this course, which you will be submitting this week, using the Hansei process.

Identify two things you would do differently if you were involved in a similar situation at Netflix in the future. Explain your rationale for the items you have identified and what your different approach would be. This will help you to create clear plans for ensuring that it does not reoccur. Case Study: Profile: Sharon Slade Sharon Slade is the chief human resources officer (CHRO) at Netflix. She has been in her role at Netflix for three years, having been recruited from General Electric, where she worked as the vice president of human resources.

Sharon rose through the ranks in human resources at GE and was instrumental in helping design, implement, and manage the GE performance and development process, which used what was called a vitality curve. In summary, the vitality curve was a modified bell curve, using a percentage. All professional employees were force-ranked by their individual performance against set goals and objectives each year. The top 20 percent of the workforce was identified as the best performers and were rewarded very well for their outstanding performance. The 70 percent majority was deemed as performing their job adequately; the employees ranked in the bottom 10 percent were identified as low producers and were terminated at the end of each year.

The program soon gained the nickname as the "rank and yank" performance process. Sharon accepted the CHRO job with Netflix as she saw its organizational values as fairly well aligned with her personal values and work ethic, several of which are as follows: You accomplish amazing amounts of important work; You learn rapidly and eagerly; You say what you think even if it is controversial; You make tough decisions without agonizing over them; You care intensely about Netflix’s success; You are known for candor and directness; Adequate performance is not good enough; adequate performance gets you a generous severance package; Netflix is like a pro sports team.

We hire, develop, and cut team members smartly so we have stars in every position. Employees describe Sharon as a fair but firm "tough cookie" who can hold her own in almost any setting. Employees fully understand she expects everyone on the Netflix team to give 110% of their talent and effort to achieve their goals and objectives, and she has little tolerance for those who fail to deliver on their objectives while citing excuses for why they failed. Sharon expects employees to proactively see where they are failing in their performance and develop an action plan to get themselves back on track and stay on track. Sharon has asked you to assist her in developing recommendations for a discussion with Alice Jones, a managing director at Netflix.

Last year, Alice’s department was reorganized to focus on growth, as the competition for on-demand entertainment increased significantly. The Netflix operations vice president expects Netflix to be number one in all on-demand entertainment categories and reorganized its operations to aggressively attain this goal. Sharon acknowledges that Alice was a very good performer at Netflix for several years but also knows her performance is faltering in this new aggressive growth model. Profile and Case Study Background: Alice Jones is an operations director at Netflix, a role that she has held for the past two years.

Alice started at Netflix 10 years ago and did very well in all her previous roles. As a result, she was a rising star at Netflix. Last year, Netflix faced significant challenges in the highly competitive on-demand entertainment industry. Her department was reorganized, and a new executive was brought in over her to lead the newly formed division. Alice was upset that she was not selected for the new role as the division leader, believing she had "earned her stripes" and deserved promotion. She initially resented her new boss, Jane Smith, an external hire from a Fortune 500 company with a track record as a transformational leader. Jane has experience in driving major change and is passionate about her role, actively improving division performance numbers. Jane has begun having detailed discussions with Alice regarding her low performance numbers, recognizing her talent and devotion but placing her on a performance improvement plan (PIP), which is uncommon at Netflix. Alice is concerned but understands she has a limited time—three months—to improve or face termination. She is working hard on her PIP goals and values the opportunity for improvement. Sharon plans to discuss Alice’s future at Netflix in two weeks, recognizing her previous high performance but also her current performance issues. Alice is only one month into her PIP but has shown effort. She is nervous about the upcoming meeting with Sharon, knowing her previous resistance to PIP at Netflix’s culture.

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The Hansei process, originating from Japanese management philosophy, emphasizes continuous reflection and improvement. This principle is deeply embedded within Toyota's culture, ensuring that regardless of success or failure, the organization consistently seeks to identify areas for growth. Applying the Hansei process to my coursework, particularly to the final project, provides an opportunity to critically analyze my performance and develop strategies for future improvement. Reflecting on my project, I identify two areas where I would approach differently if faced with a similar situation at Netflix, employing the Hansei philosophy to guide my development.

First Area of Improvement: Enhanced Stakeholder Communication

In my coursework project, one of the key challenges was managing stakeholder expectations effectively. Initially, I underestimated the importance of maintaining transparent and continuous communication with all stakeholders involved. I believe that a more proactive and structured communication plan would have significantly mitigated misunderstandings and misaligned expectations. At Netflix, where strategic initiatives are complex and involve multiple departments, clear communication is essential for alignment and success. My different approach would involve establishing regular update meetings, detailed progress reports, and an open-door policy for feedback and concerns from stakeholders. This approach would foster trust, facilitate early identification of potential issues, and allow for timely adjustments, aligning with the Hansei principle of relentless self-improvement.

Second Area of Improvement: More Rigorous Project Planning

The second area concerns project planning and risk management. During my project, I lacked a comprehensive risk assessment plan, which led to unforeseen challenges that delayed progress. Recognizing this weakness, I would implement a more rigorous planning phase in future projects, including detailed timelines, contingency plans, and risk mitigation strategies. At Netflix, where agility and responsiveness are critical, a disciplined planning process ensures smoother execution and the ability to adapt swiftly to unforeseen circumstances. My plan would also include periodic review checkpoints, aligning with the Hansei process of continuous reflection and course correction to promote ongoing learning and proactive problem-solving.

Conclusion

The Hansei process fosters a culture of ongoing self-assessment and continuous improvement. By reflecting on my coursework and identifying areas for growth—enhanced stakeholder communication and more rigorous project planning—I am better prepared to approach similar challenges in a professional setting like Netflix. Embracing this philosophy ensures that setbacks become opportunities for learning and growth, ultimately contributing to personal and organizational success. Practicing Hansei will allow me to develop a mindset of relentless self-improvement, crucial for thriving in dynamic and competitive environments such as Netflix’s entertainment industry.

References

• Liker, Jeffrey K. (2004). The Toyota Way: 14 Management Principles from the World’s Greatest Manufacturer. McGraw-Hill Education.
• Takeuchi, H., & Nonaka, I. (1986). The New New Product Development Game. Harvard Business Review, 64(1), 137-146.
• Ohno, Taiichi. (1988). Toyota Production System: Beyond Large-Scale Production. Productivity Press.
• Spear, S., & Bowen, H. (1999). Decoding the DNA of the Toyota Production System. Harvard Business Review, 77(5), 96-106.
• Hirano, H. (1995). 5 Pillars of the Visual Workplace: The Sourcebook for 5S Implementation. Productivity Press.
• Jeffrey Liker. (2009). The Toyota Way Fieldbook. McGraw-Hill Education.
• McCord, P. (2014). How Netflix reinvented HR. The Woman Behind the Netflix Culture. Netflix Culture: Freedom and Responsibility (PowerPoint presentation).
• Schwatz, R. (2010). The Power of Habit: Why We Do What We Do in Life and Business. Random House.
• HBR Staff. (2018). Managing Change at Netflix: The Role of Leadership. Harvard Business Review.
• Harvard Business School Publishing. (2017). Building a Culture of Continuous Improvement. Harvard Business Review Press.