Hoshin is a Japanese term of Chinese origin meaning compass needle (composed of the word ?ho? = direction and ?shin? = needle). In Japanese industry, the term "Hoshin Kanri" is often used. Kanri" means "management", "planning", and is therefore also synonymous with Hoshin planning. Hoshin Kanri (Management by Policy, Policy Deployment) is a company-wide planning and control system that involves all managers and employees in a systematic and stringent cascading (derivation and coordination) process, within the framework of a simultaneous vertical and lateral (horizontal) coordination and agreement, in which the overriding breakthrough goals of the company are developed and defined from the vision, in order to derive the most important strategies and goals for all employees (incl. managers), so that the company can achieve its goals. In Germany, this control system is still very little known, even by name. In terms of content, only a few companies are familiar with it, and usually only those that are primarily associated with HP or with (former) managers of this company in business relationships or as executives. (Source: http://www.frankfurt-school.de/dms/Arbeitsberichte/Arbeits14.pdf) Hoshin-Kanri contains a hierarchy of goals. The multi-year goal (ideal or vision) is the North Star (True North), which is used to guide annual goals, as well as specific improvement activities. Because the North Star is aligned with customer needs, the previously different and sometimes contradictory management goals can be redefined, synchronized and aligned. This resolves some of the previous conflicting goals. (Source: http://www.wandelweb.de/wiki/index.php5?title=Hoshin_Kanri)