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be slow to catch up because during resistant to change. Individuals any new problems that are tackled
the time it takes to develop, install, with this mind-set will not want to will be those previously considered
and test new systems, companies delegate decision making to factory- less significant.
using kaizen have moved on, floor workers. If their good ideas are
boosting productivity to an even constantly ignored by managers, The rewards of risk
higher level. This may be seen as employees will quickly become Technology and consumer tastes
analagous to the fable by Aesop disillusioned and stop contributing. change. From time to time the
in which the plodding tortoise A company’s industrial relations old product, and with it the old
trumps the sprinting—then history can also affect the outcome methods of production, will need to
delaying—hare. Increased of kaizen. In general, the chances of be discarded in favor of something
productivity achieved by kaizen success with kaizen fall if there is a new and radical. Companies that
tends to be cheaper to obtain than lack of trust between the favor kaizen may tend to eschew
productivity growth achieved by management and the work force. radical overhauls in favor of less
BPR. The source of kaizen Employees may see kaizen in a dramatic change. The danger here is
improvement is people. Employee cynical way—feeling that the plan is that they can end up being left
ideas are essentially free, unlike just another management ruse to behind by their bolder rivals. A good
expensive new machinery for a get more out of the work force example of a company that suffered
new production system. without offering anything in return. as a result of this approach is Nokia.
Kaizen is built on the premise For many years the Finnish
Is kaizen always effective? that no production method is perfect; cell-phone company enjoyed great
However, in some companies systems can always be improved success by sticking to its classic
kaizen does not work. Middle through employee suggestions. But design of “Candybar” phones.
managers and supervisors who are is this always true? Logically, However, in the meantime rival
inclined toward an autocratic businesses will try to use kaizen to companies such as Samsung and
leadership style typically resent fix key problems first. It could be Apple took greater risks, and as
kaizen: they enjoy making all the argued that, over time, the benefits a result, out-innovated Nokia,
decisions and are sometimes of kaizen are likely to fall steadily as taking away their market lead. ■

Aesop’s fable tells how the
tortoise wins a race against
the hare by slowly advancing to
the finish while the hare sprints
and then riskily naps. Kaizen
can be viewed as the tortoise,
making minor adjustments
daily, while the hare can be
viewed as BPR, making rapid,
dramatic changes.

The hare’s
The tortoise overconfidence
demonstrates that causes him to lose the
steady progress, race, much as the big,
such as that bold changes wrought
achieved using kaizen by BPR can prove
methods, can be the less effective in
better approach to the long run.
winning the race.