The Toyota Way: 14 Management Principles from the World's Greatest Manufacturer by by Jeffrey Liker
The success that the company "Toyota" has achieved, for several decades now, is the cause of genuine interest of businessmen and managers of all countries of the world. The quality of Toyota cars has become an example to which the leaders of the world car industry are equal, because of which all those who wish to improve the quality of their goods and services, at some point in time begin to get acquainted with the experience of this company.
In the book "The Toyota Way: 14 Management Principles from the World's Greatest Manufacturer" Jeffrey Liker dedicates readers to the roots of the Toyota brand's success by analyzing the business philosophy of this corporation, consisting of 14 basic management principles that he discovered. The foundation of the company "Toyota" is a unique approach to employees, which includes education, training and development.
About Jeffrey Liker
The book consists of a preface, an introduction, three large parts, divided into sections and chapters, and lists of used and recommended literature.
Below we suggest that you familiarize yourself with the brief description of each of Toyota's management principles, discussed in the book by Jeffrey Liker. But keep in mind that the description of principles begins only with the second part. From the first you will learn a lot of interesting and, undoubtedly, important facts from the history of the corporation "Toyota", and from the third - how to apply the "Toyota" in your own organization.
PRINCIPLE 1. Take short-term decisions with a long-term perspective, even if it damages short-term financial goals
To set goals, you need to approach systematically and strategically. It is necessary to realize your place in the history of the organization and strive to bring it to a higher level, improving and restructuring it, reaching the main goal, more important than making a profit.
PRINCIPLE 2. The continuous flow process helps to identify problems
The technological process needs to be restructured in such a way that a continuous flow is created, which guarantees the addition of value. There must also be a connection between people and processes, which helps to immediately identify any problems. All this should become part of the culture of the organization.
PRINCIPLE 3. Use a pull system to avoid overproduction
It is important to ensure that the internal consumer who receives your work receives the necessary for himself in the required quantity and at the required time. The stock of products must be replenished, guided by the measure of its consumption. Unfinished production should be kept to a minimum, as well as stockpiling of stocks.
PRINCIPLE 4. Distribute the amount of work evenly: work like a turtle, and not like a hare
One of the conditions for the success of lean manufacturing is the elimination of losses. Two other conditions are the elimination of overloading of equipment and employees and the normalization of the unevenness of the production schedule. Load should be distributed evenly in all directions.
PRINCIPLE 5. Stop production to solve problems part of the production culture, if required by quality
The value of your proposal is determined by quality, and its improvement and provision should be achieved by any available methods. Develop equipment that can independently identify problems and stop working when they are detected. Take care that your organization has a support system that will be ready to solve problems promptly.
PRINCIPLE 6. Standard tasks - the basis for continuous improvement and delegation of authority to employees
Use such methods of work that are stable and which can be reproduced - this will allow you to predict the result of the work and improve its coherence, and to make the production of products even. This is the basis of flow and stretching. The knowledge accumulated about the process of work is important to fix, and the most effective - to standardize. As a result, it will be possible to transfer experience from employee to employee.
PRINCIPLE 7. Use visual control so that not a single problem goes unnoticed
It is important to use simple visual aids to help employees in the rapid determination of the sequence or deviation from the standard. If the computer monitor distracts the employee from the work area, then it is better not to use it. The volume of reports would be well reduced to one sheet, and it does not matter what the significance of these reports is.
PRINCIPLE 8. Use only reliable, proven technology
The purpose of technology is to help people, not replace them. It is much more expedient to use proven technology instead of unverified innovation. Any new technology must be tested in real conditions. Technology that runs counter to the culture of the organization must be rejected or changed.
PRINCIPLE 9. Educate leaders who thoroughly know their business, profess the philosophy of the company and can teach others
Instead of buying leaders outside the company, it's much better to educate your own. The task of the leader is not only the fulfillment of the tasks set and the possession of communication skills, but also the proficiency of corporate philosophy is an approximate attitude. Every day functions must be mastered by the leader at the highest level.
PRINCIPLE 10. Educate outstanding people and form teams that profess the philosophy of the company
Strive to create a stable and strong production culture that will hold on long-term value orientations and beliefs shared and accepted by all. Educate outstanding people and teams so that they act according to corporate philosophy. Employees must work in a team to achieve a common goal.
PRINCIPLE 11. Respect your partners and suppliers, set them challenging tasks and help them to improve themselves
Each partner and supplier should feel that you respect him. Try to treat them as equal partners, and create for them such conditions that will stimulate their development and growth. It is also necessary to set before them complex tasks and to assist in the solution.
PRINCIPLE 12. To understand the situation, we must see everything with our own eyes
In the process of solving problems and improving processes, you must first see what is happening and see for yourself, so as not to build theories based on information from outside sources. At the heart of all reasoning should be the information that you checked yourself.
PRINCIPLE 13. Make a decision, without haste, on the basis of consensus, weighing all possible options; when introducing it, do not delay
As long as all alternatives are not weighed, no single unambiguous decision should be taken, but when a decision is made, it is necessary to act cautiously, but without delay. Use the process of joint discussion of problems and solutions, in which everyone participates, and which allows you to consider all the ideas and come to a consensus. Despite the fact that this process can be long-term, it is very effective.
PRINCIPLE 14. Become a learning structure through relentless self-analysis and continuous improvement
At the moments of stabilization of the process, you need to immediately apply the improvement tools to identify the causes of unproductive work. It is necessary to create such a process, which practically will not require reserves, which will allow to determine the loss of resources and time. When the main stages of the work are completed and the process is over, it is necessary to analyze the shortcomings and develop measures to prevent the repeated committing of the shoe.
CONCLUSION
In your work you can use only some principles, so you can improve the efficiency of the company for a certain period of time, however such results will be short-lived. But if you follow all the principles discussed, then, of course, you will achieve serious competitive advantages and, as a result, great success.