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.
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