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Toyota Way Toyota Production System TPS /Lean Seminar, 28 Sep.~02 Oct. /2018, M.P.E.C. at Yangon Toyota Way & Toyota Production System Part 1 Satoshi Kuroiwa ([email protected]) Managing director Association for Support of ESD 21 Former Visiting Professor, NIT and KIT Former Toyota Corp. Introduction Outline of ESD21 Economic Sustainable Development for21st Century 1. ESD21 ; Abbreviation of our Association - Non Profit Organization founded in 2010 - Corporate Member: 70 Individual : 120 cf. -Toyota Tsusho -Kojima press, -USP, etc. 2. Mission -“Kaizen(TPS) & Innovation(IT)” of the people for business competitiveness. - Practical philosophy of “ Sanpou-Yoshi” (三方よし：Seller, Buyer, Society). 3. Activities (1) Various support services based on TPS(Toyota Production System) , and IT (Information Technology). (2) Special projects and events Ex. Collaboration with SEDA (NGO in Myanmar) Part1, contents １．Introduction ２．Why should you learn TPS/Lean system ３．Toyota’s ”Monozukuri “ , Toyota Way and Toyota Production System (TPS) TPS=Toyota Production System <Speaker’s profile> “Monozukuri”= Manufacturing - Worked for Toyota for 34 years and had experience in the car production preparation engineering together with IT engineering - Specialized in Factory Automation and IT enhanced TPS (1980~2000) - Involved in associations related to Japan’s IT strategy organized METI - Visiting professor of Nagoya /Kyusyu Institute of Technology(2004~’16) - Now, working for NPOs, such as ESD21, APSOM and TMS &TPS certification institute Introduction Structural change to the global economy Almost issues brought by ICT evolution and digitalization Key Issues ICT= Information & Communication Technology 1. Globalization of economy 2. Environment and energy issues 3. Change of the industrial structure 4. Brexit and US. President Trump (American first) 5. New ICT impact to the manufacturing industries Hardware to Software , Auto Sector Prius(HV) ICT Sector Now new business model 1. Mega-competition Vertical Horizontal 2. EV/HV/PHV/FCV Mirai（FCV） Structure Structure New ICT era (40 years ago) (20 years ago) (Now) 3. Car Modularization ： IBM CPU Intel Google Four innovations in the new ICT era OS： Win, Mac ： Apple EV Apps SAP Amazon Autonomous Vehicle N/W： Cisco ： Facebook Connected Peripheral Canon …… Sharing All All Products PC ： HP, Dell Introduction Short history of ICT and some topics in Japan 70s 80s 90s 2000s Now Main-frame, LAN, VAN Cloud, IoT, Internet Mobile μCPU(1971)⇒PC Big data, AI 40 Years ago(IBM) 20 years ago (Wintel) Current (GAFA)～ μCPU changed Internet changed Creation of new the world of the world of business model computer communication by IoT, AI, Big Data, DARPA/ARPA net Industry advanced and CPS at DOD in US information projects Intel 8008 Acceleration of Project or Consortium global business in Germany ,US NEC, TK80 Industry 4.0, ＜Projects Industry Internet Establishment of organized by METI＞ Consortium VLS Research ＜Activities in Japan ＞ Association（1975） Robot revolution Start of E-nation initiative Japan IoT acceleration Association Introduction Initiative or consortium for collaborative works in Manufacturing IoT Acceleration Consortium ＜Members＞ Why learn TPS/Lean Toyota System and ICT are critical for sustainable manufacturing General-purpose technologies (GPTs) are technologies that can affect an entire economy (usually at a national or global level) <B.C.> -Domestication of plants -Domestication of animals -Melting -Wheel -Bronze -Iron <After AD to 18th Century> “Printing” and so forth <GPTs in the 20th Century> Automobile Airplane Mass Production (Ford System) Computer Lean Production (Toyota System) Internet Biotechnology https://en.wikipedia.org/wiki/General_purpose_technology Why learn TPS/Lean Management system exchange between Japan and the U.S. Toyota Production System is globally well- known as the lean system Japan QC SQC TQC TQM Management Toyota Production System（TPS) Quality Kanban Keiretu JIT JMS Union-mgt. cooperation Kaizen Teamwork 1980’s （ Post World Current 2000~) Japan-style （Management WarⅡ Management Quality） E. Deming Malcolm Baldrige U.S.A. National Quality Award Reengineering Performance Lean system Scientific Mgt. BSC Mgt. Strategic Six Sigma Mgt. TOC CMM SQC Marketing Information Strategyﾞ Strategy ABC/ABM Why learn TPS/Lean Basic fundamentals of Monozukuri Global NO.1 TPS(Toyota Production System) Product Quality First -Just-In-Time -Gnechi-genbutu (Go and see) -Jidoka (Autonomation) - QC(Quality control) Monozukuri -Production technology -Making things is making people -Respect for people -Processing technology Continuous Improvement - TQM / TPM - IT system with Technology and Skill -Teamwork Technology Evolving Hitozukuri Hitozukuri= Human development Monozukuri management Monozukuri= Manufacturing TQM, TPS, TPM TQM=Total Quality Management), TPM=Total productive Maintenance Production Control(Management) Process management Cost management Work management Progress management Facility management Safety management Quality management Material management Labor management Why learn TPS/Lean People are the greatest management resource Goal Create teams and members who continue kaizen activities of TPS always seeking for “ To Be ” , ideal system Value added by Output Input Information processing/creating , People communication Products Material （ Design/ Production preparation/ Service Money Parts procurement/ and etc.) CS/CV Information and Production Aim for an ideal Factory Resources of an enterprise people money material wisdom information Why learn TPS/Lean Business consists of people and machines(IT) Business Activities are information processing with people and machine systems (IT) People (Brain) Computer(software) People Organization IT Architecture Machine/IT Systems Management Analogy Control Systems Communication Connection Enterprise Organization COM COM Internet Org Man Ent. Extranet COM Intranet COM Man Man Org. COM Ent. LAN COM Org. COM Org. COM WAN COM Business Ent. COM Partners COM Ent. COM COM＝Computer Ent. Office work ＝ People ＋ Machine （CAD/ERP, RPA, e-Mail, Printer ) Production work ＝ People ＋ Machine （Robot/Automation, FA/IT) TPS IT Why learn TPS/Lean Productivity and Competitiveness Increase Sales OUTPUT Added Value Sales Productivity ＝ ＝ ＝ INPUT Lead-time Cost Reduce Cost Competitiveness= Relative height of productivity to competitors What should do you do to increase competitiveness (1) - Increase added Value - Increase amount of Sales (2) - Reduce Cost Improve Productivity TPS(Toyota Production System) Sales - Shorten lead-time - Eliminate waste (Muda) Kaizen Innovation - Two pillars of TPS Just-In-Time Jidouka (Autonomation) Cost Toyota Way（TPS) Trend of Toyota’s production and overview Sales volume : 10,386 thousand Worldwide production Operating incomes: 29,384.07B jpy Toyota’s globalization Net incomes: 2,493.98B jpy Number of employees: 369,124 Recession in the collapse ( FY2017 ) of the bubble economy Toyota’s crisis Prius Collora Domestic production Camry Vitz (Yaris) Motorization in Japan Overseas Production IMV Lexus http://www.toyota-global.com Toyota Way（TPS) Toyota’s origin of making things 1. Enterprising spirit - Commit yourself to research and creation. (Toyota’s platform) 2. Principle of genchi genbutsu (Go and see: 現地現物) -Try first. Don’t be afraid of making mistakes (Sakichi Toyoda) -Engineers who do not wash their oil-stained hands more than two times a day are not engineers at all. (Kiichiro Toyoda) 3. Total participation -Good products, good thinking (Company’s slogan for inventiveness) 4. Making things is making people -"Because people make our automobiles, Taiichi OONO nothing gets started until we train and Sakichi educate our people.“ (Eiji Toyoda) Eiji Toyoda TOYODA Toyota Production System (TPS), Kiichiro TOYODA Toyota Way Toyota Way（TPS) History of the Toyota Production System 1. Stop-the-Line Culture Toyoda Sakichi “Jidoka” (=Autonomation) concept in 1902 -Automation with human with human touch 2. Just-In-Time Process Toyoda Kichiro “Just-In-Time” concept in 1938 -Produce only what is needed by the next process - Eliminate Waste 3. Single minute exchange of die Sigeo Shingo 4. Kanban System Taiichi Ohno - Pull Production - Replenishment of the next process Type-G Toyoda Automatic Loom with Non-stop Shuttle Change Motion (1924) Toyota Way（TPS) Toyota’s management and guidelines for activities Toyota’s platform Origin of (Five main principle of Toyoda) Toyota’s spirit Guiding Principle Contribution towards Toyota’s Constitution Sustainable Development Published in 2001 6 pages booklet Corporate image Toyota Way Global Vision that Toyota is aiming 2020 towards the 2020 2001 Action principle of employees Medium & Plans for global Toyota Global Long-term vision realized in Vision 2020 in Toyota Business Plan 2020 Deployment of the Toyota Way Challenge for the Toyota Production System (TPS) Company medium and long- policy term management plan Corporate Philosophy “Toyota Way 2001” Established as an action program of “Toyota’s basic principles” Based on TPS which is “People are the most important management resource.” Visual control/sharing information 6 pages’ throughout Global Toyota in Toyota Way booklet Challenge We form a long-term vision, meeting challenge with courage and creativity to realize our dreams. Continuous We improve our business operations continuously Kaizen Improvement always driving for innovation and evolution. We practice genchi genbutsu. Go to the source Genchi to find the facts to make collect decisions, build Genbutsu consensus and achieve goals
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