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Abstract Kaizen is one of the core systems of knowledge utilized in Technical Cooperation projects of the Japanese government. For the effective transfer of Kaizen, recipient country governments and their top leaders can play significant roles through a set of institutional arrangements. For sustainable improvement of quality and productivity of work, people’s core capacities need to receive due attention since they provide the bases for further technical capacity development. The Kaizen mind-set can create change and make proactive contributions to improvement. Since knowledge transfer is influenced by both technical and human aspects, the process of customizing Kaizen tools and methodologies in the local context while maintaining the core value of Kaizen is indispensable for long-lasting quality and productivity improvement activities.
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