kaizen practices and its effect on business …

KAIZEN PRACTICES AND ITS EFFECT ON BUSINESS

PERFORMANCE: THE CASE OF DASHEN BREWERIES,

DEBREBERHANPLANT

DEBRE BERHAN UNIVERSITY SCHOOL OF GRADUATE

STUDIES COLLEGE OF BUSINESS AND ECONOMICS

DEPARTMENT OF MANAGEMENTPROGRAM (MBA)

.

BY: KELEM TESFAYE

JUNE, 2021

DEBRE BERHAN, ETHIOPIA

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page i

DEBRE BERHAN UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMCS

DEPARTMENT OF MANAGEMENT (MBA) PROGRAM

KAIZEN PRACTICES AND ITS EFFECT ON BUSINESS PERFORMANCE: THE CASE

OF DASHEN BREWERIES, DEBREBERHANPLANT

BY: KELEM TESFAYE

ADVISOR: HAILE YESHANEW (PHD)

THESIS SUBMITTED TO THE SCHOOL OF GRADUATE STUDIES,

DEBRE BERHAN UNIVERSITY, DEPARTMENT OF MANAGEMENT IN PARTIAL

FULFILLMENT OF THE REQUIREMENT FOR THE AWARED OF MASTER OF

ARTS IN BUSINESS ADMINISTRATION (MBA)

JUNE, 2021

DEBRE BERHAN, ETHIOPIA

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page ii

STUDENT’S DECLARATION

I, the undersigned, KelemTesfaye declare that this study entitled ―Kaizen Practices and its Effect

on Business performance: The Case of Dashen Breweries, DebreBerhan Plant‖ is the research I

undertook independently with the guidance and support of my advisor. This study has not

been submitted for any degree or diploma program in this or any other institution and that all

sources of materials used for the thesis have been duly accredited.

Declared by

Name: KELEM TESFAYE

Signature: _____________

Date: ____/___/2021

Place:DeberBerhan.Ethiopia

Advisor: Name--HAILE YESHANEW (PHD)

Signature: ______________

Date: ___/___/2021

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page iii

APPROVAL OF THE THESIS

DEBRE BERHAN UNIVERSITY

SCHOOL OF GRADUATE STUDIES

This is to certify that the thesis prepared by KelemTesfaye, entitled: Kaizen Practices and its

Effect on Business performance: The Case of Dashen Breweries, DebreBerhan Plant,

submitted in partial fulfillment of the requirements for the Degree of Master of Business

Administration in Management complies with the regulations of the University and meets the

accepted standards with respect to originality and quality.

Signed by the Examining Committee:

External Examiner _____________________ Signature _________ Date _________

Internal Examiner _____________________Signature _________ Date _________

Advisor _____________________Signature _________Date _________

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page iv

ACKNOWLEDGEMENTS

It is the grace, mercy, charity, forgiveness, help and kindness of the Almighty God that brought

this arduous work to an end. Hence my heartfelt and warmest gratitude goes to God, the creator

and sustainer my life.

My warmest appreciation also goes to Haile Yesanew (Phd), my advisor, who was at my side

providing me with constructive suggestions and comments and his warmest welcome at times I

came up with perplexing situations. How could it be possible to come to an end without such a

support!

I am also indebted to employees and administrative workers of Dashen Breweries, DebreBerhan

Plant. My family was at my side supporting and encouraging me during my studies; warmest

and from-bottom-of-heart thanks also to them.

How can I overlook my friends and coworkers who were not bothered from providing

encouraging words? I bow down to say thank you.

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page v

TABLE OF CONTENTS

STUDENT‘S DECLARATION ...................................................................................................... ii

APPROVAL OF THE THESIS ...................................................................................................... iii

ACKNOWLEDGEMENTS ............................................................................................................ iv

LIST OF TABLES ........................................................................................................................ viii

LIST OF FIGURES ........................................................................................................................ ix

LIST OF ACRONYMS AND ABBREVIATIONS ..............................................................................x

ABSTRACT ...................................................................................................................................... xi

CHAPTER ONE: INTRODUCTION ............................................................................................. 1

1.1. Background of the Study.................................................................................................. 1

1.2. Statement of the problem ................................................................................................. 2

1.3. Objectives of the study ..................................................................................................... 4

1.3.1. General Objectives of the study ................................................................................ 4

1.3.2. Specific Objectives of the Study are ......................................................................... 4

1.4. Research hypothesis ......................................................................................................... 4

1.5. Significance of the study .................................................................................................. 5

1.6. Delimitation of the Study ................................................................................................. 6

1.7. Limitations of the Study ................................................................................................... 7

1.8. Operational definition of Terms ....................................................................................... 7

1.9. Organization of the thesis................................................................................................. 8

CHAPTER TWO: REVIEW OF LITERATURE ........................................................................... 9

2.1. Theoretical Review .............................................................................................................. 9

2.1.1. The Emergence of Kaizen ............................................................................................. 9

2.1.2. Key concepts of Kaizen ................................................................................................. 9

2.1.3. Back to Basics: Housekeeping, Muda Elimination, and Standardization ................... 10

2.1. 4. 5S Overview ............................................................................................................... 13

2.1.5. Organizational Performance Indicators ....................................................................... 14

2.1.6. Kaizen and Organizational Performance ..................................................................... 15

2.2. Empirical Review ............................................................................................................... 15

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page vi

2.3. Conceptual Framework ...................................................................................................... 16

CHAPTER THREE ...................................................................................................................... 17

METHODOLOGY AND ORGANIZATIONAL PROFILE ........................................................ 17

Introduction ............................................................................................................................... 17

3.. Research design and research approach ............................................................................... 17

3.1. Research design and Approach .......................................................................................... 17

3.4 Population of the study........................................................................................................ 17

3.4.1.Study area and target population ................................................................................. 17

3.4.2 Sampling techniques and Sample Size ......................................................................... 18

3.4.3 Sampling techniques ........................................................................................................ 19

3.5. Data Collection Method ..................................................................................................... 19

3.5.1 Primary Sources ............................................................................................................ 19

3.5.2 Secondary Sources ........................................................................................................ 20

3.5.3 Data Collection Instrument ........................................................................................... 20

3.6. Data Analysis and model specification .............................................................................. 20

3.7. Ethical Considerations of the Study ................................................................................... 21

3.8. Reliability and Validity of the Data Collection Instrument ............................................... 22

CHAPTER FOUR......................................................................................................................... 24

Data presentation, Analysis, And Interpretation ........................................................................... 24

4. Introduction ........................................................................................................................... 24

4.1. Respondent‘s Demographic Information ........................................................................... 24

4.1.1. The sex composition of the respondents...................................................................... 24

4.1.2. Age of Respondents ..................................................................................................... 25

4.1.3. Educational Background of the respondents ............................................................... 26

4.1.4. Work Experience of the Workers ................................................................................ 26

4.1.5. Current position in the factory ..................................................................................... 27

4.2. Descriptive Analysis of the extents of the current Kaizen Practices .................................. 28

4.3. Analysis of Inferential Statistics ........................................................................................ 39

4.3.1. Pearson‘s Product Moment Correlation Coefficient .................................................... 39

4.3.2. Regression Analysis..................................................................................................... 42

4.3. 2.3. Assumption Test for Regression Analysis-Testing for multi-co linearity ............... 45

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page vii

4.3.3. Multiple Regression Analysis ......................................................................................... 46

4.4. Hypothesis Testing ............................................................................................................. 49

5.1. Summary ............................................................................................................................ 50

5.2. Conclusion.......................................................................................................................... 51

5.3. Recommendations .............................................................................................................. 52

5.4. Recommendations for further Research ............................................................................. 52

REFERENCE................................................................................................................................ 53

Appendices.................................................................................................................................... 56

Appendix-A: Questionnaires Prepared in English and Amharic language ............................... 56

Appendix B: Observation Checklist ...................................................................................... 59

Appendix C: Structured Interview ............................................................................................... 60

አባሪ : A በአማርኛቋንቋየቀረቡጥያቄዎች ............................................................................................... 61

አባሪ B: ምልከታ ማድረጊያ መስፈርቶች ............................................................................................... 63

አባሪ C: ለቃለ ምልልስ የሚቀርቡ ጥያቄዎች.............................................................................................. 64

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page viii

LIST OF TABLES

Table 1: Authors Definition of 5Ss ............................................................................................... 14

Table 2: Population & Sample Size .............................................................................................. 19

Table 3: Cronbach‘s Alpha Coefficient ........................................................................................ 23

Table 4: Criteria for Mean analysis............................................................................................... 29

Table 5: Questions Related to Sorting .......................................................................................... 29

Table 6: Questions related to Set in order of the 5Ss.................................................................... 31

Table 7: Questions Related to Shining.......................................................................................... 32

Table 8: Questions Related to Standardize ................................................................................... 33

Table 9: Questions Related to Sustaining ..................................................................................... 34

Table10: Observation Checklist---------------------------------------------------------------------------34

Table11: The current performance of DBSCwith respect to implementation of kaizen practices--

35

Table 12: Summary of the Descriptive Statistics.......................................................................... 38

Table 13: Interpretation of Criteria for Coefficient of Correlation ............................................... 39

Table 14 Correlation between dependent and independent variables ........................................... 40

Table 15: Test for Multi collinearity............................................................................................. 45

Table 16:VIF Values as test for Existence of multi collinearity................................................... 46

Table 17: ANOVA & Model Summary ........................................................................................ 47

Table 18: Hypothesis Testing ....................................................................................................... 49

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page ix

LIST OF FIGURES

Figure 1: Conceptual Framework ................................................................................................. 16

Figure 2: Sex of Respondents ....................................................................................................... 25

Figure 3: Age of Respondents....................................................................................................... 25

Figure 4: Educational Background of the Respondents................................................................ 26

Figure 5: Work Experience of the workers ................................................................................... 27

Figure 6: Respondents‘ position in the factory ............................................................................. 28

Figure 7: Histogram for normality Test ........................................................................................ 43

Figure 8 Normality Test P-P Plot.................................................................................................. 44

Figure 9 Scatter Plot to test Normality ......................................................................................... 44

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LIST OF ACRONYMS AND ABBREVIATIONS

BSC Balanced Score Card

DBDP Dashen Breweries, DebreBerhan Plant

JIT Just in time

TPM Total Product Maintenance

TPS Toyota Product System

QC Quality Circle

TQC Total quality Control

TQM Total quality Management

PDCA Plan do check Act

DBSC Dashen Brewery Share Companies

5Ss Sort, Set in order, Shine , Standardize and Sustain

SPSS Statistic Package for Social Science

VIF Variance Inflation factors Analysis Variance

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page xi

ABSTRACT

The kaizen concept is well known to improve productivity, efficiency, quality and business

excellence in general through continuous process improvement. This study was conducted to

assess Kaizen practices and its effect on business performance in Dashen Breweries,

DebreBerhan Plant as a major objective .The study adopted descriptive and explanatory

research design. To collect data from respondents, simple random sampling techniques were

used. Primary data was collected from 225respondents by using self-administered structured

questionnaire with liker scale statements. Interview was also conducted with the kaizen Steering

Committee of the factory, and observation check list was also prepared and data gathered to

supplement the information obtained through questionnaire and interview. Descriptive and

inferential statistics were employed. Mean was used for the descriptive analysis whereas

multiple linear regression analysis was used to test the hypothesis. The results revealed that

among the 5Ss of kaizen practices, Shining was implemented to a greater extent (mean value of

3.74) and sustaining was the least implemented (Mean value of 3.05) the correlation result

shows that all 5Ss of kaizen practices were positively and strongly related with business

performance. The multiple linear regressions also revealed that all of the 5Ss of kaizen practices

were found to be a significant predictor of business performance of Dashen Breweries,

DebreBerhan Plant. Their order of importance based on their coefficient is; Sustaining, Sorting,

Standardizing, setting in order and Shining. It was recommended that the factory should still

requires continuous team effort of all the workers and the management to sustain the 5Ss in the

factory, there are still unnecessary scantlings here and there, which can lead back to old ways so

the factory is required to exert its effort for continuous improvement, which highly demands team

effort.

Key Words: Total Quality, Kaizen, 5Ss, profitability

Kaizen Practice and its effect on Business Performance: The Case of Dashen Breweries, DebreBerhan Plant Page 1

CHAPTER ONE: INTRODUCTION

1.1.Background of the Study

Introduction

Since 1986 when the book Kaizen: The Key to Japan‘s Competitive Success was published, the

term kaizen has come to be accepted as one of the key concepts of management. In the first

decade of the twenty-first century as the Toyota Motor Company surpassed General Motors to

become the top automotive manufacturer in the world, awareness of the vital difference played

by kaizen in Toyota‘s success also increased (Imai M. , 2012). In various literatures Kaizen is

defined as Japanese ‗Continuous improvement. Alberto in his working paper titled the role of

Kaizen in economic transformation he defined kaizen as ―Kaizen is a Japanese term to mean

‗improvement ‗and refers to a process of innovation in firms involving the entire work force. It

involves customer orientation, quality control, new product development. Just in time and

automation, cooperative employer – employee relationships and so on.‖ (Alberto, 2018).

Faced with emerging global competition and substantial changes in consumer needs, desires, and

tastes, a number of manufacturing today are using the Japanese management system known as

Kaizen to make adjustments to re-engineer their manufacturing processes to meet these needs.

The dynamic kaizen strategy is an activity of continually revolving cycles of Plan, Do, Check

and Act (PDCA) which focus on customer-driven processes to improve productivity and the

quality of products and services by amassing marginal improvements over time (Asayehgn,

2014).Most of the successful organizations and companies in the world owe their productivity

and organizational dynamics to using improvement systems (Rahmanian, 2013).

In the contemporary market, to be more and more competitive worldwide, manufacturing

organizations are under immense pressure to pursue operational excellence and improve their

performance in order to reduce their costs and provide products of higher quality in shorter lead

times. Lean manufacturing principles and techniques have been widely used by manufacturing

organizations to achieve these and gain a competitive advantage over their rivals. To this end

most manufacturing firms worldwide have implemented the Japanese 5Ss (Deokar, 2018; Janjić,

2019).


In 2009, the then Ethiopian prime minister invited the Japanese kaizen management team to

introduce kaizen in Ethiopia to change the working culture of the public sector institutions which

were highly bureaucratic and inefficient but after implementation of kaizen in selected

institutions, the success gained was very contestable ds studies have been carried out to assess

the effectiveness of the program and find out the challenges but the very crucial issue of

investigating the effect of kaizen management practices on operational performance and

indicating the extent of implementation of these kaizen management practices in organizations

has not been researched so far in Ethiopia. The very extensive manufacturing sector of the

country that caught the eyes of the government in transforming the economy and bringing about

economic development has long been suffering from different operational problems (Demis,

2020).

1.2.Statement of the problem

Kaizen involves customer orientation, quality control, new product development, just- in-time,

automation, cooperative employer–employee relationships and so on. Kaizen is aimed at

reducing in efficiencies (Alberto 2018).

In recent decades, Japanese manufacturers operating in global markets have faced increasing

pressure essonite nationalize their manufacturing. Research has shown that Japanese companies

are facing problems transferring kaizen internationally due to the difficulties with adjusting to

different environment (Yokozawa, 2010). Different from the domestic kaizen implementation,

transfer of kaizen involves issues that are generated at the interface of different national contexts

(Boer, 2003). The authors further suggested that in continuous improvement studies, more

process research is needed. The effectiveness of managing any process involving kaizen depends

a great deal on in-depth knowledge and understanding of that process (Ibid).

In recent years, researchers and practitioners are paying increasing attention to the phenomenon

of new management systems and their impact on company‘s performance. There is a real need

for empirical studies in this field. However, there is lack of knowledge in some improving

methods and tools like 5S and the challenge is much greater (Ab Rahman, 2010). Some previous

researchers agreed with 5S positive impact on safety, and some believes it helps quality of

product (Moradi, 2011), some acknowledges 5S as housekeeping (Ahmed, 2003; Chin, 2002).


Many articles on 5S have been published over the past decade. Although the majority of these

articles supported the benefits of adopting this management philosophy in various types of

organizations, some of them argued that 5S did not work (Hutchins, 2007). For instance, the role

of 5S in improving business performance and the long period of time that it takes for this

improvement to be effective have been the target of some opponents of this management

philosophy. However, 5S seems to have survived these opposing points of view since many

companies continue to implement it and various articles continue to be published in this area

(Mohd Norhasni Mohd Asaad1, 2015).

In Ethiopia, the implementation of kaizen management practices with the aim of bringing about

improvement in business performance through effective implementation of kaizen management

practices is highly vital but the very notion of researches carried out on this issue were restricted

mainly on assessment of implementation and identifying the challenges faced during

implementation (Demis, 2020). As the study conducted by Demis (2020) indicated little is

known about the effect of kaizen management practices on business performance in companies

which implement kaizen in Africa in general and Ethiopia in particular. The implementation of

kaizen management practices with the aim of bringing about improvement in operational

performance through effective implementation of kaizen management practices is highly

imperative but the very notion of researches carried out on this issue were restricted mainly on

assessment of implementation and identifying the challenges faced during implementation( Ibid).

A number of manufacturing industries in Ethiopia currently are not using methods that will

achieve high productivity and excellent quality standards to make them more competitive in the

globalized, international markets. Most of the initiatives taken for quality and productivity

improvement are through top-down approaches without the best management skills. Many

manufacturing companies are plagued by such problems as high quality rejects, high inventories,

long lead time of production, high costs of production, and inability to cope with customer orders

(Asayehgn, 2014).Managers and employees alike are very much concerned with and are worried

about performance. It is of concern to senior managers because it is a measure of how

effectively the organization is led (Hines, 2004).

All the above literatures about kaizen practices reveal that its application is highly vulnerable to

such problems as different in culture between Japan and the rest of the world in quest for


promoting kaizen practices (Yokozawa, 2010), there is lack of knowledge in some improving

methods and tools like 5S and the challenge is much greater (Ab Rahman, 2010). Some previous

researchers are agreed with 5S positive effect on safety, and some believes it helps quality of

product (Moradi, 2011), some acknowledges 5S as housekeeping (Ahmed, 2003; Chin, 2002),

Although the majority of these articles supported the benefits of adopting this management

philosophy in various types of organizations, some of them argued that 5S did not work

(Hutchins, 2007). Besides, researches carried out on the effective implementation of kaizen were

restricted mainly on assessment of implementation and identifying the challenges faced during

implementation (Demis, 2020). The researcher so far focused on the degree of implementation of

kaizen practices. Little is so far made to investigate how much the kaizen practices changed the

Business performance of, especially, the manufacturing Companies. Therefore, the researcher

was motivated to carry out this study as to investigate the kaizen practice and its effect on the

Business performance of Dashen Brewery, Debre Berhan town which would at least add some

points towards the effect of kaizen practices on performance of manufacturing firms.

1.3 Objectives of the study

1.3.1 General Objectives of the study

The general objective of the study was to examine the extent of the current levels of kaizen

practices and its effect on business performance of Dashen Breweriesy: the case of DebreBerhan

Plant.

1.3.2 Specific Objectives of the Study are: To

Evaluate the effect sorting on Business performance of Dashen Brewery, Debre

Berhan plant.

Analyze the effect of Shining on Business performance of Dashen Brewery, Debre

Berhan plant.

Determine the effect of Set in order on business performance of Dashen Brewery,

Debre Berhan plant.

Evaluate the effect of Standardizing kaizen on business performance of Dashen

Brewery, Debre Berhan plant.

Analyze the effect of Sustaining kaizen practices on Business performance of Dashen

Brewery, Debre Berhan town.


1.4 Research hypothesis

The research proposes and tries to find answers for the following hypothesis

H0: Sorting did not had statistical significant effect on Business performance of Dashen

Breweries, Debre Berhan plant.

H1: Sorting has significant effect on the business performance of Dashen Breweries,

DebreBerhan Plant

H0: Shining did not have significant effect on Business performance of Dashen

Breweries, DebreBerhan town

H1: Shining had significant effect on the business performance of Dashen Breweries,

DebreBerhan Plant.

H0: Setting in order had no significant effect on business performance of Dashen

Breweries, DebreBerhan Plant

H1: Setting in order had significant effect on business performance of Dashen Breweries,

DebreBerhan Plant.

H0: Standardizing had no significant effect on business performance of Dashen

Breweries, DebreBerhan Plant

H1: Standardizing had significance effect on business performance of Dashen Breweries,

DebreBerhan Plant.

H0: Sustaining had no significant effect on Business performance of Dashen Breweries,

DebreBerhan Plant

H1: Sustaining kaizen had significant effect on Business performance of Dashen

Breweries, DebreBerhan Plant.

1.5 Significance of the study

Other related research has not been conducted on the effect of Kaizen practices on the Business

performance of Dashen Breweries of DebreBerhanPlant. Thus, the study would have a


significant importance to observe the kaizen practices and its effect on the Business performance

of Dashen Breweries, DebreBerhan Plant.

Specifically, the findings of the study would have the following contributions:

The empirical evidence would help to fill an information gap among managers, kaizen

officer and employees as related to contribution of implementation of kaizen system.

The empirical evidence would provide a rich description of the Kaizen implementation

in improving the quality, customer satisfaction, and boosting the profitability of the

Dashen Breweries.

The results would enable the Dashen Breweries management to evaluate its current

status and design ways to get the better out of its kaizen practices and its effect on the

Business performance.

The findings would also provide Ethiopian Kaizen Institute the extent to which kaizen

practices improved business performance and areas of needed improvement

The thesis would also help to encourage or motivate other scholars to conduct similar

studies.

1.6 Delimitation of the Study

i. Area Scope

There are a number of manufacturing companies in DebreBerhan Town. The study only focused

on the kaizen practice and its effect on the Business performance of Dashen Breweries,

DebreBerhan plant.

ii. Variable Scope

In addition, the study took into account only the performance side of the Dashen Breweries such

as challenges faced in the implementation of kaizen, cultural differences and kaizen practice and

its effect on the Business performance of kaizen, management and employee commitment, and

the like will not be taken into account.

iii Time Scope


The study considered only the change in performance of Dashen Breweries from the time it

started implementation of kaizen practices.

iv. Methodology

The study employed descriptive research design and it is a case study considering the effect of

kaizen practices on business performance of Dashen Breweries of DebreBerhan Plant.

1.7 Limitations of the Study

The research had certain limitations one of which is it is confined to only to Dashen Breweries,

DebreBerhan Plant due to lack of time and adequate financial resources. Also, time frame for the

completion of this research was a major limiting factor which affected the observation as well as

personal involvement in some instances to collect data. The management o f the factory was also

not positive towards accepting student researchers in collecting data and so strict that it is

impossible to have time with some concerned individuals. Other factors that may affect business

performance were not considered: only 5S related questions were taken into account to measure

the business performance. Such variables as Total quality, and just in time, seven waste

management systems were not also considered however they are part of kaizen practices.

1.8 Operational definition of Terms

The following definition of terms will be used throughout this research paper.

Kaizen, the blending of two Japanese words kai ‗change‘ and zen ‗for good‘ which stands for

continuous improvement (Imai M. , 2012).

Kaizen management practice is related to a combination different kaizen tools or practices

thatare implemented by the organizations to achieve an overall success and comprises of such

Practices as TQM, TPM, 5S and the seven wastes or muda (Janjić, 2019) .

Total quality management (TQM) is organization- wide efforts to develop and sustain a

process to improve the quality of the Dashen Breweries‘s outputs through perpetual

improvement of internal practices (Chin, 2002).

Total Productive Maintenance (TPM) refers to increasing productivity and reducing losses in

operations through the involvement of all levels of the workforce (Moradi, 2011).


Five 5s Refers to the five words which are; Sort, Set in order, Shine, Standardize, and

Sustain (Rahmanian, 2013).

Seven wastes/muda/ elimination refers to the factory wide and integrated activity carried out to

eliminate wastes or any non-value adding activities in the factory. (Garcia, 2014)

Operational performance refers to the performance of the company as compared to prescribed

standards. Business performance standards are cost, quality, production speed and flexibility of

the master production schedule (Demis, 2020).

1.9 Organization of the thesis

Generally, the study was organized into five chapters. Chapter one started with general

introduction about stock and stock management followed by statement of the problem and

continued with the research objectives and questions, significance of the study and the

organization of the study.

Chapter two reviews related studies and literatures on kaizen objectives, contributions in

business performance, and factors in kaizen practices in business as well as non-business

activities. Chapter three provides the methodology used in the study and the organization

profile. Chapter four presented the analysis of the findings and interpretation of the data

generated. Chapter five provides the summary of the findings, recommendations and

conclusions.


CHAPTER TWO: REVIEW OF LITERATURE

2.1. Theoretical Review

2.1.1. The Emergence of Kaizen

The concept of Kaizen and its practices have been conceived and implemented first in Japan and

later spread to the rest of the world. The spread of kaizen has occurred in four different phases:

The first phase: was the adaptation of Western techniques particularly the American

management techniques by Japan‘s in the early postwar periods. During this period Japan‘s

products were perceived as low price and low quality. This driven and initiated Japan‘s

companies developed their own system of Kaizen and laid a foundation for the establishment of

Japanese production management system (Desta, 2011).

The second phase: Emerged during 1970s, oil crises era, when Japanese companies faced,

irrespective of their level of development, forced `the formation of various Quality Control

Circles (QCCs) (Ibid).

The third phase: was characterized by the regional spreading of kaizen beginning in the mid-

1980s. This was also the time for global shift of many of the Japanese companies which enabled

them to duplicate their quality management system abroad (Karn. P, 2009).

The fourth (Current) era is being practiced since 2001, which witnessed growing interest in

developing regions in East Asia, Latin America, and Africa. The initiative promotes not only

Kaizen but also trade, investment and economic integration in the developing region (Karn,

2009).

2.1.2. Key concepts of Kaizen

Every key word in Kaizen: improving everything, that everyone does in every aspect of

the organization, in every department, every minute of every day.

Evolution rather than revolution: continually making small, 1% improvements to 100

things is more effective, less troublemaking and more sustainable than improving one

thing by 100% when the need becomes unavoidable.

Everyone involved in a process or activity, however actually insignificant, has

valuableknowledge and participates in a working team or Kaizen group


Everyone is expected to participate, analyzing, providing feedback and suggesting

improvements to their area of work. Every employee is empowered to participate fully in

the improvement process taking

Responsibility, checking and coordinating their own activities. Management practice

allows and facilitates this. Every employee is involved in the running of the company

and is trained and informed

About the company. This encourages commitment and interest leading to fulfillment and

job satisfaction. Kaizen is an umbrella concept covering all of those Japanese practice

like customer orientation, TQC total quality control, QC circle, suggestion system,

automation, discipline in the work place, TPM total productive maintenance, Kanban,

JIT, quality function deployment, supply chain management, visual management, zero

defect and etc. (Vesna J., 2019)

2.1.3. Back to Basics: Housekeeping, Muda Elimination, and Standardization

During the past 27 years since Kaizen was first published, many have looked for and asked

―what is next?‖ but many times they are overlooking what is directly in front of them. Everyone

in a company must work together to follow three ground rules for practicing kaizen in the

gemba:

Housekeeping

Muda elimination

Standardization

Housekeeping is an indispensable ingredient of good management. Through good housekeeping,

employees acquire and practice self -discipline. Employees without self-discipline make it

impossible to provide products or services of good quality to the customer (Imai M. , 2012).

Housekeeping: Through good housekeeping, employees acquire and practice self -discipline.

Employees without self-discipline make it impossible to provide products or services of good

quality to the customer.

Muda Elimination: In Japanese, the word muda means waste. Any activity that does not add

value is muda. People in the gemba either add value or do not add value. This is also true for

other resources, such as machines and materials. Muda elimination can be the most cost-effective


way to improve productivity and reduce operating costs. Kaizen emphasizes the elimination of

muda in the gemba rather than the increasing of investment in the hope of adding value (Imai M.

, 2012). A simple change in the location of the parts—eliminating the muda involved in the

action of reaching behind—has yielded a four -second time gain that translates into a threefold

increase in productivity.

Muda or waste can accumulate because a company may have more than necessary equipment,

materials or people for quantity production. The way to eliminate waste in any company is

therefore to make employees aware in advance which steps add value to the product, and which

steps do not. Generally, the seven types of deadly wastes (muda) as identified by the Toyota

Production System (TPS) that accumulate in a company‘s production system are caused by 1)

overproduction, 2) waiting, 3) transportation, 4) inventory, 5) over processing, 6) motion, and 7)

production of defective parts. In addition, in the sugar plantation and prod uction process, extra

wastage is accumulated as a result of the infiltration of excessive nutrients into ground water or

surface waters that naturally contribute to greenhouse-gas emissions (Lean in Government

Series, November 2007).

1. Muda from over production occurs when a company produces too soon or too much

product in order to be on the safe side in case of a machine‘s failure and/or employee

absenteeism. As a result, trying to produce more than needed products creates misuse of

raw materials, wasteful inputs of manpower, utilities, an increased burden on interest

payments, added transportation, additional space needed to store excess inventory and

administrative costs (Thawani, 2003).

2. Waiting Waste: This occurs when the hands of the operator are idle, or when an

operator‘s work is put on hold because of a lack of parts, waiting for the next piece to

arrive. It can also happen when another worker slows up the line, anything that lengthens

the lead time of the product from start to finish. As narrated by Thessaloniki, (2006).

3. Transportation: This is a non-essential part of operations. A company might use trucks,

forklifts, or conveyors as a means of transportation. Unnecessary transport of damaged

materials (muda) contributes to waste because transportation does not add value to the

finished product. As stated by Thawani (2003) one way of minimizing waste is by

incorporating the act of any process into the main line.


4. Inventory: An excess of final product, semi-finished product, raw materials and spare

parts kept in inventory contributes to Muda of inventory. They do not add value. Instead,

they add to the cost of operations by occupying space, requiring additional equipment and

facilities such as warehouses and forklifts. As the products stored deteriorate over time

they could eventually become obsolete. Excess items staying in inventory gather dust and

their quality deteriorates over time (Thessaloniki, 2006).

5. Over-processing: This type of Muda uses more resources, utilities, and materials, or

uses the wrong set of tools, procedures or systems. Producing more quantity ahead of

schedule creates waste because in manufacturing a longer line requires more workers,

more work in process and a longer lead-time to produce outputs (Thessaloniki, 2006)

6. Motion: Excessive movements by workers like walking, lifting, or carrying heavy

objects, searching for lost items create waste. In short, Muda of motion is unproductive

because it involves movements by workers not directly related to the job. such as poor

workplace organization, resulting in poor ergonomics, for example excessive bending or

stretching (Mezgebe, 2013). .

7. Production of Defective Parts : Muda of repairs/rejects interrupts production. It

contributes to a great waste of resources and effort. In addition, rejects increase

inspection work, require expensive rework or additional time to repair (Thessaloniki,

2006). The production of defective parts can cause dissatisfied consumers to complain

about their defective product but also might create a skeptical attitude about other

products the company may be producing in the future. In order to eliminate non-value

added defective products, companies could retrain and redirect staff- time to higher

priority activities related to their core mission (Ibid).

Standardization: The third ground rule of kaizen practices in the gemba is standardization.

Standards may be defined as the best way to do the job. For products or services created as a

result of a series of processes, a certain standard must be maintained at each process in order to

assure quality. Maintaining standards is a way of assuring quality at each process and preventing

the recurrence of errors. As a general rule of thumb, introducing good housekeeping in the

gemba reduces the failure rate by 50 percent, and standardization further reduces the failure rate

by 50 percent of the new figure (Thessaloniki, 2006).


2.1. 4. 5S Overview

The philosophy of 5S represents a way of thinking and focusing in order to organize and

manage workspace in an organization by eliminating 8 types of wastes as per lean manufacturing

concept. 5S was invented in Japan and it stands for

Seiri- Sort

Seiton- Set in order

Seiso- Shine

Seiketsu- Standardize

Shitsuke- Sustain

Sort focuses on elimination of unnecessary material at the workplace. In the process of red

tagging the material is sorted and the one which is not used necessary for completing the task are

red tagged. Once the supplies, material, tools and equipment have been tagged they are then sent

to the holding area for a follow up evaluation. The idea is to ensure that everything left at the

workplace is related to work. Seiri is a simplification of tasks and effective use of space

(Deokar, 2018).

Seiton or set in order aims at examining methods of storage that are effective and efficient

which is referred as visual management and then create a work environment that is organized,

easily navigable, uncluttered and ergonomic. If everyone has access to an item or material work

flow becomes easy and productive. The correct place, position for every tool must be chosen

carefully. Every item should be allocated to own place for safekeeping and each location must be

properly labeled for easy identification. Seiso or Shine refers to maintaining a properly clean

work area every day. This step is critical as a way of sustaining steps taken at sort and set in

order phase. No area should be kept unclean. Everyone should see the workplace as a visitor and

try to clean it to make a good impression. Employees will feel more comfortable in this cleaned

environment, which will increase their ownership towards organizational goals and vision (Ibid).

Seiketsu or Standardize a step that consists of defining standards by which person must maintain

and measure cleanliness. It covers both personal as well as environmental cleanliness. Personnel

should practice seiketsu starting with its personal tidiness. When the new standards and best

practices are implemented, the old bad habits will soon die and will be replaced by more efficient


new habits. Adopting new standards will take some time, reminders such as visuals and emails

can be used to make these standards set in stone (Ibid).

Shitsuke or Sustain is the final step and is more challenging; remaining disciplined to sustain

changes made in the first three steps. It denotes commitment to maintain orderliness and to

practice 4S as a way of life. Through regular training and communication, employees will be

able to comfortably able to conform to 5S procedure. Once true shitsuke is achieved, employee

observes cleanliness at all times without having reminded by the management (ibid).

Authors definitions of the 5Ss

Table 1: Authors Definition of 5Ss

Authors

5S

(Abdullah,

2003)

(Lanigan, 2004) (Hutchins, 2007;

Lynch, 2005)

(Sobanski,

2009)

Seiri Sort Organization Sort Sort

Seiton Straighten Orderliness Set Straighten

Seiso Scrub Cleanliness Shine Scrub

Seiketsu Standardize Standardized Clean up Standardize Standardize

Shitsuke Systematize Discipline Sustain Systematize

Source: (Mohd Norhasni Mohd Asaad1, 2015)

2.1.5. Organizational Performance Indicators

A comprehensive review of organizational performance in management research proposes

several indicators of performance (Hoffer, 2003). While some of these indicators focus on

operational performance or financial performance, others emphasize efficiency and effectiveness

(Carton, 2006). Organizational performance is a multi-dimensional construct, which means that

all the dimensions have to be considered for a balanced and reliable assessment (Sondakh, 2017).

Some studies suggest the Balanced Scorecard (BSC) as a useful measure of organizational

performance because it covers all aspects of an organization‘s activities. The BSC model was

developed by Kaplan and Norton (1992) to address the limitations of previous measures which

only focus on financial indicators. Hence, the BSC model integrates both financial and non-

financial measures (Agyeman, 2017). The traditional BSC model contains four perspectives:

finance, customer, internal process, and learning and innovation (Kaplan, 1992). Each


perspective focuses on specific activities, and when considered collectively they could provide a

comprehensive measure of organizational performance. Hence, in this paper, the BSC model

with the four perspectives is used to measure organizational performance.

2.1.6. Kaizen and Organizational Performance

Kaizen is a continuous improvement approach that can be used in all aspects of work and social

life (Imai M. , 1986). Kaizen is deemed as an approach for solving problems (Imai, 1986) and

improving organizational performance (Zainah, 2017). Numerous studies found that Kaizen had

a positive and significant impact on organizational performance (Ab Rahman, 2010; Zainah,

2017; Desta, 2011) It is also argued to be able to improve the performance of organizations

members (Aurel, 2015) and reinforce an organization's productivity, which in turn contributes to

the attainment and sustenance of competitive advantage (Sondakh, 2017). However, some

scholars questioned the success of Kaizen (Garcia, 2014), for example, reported that the

implementation of Kaizen in the US did not achieve the intended results since the percentage of

success did not exceed 10% (Rink, 2005). Similarly, in Mexico, companies there failed to

achieve the targeted results (Garcia et al., 2014).

2.2. Empirical Review

The results of numerous studies have found that Kaizen is rated as an effective strategy for

improving performance and mechanisms for improving the organization and working

environment. It has proven to be an effective tool for changing the work culture, working

methods and work experience (Vesna J., 2019; Asayehgn, 2014; Deokar, 2018). From the

innovation perspective, the Kaizen is conceived as the accumulation of small, mutually

independent incremental process innovation accepted by workers, work teams and their leaders(

(Vesna J., 2019; Hines, 2004). Kaizen management practices (TQM, TPM, five ‗S‘ and waste

elimination) significantly affect operational performance improvement (Demis, 2020).

Companies can improve their operational performance which is expressed by quality

improvement, cut in production cost, increased operation speed and presence of operational

flexibility. Past studies about Kaizen have been inconclusive in clarifying the role of Kaizen

implementation in organizations. The Kaizen literature indicates a mixed and ambiguous linkage

between practices of Kaizen and organizational performance. Some case studies even reported

that Kaizen has failed to accomplish the needed improvement in the organization. Some scholars


reasoned that the mixed understanding of the Kaizen implementation could be due to the failure

to consider the culture of the organization (Mohammed, 2018) Effective implementation of

Kaizen philosophy results in enhancing organizational performance (Haftu, 2020).

2.3. Conceptual Framework

The independent variables that make up kaizen management practices were selected on the basis

of their practical existence in manufacturing activities. As many studies conducted on ka izen

implementation indicated, several basic elements of kaizen management practices such as, TQM,

TPM, five ‗S‘, kaizen event, suggestion system, all are the results of implementing the 5Ss.

Therefore, the successful implementation of the 5Ss undoubtedly enables the accomplishment of

TQM, TPM, and the rest. Therefore, the researcher limited the independent variable to the

5Ss.Kaizen philosophy recognizes that there is always room for improvement. Ultimately, the

system uses quality circles, groups of workers who meet and work together to figure out

problems and arrive up with innovative modifications. Quality circles, automation, suggestion

systems, just-in-time delivery, Kanban and 5 S are all included within the Kaizen system of

operating a business (Vijesh Patel, 2017)

Figure 1: Conceptual Framework

Source: Researcher developed, based on theoretical review (2021)

Dependent Variable

Independent Variable

5 Ss

BusinessPerformance

Financial

Cost

Reduction

Quality

Customer

Satisfaction

5 Ss kaizen

Sorting

Set in order

Shine

Standardize

Sustain


CHAPTER THREE

METHODOLOGY AND ORGANIZATIONAL PROFILE

Introduction

In this chapter, the research methodology used in the study was described. The research design,

population and sample were dealt with. The instrument used to collect the data, including

methods implemented to maintain validity and reliability of the study were also described.

3. Research design and research approach

3.1. Research design and Approach

The study was conducted through descriptive survey and explanatory design. Descriptive survey

is a process of collecting data in order to answer questions concerning the current status of the

subject in the study (Mugenda, 2003). The rationale behind the selection of the design was that it

helped the researcher to explore the existing status of the Kaizen practice and its effect on the

Business performance of Dashen Breweries, DebreBerhan Town.

Creswell (2007) asserted the importance of illustrating the research approach is an effective

strategy to increase the validity of social research. In this research study, quantitative as well as

qualitative research (mixed approach) was applied.

The rationale behind that the student researcher preferred this method was that the mixed

research would enable the researcher to collect reliable data to come up with sound decision on

the problem at hand.

3.4 Population of the study

3.4.1. Study area and target population

Dashen Breweries, located on the highway to Addis, was established by TIRET Corporate and

AMP Duet Beverages Limited Company. Dashen Breweries SC is one of the fast growing beer

companies in our country. However young, it is well known over Ethiopia for its quality and

high tech beer. It was first established in the historical place of Ethiopia, Gondar, The name

Dashen was taken from the highest mountain in Ethiopia, RasDashen, located in Northern part of

Gondar. The initial capital of Dashen Breweries Share Company was 340 million Ethiopian Birr.


The Factory is still keep on its expansion and new construction is on progress with the aim of

leading the beer market in Ethiopia. Its new plant is believed to be the first of its kind in Africa

with production capacity of 3 million HL per annum. For its best quality product, it has been

awarded two internationally recognized certifications ISO 9001:2015, and ISO 14001. The

Factory has created job opportunity for about 562 employees and out of this 267 employees are

permanent employees.

The target population of the study was all permanent employees of Dashen Breweries,

DebreBerhan plant administrative, management, sales and marketing as well as Product line

workers. The target populations comprises of the administrative staff which include (plant

managers, Division Managers, and Department Managers), technical(production department)

that include (engineering, quality, packaging, and brewing), sales and marketing department and

administrative staff which consists of employees working in various departments (HRM, finance,

procurement). There are 267 permanent employees in the company who are considered to be

relevant with the information needed on the topic under investigation.

3.4.2 Sampling techniques and Sample Size

According to Catherine Dawson the correct sample size in a study is dependent on the nature of

the population and the purpose of the study. Although there are no general rules, the sample size

usually depends on the population to be sampled (Dawson 2009). But for a finite population and

small size the sample size can be calculated as follows. To reduce the sampling errors first

calculate initial sample size by the formula given below and then the sample size n. The sample

size has been determined by the formula:

n=

n, stands for sample size

N, represents population size

E, represents standard error = 0.05 at 95% level of confidence

The sample size is, therefore,


n=

n=

=

= . However, the sample size showed to maintain validity of the data collected the

researcher decided to raise the number of the respondents to 225.

The 225 respondents will be selected from the total population as follows

Table 2: Sampling Technique

Strata Population Sample size

Managerial staff 24 24

Production department 176 134

Sales and marketing department 30 30

Administrative staff 37 37

Total 267 225

3.4.3 Sampling techniques

The 134 respondents were selected by applying simple random sampling method for the

production line workers while the whole population was made to participate in the study for the

rest of the departments: Managerial Staff, Sales and marketing department, and administrative

staff.

3.5. Data Collection Method

The study relied on both primary and secondary data. Primary data was collected with the use of

questionnaires and interview. The questionnaire was directly distributed by the researcher.

Structured interview was carried out with the informants.

3.5.1 Primary Sources

Primary data refers to data collected by the researcher for a particular need as is encapsulated in

the research objectives. The study was conducted using the case study method of research. Self-

administered questionnaires, structured interviews, and observation were incorporated as

instrument of data collection for the research.


The interview was conducted with Kaizen implementation team, three individuals, and

observation was carried out without being recognized by the factory administration. Taking

pictures was forbidden and the researcher could not take some pictures to make the observation

more tangible. The interview conducted was analyzed using statements after proposed ideas were

organized. The observation checklist was filled by the researcher by observing the degree of

implementation of the kaizen practices in the factory as ―Very Good, Good, Satisfactory, low,

and not available.”

3.5.2 Secondary Sources

The researcher gathered secondary sources from the websites, journals, books, newspapers,

magazines of different institutions along with different related studies about cha nge within the

industry to supplement the research.

3.5.3 Data Collection Instrument

Questionnaire, structured interview, and observation check lists developed by the researcher

based on theoretical reviews, were the main data collection instruments. A questionnaire is a

printed self- report form designed to elicit information that can be obtained through the written

responses of the respondents. Questionnaires were personally distributed by the researcher to the

participants of the study. The data was collected over a period of one month because the factory

was not positive to accept the researcher to the factory to gather data. It took me days to

convince the administration that the data gathered was only for academic purpose. Before the

questionnaires were administered, and interview and observations was carried out, the researcher

sought permission from Dashen Breweries.

3.6. Data Analysis and model specification

The research assumed Quantitative as well as qualitative data analysis. The quantitative data

analysis involved the use of statistical methods to assemble, classify, analyze and summarize the

data to derive meaning. After the data collection, data reduction was conducted to select,

arrange, refine, focus and summarize the data analysis. The data collected was transformed into a

form appropriate for manipulation and analysis. The data gathered from the questionnaire was

edited to ensure completeness, consistency and accuracy


Descriptive analysis was used to reduce the data into a summary format by tabulation (the data

arranged in a table and chart format) and a measure of central tendency (mean and standard

deviation). Moreover, pie charts and bar charts were used to describe the general characteristics

of respondents. The Statistical Package for Social Science (SPSS) version 25 was used to

analyze the data obtained from primary sources, specifically, descriptive statistics (mean,

standard deviation and charts).

Inferential Analysis According to Sekaran (2000:401) allows inferring from the data through

analysis of the relationship between two or more variables and how several independent

variables might explain the variance in a dependent variable. In this study, regression and

correlation were used to determine the effect of relationship between variables.

The dependent and independent variables of the study were:

Dependent variable: Business Performance of Dashen Breweries Factory

Independent Variables: Sorting, Set in order, shine, standardize, and sustain.

Where Y represents the dependent variable; Business Performance

Stands for is the intercept term- constant which would be equal to the mean if all slope

coefficients are Zero

are the coefficients associated with each independent variable which

measures the change in the mean value of Y, per unit change in their respective independent

variables. X1= Sorting X2= shine, X3 = Set in order, X4= Standardize, and X5 = Sustain

= Standard error of estimation

3.7. Ethical Considerations of the Study

There was need to ensure that the study did not contravene the ethical issues. Hence, the

following measures were taken: The research questions were framed so that inconvenience and

embarrassment did not face the participants in the research, as all the question items are close


ended. Dashen Breweries staffs and those who participated in the study were not coerced but did

so voluntarily. The consent of the respondents was obtained beforehand.

3.8. Reliability and Validity of the Data Collection Instrument

Polit and Hungler (1993) refer to reliability as the degree of consistency with which an

instrument measures the attribute it is designed to measure. Reliability can also be ensured by

minimizing sources of measurement error like data collector bias. Data collection bias was

minimized by the researcher‘s being the only one to administer the questionnaires, conduct the

interview and the observation. The physical and psychological environment where data would be

collected made comfortable by ensuring privacy, confidentiality and general physical comfort.

Respondents were informed not to write their names on the questionnaires to ensure

confidentiality. This made the respondents to provide pertinent data without fear. Hence the data

collected was believed to be reliable.

The validity of an instrument is the degree to which an instrument measures what it is intended

to measure (Polit and Hungler, 1993). Content validity refers to the extent to which an

instrument represents the factors under study. To achieve content valid ity, questionnaires

included a variety of questions on the knowledge of the participants of the study. The researcher

also got letter of cooperation written to the factory whereby the researcher was permitted by the

factory to carry out the research.

The questions was formulated in the official language, Amharic, for clarity and ease of

understanding. Clear instructions were given to the subjects.

In this study each statement rated on a 5 point Likert response scale which included strongly

agree, agree, undecided, disagree and strongly disagree. Based on this an internal consistency

and reliability test was conducted using Cronbach's alpha. Coefficient of alpha of 0.695 is

believed to be reliable. Since, instruments were developed based on research questions and

objectives; it is possible to collect necessary data from respondents. As shown below each class

of the questionnaire revealed that all the instruments were consistent with the objectives of the

study which was tested by administering the questionnaire to selected 20 individuals 5 from the

administrative staff and 15 from the production line workers to determine the reliability of the

questionnaire.


Table 3: Cronbach’s Alpha Coefficient

Item Class Reliability Statistics

Cronbach's Alpha No of Items

Sorting Related Questions .710 4

Setting In order Related Questions .708 4

Shining Related questions .736 4

Standardizing Related Questions .765 4

Sustaining Related Questions .767 3

Business performance Related Questions .700 4

Total items 23


CHAPTER FOUR

Data presentation, Analysis, And Interpretation

4. Introduction

The objective of this research was to assess the Kaizen Practices and its Effect on Business

Performance: the Case of Dashen Breweries, DebreBerhan Plant. This chapter dealt with,

presentation, analysis, and interpretation of the data based on the information obtained through

the questionnaires, interviews, and observation. The first part is concerned with the description

of characteristics of the respondents whereas; the second part deals with the analysis and

interpretation of the data related to kaizen Practice sand its effect on business performance of the

factory. The questionnaire was filled by factory line workers, administrative workers, sales and

marketing workers, and the management team. Questionnaires were administrated to 225

respondents sampled for the research: 134 for factory line workers, 24 for the managerial staff,

30 for marketing and sales department workers, and 37 for the administrative staff, the total of

225. All of the questions distributed to the respondents were dully filled and returned, with

response rate of 100%

4.1. Respondent’s Demographic Information

Here the respondent‘s sex, age, educational background, work experience, and the current

position in the factory were briefly discussed. . Level of education and experience may have their

own contribution in the implementation of kaizen practices, as kaizen implementation requires

training and new employees are new to kaizen practices as compared to well experienced and

practicing kaizen principles for a long period of time

4.1.1. The sex composition of the respondents

As depicted in figure 1 below the respondents were asked to indicate their sex and the result

showed that 162( 72%) of the workers are male and 63( 28%) are female. That means there are

more male employees than female employees in the factory.


Figure 2: Sex of Respondents

Source: Survey data 2021.

4.1.2. Age of Respondents

As shown in figure 2 below, the study revealed that 115( 51.1%) of the respondents were

between 26 and 35 years old,59( 26.2%) were between 36 and 45 years old,14( 6.2%)were 46

years and above and37( 16.4%) were below 25 years.

Figure 3: Age of Respondents

0

20

40

60

80

100

120

25 years andbelow

26-35Years 36-45 Years 46 & aboveyears

37

115

59

14

25 years and below

26-35Years

36-45 Years

46 & above years

Male

72%

Female

28%

Sex of Respondents


Source: Survey Data, (2021)

4.1.3. Educational Background of the respondents

Education has significant effect on individual‘s attitude, response and way of understanding

different factor therefore it becomes vital to know the educational background of the

respondents. As it is indicated in figure 3, the majority of the workers are degree and above

holders. This shows that the factory‘s workforce is mainly occupied by well-educated and trained

personnel that can understand and put to practice rules, regulations and directives. Accordingly,

57% of the respondents were first degree holders, TVET15% and Diploma holders are 15% each

and 13% are second degree and above holders. The more the staff comprises of higher proportion

of educated staff, it is more likely that they can accept changes easily and less time and energy is

required to introduce them with new ideas and systems. Therefore, it is easier for the factory to

apply kaizen practices with less time and cost.

Figure 4: Educational Background of the Respondents


4.1.4. Work Experience of the Workers

Further, findings revealed that 47.7% of the respondents had work experience of six to ten years,

28.5% had work experience of 11 to fifteen years, 23.5% had work experience of one to five

years, and 0.04% had work experience of 16-20 years.

15%

15%

57%

13%

Level of Education of Respondents

TVET Complete

Diploma graduate

First Degree

Second Degree and above


Figure 5: Work Experience of the workers


4.1.5. Current position in the factory

The respondents were requested about their current work position in the factory. The sum of the

data gathered revealed that 64.5% were production line workers, 14.2% were Administrative

staff workers, 12.3% were sales and marketing department workers, and 9% were managerial

staff workers as depicted by figure 5 below.

40

84

54

47

1-5 Years

6-10 Years

11-15 Years

16-20 Years

1-5 Years 6-10 Years 11-15 Years 16-20 Years


Figure 6: Respondents’ position in the factory


4.2. Descriptive Analysis of the extents of the current Kaizen Practices

Having described the demographic profiles of the sample respondents, it is appropriate to begin

analyzing the main area studied in this survey. Mean for individual question and over all mean

for each dimension were calculated to analyze the effect of Sor ting, set in order, shining,

standardizing, sustain( the 5Ss) on the business performance of Dashen Breweries.

Mean score and frequency were calculated to determine the level of agreement of respondents

to each question. With five point scales, the intervals for breaking the range in measuring each

variable are calculated as follows.

(Max - min)/5= (5-1)/5 = 0.8 = agreement level, i.e. the highest possible value strongly agree (5)

and least value, strongly disagree (1) divided by five. The translation of level ranking is analyzed

based on the following criteria designed by Best (2003):

24

134

30

37

0 20 40 60 80 100 120 140 160

Management Staff

Production line Workers

Sales and Marketing

Adminstrative Staff

Management Staff

Production line Workers

Sales and Marketing

Adminstrative Staff


Table 4: Criteria for Mean analysis

Agreement level Translation criteria

1.00-1.80 Strongly Disagree

1.81 – 2.60 Disagree

2.61 – 3.40 Neutral/undecided/

3.41 – 4.20 Agree

4.21 – 5.00 Strongly Agree

Source, Best (2003)

As it is indicated the analysis for respondent‘s level of agreement to each statements were made

based on the criteria depicted above.

Table 5: Questions Related to Sorting

Statistics

N Mean Std Mi

n

Max

Valid Missi

ng

Red labels have been applied to all marks

which were not necessary during

production activity

225 0 3.55 .9126

9

2 5

scantlings have been thrown away 225 0 3.72 .8509

3

2 5

The causes that led to the scantling

accumulation have been analyzed;

225 0 3.69 .7942

0

2 5

Rules specific to this activity have been

stated and are to be implemented

225 0 3.68 .8895

9

2 5


As shown in table 5 above, the 5Ss which emerged from five Japanese words (Seiri- Sort, seiton-

Set in order, Seiso- Shine, Seiketsu- Standardize, Shitsuke- Sustain), the first one being Sorting.


These 5Ss need to be performed in steps starting from sorting to sustain. The steps could not be

in another way.

As concerned with Dashen Breweries, DebreBerhan Plant, the first step in the implementation of

the 5Ss, i.e., sorting, showed a good level of implementation as the mean range for all the

performance criteria presented falls within the range of ―Agree‖. Applying of red labels as a

mark for unnecessary production activity, 3.55; throwing away of scantlings, 3.72; identifying

causes for scantlings, 3.69; and implementation of specific rules related to sorting, 3.68, all

showed that the practicability of sorting as part of 5Ss was good as per the data gathered. The

study conducted on Effects of 5s Business on performance Of Organization showed that the

implementation of 5S and its benefits for industrial organizations showed that the technique is

very useful, applicable and beneficial. It concluded that 5S has a positive effect on overall

performance and could improve the quality, efficiency and productivity of industrial

organizations. (Karn. P, 2009). This finding is concurrent to the current study.

Source: Observation (2021)


Table 6: Questions related to set in order of the 5Ss

Statistics

N Mean Std. Min Max

Valid Missin

g

All objects which were placed

inappropriately have been taken

inventory of

225 0 3.55 .913 2 5

The locations of all objects necessary in

the workshop have been defined and

marked

225

0 3.72 .851 2 5

Colors have been used to mark the

different areas;

225 0 3.29 1.032 2 5

The access, storing and working areas

have been established and marked;

225 0 3.73 .840 2 5


As per the criteria for analysis of mean set out by (Best, 2003), the setting in order practice of the

5Ss in Dashen Breweries revealed the taking inventory of objects placed inappropriately,

defining and marking of location of all objects necessary in the workshop, marking of different

working areas with colors has been implemented to the required degree as the mean values for

these activities showed, see table 6 above, 3.55, 3.72, and 3.73. All these values fall in the range

of ―Agree‖ as per the criteria set out by (Best, 2003), see table 6 above. The respondents could

not decide their position on the coloring of different work ing areas to make practical visual

messages in workshops, which was showed by mean value of 3.29 that is ―neutral.‖



Table 7: Questions Related to Shining

Statistics

N Mean Std. Min Max

Valid Missin

g

All offices as well as factory floors

have been cleaned

225 0 3.88 .654 2 5

The power supply wiring system

were installed as per standard

225 0 3.74 .788 2 5

Power Supply and wiring for the

communication services have been

properly installed

225 0 3.64 .821 1 5

Appropriate lighting and ventilation

were made available

225 0 3.70 .713 2 5


As shown in table 7 above, questions related to shining which included the cleaning of offices as

well as factory floors, the power supply wiring system and communication wiring system,

appropriate lighting and ventilation were raised and the gathered data on the status of


implementation of these activities showed mean values that fall within the range of ―Agree‖ as

per the criteria set out by Best (2003). The factory has practiced this part of kaizen to a better

degree as compared to sorting and setting in order.


Table 8: Questions Related to Standardize

Statistics

N Miss. Mean Std. Mi

n

Max

Disturbances and nonconformities in the

work place have been detected

225 0 3.27 1.015 2 5

In the factory, all machines are regularly

cleaned

225 0 3.37 1.051 2 5

In the factory, the location of machines and

store places have been organized to reduce

motion time

225 0 3.64 .821 1 5

Standards to maintain and measure

cleanliness have been established

225 0 3.70 .713 2 5


Standardizing creates a work area free of checklists; if appropriate standards are put in place it

will be easier to maintain and continue improving. By implementing this we make sure that the


first three steps Sorting, Set in order, and shine, are well maintained and become part of the work

discipline. As shown in table 8 above, questions related to detecting disturbances and

nonconformities in the work place and, regular cleaning of all machines in the factory showed

mean values of 3.27 and 3.37 which fall in the range of ―Neutral‖ based on the criteria developed

by (Best 2003). This shows that detecting of disturbances and regular cleaning of machines need

attention to maintain standards. The rest questions as related to standardize indicated mean

values of 3.64 and 3.70 for location of machines and store places and standards to maintain and

measure cleanliness respectively which is in the range of ―Agree‖.

The interview made also revealed that ―Equipment and machinery are regularly cleaned and

maintained. As the process is never stopping in the factory, machines and equipment’s are

regularly follow up which created steady work process and reduced idle time which reduced cost

through effective way of using time‖. Workers work according to the standards set. Their

clothing, movement, and activity are based on the work standard set. There are assigned

individuals who check for irregularities‖. This brought about efficiency in work and harmonious

process and workflow, as the interviewees avowed.

Table 9: Questions Related to Sustaining

Statistics

N Mean Std. Min Max

Valid Missin

g

Personal tidiness has been well

maintained among all workers

225 0 3.05 1.028 2 5

Old habits soon die when new habits

are formed without any disparity

225 0 3.23 1.016 2 5

Reminders such as visuals and emails

are used to make these standards set

in stone

225 0 2.88 1.083 2 5



Sustaining is the end result of how well we have performed the previous four S's. In the

Sustainment stage, think of ways to eliminate effort in maintaining an area. It is by far the most

difficult where you need to make it habit to properly maintain the new processes (Imai 1997). As

depicted in table 9 above, the mean values for sustaining kaizen practices fall within the gap of

maintaining of personal tidiness among all workers and the die out of old habits as soon as new

habits are formed accounted, and reminders such as visuals and e-mails to make kaizen standards

set in stone or established permanently accounted for mean values of 3.05, 3.25, and 2.88

respectively which in the range of ―Neutral‖. This indicates that there are factors that still need

improvement in this respect.

The interview was conducted on how much the workers attitude have been changed to sustain

kaizen practices. The interviewees affirmed that ―Changing behavior require time. It is gradual.

As all workers are responsible for identified tasks given them, the workers perform their duty in

line with the training provided them on kaizen practices. But it is impossible to conclude that old

habits have been gone. It requires continuous awareness and training. Kaizen practices have

been implemented very recently and the factory is also young. But the achievements made so far

are encouraging.” To sustain kaizen practices, the management body and the kaizen steering

committee are working hand in hand. Regular meetings and communication have been set in

line. The improvements are encouraging. Training is being provided regularly.”

Table 10: Observation Checklist

Observed Events State of implementation

V.

Good

Goo

d

Satis

facto

ry

Low

level

Not

Avai

lable

The workshops have been cleaned, marked,

Dust bins have been well identified and classified at each

work area

Machines and equipment were cleaned, dusted, and made

ready for the next task

All employees are tidy and all know the first three kaizen


practices well

The employees know what to do without being told

The tools and materials used for routine activities were

properly placed and any one can find them easily

The work area is attractive

Those items that are no more important were properly

disposed of

The machines were placed in such a manner that they

reduce motion and hence save work time and labor

The work area is arranged and orderly so that flow of work

is steady and efficient


As the observation checklist indicated, table 10, most of the kaizen practices were well

implemented. It is not well implementation that brings about change; it is full implementation.

Full implementation of kaizen is steady and continuous. Therefore, it is possible to conclude that

kaizen practices in the factory are encouraging.

Table 11: The current Performance of DBSC with respect to implementation of Kaizen

practices

Statistics

N Mean Std. Min Max

Valid Missin

g

Kaizen implementation has brought

about increase in sales revenue

225 0 3.55 .913 2 5

Kaizen implementation brought about

reduction in cost per unit of

production

225 0 3.72 .851 2 5

Quality of production increased as a

result of Kaizen practices in the

factory

225 0 3.23 1.016 2 5

Customers admire the product of the

factory as it provided better

satisfaction in terms of QCD

225 0 2.88 1.083 2 5



The implementation of kaizen is not without an objective. It should bring about change in

performance of the business in terms of sales volume, cost reduction, customer satisfaction to be

competitive in the market be it domestic or international. With regards to this the respondents

were requested the change wrought about in business performance with respect to sales volume,

cost reduction, increase in quality, and customer satisfaction. Change in business performance of

Dashen Breweries in terms of change in sales volume and reduction in cost per unit of

production revealed mean values of 3.55 and 3.72 respectively. These values fall in the range of

―Agree‖ based on the criteria developed by (Best, 2003). It is possible to say that the kaizen

implementation in the factory brought about improvement in sales volume and cost per unit

reduction. But, increase in quality of production and maintaining customers satisfaction in terms

of quality, cost, and delivery has not been attained by the factory as a result of implementation of

Kaizen practices which was shown by mean values of 3.23 and 2.88 which falls within the range

of ―Neutral‖, see table 11 above.

The interviewees were requested on how much kaizen implementation has brought about change

in performance with regards to quality, profitability, and cost reduction. The response of the

interviewees was summarized as flows:

With regards to quality, ―The factory employed high-tech production process which enables it to

produce quality Beer. But the handling of raw materials and finished products enabled the

factory to maintain quality to the maximum level. All workers strive to their best to international

quality standards. As it is a food item class beer needs attention. Kaizen is not the question of

technology. It is steady step by step, day to day improvement in production process with no or

very minimal cost than using technology.‖

As pertains to change in profitability the response of the interviewees was ―the factory did not

consider the change in profitability with respect to kaizen practices. As profitability can be

determined by many factors, the factory did not measure profitability with respect to kaizen. But

it is possible to say that kaizen practices enabled efficient use of materials, manpower, and time.

Therefore, it is possible to conclude that the contribution of kaizen practices is enormous in

terms of profitability.”

In Sum. It is possible to say that the level of implantations of kaizen practices in the factory is on

a good level where the factory is becoming internationally recognized and awarded ISO 9001


and ISO 14001. This indicates that the factory is implementing kaizen to a degree where it can

attain international recognition. But, kaizen is not a one-time process. It is a continuous and

ongoing activity that encourages workers to come up with new ideas, new ways of doing things,

new processes that increase quality without incurring additional cost(Aurel, 2015). The result of

the study conducted by DemisAlemayehu on Kaizen Management Practices and Operational

Performance in Peacock Shoes Factory, Addis Ababa, Ethiopia showed that there exist a

significant positive relationship between kaizen management practices and operational

performance (Demis, 2020). The finding of the regression analysis also revealed that kaizen

management practices in the factory have a significant effect on the operational performance,

which is concurrent to the aforementioned finding.

The observation checklist has been summarized as follows:

Summary of the Descriptive Statistics

Table 12: Summary of the Descriptive Statistics

Descriptive Statistics

Mean Std. Deviation N

SORTING 3.66 .631 225

SET IN ORDE 3.59 .565 225

SHINING 3.74 .516 225

STANDARDIZE 3.50 .467 225

SUSTAIN 3.05 .861 225

PERFORMANCE 3.34 .654 225


Table 12 above depicts the summary of the descriptive statistics. Kaizen practices (Sorting,

Setting in order, shining, standardize, all fall within the range of ―Agree‖ indicating better

performance level within the factory. While Sustain accounted for 3.05 which is within the range

of ―Neutral‖. This indicates that 4 of the kaizen practices were well implemented in the factory

with exception to sustain. In this section, the results of inferential statistics were offered. For the purpose of assessing the

objectives of the study, Pearson‘s Product Moment Correlation Coefficient and regression

analysis were conducted. With the aid of these statistical techniques, conclusions were drawn

with regard to the sample and decisions were made.

Adopting new standards will take some time, reminders such as visuals and emails can be used

to make these standards set in order. The final step is more challenging; remaining disciplined to


sustain changes made in the first three steps. It denotes commitment to maintain orderliness and

to practice 4S as a way of life. Regular training and communication, employees will be able to

comfortably able to conform to 5S procedure (Komal D, 2018).

4.3. Analysis of Inferential Statistics

4.3.1. Pearson’s Product Moment Correlation Coefficient

Having discussed the descriptive statistical findings of the respondents, the inferential analysis

was discussed. The inferential statistics considers the correlation among independent and

dependent variables and the regression analysis to determine the impact or effect of the

independent variables on the dependent variable.

First the Pearson‘s Product Moment Correlation Coefficient was used to determine whether

there was significant relationship between the independent variables Sorting, Setting in order,

Shine, Standardize, and Sustain (5S) Kaizen practices and the dependent variable; Business

performance of Dashen Breweries SC.

Table13: Interpretation of Criteria for Coefficient of Correlation

Classification of Coefficient Interpretation

Negative

(-1.00 to -0.8] Strong

-0.8 to -0.6] Substantial

-0.6 to -0.4] Medium

(-0.4 to -0.2] Low

(-0.2 to 0.2) Very low

[0.2 to 0.4) Low Positive

[0.4 to 0.6) Medium

[0.6 to 0.8) Substantial

[0.8 to 1.00) Strong

Source: Joe W. Kotrlik, J. C. Atherton, A. Williams and M. KhataJabor.(2011 )

Determining the degree of association between the variables of the study, both independent and

dependent variables, are presented in table 14 below


Table 14: Correlation between dependent and independent variables

Correlations

SORT

ING

SET IN

ORDE

SHINI

NG

STAND

ARDIZ

E

SUS

TAI

N

PERF

ORM

ANCE

SORT

ING

Pearson

Correlation

1 .586** .394** .398** .235* .630**

Sig. (2-

tailed)

.000 .000 .000 .010 .000

N 225 225 225 225 225 225

SET IN

ORDER

Pearson

Correlation

.586** 1 .343** .239** .327*

*

.605**

Sig. (2-

tailed)

.000 .000 .006 .000 .000

N 225 225 225 225 225 225

SHININ

G

Pearson

Correlation

.394** .343** 1 .522** .377*

*

.334**

Sig. (2-

tailed)

.000 .000 .000 .000 .000

N 225 225 225 225 225 225

STAND

ARDIZE

Pearson

Correlation

.398** .239** .522** 1 .418*

*

.363**

Sig. (2-

tailed)

.000 .006 .000 .000 .000

N 225 225 225 225 225 225

SUST

AIN

Pearson

Correlation

.235* .327** .377** .418** 1 .791**

Sig. (2-

tailed)

.010 .000 .000 .000 .000

N 225 225 225 225 225 225

PERFOR

MANCE

Pearson

Correlation

.630** .605** .334** .363** .791*

*

1

Sig. (2-

tailed)

.000 .000 .000 .000 .000

N 225 225 225 225 225 225

**Correlation is significant at the 0.01 level(2-tailed)

*Correlation is significant at the 0.05 level(2-tailed)



There is a positive relationship sorting as kaizen practice and business performance of DBDP.

The result on the above table 14 shows that Sorting (r= .630, P<0.01) shows substantial degree of

correlation and statistically significant relationship between sorting and business performance of

DBDP. This means the two variables are positively related in bringing about change in business

performance.

As indicated in the above table 14, the correlation coefficient result of Set in order practice of

Kaizen and business performance of DBDP (r= .605, P<0.01) which revealed there is positive

that and substantial relationship between setting in order practice of kaizen and business

performance of DBDP.

From table 14 above, it can be concluded that the shining practice of kaizen and its effect on

business performance of DBDP are positively related but the relationship is as indicated by

(r=0.334, p<0.01), and the correlation is significant.

As depicted in table 14 above, there is a positive relationship between Standardizing function of

kaizen and business performance of DBDP. The result on the above table 14 shows that the

coefficient of correlation of (r=.363, P< 0.01) indicating that there is low but positive

relationship between business performance and standardizing.

As depicted in table 14 above, the relationship or association between Sustaining activity of

kaizen and business performance of DBDP indicated that there is positive correlation between

them and the degree of the relationship is substantial (r=.791, P<01)

The correlation between sorting and setting in order practices of kaizen in DBDP shows (.586,

P<.01) indicated that there is medium and positive association between the two variables, setting

in order and sorting, as depicted in table 14.

The correlation between sorting and setting shining practices of kaizen in DBDP shows (.394,

P<.01) indicated that there is low and positive association between the two variables, setting in

order and sorting as shown in table 14.

As shown in table 14 above, the relationship or association between sorting and standardizing

functions of DBDP shows (r=.398, P<01); which indicates low and substantial relationship

between the two variables.

As shown in table 14 above, the relationship or association between sorting and sustaining

functions of DBDP shows (r=.398, P<01); which indicates low and substantial re lationship

between the two variables


As shown in table 14 above, the relationship or association between setting in order and Shining

practices of kaizen activities at DBDP revealed (r=.343, P<01) which revealed low and positive

relationship between the two variables

The data on correlation among variables shown in table 14 revealed that the association between

shining and standardizing kaizen practices at DBDP is (r=0.522, P<.01), which means there is

medium and positive relationship between the two variables.

As shown in table 14 above, the relationship or association Shining and Sustaining functions of

kaizen practices of DBDP shows (r=.252, P<01) which revealed low and positive relationship

between the two variables.

As depicted in table 14 above, the relationship or association between standardizing activity of

kaizen and Sustaining practices of DBDP indicated that there is positive and medium

correlation between them and the degree of the relationship is substantial (r=.418, P<01

4.3.2. Regression Analysis

4.3.2.1. Assumption to Test for Regression Analysis: Testing for Normality

In order to make valid inferences from your regression, the residuals of the regression should

follow a normal distribution. The residuals are simply the error terms, or the differences between

the observed value of the dependent variable and the predicted value. If we examine a normal

Predicted Probability (P-P) plot, we can determine if the residuals are normally distributed. If

they are, they will conform to the diagonal normality line indicated in the plot. Therefore, there

is no problem of normality with the regression analysis.


Figure 7: Histogram for normality Test

The normal distribution is a continuous probability distribution that is symmetrical on both sides

of the mean, so the right side of the center is a mirror image of the left side. The area under

the normal distribution curve represents probability and the total area under the curve sums to

one. As indicated above the curve is symmetrical on both sides indicating that there exists

normal distribution.


Figure 8 Normality Test P-P Plot

PER stands for Business Performance

4.3.2.2. Assumption to Test for Regression Analysis: Testing for homoscedasticity

The next assumption to check is homoscedasticity. The scatterplot of the residua ls as indicated in

fig. 9 below. The data looks like you shot it out of a shotgun—it does not have an obvious

pattern, there are points equally distributed above and below zero on the X axis, and to the left

and right of zero on the Y axis. As shown in the figure, therefore, there is no problem of

homoscedasticity. Therefore, the regression equation correctly represents the model and

variables correctly predict the dependent variable.

Figure 9 Scatter Plot to test Normality


4.3. 2.3. Assumption Test for Regression Analysis-Testing for multi-co linearity

When there is a perfect linear relationship among the predictors, the estimates for a regression

model cannot be uniquely computed. The primary concern is that as the degree of multi-co

linearity increases, the regression model estimates of the coefficients become unstable and the

standard errors for the coefficients can get wildly inflated.

Table 15: Test for Multi collinearity

CollinearityDiagnosticsa

M

od

el

Dimen

sion

Eigen

value

Conditi

on

Index

Variance Proportions

(Con

stant)

SORT

ING

SET

IN

ORDE

R

STAND

ARDIZ

E

SUS

TAI

N

SHI

NIN

G

1 1 5.896 1.000 .00 .00 .00 .00 .00 .00

2 .054 10.408 .01 .02 .01 .00 .78 .01

3 .024 15.728 .03 .26 .11 .13 .02 .05

4 .011 23.176 .09 .49 .62 .00 .03 .13

5 .009 25.939 .59 .12 .25 .00 .00 .40

6 .006 30.150 .28 .11 .01 .68 .13 .41

a. Dependent Variable: PERFORMANCE

The Condition Index obtained in the table titled Collinearity Diagnostics, Table 15, shows

whether there exists of multi-collinearity problem. The rule of thumb in this case is that there is

multi-collinearity if any two independent variables have Variance Proportions in excess of 0.9

column values corresponding to any row. As depicted in table 15 above, none of the values

corresponding to row values exceeds 0.9, and hence there is no problem of multi-collinearity.

Therefore, it is possible to conclude that there is no problem of multi colliniearity among the

variables


Table 16: VIF Values as test for Existence of multi collinearity

Coefficientsa

Model Unstandardiz

ed

Coefficients

Stand

ardiz

ed

Coeff

icient

s

T

Sig. Correlations Collinearity

Statistics

B Std.

Erro

r

Beta Zero-

order

Parti

al

Part Tole

ranc

e

VIF

1 (Constant) .342 .185 1.846 .067

SORTIN

G

.417 .040 .402 10.51

5

.000 .630 .653 .313 .604 1.655

SET IN

ORDE

.175 .044 .151 3.950 .000 .605 .308 .117 .601 1.663

STANDA

RDIZE

.180 .054 .113 3.331 .000 .363 .027 .010 .605 1.652

SUSTAIN .503 .026 .662 19.29

5

.001 .791 .845 .574 .751 1.332

SHINING .116 .048 .013 2.417 .005 .334 .027 .010 .608 1.644

a. Dependent Variable: PERFORMANCE


Tolerance value and VIF give the same information. (Tolerance= 1/VIF). As per the study

conducted none of the tolerance values are less than 1-adjusted R2 or 1-.784= 0.216. Therefore,

there did not exist multi-collinearity problem among variables as shown in table 16 above.

4.3.3. Multiple Regression Analysis

For the purposes of determining the extent to which the explanatory variables explain the

Variance in the explained variable, regression analysis was employed. The result of regression

analysis was presented in the table below, with independent variables of Sorting, Set in order,

shining, standardizing, and sustaining. For the purposes of determining the extent to which the

explanatory variables explain the Variance in the explained variable, regression analysis was

employed. The results of the multiple regression analysis were narrated hereunder.


In The regression analysis used the business performance of DBDP as dependent variable and

Sorting, Set in order, shining, standardizing, and sustaining as independent variable.

Table 17: ANOVA & Model Summary

ANOVAa Model Summary Standard

Error of

the

Estimator

Model Sum of

Square

s

df Mean

Square

F Sig. R R

Squa

re

Adjus

ted R

Squar

e

1 Regression 58.519 5 11.704 236.481 .000b .843

a .789 .784 .223

Residual 7.374 219 .034

Total 65.894 224

a. Dependent Variable: PER a. Predictors: (Constant), SHINING,

SUSTAIN, STANDARDIZE, SET IN

ORDE, SORTING

b. Predictors: (Constant), STA, SUS, SIO, SOR

Where SOR stands for Sorting, SIO, Set in order, SUS, Sustain, STA, Standardize


The ANOVA output, Table 17, assesses the overall significance of the model shows that the ratio

of the regression value to the value of residuals is positive; this implies the presence of a

significant correlation between predictor variables and dependent variable. Further, p-value .000,

which is less than the set limit of .05, tells us about whether all the stressors are eligible to be

included in the regression model as a significant predictor of the criterion variable. The ANOVA

table shows that all the predictor variables (Sorting, Set in order, Shine, Standardize and Sustain)

are a significant predictors of business performance hence the model of the study sufficiently

and significantly explained the variation in business performance.

As shown in the above table 17 above, the overall bundle of determinant factors of the five

independent variables: Sorting, Set in order, Shining, standardizing, sustaining suggest that

78.4%of the business performance depend on the independent variables while the remaining

21.6 % is determined by other unaccounted for factors in this study such as technology,

economies of scale, specialization, motivated labor force, and the like


From the table 17, the researcher can straightforwardly compare the relative contribution of each

of the different variables by taking the beta value under the unstandardized coefficients. The

higher the beta value, the strongest its contribution and significance becomes. Accordingly,

sustaining kaizen practices (Beta=.503) makes the strongest contribution to explaining the

business performance of DBDP, the dependent variable. This means that a one unit change in

sustaining kaizen practices is accompanied by a 39% positive change in business performance of

the association keeping other variables constant. The next most determinant variable Sorting

practice of kaizen that had unstandardized beta value of .417, followed by standardizing kaizen

practices with beta value of 0.180, and set in order accounted for beta value of 0.175, the least

determinant being shining practice of kaizen that had beta value of .116.

When considering the statistical significance of each variable from the above coefficients table

Sustaining kaizen practices (Sig. = .000, P<.01), Sorting kaizen practice (Sig. = .000, P<.01),

Standardizing kaizen practice, (Sig. = .000,P<.01 ), Setting in order (Sig. = .001), and shining

function of kaizen practice(1sig..005, P<.01) have a statistically significant effect on the

dependent variable, Business of performance of DBDP.

Generally, the above regression table, Table 17, model summary, revealed that the correlation

between the observed value of Sorting, setting in order, shining, standardizing and sustaining

practice of kaizen is 78.4 % as indicated by adjusted R2. From this it may be realized that

78.4% of the business performance of Dashen Breweries, DebreBerhan plant can be explained

by the independent variables and other factors that have not been studied have kaizen practice

and its effect on the business performance of DBDP account for 21.6%. Therefore, it is possible

to conclude that, as per the data collected, the combined contribution of, Sorting, Setting in

order, shining, Standardizing and Sustaining kaizen practices would significantly improve the

business performance of DBDP. The unstandardized coefficients B column of Table 16 gives

us the coefficients of the independent variables in the regression equation including all the

predictor variables as indicated below.

As put in the research under model development, ,

the Predicted business performance of DBDP = .342 +0.417(SOR) +0.175(SIO) +0.116(SHI)

+0.180(STA) +0.503(SUS)+.223


The regression table further shows that, all the explanatory variables included in this study can

significantly explain at 95% confidence level the variation on the dependent variable. The

standardized beta coefficient column shows the contribution that each individual variable makes

to the model. The beta weight is the average amount the dependent variable increases when the

independent variable increases by one unit (see beta value in table 16 above).

4.4. Hypothesis Testing

There were four hypotheses constructed in this study. Since Pearson correlation coefficient

shows only the strength and direction of the relationship between variables, it is important to use

regression analysis to test the effect of the independent variables on the dependent variable.

Table 18: Hypothesis Testing

Hypothesis

Decision

Criteria

Decision

H0: Sorting did not have significant effect on Business

performance of DashenBreweries, DebreBerhan plant.

H1: Sorting had significant effect on Business performance

of Dashen Breweries, DebreBerhan plant

=0.417

P<0.05

Accept H1

Reject H0

H0: Setting in order did not have significant effect on

Business performance of DashenBreweries, DebreBerhan

plant.

H1: Setting in order had significant effect on Business

performance of Dashen Breweries, DebreBerhan plant

=0.175

P<0.05

Accept H1

Reject H0

H0: Shining did not have significant effect on Business


H1: shining had significant effect on Business performance

of Dashen Breweries, DebreBerhan plant

=0.116

P<0.05

Accept H1

Reject H0

H0: standardizing did not have significant effect on

Business performance of DashenBreweries, DebreBerhan

plant.

H1: standardizing had significant effect on Business


=0.180

P<0.05

Accept H1

Reject H0


H0: Sustaining did not have significant effect on Business


H1: Susaining had significant effect on Business


=0.503

P<0.05

Accept H1

Reject H0


CHAPTER FIVE: CONCLUSION & RECOMMENDATION

5.1. Summary

In line with the specific objectives of the study, the research sought to evaluate the effect of

kaizen practices at the factory by designing questionnaire in a scale that rates the extent of its

implementation as to bring about change in business performance. The result indicated that,

Shining with mean score of (3.74) sorting with a mean score of (3.66), Setting in order mean

score of (3.59), had been well put into practice as compared to the rest of the variables.

Standardizing having mean value of 3.50 and Sustain with mean value of (3.05) are moderately

implemented.

The result of the correlation analysis shows a positive and strong relationship between practices

and business performance in Dashen Breweries, DebreBerhan Plant. The substantial relationship

is scored between Sustaining Kaizen and Business performance (r=0.791).Setting in order had

also substantial relationship(r=.605), with the business performance of Dashen Breweries.

Sorting practice of kaizen is also substantially related with business performance, (r=0.630).

Standardize and shining with(r= .365 and .334) had medium relationship with business

performance of Dashen Breweries.

The result revealed that Sustaining kaizen practices was the best predictor of operational

performance with (β = .503, p= .000).Sustaining kaizen practice means making practical all the

four Ss‘ which means kaizen becomes culture where it would be part and parcel of the worker,

and the worker can perform every aspect of kaizen without external goading and notices which

would boost the business performance. The second best predictor of business performance was

found be Sorting practice of kaizen with (β=.417, p=.000) followed by standardizing (β=..180,

P=000), and setting in order,


The regression result of this study showed that shining is the least predictor of Business

performance with (β=.116, p=.001). Though it scored the least coefficient, it had a significant

positive effect on business performance

5.2. Conclusion

The results of numerous studies have found that Kaizen is rated as an effective strategy for

improving performance and mechanisms for improving the organization and working

environment. It has proven to be an effective tool for changing the work culture, working

methods and work experience (Aurel, 2015).

As per the objectives of the study, the basic finding was that the implementation and practicing

of the 5Sssignificantly effect business performance improvement. The adjusted R square of the

model shows78.4 % which means collectively the 5Ss (Sorting, Setting in order, Shining,

Standardizing, and Sustaining) are able to create variation on business performance and predict

effectively.

As concerned with specific objective No1, the effect of Sorting practice on the business

performance of Dashen Breweries (r= 0.630, P<.05) and mean value of 3.66, indicated there is

significant relationship between conducting the Sorting function of the 5S and business

performance of the factory.

Touching Specific objective No 2, the effect of Setting in order on business performance of

Dashen Breweries, DebreBerhan Plant is significant as indicated by mean value of 3.59, r= .605,

and( =0.175, P<.05).

Specific objective No 3, The effect of Shining practice of Kaizen on business performance of

Dashen Breweries, DebreBerhan Plant was significant as shown by mean value of 3.74, r=0.334,

( =0.116, P<.05)

Specific objective No4, the effect of Standardizing kaizen practice and its effect on business

performance of Dashen Breweries, DebreBerhanplnat was significant as revealed by mean value

of 3.50, r= .365, and ( = 0.180, P<.05).


Specific objective No 5, the effect of Sustaining aizen practice and its effect on business

performance of Dashen Breweries, Debre Berhan Plnat was significant as revealed by mean

value of 3.05, r= .791, and ( = 0.503, P<.05).

As shown by the regression result, the effect and contribution of Sustaining as kaizen practice

was highest as shown by ( =0.503).

5.3. Recommendations

Although sustaining kaizen practice had the highest coefficient, its mean value is the least

indicating that the sustaining function still requires effort from part of the management as well as

the employees of the factory.

As the factory started implementation of kaizen practices recently and the factory is also very

young in its operation and kaizen is a continuous process, it requires still the continuous team

effort of all the workers and the management to sustain the 5Ss in the factory.

As per the personal observation conducted, there are still scantlings thrown away improperly,

unnecessary materials accumulated here and there. These facts if not timely avoided, would turn

the factory back to the old ways.

In order to keep improving the operational and business performance of the factory, it is

recommended that the management and the workers should able to practice the social and

technical factors of Kaizen practices holistically rather than on a piecemeal basis to get the full

potential of kaizen practices.

5.4. Recommendations for further Research

1. The study only considered the implementation of 5Ss to assess the business performance

of the factory. Such variables as TQM, the seven Mudas, and TPM need to be considered

in similar study.

2. The study focused only on Dashen Breweries, DebreBerhan Plant. The kaizen

implementation practices in similar manufacturing factories and Service companies

should be conducted.

3. Scholars assert that kaizen practices are highly related to culture. This needs further

investigation as related to our culture.


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Appendices

Appendix-A: Questionnaires Prepared in English and Amharic language

DebreBerhan University College of Business and Economics Department of Management MBA

Program

Questionnaire prepared to be filled by Business Performance manager and employee‘s

ofDashen Breweries, DebreBerhan plant.

Dear respondent, the objective of this questionnaire is the Kaizen practice and its effect on the

Business performance of Dashen Breweries, DebreBerhan town

For the partial fulfillment of Master‘s Degree in Business Administration. Therefore, you are

kindly requested to answer the questions honestly as the genuine response you provide has great

value for the accomplishment of the objective of the study and to conduct further research based

on the findings of the research. The response you provide, if confidential, will completely kept

secret. The research work is for academic purpose only. Any information obtained in connection

with this study will remain strictly confidential. Thank You for your giving me time to fill the

questionnaire!

No need of writing name

Put an ― X‖ in front of the box provided for each close ended questionnaire

Part One:

Demographic information

1. Sex: Male 1. Female 2.

2. Age 1) 25 years and below 2) 26-35 years 3) 36-45 years 4) 46 and above

3. Highest level of education

1. Grade 12 completed 2. TVET Complete3. Diploma graduate4. First

Degree 5.Second Degree and above

4. Work experience:/ in years/

1-5 2. 6-103.11 – 154.16- 20 5. Above 20 years


5. Current position in the Factory

1. Administrative Worker 2. Factory/ production worker 3. General

Service

Part Two: Substantive sections

Please state your level of opinion for each given statement using the following scales: 1=

strongly disagree(SD), 2=disagree(DA) 3= Neutral(NE), 4= Agree(AG), and 5=strongly

agree(SA)

Questions Related to Sorting SA AG NE DA SD

Q1 Red labels have been applied to all marks which

were not necessary during production activity

Q2 scantlings have been thrown away

Q3 The causes that led to the scantling accumulation

have been analyzed;

Q4 Rules specific to this activity have been stated and

are to be implemented

Questions Related to Set in order

Q1 All objects which were placed inappropriately

have been taken inventory of

Q2 The locations of all objects necessary in the

workshop have been defined and marked

Q3 Colors have been used to mark the different areas;

Q4 The access, storing and working areas have been

established and marked;

Questions Related to Shining

Q1 All offices as well as factory floors have been

cleaned

Q2 The power supply wiring system were installed as

per standard

Q3 Power Supply and wiring for the communication


services have been properly installed

Q4 Appropriate lighting and ventilation were made

available

Questions Related to Standardizing

Q1 standards by which person must maintain and

measure cleanliness have been established

Q2 Personal tidiness has been well maintained among

all workers

Q3 Old habits soon die when new habits are formed

without any disparity

Q4 Reminders such as visuals and emails are used to

make these standards set in stone.

Questions Related to Sustain

1 All workers are disciplined to make practical the

first three kaizen practices

2 There is regular training and communication to

make kaizen the culture of workers

3 Employee observes cleanliness at all times without

having reminded by the management

Questions Related to Business performance

1 Kaizen implementation has brought about increase

in sales revenue

2 Kaizen implementation brought about reduction in

cost per unit of production

3 Quality of production increased as a result of Kaizen

practices in the factory

4 Customers admire the product of the factory as it

provided better satisfaction in terms of QCD


Appendix B: Observation Checklist

Observed Events State of implementation

V.

Goo

d

Goo

d

Satis

facto

ry

Low

level

Not

Avai

lable

The workshops have been cleaned, marked,

Dust bins have been well identified and classified at each

work area

Machines and equipment were cleaned, dusted, and made

ready for the next task

All employees are tidy and all know the first three kaizen

practices well

The employees know what to do without being told

The tools and materials used for routing activities were

properly placed and any one can find them easily

It is the culture of the employees to keep the work floor tidy

and clean

The work area is attractive

Those items that are no more important were properly

disposed of

There is continuous training on kaizen practices

The machines were placed in such a manner that they reduce

motion and hence save work time and labor

There is no obsolete inventory in store

Every worker knows what kaizen is and applies it in its every

activity in the Dashen Breweries

The work area is arranged and orderly so that flow of work is

steady and efficient


Appendix C: Structured Interview

Interview questions for kaizen implementing team

1. Does 5S of kaizen practices made effect on the Business performance of the factory in

terms of Material Handling? What benefits have been gained?

2. Is Safety at Workplace Improved Dashen Breweries‘s Business performance? What are

the indicators?

3. What is the Impact of 5S Implementation on Usage of Equipment? How much has it

decreased the cost or contributed towards increasing the Business performance of the

factory?

4. How much effective is the implementation of kaizen practices in reducing cost of

production through time management and materials handling? Have you ever evaluated

the monetary benefit gained or costs saved by doing so?

5. What Can You Say about the Lead Time after Business performance of 5S? How can you

explain it in terms monetary savings or cost reduction?

6. Has Quality of Product improved after implementation of kaizen practices and its effect

on the Business performance of Dashen Breweries, DebreBerhan town? What are the

tangible indicators?

7. How much kaizen practices and its effect on the Business performance helped you to

make efficient use of space?

8. How much has the behavior of workers changed after the implementation of kaizen

practices in Dashen Breweries?

9. How do you explain the involvement and commitment of the management body in

implementing kaizen principles to boost Business performance and make it the culture of

the organization?

10. How often do you provide training on kaizen for the workers of DashenBreweries?

11. Do you have kaizen steering committee in Dashen Breweries? How much devoted


አባሪ : A በአማርኛ ቋንቋ የቀረቡጥያቄዎች

ውድ የጥናቱ ተሳታፊ፦ ቀሇም ተስፋዬ እባሊሇሁ፡፡ በደብረ ብርሃን ዩኒቨርስቲ የሁሇተኛ ድግሪዬን በመከታተሌ ሊይ

እገኛሇሁ፡፡ የዚህ መጠይቅ ዓሊማም “The kaizen practices and its effect on business

performance: The case of Dashen Brewery, DebreBerhan Plant” በሚሌ የጥናት መነሻ

ሃሳብ ሊይ ሇሁሇተኛ ድግሪ ማሟያ ጥናታዊ ጽሁፍ ሇማቅረብ ነው፡፡ በመሆኑም የጥናቱ ዓሊማ ትምህርታዊ

እንጂ ላሊ አይደሇም፡፡ በመሆኑም የጥናቱ ውጤት አስተማማኝ ይሆን ዘንድ ትክክሇኛ ምሊሽ በመስጠት

እንዲተባበሩኝ ባክብሮት እጠይቃሇሁ፡፡

ሇመጠይቆቹ የሚሰጡት ምሊሾች ሚስጥር የተጠበቀ ሲሆን ሇትምህርት ተግባር እንጂ ላሊ ተሌእኮ እንደላሌውም

እንዲታወቅ ሇማሳሰብ እወዳሇሁ፡፡

በመጠየቁ ሊይ ስም መጻፍ አያስፈሌግም

አማራጭ ምሊሽ ሊሊቸው ጥያቄዎች በተሰጠው ቦታ ሊይ የ(√) ምሌክት በማድርግ መሌስ ይስጡ፡፡

ክፍሌ 1፡ አጠቃሊይ መረጃ

1.1 ጾታ 1) ወንድ 2) ሴት

1.2 ዕድሜ 1) 25 እና በታች 2) 26-35 3) 36-45 4) 46 እና በሊይ

1.3 የትምህርት ደረጃ 1) አንደኛ ደረጃ 2) 10 እስከ 12 3) ዲፕልማ 4) TVET 5)

ድግሪ 6) ከመጀመሪያ ድግሪ በሊይ

1.4. በፋብሪካው ውስጥ ሇምን ያህሌ ጊዜ ሠርተዋሌ?

1.ከ1 ዓመት በታች2. ከ 1- 4 ዓመት 3. ከ5 – 10 ዓመት 5. ከ10 ዓመት በሊይ

1.5.አሁን እየሠሩ ያለበት የሃሊፊነት ቦታ ወይም ደረጃ

1. የአስተዳደር ሠራተኛ 2. በፋብሪካ ውስጥ አምራች ሠራተኛ 3. ጠቅሊሊ አገሌግልት

ክፍሌ ሁሇት፦ ካይዘንን የሚመሇከቱ ጥያቄዎች


ከዚህ በታች ሇቀረቡት ካይዘን ተኮር ጥያቄዎች በጣም እስማማሇሁ(በእ) 5፣ እስማማሇሁ(እስ) 4፣ ሃሳቤን

መግሇጽ አሌችሌም(መአ) 3፣ አሌስማማም(አሌ)2፣ ፈጽሞ አሌስማማም (ፈአ) 1 በአማራጭነት ቀርበዋሌ፡፡

ከተሰጡት አማራጮች ወስጥ በእርስዎ አስተያየት ትክክሌ በሆነው ሥር የ ምሌክት በማድረግ ይመሌሱ፡፡

ማጣራትን የሚመሇከቱ ጥያቄዎች በእ እስ መአ አሌ ፈአ

ጥ1 በምርት እንቅስቃሴ ውስጥአስፍፈሊጊ ባሌሆኑ ክንውኖች ሊይ

ቀይ ምሌክት ተደርጓሌ፡፡

ጥ2 የማያስፈሌጉ ቁርጥራጮች ወይም ተረፈ ምርቶች ከምርት

ቦታ ሊይ ተወግደዋሌ፡፡

ጥ3 ሇተረፈ ምርቶች ክምችት ምክንያት የሚሆኑ ተሇይተው

ተተንትነዋሌ፡፡

ጥ4 ማጣራትን የተመሇከቱ ህጎች ተግባራዊ ሆነዋሌ፡፡

ማስቀመጥን አስመሌክቶ የወጡ ጥያቄዎች

ጥ1 ያሇ አግባብ የተቀመጡ ቁሳቁሶች ሁለ ተሇይተዋሌ፡፡

ጥ2 በዎርክሾፑ ውስጥ የሚያገሇግለ ቁሳቁሶች ሁለ በምሌክት

ተሇይተዋሌ፡፡

ጥ3 የተሇያዩ የመስሪያ ክሌልች በቀሇማት ተሇይተዋሌ፡፡

ጥ4 መውጫና መግቢያ መንገዶች፣ የክምችትና የመስሪያ ቦታዎች

በምሌክት ተሇይተዋሌ፡፡

ማጽዳትን አስመሌክተው የወጡ ጥያቄዎች

ጥ1 የዳሸንቢራ ቢሮዎች ሁለ ጸድተዋሌ፡፡

ጥ2 የኤላክትሪክ መስመሮች ደረጃቸውን ጠብቀው ተሠርተዋሌ፡፡

ጥ3 የቴላፎን መስመሮች ደረጃቸውን ጠብቀው ተዘርግተዋሌ፡፡

ጥ4 መስኮቶች ሁለ ጸድተዋሌ፤ ብርሃንና አየርን በተገቢው

መንገድ ያስተሊሌፋለ፡፡

ማሊመድን የሚመሇከቱ ጥያቄዎች

ጥ1 ሰዎችን ጽዱነትን ሇማረጋገጥ የሚያስችሎቸው መስፈርቶች

ወጥተዋሌ፡፡

ጥ2 ሠራተኞች የሥራ ባሕርያቸው በሚፈቅደው መሠረት


ሇብሰዋሌ፡፡

ጥ3 አሮጌ አመሇካከቶች ሇአዳዲስ የአሠራር ዘዴዎች በፍጥነት

ስፍራ ሇቀዋሌ፡፡

ጥ4 ካይዘንን ማሊመድ ሥር እንዲሰድ የሚያደርጉ

ማሳሰቢያዎች እና ስዕልች ጥቅም ሊይ ውሇዋሌ፡፡

ማዝሇቅን የሚመሇከቱ ጥያቄዎች

ጥ1 ሁለም ሠራተኛ የመጀመሪያዎቹ የካይዘን መርህዎችን

ተግባራዊ ማድረግ ባህርይ አድርገዋሌ፡፡

ጥ2 ካይዘንን ባህሌ ሇማድረግ ሠራተኞች ተከታታይነት ያሇው

ስሌጠና ተሰጥቷቸዋሌ፡፡

ጥ3 ሠራተኛው ያሇምንም አመራር ጣሌቃ ገብነት የሥራ ቦታ

አሇባበስን ሁላም ተግባራዊ ያደርጋለ፡፡

አባሪ B: ምሌከታ ማድረጊያ መስፈርቶች

የምሌከታ ትኩረቶች የተግባራዊነት ደረጃ

በጣ

ም

ጥሩ

ጥሩ አጥ

ጋቢ

ዝቅ

ተኛ

ደረ

ጃ

ፈጽሞ

የሇም

የመሥሪያ ቦታዎች ጸድተዋሌ፣ ተሇይተዋሌ፣

በመስሪያ አካባቢዎች የቆሻሻ ማስቀመጫዎች ተሇይተው ተቀመጥዋሌ፡፡

ማሽኖችና መሳሪያዎች ጸድተዋሌ፣ ሇሚቀጥሇው ቀን ሥራ ዝግጁ ሆነዋሌ፡፡

ሁለም ሠራተኖች ንጽሕናቸውን ጠብቀዋሌ፣ የመጀመሪያዎቹን የካይዘን

መርሆዎች ተግብረዋሌ፡፡

told ሠራተኞች ያሇማንም ጉትጎታ አውቀው በራሳቸው ሥራዎችን

ያከናውናለ፡፡

ተዘውትረው አገሌግልት ሊይ የሚውለ ቁሳቁሶች በቀሊለ ሉገኙ በሚችለበት

መንገድ ተሇይተው ተቀምጠዋሌ፡፡


የሥራ አካባቢያቸውን ጽዱና ማራኪ ማድረግ የሠራተኛው ባሕሌ ነው፡፡

የመስሪያ አካባቢው ማራኪ ነው

አገሌግልት የማይሰጡ ቁሳቁሶች በተገቢው ሁኔታ ተወግደዋሌ፡፡

በካይዘን ትግበራን አስመሌክቶ ተከታታይነት ያሇው ስሌጠና ተሰጥቷሌ፡፡

የማምረቻ መሳሪያዎች እንቅስቃሴን የሚቀንሱና የሥራ ሰዓትንና ጉሌበትን

በሚቀንስ መሌኩ ተደራጅተዋሌ፡፡

በክምችት ክፍለ የአገሌግልት ጊዜያቸው ያሇፈባቸው ንብረቶች በክምችት ክፍሌ

ውስጥ የለም፡፡

እያንዳንዱ ሠራተኛ ካይዘን ምን እንደሆነ ያውቃሌ፤ በየእሇት የሥራ

እንቅስቃሴም ተግባራዊ ያደርጋሌ፡፡

የሥራ ቦታው በሚገባ የተደራጀ በመሆኑ ሥራው ያሇምንም እንቅፋት

ይከናወናሌ፡፡

አባሪ C: ሇቃሇ ምሌሌስ የሚቀርቡ ጥያቄዎች

ሇአስተዳዳሪዎችና የምርት ክፍሌ ሃሊፊዎች የቀረበ ቃሇ ምሌሌስ

1. አምስቱ የካይዘን መርሆዎች እና የሚያስገኙት ሇውጦች በሥራ እንቅስቃሴአችሁና ንብረት አያያዛችሁ ሊይ

ምን መሻሻሌ አምጥቷሌ? ምን ጥቅምስ ተገኝቷሌ?

2. ምቹ የሥራ ሁኔታ የዳሸን ቢራ ፋብሪካን የሥራ ክንውን አሻሽልታሌ? ምን አመሊካች አሇ?

3. ከማምረቻ መሳሪያዎች አያያዝ ጋር በተያያዘ የ5ቱ ኤሶች አስተዋጽኦ ምን ያህሌ ነው? ወጭን

በመቀነስና ምርታማነትን በማሳደግ ሂደትስ ምን ያህሌ አስተዋጽኦ አድርጓሌ?

4. ጊዜን በአግባቡ በመጠቀምና ግባቶችን በሚገባ በመያዝ የማምረቻ ወጭን በመቀነስ የካይዘን ትግበራ

ምን ያህሌ ውጤታማ ሆኗሌ? ይህ በመሆኑም ምን ያህሌ ገንዘባዊ ጥቅም እንደተገኘ ወይም የወጭ

ቅነሳ እንደተደረገ እንዴት ይመዝኑታሌ?

5. ወቅቱን የጠበቀ ግዥን መፈጸምን ወይም በተፈሌገ ሰዓት ያሇምንም መዘግየትና የጊዜ ብክነት የሚፈሇጉ

ግባቶችን ሇሥራ ዝግጁ ከማድረግ ምን የተገኘ ሇውጥ አሇ? ይህን ተግባራዊ ከማድረግ አንጻርስ ምን

ያህሌ ገንዘባዊ ጥቅም ተገኝቷሌ? ምን ያህሌስ ወጭ ቀንሷሌ?

6. ካይዘን ከተተገበረ በኋሊ በፋብሪካው የሥራ አፈጻጸም ሊይ ምን ሇውጥ አምጥቷሌ?


7. ካይዘን ተግባራዊ ከሆነ ወዲህ ያሇውን ውስን የምርት ቦታ በአግባቡ ወጭ ቆጣቢ በሆነ መንገድ

በመጠቀሙ ረገድ ምን ያህሌ አግዟሌ?

8. በዳሸን ቢራ ፋብሪካ ካይዘን ተግባራዊ በመደረጉ የሠራተኛው ባህርይ ምን ያህሌ ተሇውጧሌ?

9. የማነጅሜንቱ አካሌ የፋብሪካውን ሥራ አፈጻጻም ሇማሻሻሌ የካይዘንን ፍሌስፍና ሇመተግበር ምን ያህሌ

ቁርጠኛ ነው?

10. ካይዘንን አስመሌክቶ ሇሠራተኞች ስሌጠና ምን ያህሌ ጊዜ ተሰጥቷሌ?

11. በፋብሪካው የካይዘን ትግበራ ኮሚቴ አሇ? ምን ያህሌ በቁርጠኝነት እየሠሩ ናቸው?

kaizen practices and its effect on business …

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