Toyota Production System
(see also )

The Toyota Production System historically has had four basic aims that are consistent with these
values and objectives: The four goals are as follows:
1. Provide world class quality and service to the customer.
2. Develop each employee’s potential, based on mutual respect, trust and
3. Reduce cost through the elimination of waste and maximize profit
4. Develop flexible production standards based on market demand.

By reducing inventory you expose the real problems in a production process quickly
and focus need for improvement. This notion of surfacing problems and abnormalities is a
critical concept in TPS.

it is better to stop a machine at the first sign of trouble than to keep on producing the problem which only
generates more waste.

When machines possess the ability to stop in the event of a problem then there is no need for humans to stand and watch a machines. Jidoka frees people being tied to machines and monitoring them and puts people to use in a more value added fashion.

Level Production. By smoothing or leveling customer requirements
over time, we can better utilize our resources and ensure continuous production. Averaging
volumes and model mix requires smaller lots and in the best cases “batch of one” capability from
raw materials to finished goods.

Equipment Reliability. Without reliable equipment, we must
build inventories (just in case), or invest in more equipment (due to unexpected downtime).
Proper maintenance of equipment will ensure that it is available when we need it

Respect for People

  • employees as individuals and as members of their work teams.
  • company goals can be reached in the best way through participation of all employees.

• setting and maintaining work standards (standards)
• solving daily performance problems (problem solving)
• participating in the continuous improvement process (improvement)
• organizing teamwork efficiently (teamwork)

Continuous improvement efforts are not limited to the production floor. All
Toyota employees and teams search for ways to continuously improve their product, process or

Quality. Taking shortcuts, doing shoddy work, or in the extreme case, putting a faulty product on a vehicle in the market amounts to an antisocial act, and can have devastating consequences for our company.

Cost. customers are demanding yearly price reductions. In order to maintain margins and profits we must continuously eliminate waste and reduce costs.

Productivity. You must consider how the necessary items can be manufactured with
the fewest labor-hours possible in the best time.

True efficiency is achieved by producing a salable quantity with the shortest labor-hours

Morale – All Toyota employees are expected to contribute to a creative, positive workplace.
Leadership must make every attempt to utilize the knowledge, experience and
creativity of all employees. This shows respect for the individuals’ dignity and worth. Creating
an environment of mutual respect, trust, and cooperation is critical for making improvements and
maintaining morale.


When quality defects are detected in the process, we must determine the root
cause, not the symptom, and implement counter measures to eliminate the defect.

“build the quality into the process.” This principle gives team members the responsibility to check quality thoroughly at every stage of their work so that defects are not passed down stream.

Consistency in methods is critical to limiting variation in the process and achieving efficient production in a timely manner.

Leveled production – smaller incremental production requirements results in more frequent changeovers, smaller batches and smaller WIP (work-in-process) inventories.
1. The money invested in materials and inventory is dramatically decreased.
2. The warehouse space needed to store the extra materials and parts is eliminated.
3. The ability to respond to manufacturing problems is improved.
4. The potential for producing large quantities of defective parts is decreased.
5. The level requirements place no excessive burden on employees or equipment.

Maintenance is important for preventing machine and equipment breakdown and for preventing
their recurrence. … Maintenance and repair are not

When purchasing new equipment, we must consider buying the minimum
capable of meeting our requirements. Reliability and ease of maintenance should be considered
before features. Bells and whistles can often be added later if the need arises. We want to avoid
buying features “just in case.” We must consider up-time, utilization and quality factors when
making equipment choices.