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Submitted by (3MBA-M) Richu George Varughese-1221428 Gundamandi Ramakanth-1221407 Elis Mary George-1221445

TOYOTA PRODUCTION SYSTEM

The Toyota Production System (TPS) is an integrated

socio-technical system, developed by Toyota.

Practical expression of Toyotas people and

customer oriented philosophy. It is not a rigid company-imposed procedure but a set of principles that have been proven in day-today practice over many years. These ideas have been adopted all over the world. TPS strives for the absolute elimination of waste, overburden and unevenness in all areas. It allows members to work smoothly and efficiently.

TPS(contd..)
The TPS organizes manufacturing and logistics for

the automobile manufacturer, including interaction with suppliers and customers. The system is a major precursor of the more generic "lean manufacturing." Taiichi Ohno, Shigeo Shingo and Eiji Toyoda developed the system between 1948 and 1975.
Originally called "just-in-time production," it builds

on the approach created by the founder of Toyota, Sakichi Toyoda.

Objectives of the TPS

The main objectives of the TPS are
to design out over burden (MURI)and inconsistency(MURA)

and to eliminate waste(MUDA)

There are seven kinds of wastes that are addressed in the TPS.
1. 2. 3. 4. 5. 6. 7.

Waste of over production (largest waste). Waste of time on hand (waiting). Waste of transportation. Waste of processing itself. Waste of stock at hand. Waste of movement. Waste of making defective products.

Desired outcomes of TPS

To provide the customer with the highest quality

vehicles, at lowest possible cost, in a timely manner with the shortest possible lead times. To provide members with work satisfaction , job security, and fair treatment. It gives the company flexibility to respond the market, achieve profit through cost reduction activities and long term prosperity.

Principles of Toyota Production System-The Toyota Way

Reduced Setup Times All setup practices are wasteful because they add no value and they tie up labor and equipment. By organizing procedures, using carts, and training workers to do their own setups, Toyota managed to slash setup times from months to hours and sometimes even minutes. Small Lot Production Producing things in large batches results in huge setup costs, high capital cost of high-speed dedicated machinery, larger inventories, extended lead times, and larger defect costs. Because Toyota has found the way to make setups short and inexpensive, it became possible for them to economically produce a variety of things in small quantities. Employee Involvement and Empowerment Toyota organized their workers by forming team and gave them the responsibility and training to do many specialized tasks. Teams are also given responsibility for housekeeping and minor equipment repair. Each team has a leader who also works as one of them on the line.

Principles of TPS(contd..)
Quality at the Source.
To eliminate product defects, they must be discovered and

corrected as soon as possible. Since workers are at the best position to discover a defect and to immediately fix it, they are assigned this responsibility. If a defect cannot be readily fixed, any worker can halt the entire line by pulling a cord (called Jidoka)
Equipment Maintenance
Toyota operators are assigned primary responsibility for

basic maintenance since they are in the best position to defect signs of malfunctions. Maintenance specialists diagnose and fix only complex

Principles of TPS(contd..)
Pull Production
To reduce inventory holding costs and lead times, the quantity

of work performed at each stage of the process is dictated solely by demand for materials from the immediate next stage. The Kamban scheme coordinates the flow of small containers of materials between stages. This is where the term Just-in-Time (JIT) originated.
Supplier Involvement
Toyota treats its suppliers as partners, as integral elements

of Toyota Production System(TPS). Suppliers are trained in ways to reduce setup times, inventories, defects, machine breakdowns etc., and take responsibility to deliver their best possible parts

Foundation of TPS
Built on standardisation
to ensure a safe method of operation . and a consistent approach to quality.

Toyota members seek to continually improve their

standard processes and procedures .

to ensure maximum quality. to improve efficiency. to eliminate waste.

This is known as Kaizen and is applied to every

sphere of the company's activities.

Kaizen Continuous Improvement.

Heart of Toyota Production System.

Toyota process requires all tasks precisely

defined and standardized. Continual improvement is also required with standardization. Day to day improvements members & team leaders make to their working practices and equipment are known as kaizen. It also means continual striving for improvement in every sphere of companys activities from manufacturing to customer service.

JIT: Just-in-time Productivity Improvement

Making only "what is needed, when it is needed,

and in the amount needed! JIT' manufacturing consists of allowing the entire production process to be regulated by the natural laws of supply and demand. Customer demand stimulates production of a vehicle. In turn the production of the vehicle stimulates production and delivery of the necessary parts.

Jidoka
In Japanese 'jidoka' simply means automation. At Toyota it

means 'automation with a human touch'.

In 1902 Sakichi Toyoda invented the world's first automatic

loom that would stop automatically if any of the threads snapped.

This principal, jidoka, of designing equipment and processes

to stop and call attention to problems immediately when they sense a problem is a central concept of TPS.
TPS has inherited the principle originated by Henry Ford of

breaking down work into simple steps and distributing those steps amongst employees on the line.

Suppliers & TPS

Suppliers who participate in the TPS enjoy the

same benefits that Toyota does from the system. Just-in-time manufacturing can dissolve inventories at parts suppliers just as readily and effectively as it does at Toyota's assembly plants. TPS includes measures for illuminating defects whenever and wherever they occur, improves product quality.

Toyota House

TPS as Lean Manufacturing System

Five Principles of Lean Manufacturing
o Specify Value. o Identify the Value Stream.

o Make Value Flow.

o Let the customer Pull.

o Seek Perfection (Continuous Improvement of Quality

and Productivity).

Components of lean production

Lean Manufa cturing Total Quality Manage ment IT Solutio ns

Flexibl e Manufa cturing

Lean Vaue Chain

Virtual Integra tion

JustInTime Outsou rcing

Lean Supply Chain

Reference
WEB LINKS www.toyota.com www.wikipedia.org www.toyota-global.com www.emsstrategies.com