Toyota Production System

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Presented byPresented by

± ± KailashKailash PagarePagare

± ± Anurag Anurag MishraMishra ± ± Umesh MishraUmesh Mishra

± ± RajulRajul TrivediTrivedi

XMBAXMBA ± ± Vile Parle ( Batch No. 14)Vile Parle ( Batch No. 14)

Professor Professor ± ± Amol Amol RoyRoy

Toyota Production SystemToyota Production System



Toyoda Family in Auto IndustryToyoda Family in Auto Industry

The Allied victory and the massive quantities of materialThe Allied victory and the massive quantities of material

behind it (³A Bomber an Hour´ success) caught the attentionbehind it (³A Bomber an Hour´ success) caught the attention

of Japanese industrialists.of Japanese industrialists.

Toyoda family were among those Japanese industrialists whoToyoda family were among those Japanese industrialists who

were observing American industrial strength and wanted towere observing American industrial strength and wanted to

emulate it by investing in Automotive Industry.emulate it by investing in Automotive Industry.

Toyoda Automatic Loom Company, under the encouragementToyoda Automatic Loom Company, under the encouragement

of the Japanese government, which needed domestic vehicleof the Japanese government, which needed domestic vehicle

production partly due to the worldwide money shortage andproduction partly due to the worldwide money shortage andpartly due to the war with Chinapartly due to the war with China

The Toyota Motor Corporation was founded in September The Toyota Motor Corporation was founded in September

1933 when Toyoda Automatic Loom created a new division1933 when Toyoda Automatic Loom created a new division

devoted to the production of automobiles under the directiondevoted to the production of automobiles under the direction

of the founder's son, Kiichiro Toyoda.of the founder's son, Kiichiro Toyoda.

Toyota Production System

Kiichiro Toyoda

The first production model AA in 1936



Toyota Learns From the Ford Motor CompanyToyota Learns From the Ford Motor Company

Toyota found it difficult to emulate Ford Motor Company whoseToyota found it difficult to emulate Ford Motor Company whose

production system was based on Mass Production System.production system was based on Mass Production System.

Post WWII Japanese economy was in shambles and Toyota couldPost WWII Japanese economy was in shambles and Toyota could

not afford Mass Production of vehicles due to smaller market size.not afford Mass Production of vehicles due to smaller market size.

Toyota¶s top bosses begin to design a whole new concept of Toyota¶s top bosses begin to design a whole new concept of Production System which is now also known as JustProduction System which is now also known as Just--inin--TimeTime

system.system.




At Toyota Motor Company, At Toyota Motor Company, Taichii OhnoTaichii Ohno

andand Shigeo ShingoShigeo Shingo, are known as the brain, are known as the brain

behind transforming Ford productionbehind transforming Ford production andand

other techniques into an approach calledother techniques into an approach called

Toyota Production SystemToyota Production System or Leanor LeanProduction System or Production System or Just Just- -inin- -Time System.Time System.

Taichii Ohno was the Production Boss of Taichii Ohno was the Production Boss of

Toyota Motor Corporation and Shigeo ShigoToyota Motor Corporation and Shigeo Shigowas industrial engineer and consultant of was industrial engineer and consultant of

Toyota Motor Corporation.Toyota Motor Corporation.


Taichii Ohno

Shigeo Shingo



Ford vs. Toyota model of Production SystemFord vs. Toyota model of Production System

Can be best explained as:Can be best explained as:

Mass Production vs. Lean (JIT) ProductionMass Production vs. Lean (JIT) Production




What is Mass Production SystemWhat is Mass Production System

Mass productionMass production is the name given to theis the name given to themethod of producing goods in largemethod of producing goods in largequantities at low cost per unit.quantities at low cost per unit.

This system of production is also knownThis system of production is also knownas Push System or Justas Push System or Just--inin--Case System.Case System.

To make it worthwhile, mass productionTo make it worthwhile, mass productionrequires mass consumption.requires mass consumption.

With precision equipment, large numbersWith precision equipment, large numbersof identical parts could be produced at lowof identical parts could be produced at lowcost and with a small work force.cost and with a small work force.




What is Lean Production System?What is Lean Production System?

Lean Production System is the systemLean Production System is the system

designed and evolved in Toyota Motor designed and evolved in Toyota Motor

Corporation.Corporation.

It is the modified form of Henry FordsIt is the modified form of Henry Fords

Mass Production System. In someMass Production System. In some

areas its philosophy seem exactlyareas its philosophy seem exactly

opposite to the fundamental principlesopposite to the fundamental principles

of Mass Production System.of Mass Production System.This system is generally known as JITThis system is generally known as JIT

system, which in fact is an importantsystem, which in fact is an important

pillar of Lean Production System.pillar of Lean Production System.

The slogan of Lean Production is ³LessThe slogan of Lean Production is ³Less

is best´is best´






Just-in-Time

Leveled Production

Pull System

Continuous Flow

Processing

Takt Time

Flexible Work Force 3 Ms

5 S

Standardized Work Kaizen (Continuous Improvement)

Jidoka (Automation)

Andon-Fixed Position Stop

System

Pokayoke- Fail Proofing

System



JustJust--inin--Time (JIT) SystemTime (JIT) System

JustJust--inin--Time means PRODUCING:Time means PRODUCING:

a) Only what is neededa) Only what is needed

b) in necessary quantityb) in necessary quantity

c) at necessary timec) at necessary time




Main Components of JITMain Components of JIT

Leveled ProductionLeveled Production

Pull SystemPull System

Continuous Flow ProcessingContinuous Flow Processing

Takt TimeTakt Time

Flexible Workforce (Shojinka)Flexible Workforce (Shojinka)

3 Ms3 Ms

5 S5 S




Leveled Production means producingLeveled Production means producing

various model variations on the same linevarious model variations on the same line

to cater the customer demandto cater the customer demand


Conveyer Belt



Pull System (Don¶t Push)Pull System (Don¶t Push)

Produce only when your customer Produce only when your customer

demands the product in the requireddemands the product in the requiredquantity.quantity.

Run the production according to thisRun the production according to this

demanddemand




Pull System or Kanban System?Pull System or Kanban System?







Continuous Flow ProductionContinuous Flow Production

In TPS it means arranging work insideIn TPS it means arranging work insideeach process to flow smoothly from oneeach process to flow smoothly from one

step to other step to other





Process A

Process C

Process B

Just-in-Case (JIC) Involves the use of buffer or safety stock

Buffer

or

Safety Stock

Buffer

or

Safety Stock




Process A

Process C

Process B




Process A

Process C

Process B




Process A

Process C

Process B




Process A

Process C

Process B




Process A

Process C

Process B

Defect detected at

Process B that

actually

occurred at

Process A




Process A Process B Process C

Smooth Flow Processing




Process A Process B Process C

Smooth Flow Processing

Defect is detected and

countermeasures

are taken immediately



Takt TimeTakt Time: Takt is a German word meaning ³meter´.: Takt is a German word meaning ³meter´.

It is the time to finish a given amount of workIt is the time to finish a given amount of work--doing a singledoing a single

operation, making one component, or assembling an entire car.operation, making one component, or assembling an entire car.


Takt time =Total daily operating time

Total production requirement

Takt time =

480

100= 4.8 min/ vehicle



Flexible Workforce (Shojinka)Flexible Workforce (Shojinka)

Flexible workforce or shojinka means toFlexible workforce or shojinka means to

alter (decrease or increase) the number of alter (decrease or increase) the number of

operators within a shop, to equip withoperators within a shop, to equip withdemand changes.demand changes.




MultiMulti--machine Handlingmachine Handling


Type of Part

A B C D

Machine (Lathing) 1

Machine (Milling) 2

Machine (Drilling) 3

Machine (Tapping) 4

One person handles one process, four machines

Unfinished Parts

Finished Products



MultiMulti--process Handlingprocess Handling


Type of Part

A B C D

Machine (Lathing) 1

Machine (Milling) 2

Machine (Drilling) 3

Machine (Tapping) 4

One person handles four processes, four machines



33 MM¶s¶s

MMUDA = NonUDA = Non--Value AddedValue Added

MMURA = OverburdenURA = Overburden

MMURI = UnevennessURI = Unevenness





1 TON

4 ton

Capacity : 4 tons

Muda . Mura . Muri

12 TONS




X

X

2 = MURI (OVERBURDEN)

6 = MUDA (NON-VALUE ADDED)

= MURA (UNEVENNESS)



The most efficient way to deliver 12 tons of good to the destination is:The most efficient way to deliver 12 tons of good to the destination is:


X 3 =

NO MURI (OVERBURDEN)

NO MUDA (NO WASTAGE)

NO MURA (NO UNEVENNESS)




5S1. SEIRI = SIFTING

2. SEITON = SORTING

3. SEISO = SWEEPING

4. SEIKETSU = SPICK µN¶ SPAN5. SHITSUKE = SUSTAINANCE



SEIRI = SIFTINGSEIRI = SIFTING

Get rid off unwanted stuff from the workplaceGet rid off unwanted stuff from the workplace


TRASH

Unwanted



SEIRI = SIFTINGSEIRI = SIFTING




SIETON = SORTINGSIETON = SORTING

Arranging wanted items in proper order, which means place for Arranging wanted items in proper order, which means place for

every thing and every thing in its place.every thing and every thing in its place.


Boxes staked well

sorted and orderly

manner

Disorderly staking











SIESO = SWEEPING AND CLEANINGSIESO = SWEEPING AND CLEANING

Sweeping and cleaning means surface and other areas free from oilSweeping and cleaning means surface and other areas free from oil

and chemicals that may or may not cause slippage, fire or anyand chemicals that may or may not cause slippage, fire or any

other possible hazard.other possible hazard.




SEIKETSU = SPICK µN¶ SPANSEIKETSU = SPICK µN¶ SPAN


Spick µn¶ span means visible neatness. A nice, clean and tidy workplace

Affects directly to the performance and quality of workforce.



SEIKETSU = SPICK µN¶ SPANSEIKETSU = SPICK µN¶ SPAN




SHITSUKE = SUSTAINANCESHITSUKE = SUSTAINANCE

Instilling supreme attitude and constantly reminding theInstilling supreme attitude and constantly reminding the

workforce about 5 S philosophy through training, competition,workforce about 5 S philosophy through training, competition,

encouragement by the top management.encouragement by the top management.




Benefits of JITBenefits of JIT

Reduction of direct and direct labor by eliminating nonReduction of direct and direct labor by eliminating non--value addedvalue addedactivitiesactivities

Reduction of floor space and warehouse space per unit of outputReduction of floor space and warehouse space per unit of output

Reduction of setup time and schedule delays as the factoryReduction of setup time and schedule delays as the factorybecomes a continuous production process.becomes a continuous production process.

Reduction is waste, rejects, and rework by detecting errors at theReduction is waste, rejects, and rework by detecting errors at thesource.source.

Reduction of lead time due to small lot sizes, so that downstreamReduction of lead time due to small lot sizes, so that downstream

work centers provide feedback on quality problems.work centers provide feedback on quality problems. Better utilization of machines and facilities.Better utilization of machines and facilities.

Better relations with suppliers.Better relations with suppliers.

Better integration of and communication between functions such asBetter integration of and communication between functions such asmarketing, purchasing, design, and production.marketing, purchasing, design, and production.

Quality control built into the process.Quality control built into the process.





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Toyota Production System