Hey everyone, welcome to this lecture. The Toyota Toyota production system is based or governed by several underlying principles 14 to be precise, called the Toyota way. These principles have been outlined by Toyota under four sections. Long term philosophy, the right process will produce the right results. add value to your organization by developing your people and partners and continuously solving root problems drives organizational earnings. Let us now look at the 14 principles that are divided into these four sections.

Section one, long term philosophy principle one, base your management decisions on a long term philosophy, even at the expense of short term financial goals. Each organ Should have a philosophy a sense of purpose that supersedes any short term decision making. Most organizations are always focused on money making, rather organization should work, grow and align itself toward a common purpose that is bigger than making money. Another important point is to generate value for the customer, society and the economy. section to the right process will produce the right results. principle to create continuous process flow to bring problems to the surface.

Redesigned work processes to achieve high value added continuous flow. Eliminate idle time or the waiting time from the system. Create flow to move material and information fast principle three Use pool systems to avoid overproduction. Provide your downline customers in the production process with what they want, when they want it and in the amount they want. This is the basic principle of just in time. Principle four, level out the workload hygiene.

Eliminating overburden to people and equipment and eliminating unevenness in the production schedule is important. work to level out the workload of all manufacturing and service processes. Principle five, build a culture of stopping to fix problems to get quality the first time build into your equipment the capability of detecting problems and stopping itself. jidoka is the foundation for building in quality Principle six standardized tasks are the foundation for continuous improvement and employee empowerment. Use stable, repeatable methods everywhere to maintain the predictability. Regular timing and regular output of your processes is the foundation for flow and pull.

Principle seven, use visual control so no problems are hidden. use simple visual indicators to help people determine immediately whether they are in a standard condition or deviating from it. Design simple visual systems at the place where the work is done to support flow and pull. Principle eight use only reliable thoroughly tested technology that serves your people and processes. use technology to support people not to replace people. Often, it is best to work out a process manually before adding technology to support the process.

Section three, add value to the organization by developing your people and partners. Principle nine grow leaders who thoroughly understand the work, live the philosophy and teach to others grow leaders from within rather than buying them from outside the organization. leaders must be role models of the company's philosophy and way of doing business. A good leader must understand the daily work in great detail so he or she can be the best teacher of your company's philosophy principle 10 Develop exceptional people and teams who follow your company's philosophy. Create a strong stable structure in which company values and beliefs are widely shared and lived out over a period of many years. Train exceptional individuals and teams to improve quality and productivity and enhance flow by solving difficult technical problems.

Principle 11 respect your extended network of partners and suppliers by challenging them and helping them improve. have respect for your partners and suppliers and treat them as an extension of your business. Section four, continuously solving root problems drives organizational learning principle 12. Go and see for yourself to thoroughly understand the situation Ganesha in blue, and verifying data rather than theorizing on the basis of what other people or the computer screen tells you think and speak based on personally verified data. Even high level managers and executives should go and see things for themselves. So they will have more than a superficial understanding of the situation.

Principle 13 make decisions slowly by consensus thoroughly considering all options implement decisions rapidly. Do not take a single direction and go down that one path until you have thoroughly considered alternatives. When you have picked, move quickly, but cautiously down that path. Principle 14 become a learning organization through relentless reflection and continuous improvement. Kaizen Once you have established a stable process, use continuous improvement tools to determine the root cause of inefficiencies and apply effective countermeasures. Designed processes that require almost no inventory.

This will make wasted time and resources visible for all to see. Once waste is exposed, have employees use Kaizen to eliminate it. It is quite possible to use a variety of TPS tools and still be following only a select few of the Toyota v principles. The result will be short term jumps on performance measures that are not sustainable. On the other hand, an organization that truly practices the full set of Toyota v principles will be following TPS and on its way to a sustainable, competitive advantage. People had resigned themselves to certain problems had become hostage to routine and abandoned the practice of problem solving.

This going back to basics under Toyota production system under the governance of the Toyota V, exposing the real significance of problems, and then making fundamental improvements can be a significant differentiator to your organization's success.