Toyota has based its efficient and effective production system on 14 management principles as described in ‘The Toyota Way’ book by Jeffrey K Liker.

The two pillars of their lean system which support the principles of the Toyota Way are:-

Continuous Improvement – challenge everything (create an atmosphere of continuous learning)

Respect for people – engage employees by promoting active participation in improving their everyday job

The 14 Lean Management Principles are:
Principle 1 –   Base your management decisions on long term philosophy, even at the expense of short term financial goals.
Principle 2 –   Create continuous process flow to bring problems to the surface. (Just In Time)
Principle 3 –   Use pull systems to avoid ‘overproduction’.

Principle 4 –   Level out the workload. (Eliminate waiting)

Principle 5 –   Build a culture of ‘stopping to fix problems’ to get quality right. (Eliminate rework)
Principle 6 –   Standardised tasks are the foundation for continuous improvement and employee empowerment.
Principle 7 –   Use visual controls so no problems are hidden. (Opportunities are exposed to all)

Principle 8 –   Use only reliable and thoroughly tested technology that serves your people and processes.

Principle 9 –   Grow leaders who thoroughly understand the work, live the philosophy and teach it to others.

Principle 10 – Develop exceptional people and teams who follow your company’s philosophy.

Principle 11 – Respect your extended network of partners & suppliers by challenging them and helping them improve.

Principle 12 – Go and see for yourself and thoroughly understand the situation.

Principle 13 – Make decisions slowly by consensus, thoroughly considering all options and then implement rapidly.

Principle 14 – Become a learning organisation through relentless reflection and continuous improvement.


The Steel Efficiency Review® aims to provide recommendations to support our customer’s business and at the same time improve our product and service offer.

To register for the Steel Efficiency Review® click here.

Leave a Reply