PDCA Cycle

AAA

DEFINITION of 'PDCA Cycle'

A four-step problem-solving iterative technique used to improve business processes. The four steps are plan-do-check-act. The PDCA Cycle can be used to effect both major performance breakthroughs as well as small incremental improvements in projects and processes. Also known as the Deming wheel or Shewhart cycle.

INVESTOPEDIA EXPLAINS 'PDCA Cycle'

The concept was originally developed by statistician Walter Shewhart during the 1930s. It was subsequently popularized by quality control pioneer Dr. W. Edwards Deming in the 1950s.

RELATED TERMS
  1. Quality Management

    The act of overseeing all activities and tasks needed to maintain ...
  2. Productivity

    An economic measure of output per unit of input. Inputs include ...
  3. Return On Assets - ROA

    An indicator of how profitable a company is relative to its total ...
  4. Human Capital

    A measure of the economic value of an employee's skill set. This ...
  5. Kaizen

    A philosophy that sees improvement in productivity as a gradual ...
  6. BCG Growth Share Matrix

    A planning tool that uses graphical representations of a company’s ...
Related Articles
  1. Find Investment Quality In The Income ...
    Options & Futures

    Find Investment Quality In The Income ...

  2. The Financial Characteristics Of A Successful ...
    Fundamental Analysis

    The Financial Characteristics Of A Successful ...

  3. How To Evaluate A Company's Balance ...
    Investing Basics

    How To Evaluate A Company's Balance ...

  4. Find Quality Investments With ROIC
    Options & Futures

    Find Quality Investments With ROIC

Hot Definitions
  1. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  2. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  3. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  4. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  5. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  6. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
Trading Center