Liker outlines the fundamentals of not only Toyota's lean manufacturing, but the Toyota philosophy. In his words, "the Toyota Production System [TPS] is not the Toyota Way. TPS is the most systematic and highly developed example of what the principles of the Toyota Way can accomplish. The Toyota Way consists of the foundational principles of the Toyota culture, which allow TPS to fuction so effectively." He then goes on to explain the philosophy which he has organized around 14 principles:
1) Base your management decisions on a long-term philosophy even at the expense of short-term financial goals
2) Create continuous process flow to bring problems to the surface
3) Use pull systems to avoid overproduction
4) Level out the workload (work like the tortoise and not the hare)
5) Build a culture of stopping to fix problems, to get quality right the first time
6) Standardized tasks are the foundation for continuous improvement
7) Use visual control so no problems are hidden
8) Use only reliable, thoroughly tested technology that serves your people and processes
9) Grow leaders who thoroughly understand the work, live the philosophy, and teach it to others
10) Develop exceptional people and teams who follow your company's philosophy
11) Respect your extended network of parners and suppliers by challenging them and helping them improve
12) Go and see for yourself to thoroughly understand the situation
13) Make decisions slowly, by concensus, thoroughly considering all options [and then] implement decisions rapidly
14) Beacome a learning organization through relentless reflection and continuous improvement.
"Since Toyota's founding we have adhered to the core principle of contributing to society through the practice of manufacturing high-quality products and services. Our business practices and activities based on this core principle created values, beliefs and business methods that over the years have become a source of competitive advantage. These are managerial values and business methods that are known collectively as the Toyota Way" - Fujio Cho, President Toyota (2001)
Top Ten Gems of the Book, Letterman-style:
10. 13 Tips for transitioning to a lean enterprise
9. The Ford Cuautitlan plant used web-based hoshins
8. The A3 and effective meetings
7. "Independent Contract Services" cannot be charged to a TTC purchasing credit card
6. The K4
5. Mediating the water dispute
4. Ford Vision, Toyota Vision
3. Eiji's inspiring Briton
2. TSSC benchmarks the Shingo Award sensor firm
1. Hansei
Go buy it now or buy several for ad hoc distribution.