Is PDCA outdated? Why is OODA gaining attention in the manufacturing industry?
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Not just PDCA! Achieve rapid response to drastic changes in the manufacturing industry with the OODA loop. We have summarized the differences and how to utilize both.
In the manufacturing industry, the PDCA (Plan-Do-Check-Act) cycle is often used as a framework for improvement and decision-making, but in recent years, the "OODA Loop" has gained attention. OODA consists of four steps: "Observe, Orient, Decide, and Act," emphasizing responsiveness to change. On the other hand, PDCA focuses on stable improvement through repeated planning and verification, consisting of "Plan, Do, Check, and Act." The difference lies in speed and purpose. PDCA is strong in long-term quality improvement and standardization, but tends to be weak in responding to sudden changes due to the time it takes for planning. In contrast, OODA is effective in situations that require speed, such as responding to anomalies on the shop floor, fluctuations in demand, and new product development. Particularly in smart factories that utilize IoT and real-time data, the responsiveness of OODA can lead to competitive advantage. In conclusion, a hybrid approach that establishes a foundation with PDCA while enhancing adaptability to change with OODA is ideal in the manufacturing industry. By incorporating both stability and speed in a balanced manner, it is possible to enhance both operational and managerial capabilities.
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basic information
■Differences between PDCA and OODA ●Origins ・ PDCA: Developed from quality management and improvement activities (Dr. Deming) ・ OODA: Developed from military strategy (John Boyd) ●Purpose ・ PDCA: Stable improvement and standardization ・ OODA: Immediate response to change and emphasis on speed ●Process ・ PDCA: Plan → Do → Check → Act [Focus on planning] ・ OODA: Observe → Orient → Decide → Act [Focus on observation and judgment] ●Application Scenarios ・ PDCA: Long-term quality improvement, routine operations ・ OODA: High uncertainty situations, trouble response, demand fluctuations ●Characteristics ・ PDCA: Takes time for planning but offers high stability ・ OODA: Prioritizes immediate judgment over planning, offers high flexibility ●Strengths ・ PDCA: Standardization and continuous improvement ・ OODA: Speed and adaptability to change
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Applications/Examples of results
■Accelerating the Product Development Process (Major Electronics Manufacturer / Automotive OEM) - Background: A situation where a review of advanced development and product architecture is necessary. - OODA Implementation Efforts: Running the development process in short cycles, repeatedly executing "Observe → Orient → Decide → Act." - Results: - A 33% increase in productivity within 3 months in the first phase (electronics manufacturer). - A productivity increase of 18-23% in the automotive OEM.
Company information
We provide services such as on-site development, contract development, and consulting to customers around the world in the IT/network field. Our core competency is software design and development. Additionally, leveraging the expertise we have cultivated in IT/network, we respond to all needs, including business process outsourcing and offshore development. We have 19 locations in Japan and 8 development centers, offering services to a wide range of customers, including telecommunications operators, system integrators, electrical equipment manufacturers, and manufacturers.
