Deming or PDCA Cycle - Explained
THe Deming Cycle
- Marketing, Advertising, Sales & PR
- Accounting, Taxation, and Reporting
- Professionalism & Career Development
-
Law, Transactions, & Risk Management
Government, Legal System, Administrative Law, & Constitutional Law Legal Disputes - Civil & Criminal Law Agency Law HR, Employment, Labor, & Discrimination Business Entities, Corporate Governance & Ownership Business Transactions, Antitrust, & Securities Law Real Estate, Personal, & Intellectual Property Commercial Law: Contract, Payments, Security Interests, & Bankruptcy Consumer Protection Insurance & Risk Management Immigration Law Environmental Protection Law Inheritance, Estates, and Trusts
- Business Management & Operations
- Economics, Finance, & Analytics
What is the Deming Cycle or PDCA Cycle?
Deming cycle is a four-step strategy for solving problems and improving business processes. It is an interactive process involving Plan-Do-Check-Act. It is also called the PDCA cycle.
What are the Steps of Deming or PDCA Cycle?
The four steps involved in PDCA cycle are:
- Plan: In the planning phase, one needs to chalk out a precise plan to achieve the desired goal. In order to do this effectively, one needs to examine a current plan or a new plan and find ways to improve it. A good plan has a definite goal for the project with a clear pathway to achieve it. The organizations goal and principles are to be considered thoroughly while making the plan.
-
Do: It is the time to carry out the plan in a proper manner. It is always helpful to start small in scale to easily assess the output. In this phase it is important for the players to adhere to the plan; otherwise, the whole exercise could become futile. This phase has three steps:
- training of the people involved in the project,
- doing the work, and
- gathering the data and results for evaluation.
-
Check: In this phase, data and results from the do phase are analyzed. Similarities and differences with the desired result are examined. It is also helpful to understand which changes will be effective and how to make those improvements. Ideally, during a project cycle, two rounds of checks should be done.
- The first time while the plan is being implemented to ensure the objectives are being taken care of.
- A second round of checks should be done after completing the implementation phase. It is needed to get a comprehensive picture using all the data and outputs. It also determines the achievements and failures and helps in understanding the shortcomings.
- Act: It is the final phase where the gaps are addressed. Corrective actions are taken, and adjustments are made to close the gap between the desired goal and the achieved result. Organizations often repeat the cycle and make it a part of their regular operations to optimize the result. It enables a company to achieve an improved business procedure with minimum error.
Some History of the Deming Cycle
During the 1920s, American physicist Walter A. Shewhart first came up with this model drawing inspiration from management practices. The way that management continuously evaluates the works inspired him to devise this model. Later quality control pioneer Dr. W Edwards Deming popularized it. He was the first one to identify it as an effective model to improve production processes in America during the second world war. Deeming named it after Shewhart, though in later years it became popularized as the Deeming cycle. Many managers use this model without even realizing, as it involves the basics of strategic planning. It is a very effective way to improve the performance of the company, enhance the quality of the products, optimize the cost structure, and ensure customer satisfaction.