Professional Documents
Culture Documents
Leveled Production
Stable and Standardized Processes
Visual Management
Toyota Way Philosophy
The "4 P" model and where most
companies are
Genbutsu
Continual organizational learning through Kaizen
Genchi
Problem
Go see for yourself to thoroughly understand the
Where most Solving situation (Genchi Genbutsu)
"lean" (Continuous Make decisions slowly by consensus, thoroughly
Improvement and considering all options; implement rapidly (Nemawashi).
companies Learning)
are
Grow leaders who live the philosophy
Respect and
Teamwork
(Respect, Challenge, Respect, develop, and challenge your people and teams.
and Grow Them) Respect, challenge, and help your suppliers
• Mura-Unevenness.
Unevenness results from an irregular
production schedule or fluctuating
production volumes due to internal
problems, like downtime or missing parts
or defects.
Fundamentals of TPS….
• Muri-Overburdening people or
equipment. This is in some respect on
the opposite end of the spectrum from
muda. Muri if pushing a machine or
person beyond natural limits.
Overburdening people results in safety
and quality problems. Overburdening
equipment causes breakdowns and
defects
Toyota Principles
• Section I : Long-Term Philosophy
• Principle 1. Base your management decisions
on a long-term philosophy, even at the
expense of short-term financial goals.
• Section II: The Right Process Will Produce
the Right Results
• Principle 2. Create continuous process flow to
bring problems to the surface.
• Principle 3. Use “pull” systems to avoid
overproduction.
• Principle 4. Level out the workload (Work like
the tortoise, not the hare.)
Toyota Principles…
• Principle 5. Build a culture of stopping to fix
problems, to get quality right the first time.
• Principle 6. Standardized tasks are the
foundation for continuous improvement and
employee empowerment.
• Principle 7. Use visual control so no problems
are hidden.
• Principle 8. Use only reliable, thoroughly
tested technology that serves your people
and processes.
Toyota Principles…
• Section III: Add Value to the Organization by
Developing Your People and Partners
• Principle 9. Grow leaders who thoroughly
understand the work, live the philosophy, and
teach it to others.
• Principle 10. Develop exceptional people and teams
who follow your company’s philosophy
• Principle 11. Respect your extended network of
partners and suppliers by challenging them and
helping them improve.
Toyota Principles…
• Section IV: Continuously Solving Root
Problems Drives organizational Learning
• Principle 12. Go and see for yourself to
thoroughly understand the situation (genchi
genbustu).
• Principle 13. Make decisions slowly by
consensus, thoroughly considering all
options; implement decisions rapidly
(nemawashi).
• Principle 14. Become a learning organization
though relentless reflection (hansei) and
continuous improvement (kaizen).
What can be learnt
from Toyota?
1. Simplicity
At Toyota they keep things simple and use
very few complex statistical tools. The
quality specialists and team members
have just four key tools:
• Go and see.
• Analyze the situation.
• Use one-piece flow and andon to surface
problems.
• Ask “Why” five times.
2. Clean It Up, Make It Visual
When Americans were making pilgrimages to Japanese plants
in the 1970s and ‘80s, the first reaction was invariably “The
factories were so clean you could eat off of the floor. In Japan
there are “5S programs” that comprise a series of activities for
eliminating wastes that contribute to errors, defects, and injuries in
the workplace. Here are the five S’s (seiri, seiton, seiso,
seiketsu, and shitsuke, translated into English):
• Sort – Sort through items and keep only what is needed while
disposing of what is not.
• Straighten (orderliness) – “A place for everything and everything in
its place.”
• Shine (cleanliness) – The cleaning process often acts as a form of
inspection that exposes abnormal and pre-failure conditions that
could hurt quality or cause machine failure.
• Standardize (create rules) - Develop systems and procedures to
maintain and monitor the first three S’s.
• Sustain (self-discipline) – Maintaining a stabilized workplace is an
ongoing process of continuous improvement.
3. Decision Making
Thorough consideration in decision making
includes five major elements:
• Finding out what is really going on, including go
and see.
• Understanding underlying causes that explain
surface appearances – asking “Why?” five times.
• Broadly considering alternative solutions and
developing a detailed rationale for the preferred
solution.
• Building consensus within the team, including
company employees and outside partners.
• Using very efficient communication vehicles to
share the decision and tracking
“5-Why” Investigation questions
Corresponding Level of
Level of Problem
Countermeasure
There is a puddle of oil on the shop floor Clean up the oil
Development of Lexus
5. Coercive vs. Enabling -
Employee Empowerment
Coercive Systems and Procedures Enabling Systems and Procedures
(Taylorism) (Toyota Way)
Systems are instructions to be followed, not Systems are best practice templates to be
challenged. improved.
6. Deeply Understanding and
Reporting What You See
• Always keep the final target in mind
Carefully plan for your final target
Have a clear purpose for meetings.
• Clearly assign tasks to yourself and to others
• Think and speak based on verified, proven information and data
Go and confirm the facts for yourself
You are responsible for the information you are reporting to other.
• Take full advantage of the wisdom and experiences of others to
• Send, gather or discuss information
• Share your information with others in a timely manner
Always consider who will benefit from receiving the information.
• Always report, inform and consult in a timely manner.
• Analyze and understand shortcomings in your capabilities in a
measurable way
Clarify the skills and knowledge that you need to further develop yourself.
• Relentlessly strive to conduct kaizen activities
• Think “outside the box,” or beyond common sense and standard
rules.
• Always be mindful of protecting your safety and health.
7. Themes of Leadership at
Toyota
Focused on a long-term purpose for Toyota as a
value-added contributor to society.
Never deviated from the precepts of the Toyota Way
DNA and lived and modeled themselves around this
for all to see.
Worked their way up doing the detailed work and
continued to go to the Gemba-the actual place where
the real added-value work is done.
See problems as opportunities to train and coach
their people.