Four Step Management Method

PDCA (plan–do–check–act) is an iterative four-step management method used in business for the control and continuous improvement of processes and products.  A fundamental principle of the PDCA method is repetition—once a hypothesis is confirmed (or negated), administering the cycle again will extend the knowledge further.

Each complete cycle indicates an increase in your knowledge of the system or numbers you are studying. This approach is based on the belief that your knowledge and skills are limited, but improving (especially at the introduction of a product or service into your business). For instance, you may not know key information about said product or service. Yet, utilizing the PDCA process provides feedback to justify your guesses (hypotheses) and increase your knowledge. Rather than enter analysis paralysis to get it perfect the first time, it is better to be approximately right than exactly wrong. With the improved knowledge, you may choose to refine or alter the product or service. Certainly, the PDCA approach can bring you closer to whatever goal you choose.

PCDA Definitions
Plan: Recognize an opportunity and plan a change. Obtain baseline numbers and gather information.

Do: Observe and analyze the current process, design an improved process, test the change.

Check: Review the change, monitor and evaluate the results. (What’s working? What have you learned?)

Adjust: Modify and make improvements as needed. If the change didn’t work, begin the cycle again.

The four step process furnishes a basic arrangement to carry out change. It is so much more: it is a cycle that doesn’t end. Instead, the cycle charts a course for follow-through and allows for continuous improvement as work and processes develop to meet your constantly changing needs and expectations of your customers.

PDCA encourages you to constantly strive for the perfect process, product or service, with the understanding that as your customers change, so, too do their needs change. And, so by constantly checking, and adjusting, you can keep pace with your customers’ needs and provide products and services that are of value to them.

To learn more about this and similar small business topics, check out the list of Related Posts listed below.

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Patsy McManus (Publisher of EnSanity Press) has twenty five years of experience in systems design and management. She has dedicated 10 of those years specifically to small business systems development and implementation. Patsy works hand-in-hand with her husband and author, Roger McManus, to counsel business owners in the exploration and development of the Freedom that actually gives the business a greater tangible value. You may reach Patsy by email (Patsy@EnSanityPress.com).

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