What is 5S? Complete Guide to Implementing 5S for Business Productivity

Date: 2025.06.12

5S – A Solid Foundation To Help Increase Productivity and Reduce Waste for Businesses

Why Businesses Need 5S Today

Did you know that the average office worker spends 21% of their time just searching for documents and tools? According to McKinsey research, for a company with 100 employees, this is equivalent to losing the productivity of 21 staff members annually – just from … looking for things!

Are you unknowingly wasting your company’s resources and costs? If your employees are always busy but the results don’t match their efforts, then the 5S methodology is the key to help you increase efficiency – reduce costs – improve the work environment.

What is 5S? Why Should Businesses Apply It?

5S is a workplace management methodology originating from Japan, consisting of 5 steps:
– Seiri (Sort)
– Seiton (Set in Order)
– Seiso (Shine)
– Seiketsu (Standardize)
– Shitsuke (Sustain)

Benefits of applying 5S:

– Increase productivity
– Reduce costs
– Increase employee satisfaction
– Improve workplace safety
– Optimize workspace utilization

This methodology has been successfully applied worldwide, from large corporations like Toyota to Vietnamese enterprises like THACO Auto Corporation and MK Smart (GKM Lean Institute) with successful implementation.

1. Sort (Seiri) – Remove What’s Unnecessary

Objectives:

– Remove unnecessary items, equipment, and documents
– Free up space – reduce search time

📌 Real-world example:

Tan Hop Shoe Company:
– Freed up 200m² of warehouse space
– Reduced search time by 35%
– Saved 50 million VND/month in warehouse costs

💡 Pro tip: Apply the “30-60-90 Red Tag Rule” to evaluate items to keep or remove:
– Red tag: Not used in 30 days → Mark
– Yellow tag: Not used in 60 days → Move to storage
– Black tag: Not used in 90 days → ELIMINATE

2. Set in Order (Seiton) – A Place for Everything

Objectives:

– Arrange scientifically – clearly – accessibly
– Label and mark tool positions

📌 Improvement results from Thanh Cong Mechanical Workshop:

– Reduced tool search time from 15 minutes → 30 seconds
– Machine efficiency increased from 65% → 87%

💡 Pro tip: Use color labels for areas – green: tools, red: dangerous items. This makes everything visual and accessible.

3. Shine (Seiso) – Maintain Clean Workspace

Objectives:

– Regular cleaning, periodic equipment inspection
– Early detection of potential issues (leaks, breakdowns)

📌 Example from Son La Electric Power Company:

– Incidents reduced by 92% after 6 months
– Saved 184 million VND/month
– Increased electrical system reliability by 15%

💡 Pro tip: Create a regular cleaning schedule and assign responsibility to each employee.

4. Standardize (Seiketsu) – Standardize and Maintain

Objectives:

– Establish standards, regulations, and checklists
– Monitor and maintain consistently

📌 Real example: Hoa Tho Textile Factory:

– Created Visual Management Boards at 15 points in the factory
– Each shift has 5 minutes of “5S Check”
– Reward: 200k VND/person/month for the best 5S team

Results after 1 year:
– 96% of employees comply with 5S standards
– 22% increase in productivity
– 18% increase in employee satisfaction score
(Source: GKM Lean Institute)

💡 Pro tip: Use visual management boards, 5-minute checks per shift.

5. Sustain (Shitsuke) – Build Sustainable 5S Culture

Objectives:

– Turn 5S into habits and corporate culture
– Encourage continuous improvement and recognize efforts

📌 “5S Championship” model at THACO:

– Months 1-3: Training and implementation preparation
– Months 4-6: Competition between departments
– Months 7-12: Evaluation and certification
– Year 2+: Continuous improvement

Impressive ROI (Return on Investment):
– Investment cost: 200 million VND
– First-year savings: 2.3 billion VND
– ROI: 1,150%
(Source: GKM Lean Institute)

💡 Pro tip: Organize regular training, competitions, recognize outstanding individuals/teams.

Benefits of the 5S Method

🌟 Increase productivity & work efficiency

🧼 Improve product quality

💸 Reduce operating costs

🛡️ Increase safety levels

😄 Increase employee satisfaction

Successful implementing companies: Toyota, THACO, MK Smart, Hanoi Plastic Bag JSC…

How to Start 5S? – 90-Day Roadmap Guide

1. Leadership commitment:

Leaders need to understand and support 5S, and set an example for employees.

2. Employee training:

Organize training sessions to explain 5S and its benefits. Ensure all employees understand their role.

3. Small-scale pilot:

Start with a small area, like a production line or department, before expanding company-wide.

4. Establish standards:

Create processes and checklists to ensure consistency.

5. Maintain and improve:

Regularly check, evaluate, and encourage employees to contribute improvement ideas.

🎯 90-Day Reference Roadmap – From 0 to 5S Hero
Weeks 1–2: Area selection, current state measurement

– Leadership commitment meeting
– Select pilot area (1 small department)
– Measure initial current state
– Form implementation team

Weeks 3–8: Implement 5S steps

– Weeks 3–4: Sort + Set in Order
– Weeks 5–6: Shine + Standardize
– Weeks 7–8: Sustain + Overall evaluation

Weeks 9–12: Expand, evaluate, reward

– Expand to 3 other areas
– Train core personnel
– Establish monthly evaluation system
– Implement reward & recognition program

🔗 Free 5S Resources and Tools

– Templates for download:

– 5S evaluation checklist (Excel)
– Red tag template (Word)
– Visual management board (PowerPoint)
– ROI calculator (Excel)
– Training slides (PDF)

– Instructional videos:

– “5S in 10 minutes” – Crash course
– “THACO case study” – Detailed analysis
– “Common mistakes” – What to avoid

– Community:

– Facebook Group: “Vietnam 5S Community”
– LinkedIn: “Lean Manufacturing in Vietnam”

🚨 7 Common Mistakes When Implementing 5S That Businesses Should Avoid

5S is an excellent method for improving efficiency, but many businesses fail due to these mistakes:

1. Doing it for “show”

Problem: Only cleaning when visitors come, not maintaining daily.
Solution: Establish regular, unannounced inspection systems.

2. Leadership not participating

Problem: CEO only gives orders but doesn’t lead by example.
Solution: Leaders must directly participate in 5S activities.

3. “One-time for life”

Problem: Implement once then abandon, no maintenance system.
Solution: Build culture, not just processes.

4. “Copy exactly from Japan”

Problem: Not adapting to Vietnamese culture.
Solution: Adjust methods to fit reality.

5. “No KPI measurement”

Problem: Cannot track actual effectiveness.
Solution: Establish clear KPIs and measure regularly.

6. “Top-down imposition”

Problem: Employees don’t understand reasons and benefits.
Solution: Communicate and explain clearly to employees from the start.

7. “Setting standards too high”

Problem: Unrealistic standards, difficult to implement.
Solution: Start with moderate standards, then gradually raise them.

Conclusion: Take Action Now to Create Transformation

“You cannot build a high-rise building on a weak foundation.” – Japanese 5S Philosophy

Start today. Apply 5S step by step, record actual results, and gradually form an efficient, sustainable culture.