PDCA Cycle in Lean: What is the Plan-Do-Check-Act Cycle?

Table of Contents: 

1. What is the PDCA Cycle? 
2. Origin & Evolution of PDCA (Plan-Do-Check-Act)
3. The Four Phases of PDCA Cycle 

• Phase 1: Plan 
• Phase 2: Do 
• Phase 3: Check 
• Phase 4: Act 

4. Best Practices for PDCA Cycle 
5. Benefits of PDCA 

Implementation of Lean practices come with leveraging the best Lean tools and techniques to achieve desired objectives. Any industry or a business organization aiming to deliver high value to customers must seek Lean consultancy. Lean as a management philosophy and tool eliminates waste, enables problem solving, encourages employee engagement and promotes continuous improvement. Among the many tools of Lean, PDCA or Plan-Do-Check-Act is an essential tool that enables organizations to identify problematic areas that hinders quality of work. Let us look more closely at this important and core Lean tool. 

1. What is the PDCA Cycle? 

The PDCA cycle refers to the Plan-Do-Check-Act. It is a straightforward and easy to follow iterative method. PDCA is used to identify mistakes in a process, understand the reason behind them, and eliminate these mistakes for better improvement. It is a continuous and ongoing loop that ensures that operations remain error-free and quality is maintained by enhancing value and reducing non-value adding work. 

For PDCA to come into play, standardization has to be introduced first.  The continuous improvement will only be visible when a company or a project team is ready to challenge the existing work structures and techniques and find new and improved ways to deliver high value in minimal time. If a team of employees or an organization shows resistance to change, then PDCA or any tool of Lean implementation will fall flat in the face. 

This methodology or tool was first introduced by American physicist and engineer, Walter A. Shewhart in its proto form. Later, William Edwards Deming, American industrial engineer, management consultant found ways to improve and refine the process for delivering optimal outcomes. More on this below. 

2. Origin & Evolution of PDCA (Plan-Do-Check-Act)

Speaking of the origin and evolution of PDCA, in its infancy stage it was called the “Shewhart cycle”. This was because Walter A. Shewhart was the first engineer to present this concept. Initially, it was a 3-step iterative cycle for process improvement. The three steps of the Shewhart Cycle were: 1). Specify 2). Produce, and 3). Inspect. 

Many years later, the cycle was further refined and made into a four-step process. This four-step process or cycle was proposed by Willian Edward Demind. This four-step cycle was used for learning, identifying mistakes and improvement. These steps include: 1) Design, 2) Make, 3) Sell, and 4) Test. In 1951, the Japanese Union of Scientists and Engineers (JUSE) redesigned this model and it became known as the PDCA cycle. 

3. The Four Phases of PDCA Cycle

PDCA cycle is an integral part of Lean management and is used as an iterative method to continuously improve product and service quality.  PDCA is also used for guiding a team of workers through the stage of process improvement whether it’s related to a product or a service. The end goal for any process improvement under Lean is delivering superior value to customers at the cost they are willing to spend. 

PDCA is also a test to check whether a proposed hypothesis is relevant and would result in desired outcomes. Keeping continuous improvement at help, the process of PDCA is never ending and must be continued in a loop (cycle) so that it keeps showing how to improve processes. Let’s look more into the four phases of the PDCA cycle. 

Phase 1: P – PLAN

“If you have failed to plan, you have planned to fail” stands true for most businesses. Without proper planning there is not even a shred of hope for any process to work or succeed. Therefore, you must plan according to the project at hand and consider its scale and scope. You must share ideas with your team and invite them to share their perspectives and based on those gatherings prepare a solid action plan. In the PLAN phase, there are few questions that one must put forth to create a planning document. 

Suggested Questions to Ask in the Planning Phase: 

1. What are the main problems areas or gaps to focus on?
2. What could be the ideal and cost-effective solutions to solve the given problem?
3. How many resources do we have available to fix the problem?
4. What measurements will we use to track whether the implemented change brought the desired results? 
5. Are there any extra resources required for implementation of the change?

Phase 2: D – DO  

Once you are satisfied with your plan and have completed the documentation regarding how to go about implementing changes, it’s time for action. This is exactly what the “Do” phase tells you to do. You have made a solid and foolproof plan, now it’s time for you to effectively execute the plan. Remember the PDCA Cycle is an iterative process, so there will be some setbacks and unexpected failures. Therefore, execute a small part of the plan in a controlled environment  and assess its results. Make sure to document any small or big changes that occur due to the execution of the plan. Use standardization for a better understanding and flow. 

Phase 3: C – CHECK 

Next comes the most crucial phase of the PDCA cycle: Check. To avoid recurring mistakes or  reassess your plan, it’s essential that you must take proactive measures in the check phase. This involves analyzing results and sharing them with your team after a certain set period of time. This inspection will help you see whether your executed plan was effective or not in the first place. And if  there are any areas that require further root cause analysis. 

Phase 4: A – ACT

Now you reach the final phase of the PDCA cycle, the ACT Phase. What you designed,  executed and checked will need action. If everything goes as planned with zero errors in the process of DO and checking, you can go ahead with your initial plan. This PDCA cycle is now the standard to follow for every employee to improve the work processes. 

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4. Best Practices for PDCA Cycle 

Simply put, the best practices for PDCA cycle are as follows:

1. Using data, root cause analysis, etc. to create a strong base for planning. 
2. Make sure you have all the necessary time, budget and resources for implementation of the plan in the DO stage of the cycle. 
3. Have a continuous check phase that isn’t just limited to data collection but also includes in-depth analysis of implemented changes.  
4. If any changes didn’t meet the desired action, go back again and check for the root cause of the problem. 

5. Benefits of PDCA 

To leverage the PDCA cycle and get the benefits of it, seek services of a Lean consulting company that can help you with proper Lean implementation. The 5 main benefits of PDCA cycle are mentioned below:

• Effective and efficient problem solving.
• Data-Driven decision making for process improvement and value creation.
• Continuous improvement in achieving higher goals and performance over a period of time.
• Identification and elimination of waste leads to effective cost saving. 
• The PDCA cycle allows for flexibility and adaptability based on the ever-changing circumstances.