14 Principles of Toyota Way
→ Toyota has one of the most efficient and effective production systems in the world.
→ The 14 Management Principles are the foundation of the Toyota Production System (TPS).
→ It is also known as the 14 Principles of the Toyota Way.
→ Each organization follows the concept of Continuous Improvement for their growth.
→ Continuous Improvement means creating an atmosphere of continuous learning and implementing the new strategy at the organization.
→ Continuous Improvement helps for better effectiveness and efficiency
→ Respect for people means engaging employees by active participation in improving their everyday job
The 4 Pillars of the Toyota Production System (TPS)
→ The Four main pillars of TPS are also known as the 4-P model of the Toyota Production System.
→ 4-P Models of TPS are mentioned below
- Philosophy
- Process
- People
- Problem Solving
1) Philosophy includes Long-term system thinking
2) Process contains Continuous flow, Pull System, Levelling or Balancing, Standardized Process, Design-build in quality, Visual Control, and Technology Support
3) People includes grow Leaders, Develop People and Teams, Partner with Value Chain
4) Problem-Solving contains observing deeply and learning iteratively (PDCA), aligning Goals, and bold strategy - large leaps and small steps.
The 14 Principles of the Toyota Production System
→ The 14 Management Principles of Toyota Way are mentioned below
→ Below Principles are explained in easy language so the wording might be different than the actual wording of the principles.
→ You can refer to the below photographs for the 14 Principles of the Toyota Production System
01. Long-Term System Thinking
02. Create a Continuous Flow (Just In Time)
03. Use Pull Systems to avoid ‘Overproduction’
04. Level out the workload (Heijunka - Eliminate waiting)
05. Standardize the Processes
06. Design Build in Quality
07. Use Visual Controls
08. Technology to Support People and Processes
09. Grow Leaders
10. Develop People and Teams
11. Partners & Suppliers with Value Chain
12. Observe Deeply (Go and See - Genchi Genbutsu)
13. Align Goals
14. Bold Strategy, Large Leaps, and Small Steps
Principle 1: Long-Term System Thinking
→ Support your management decisions for long-term success.
→ Whole organization needs to work towards a common purpose of the organization.
→ The organization needs to generate value for the customer, society, and the economy.
→ Each employee needs to understand the importance of their role in the organization's growth.
→ All people need to think about bringing the company to the next level.
→ Also, we need to evaluate every function of the organization in terms of its ability to achieve its goal of the organization.
Principle 2: Create a Continuous Flow (Just In Time)
→ Based on the requirement, redesign the process to create a continuous flow.
→ Continuous Flow brings problems to the surface
→ Eliminate the waiting from the system and process.
→ Create a flow that makes material and information movement fast and also that links processes with the people.
→ By linking processes with people we can easily identify where are the problems?
→ So we can say that the problems will come to the surface.
→ The right process and information flow need to implement throughout the organization's culture.
→ This way we can create continuous improvement of the process and make people more competent.
→ Also check the Five Principles of Lean
Principle 3: Use the “Pull” Systems to avoid ‘Overproduction’
→ The meaning of the Pull system is based on the customer demand we need to plan our production activities.
→ As per our production planning we need to inform our supplier of the material supply.
→ The basic principle of Just in time is - "Material replenishment is initiated by the consumption."
→ Based on the customer demand we need to optimize our process and warehouse inventory.
→ Also check the 8 Lean Wastes
Principle 4: Level out the workload (Heijunka)(Eliminate waiting)
→ The meaning of the Heijunka is leveling or balancing.
→ Heijunka is a famous Lean method for reducing the unevenness in the production process.
→ It also minimizes the chance of overburdening production processes.
→ The term Heijunka comes from Japanese.
→ It eliminates the waiting time for the operation.
→ In the production process, we need to design our production processes to eliminate the overburden and utilize the maximum capacity of the line.
→ The meaning of eliminating overburden is to eliminate overburden and unevenness from people and equipment.
→ So we can quickly get more output with less effort.
Principle 5: To get Quality Right the First Time (Standardize the Processes)
→ To get quality right the first time, we need to build a culture of stopping production and eliminating the problem.
→ The word Quality has too many meanings but the very famous meaning is "Right the first time".
→ If we observe any defect then we need to stop the machine and process to identify the root cause for that defect.
→ After successfully implementing the corrective actions, we need to run the line because if we run the line with defective products then either we need to scrap all the parts, or we will receive a customer complaint.
→ Rejection from the customer will reduce our business and spoil our image in the market.
→ We can use all the modern quality assurance methods to identify the root causes.
→ Also, we need to improve the capability of our equipment for good quality and consistent output.
→ One of the best capabilities of equipment is self-detecting the problem and stopping itself.
→ In addition, we can develop a visual system to alert team or project leaders that a machine or process needs assistance.
→ Jidoka is a very famous method for quality improvement.
→ Jidika means machines with human intelligence.
→ You can also refer to the Top 26 Lean Tools Complete Presentation
Principle 6: Design Build in Quality (Standardized Works and Employee Empowerment)
→ Design Build in Quality is known as Standardized Works and Employee Empowerment.
→ Standardized work is the foundation for continuous improvements and employee empowerment.
→ Also we can understand this step as design-build in quality. Refer to the Eight Dimensions of Quality
→ We need to use stable and repeatable methods in our production system so we can easily predict our process output.
→ Standardized work is the foundation of the flow and pulls system.
→ Also we can implement the 5S Methodology for the betterment.
Principle 7: Use Visual Control
→ We need to implement visual indicators to help people for determining very quickly whether the equipment or processes are running within the range or out of the range.
→ With the help of visual control the problem will come up to the surface.
→ We can implement straightforward but effective visuals for the production processes.
→ Whenever possible we need to reduce reports on pieces of paper.
Principle 8: Technology to Support People and Process
→ Use technology that can support people not replace people.
→ Toyota focuses on technology that enables stability, reliability, and predictability.
→ Toyota conducts actual tests of new technology before implementing it into products, processes, or systems.
→ We need to encourage our people to consider new technologies and new approaches to improve their skills and growth.
→ We need to implement a tested or proven technology that can improve our process flow.
Principle 9: Grow Leaders
→ As per the Toyota way, we need to grow the people and make them good leaders who rigorously understand the work and philosophy and teach it to other teammates.
→ Promote leaders from the organization, rather than sourcing them from outside the organization.
→ Leaders must be role models for the organization.
→ All leaders shall have a good understanding of the daily work so they can easily guide and teach other teammates.
→ That helps to achieve the organization's goal.
Principle 10: Develop People and Teams
→ We need to develop a strong team that follows the company's philosophy.
→ Organizations need to create a strong culture for their people.
→ Also need to train people to work as per the organization policy that helps to achieve goals.
→ We can use a cross-functional team approach to improve quality and productivity.
→ Organizations need to promote a teamwork culture to work together.
Principle 11: Respect Your Partners and Suppliers
→ Have respect for our suppliers and treat them like a partner in growth.
→ Toyota values all its partners and suppliers and helps them grow
→ Set advanced targets for your partners and suppliers and help them to achieve the same
Principle 12: Go to Gemba and See for Yourself (Genchi Genbutsu)
→ To solve any problems, we need to go to the actual place where the incident happens.
→ In other words, we can say a real location or real place of problem.
→ In the Japanese Language we can say Gemba.
→ The concept of going to Gemba and seeing yourself is known as Genchi Gembutsu.
→ So based on the actual data we need to take the appropriate decisions and actions.
Principle 13: Decision-Making and Goals Alignment
→ We need to take decisions solely based on the cross-function team approach.
→ Also, we need to consider all the aspects of the cross-function team.
→ Before the implementation of any solution we need to discuss the problem and potential solution with the team for a better understanding of the solution.
→ Also we need to align SMART Goals with the team.
→ The SMART stands for systematic, measurable, achievable, realistic, and time-bound.
Principle 14: Continuous Improvements (Kaizen)
→ The PDCA Cycle and 5 Why Analysis are the most famous tool for Continuous Improvement and Root Cause Analysis in Lean Manufacturing.
→ The Lean and Toyota Production System is a never-ending journey of improvements.
→ Continuous Improvement is the fundamental pillar of any organization.
thank you for the great information.
ردحذفcan you publish educational information about the methodology that Carlos Ghosn
used in Nissan Company to save it from bankruptcy?!
Thanks for your feedback we will definitely work on that.
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