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When TSSC took up a section of a US<br />
company which was well-known for its lean<br />
practices and processes and applied TPS,<br />
unprecedented improvements were<br />
observed. This shows the extent to which the<br />
corporate world misunderstands the concept<br />
of lean manufacturing. Lean practices are<br />
not just a set of tools like 5S and just-in-time<br />
but an entire system that must be inculcated<br />
in the very culture of the organization.<br />
Part 2 explains the 14 principles of the<br />
Toyota Way identified by Dr. Liker. These<br />
principles drive the tools and techniques of<br />
the TPS and Toyota’s management.<br />
The 14 principles have been divided into<br />
four sections:<br />
1. Long-Term Philosophy<br />
2. The Right Process Will Produce the<br />
Right Results<br />
3. Add Value to the Organization by<br />
Developing Your People and<br />
Partners<br />
4. Continuously Solving Root Problems<br />
Drives Organizational Learning<br />
Toyota Way principles would lead to shortterm<br />
and unsustainable jumps in the<br />
performance measures.<br />
Part 3 focuses on how other organizations<br />
can use these principles and study TPS to<br />
bring improvements in their own businesses.<br />
A separate section has been devoted for the<br />
application of the Toyota Way to services<br />
industries.<br />
The terminology surrounding lean processes<br />
and tools have been widely used over the<br />
decade, but “The Toyota Way” suggests that<br />
most of the usage has been misleading or at<br />
least incomplete. Besides, Dr. Liker has laid<br />
emphasis on the application and success of<br />
Toyota’s principles in the services industry,<br />
which is highly relevant given the boom in<br />
this sector in the last two decades. The<br />
Toyota Way is an eye-opener for any<br />
manager or management student and has the<br />
potential to turn around the way one thinks<br />
of business.<br />
The above sections also display the base of<br />
their respective principles. Using a variety of<br />
TPS tools while following only a few of the<br />
QUICK FACT<br />
Long before Detroit became renowned for the production of automobiles, the city had earned a<br />
national reputation for the manufacturing of cigars and chewing tobacco. Tobacco companies<br />
were among the city's leading employers at the turn of the twentieth century, employing more<br />
than 10,000 people. In the mid-1920s, it was estimated that 210 million cigars and 14 million<br />
pounds of chewing tobacco were produced in Detroit each year.<br />
32<br />
NOVEMBER 2012