Toyota Business Practice - English.ppt

ASA.TBP 8.01.07Ed0.0
Toyota Way
The
Toyota
Business
Practices

Toyota Business Practice (TBP)
Systematic patterns of work
processes that integrate the wisdom
of all Toyota members in the pursuit
of continual GROWTH and
SATISFACTION

Toyota Business Practices (TBP)
• Putting Toyota Way values into
practical action.
• Practical business application based
on Problem Solving.
• A standard approach of business
processes and a common language
for all of Toyota.

Toyota Business Practices (TBP)
• A standardized approach is not intended
to limit an individual’s way of conducting
business.
• It provides a basic framework from which
the individual can express their unique
talent.
• Will further drive the Toyota Way’s
evolution.

TBP: Mindset / Perspective
 Customer First.
Always think and act in terms of the
benefit of the customers, and place their
interests ahead of others.
Subsequent processes are also
considered our Customers.

Always confirm the purpose of your
work.
Constantly question the purpose of your
work seeking your own answers.
Do not lose sight of the overall goal and
purpose when focused on a specific task.

Ownership and Responsibility.
Be aware that you are the main person
who is responsible for your work.
Recognize the mission, value and pride in
your work, and envision your goal in it.

Visualization ( Mieruka )
Promote visualization and clarify problems
for anyone to be able to grasp the situation
Information should be shared on a timely
basis for the benefit of all.

Judgment based on Facts.
Without prejudice or preconception,
investigate all the facts:
Go and see the situation as it truly is.

Think and Act Persistently.
Think deeply and commit to the
completion of a task with a strong belief in
not giving up.

Speedy Action in a timely manner.
Be adaptable to customers’ needs and
fulfill them quickly.
If necessary, use temporary measures
until countermeasures of a problem’s root
cause can be implemented.

Follow each process with sincerity
and commitment.
Be committed to follow the process without
taking shortcuts.
Listen to others’ opinions with an open
mind.
Possess a sense of responsibility towards
your actions.

Thorough Communication
Thoroughly and sincerely communicate
with stakeholders until they gain deep
understanding.

Involve all stakeholders.
Integrate relevant members and
partners to increase knowledge and
wisdom as well as maximize the
efficiency and output of the group.

Toyota Business Practice
Based on Problem Solving
PLAN, DO, CHECK, ACTION

Step 1: Clarify the Problem
- Make ambiguous problems clear
• We should always be able to recognize
problems within our work.
• Without ever being content with the
current situation, we should always
possess a clear picture of our ideal
situation and visualize the “Gap” between
our work’s current and ideal situation to
make the problem clear.
PLAN

Toyota Business Practice based on Problem
Solving
Ultimate Goal
Ideal Situation
Contribution
Ideal
Situation
Current Situation
GAP
Visualizing
Problem
Current
Situation

i. Clarify the “Ultimate Goal” of your
responsibilities & work.
ii. Clarify the “Ideal Situation” of your work
iii. Clarify the “Current Situation” of your
work
iv. Visualize the gap between the “Current
Situation” and the “Ideal Situation”
Step 1: Clarify the Problem
- Make ambiguous problems clear
PLAN

Step 2: Break Down the Problem
-Based on facts, break down the problem
and clarify the point of cause
• Break down a large or vague problem; and sort it into
smaller and more concrete problems.
• Prioritize the problems, and grasp their current
situations by gathering qualitative and quantitative
information at the GENBA and the processes involved
through implementing GENCHI GENBUTSU practices.
• Toyota emphasizes this step very much. We need to
be careful not to proceed to the next steps without
breaking down the problem sufficiently and clarifying
the point of cause.
PLAN

Step 2: Break down the Problem
Problem
Problem
Problem
Problem
Problem
Problem
Problem
Problem
Problem
Problem
Problem
Break Down Prioritize
Problem
to
tackle Genchi Genbutsu
Point of
cause

Step 2:Break Down the Problem
i. Break down the problem
ii. Select the problem to pursue
iii. Specify the point of cause by
checking the process through
GENCHI GENBUTSU
PLAN

Step 3: Target Setting
-With enthusiasm and commitment, set
challenging but realistic output
measurement guidelines
• Set challenging targets when trying to solve a
problem. Not only will we be one step closer to
realizing our Ultimate goal, but also we will
experience the satisfaction of achievement, as
well as the improvement of our own personal
skills and abilities.
• While pursuing mid and long-term targets,
establish a series of short term targets.
PLAN

Step 3 : Target Setting
Target
Problem to tackle
How much? By when?
Are we contributing to the Ultimate Goal ?

Step 3 : Target Setting
i. Make the commitment.
ii. Set measurable, concrete, and
challenging targets.
PLAN

Step 4 : Root Cause Analysis
-In order to clarify the root cause, thoroughly
investigate the process involved.
• Keep asking “WHY?” to uncover the root
cause of the problem.
• It is important to pursue the root cause of
the problem based solely upon the actual
facts without criticism or assumption.
PLAN

X
cause
X
X
cause
X
cause
X
Root
Cause
Keep asking “ Why ?”

i. Consider causes by imagining the actual
situation where the problem occurs.
ii. Based on facts gathered through
GENCHI GENBUTSU, keep asking
“why?”
iii. Specify the root cause
PLAN

Step 5 : Develop Countermeasures
-Broadly considering all stakeholders and
risks involved, develop countermeasures
with the highest added value
• Proposed c/measures should never be restricted by
preconception and existing state of affairs.It is important
to never give up, even when it is difficult to take action.
We should always seek creative ideas and information
from both inside and outside the company.
• When deciding upon an action plan, we must keep in
mind the impact on resources and the risks involved. It
is important to communicate and build consensus with
all related people and depts. while designing the C/M
PLAN

PLAN
countermeasure
countermeasure
countermeasure
countermeasure
countermeasure
X
X X X
Choose
Countermeasure 1
Countermeasure 2
Countermeasure 3
Action Plans
Dates

i. Develop as many potential c/measures
as possible.
ii. Narrow down the c/measures to the
most practical and effective
iii. Build consensus with others
iv. Create a clear and detailed action-plan
PLAN

Step 6 : See Countermeasure
Through
-Coordinated and speedy implementation
• With all members involved, implement the
countermeasures with speed and smooth
coordination.
• Throughout the implementation of the
c/measure, remember to share information
with others by reporting, informing and
consulting.
DO

DO
Through
-Coordinated and speedy implementation
• Speed is important. However, we may
sometime run into obstacles or unforeseen
problems within the implementation
process. In such cases, we must never
give up and continue to strive forward with
the implementation.

DO
Through
i. Quickly and as a team, implement
counter-measures
ii. Share progress by following the correct
reporting, informing, and consulting
communication procedures.
iii. Never give up, and proceed to the next
step quickly.

Step 6 : See Countermeasure Through
Timely
Reporting,
Informing,
Consulting
Proper
Checking
Persistent & Confident Implementation

Step 7 : Monitor Both Results and
Processes
-Evaluate both results and processes and
learn from both success and failure
• Objectively evaluate both the results and
processes. It is important to take an in-
depth look at whether our success makes
a solid contribution to not only our
customers but also to the overall success
of the company, as well as our own
personal development.
CHECK

Processes
-Evaluate both results and processes and
learn from both success and failure
• Whether we succeed or fail, it is important
to learn from the challenge, and gain
knowledge and insight from the overall
experience.
CHECK

Processes
.
CHECK
Target
Evaluation
Results Process
Are we contributing to the Ultimate Goal?
Customer’s
Viewpoint
Toyota’s
Viewpoint
Your own
Viewpoint

CHECK
Processes
i. Evaluate the overall results and
processes used, then share the
evaluation with involved members
ii. Evaluate from three key viewpoints:
iii. Customer’s, Toyota’s, and Your Own
iv. Understand the factors behind the
success or failure

Step 8 : Standardize Successful
Processes
-Establish successful processes as precedent,
and continue to raise the standard level of
success.
• Establish a successful process as a new
precedent and make it standardized so that
other people may achieve the same success.
• Share the standardized process to other people
and divisions (YOKOTEN), which will lead to
further development of the organization.
ACTION

ACTION
Processes
Success
Failure
Standardize after PDCA
Standardization
Standardization
New Ideal Situation
Kaizen
Kaizen
YOKOTEN

ACTION
Processes
i. Structure the successful process
( Standardize)
ii. Share the new precedent through
YOKOTEN
iii. Start the next round of KAIZEN

The Toyota Business Practices
PDCA
Toyota Way
C
P
D
A
TBP
TBP
Action
Values
Concrete Actions & Processes
1. Clarify the problem
2. Break down the
Problem
3. Target Setting
4. Root Cause Analysis
5. Develop
Countermeasures
6. See Countermeasures
through
7. Monitor both results
And processes
Drive & Dedication
8. Standardize
Successful Processes.
 Customer First
 Always Confirm the Purpose of your
work
 Ownership and Responsibility
 Visualization ( MEIRUKA )
 Judgment based on Facts
 Think and Act Persistently
Speedy Action in a Timely
Manner
 Follow each process with
Sincerity and Commitment
 Thorough Communication
 Involve All Stakeholders

Toyota Business Practice
THANK YOU

Toyota Business Practice - English.ppt

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