The Deming circle is an iterative method of management, whose purpose is to obtain the continuous improvement of a product, process or service in an organization. The first thing that should be clear is the awareness, both of management and employees, to adopt the mentality of continuous improvement.
This improvement mindset will be the foundation for achieving significant increases in efficiency and productivity. The implementation of this model starts from the identification of events susceptible to improvement and the establishment of the objectives to be achieved.
Subsequently, the planning and execution processes of the activities, verification of the results and taking actions on what has been learned are given. This circle, popularized by Dr. WE Deming, believes that performance management must be integrated into operational activities.
In this way, it contributes to significantly improve the productivity of the company. The implementation of this systematic method brings the company a reduction in operational costs. In addition, it optimizes productivity, increases market share and increases profitability.
Stages
To plan
The planning phase involves investigating what is happening. Causes are determined and possible solutions are identified in order to add improvements to the process.
To develop this phase it is important to be clear about what types of results are desired; This way, the process can be guided around the achievement of that goal.
This stage of the process can be divided into two parts. First, it is necessary to delimit the problem, in the current state in which it is.
Then you need to make a plan to fix it. They should include not only the changes they want to make, but also a step-by-step implementation strategy.
Do
In this phase, what was planned in the previous stage is put into practice. Testing is generally done on a small scale and, if effective, implemented at the macro level.
This implies not only making the change to end the process, but also the need to continuously monitor it while it is being carried out, recording as much data as possible about the strategy being taken.
The systematic and objective compilation will provide the necessary evidence to determine if the implemented change really works or not.
check
After the test has been in place for a while, it will yield enough information about how the proposed change affected the problem.
This information should be analyzed and the results measured, to compare them with the expected results and see the similarities or differences between them.
Tracking the results will allow you to test the validity of the plan, looking for signs of progress and success, or problems and areas that need improvement.
Act
If the proposed solution delivered some significant results and is profitable, it can be implemented. Otherwise, it is advisable to investigate another way to solve the problem or identify a more feasible solution.
In this phase, the learning generated by the entire process can be used to adjust the objective, change the methods, reformulate a theory completely or extend the learning cycle.
It is important to remember that this step is nominally the last, but it is not the end of the process. If necessary, the cycle should be repeated over and over again until constant improvement is found; This will help drive the culture of continuous improvement.
Advantage
- The iterative nature of the circle allows continuous attention to improve quality.
- Because everyone is part of the general process, there is a feeling of integration that positively affects the entire organization.
- Its applicability is unlimited. Because Deming's circle is a methodology divided into four well-defined steps, it is adjustable to any type of objectives and situations.
- It can be used both in solving business leadership problems and in product manufacturing processes, corresponding to the area of production and quality control.
- Allows a company to test the change it wants to implement on a small scale before spending on a method that may not work or require adjustment.
- After a new process method is successfully verified and analyzed, the company can extend its application to other departments, with the guarantee that it will provide the expected benefits.
Disadvantages
- It works better when the conditions are perfect, having no place for those variables that may arise during the development of the project.
- It may not be the appropriate approach to face an emergency, since with the four steps that must be followed, progress is usually slow. The circle is more methodical than other operational plans, making it inefficient if quick action needs to be implemented.
- A project can stay too long in the early stages, analyzing the situation to which it is going to be applied. Over-analysis is an effective way to kill a project. While the cycle allows for careful planning, the actual work only occurs in the final action phase.
- Often the end result is relegated to the process. In an organization, the processes are important, but it is the results that will make the benefits of the implemented change tangible.
- In each of the stages of this circle, great emphasis is placed on teamwork. This makes it extremely difficult to assess individual worker performance.
Example
Company ABC wants to produce more plastic dog bowls.
To plan
The production report indicates that a high rate of packages come out with defects, which represents losses for the company.
This is complemented by the quality report for that department, indicating a significant decrease in the number of articles that meet the optimal conditions for marketing.
To solve this, it has been proposed to coordinate a training course for operating personnel on the effective handling of production machines.
Do
A theoretical-practical training course was organized for the personnel who operate machine number 2, out of a total of three machines that the company has.
Once the workshop was over, the operators went back to their usual tasks within the company.
check
The results showed an increase of 40% in the production volume of machine number 2, when compared with the volume registered by this machine before the training of its operating personnel.
Act
In view of the improvements in the productivity of the production process due to the increase in the quantity of finished products, it was decided to extend the training course to the operating personnel who operate the other two machines.
References
- Paul Arveson (1998). The Deming Cycle. Balance score card institute. Taken from: balancedscorecard.org.
- Wikipedia (2018). Taken from: en.wikipedia.org.
- ASQ Learn about quality (2018). Plan-do-check-act (pdca) cycle. Taken from: asq.org.
- Al Bondigas (2018). Weaknesses of the Deming Cycle. Small business - Chron. Taken from: smallbusiness.chron.com.
- Luanne Kelchner (2017). PDCA Benefits. Bizfluent. Taken from: bizfluent.com.
- Nayab N. (2013). Exploring the Uses of Plan-Do-Check-Act (PDCA) Cycles. Bright hub project management. Taken from: brighthubpm.com.