Basic Title Lean for Leaders Takashi Tanaka 1
History Basic Title of Toyota Sales New Leader set vision & clear target Visualization & Oobeya Globalization Quality into Process Multi skilled engineers Increase outside of Japan TPS Lean introduced in Western corporations 1950 1990 2010 2
Roots Basic of Title Toyota 1700 1800 1900 2000 Ninomiya Kinjiro (1787-1856 ) Toyoda Sakichi (1867-1930 ) Famous governor J.F. Kennedy respects Ohno Taiichi (1912-1990 ) Toyota Way Uesugi Youzan (1751-1822) Show them, tell them, have them do it, and then praise them. Focus on people. 3
Toyota Basic Title Way Toyota Way Principle of TOYOTA Continuous Improvement Challenge Improvement Genchi, Gembutu Respect for People Respect Teamwork Externalized Rule and Principle of Toyota in 2001 Preparation for more globalization 4
Output Basic Title Definition Output = n Σ i=1 (Person) x (Ability) x i i (Motivation) By the improvement activity i Total number of employees n = Workers + Staff 5
Basic Toyota Title Management System TDS Design Product Concept Sales, After sales and CRM TMSS Engineering Production Concept TMS Marketing Design Marketing Concept Production Design Production TPS Total TPS TMS (Toyota Management System) TDS (Toyota Development System) Total TPS (Total Toyota Production System) TMSS (Toyota Marketing & Sales System) 6
TMS Basic Tools Title Oobeya 7
Difficulty Basic Titleof Implementation Background - The use of tools has improved factories - Knowledge work areas has been more difficult - Most managers do not advance to the implementation of Toyota Management System Rate of improvement Time Problem 8
Do Basic we Title understand each other? Finished! Think Do What is the goal? Western Toyota Think Do Genchi Gembutsu Continue PDCA Cycle 9
Japanese Culture Toyota Culture Other Culture Do Basic we Title understand each other? Work Tools Toyota Culture Rules Principles Management? Western Japanese Culture Culture blocks understanding of Principles, Rules and management. 10
Procedure Basic Titleto Implement Using both Tools (Method-side) and Management (Human-side), we can create sustained improvement. Kick -off Tools 6 Management 4 4 4 18-months Visualization Oobeya Visual board Higher Perspective Tools TMS TDS Total TPS TMSS New Working Culture New role Accountablity Working habit Self Sustaining LfL Studio 11
Toyota Basic Title Management System 1. Corporate Management 2. Finance (Financial accounting) 3. Cost Planning (Management accounting) 4. Globalization 12
Corporate Basic TitleManagement Policy deployment This year Nov. Company Policy Dec. Next year Start Strategy Break Down Reflection this year Mid-term Next year Division Negotiation Key point: - Process is completed within 2-months - Division target will be reallocated between divisions Action Plan & Implement Action Plan Implement 13
Corporate Basic Title Oobeya Corporate Objectives Mid-term Barashi Metrics Action Board CEO, Board member 2-issues per week Productivity Schedule 2009 Jan Feb --- Dec Weekly Actions Issue Board this year Sales Profit Quality Cost Achievable Actual 4 5 6 7 8 9 10 11 Actual Achievable 4 5 6 7 8 9 10 11 Deliver Product Improve -ment Product A Product B ---- Planning R&D Production 1. Improve fuel efficiency Marketing 2. New production Sales concept HR Achievable Actual 4 5 6 7 8 9 10 11 14
Role Basic of Title Managers Before Improve ment Daily Work (Meeting, Decision making, Team management, etc.) Trouble shooting Now Improvement (Product, Process and Personnel development) Daily Work 生 産 稼 働 維 持 Ideal Increase Effective and Efficient Decrease Manager: use more than 50% of time on improvement work. 15
Oobeya: Basic TitleBig Project Room Objective Project Background Project Objective Technical Spec Project Organization Expected Output Expected Output Metrics Weight Cost Capital Targ et 1 2 3-12 Targ et 1 2 3-12 Good Good Progress check, only Green & Red Action Board Projector for Virtual Design Review or meeting Prototype All related members, Planning, Design, Production and Sales & Marketing Today Decomposition Area Issue Board: Panel Issue Board 2-issues per week R & D Main Board Design Engineering Production Marketing Potential Real Finish Record New concept Line A Improve Drawing delay Supplier select Supplier select Supplier select Identify issues for management decisions 16
Finish Real Potential Design Engineerin g Production Marketing Targ et 1 2 3-12 Targ et 1 2 3-12 Good Good Oobeya Basic Title Principle Visualization of Management System Corporate Oobeya Project Output Project Background Project Objective Technical Spec Project Organization Prototype Model Expected Output Quality Cost Timing Production Marketing Service Design Engineering Only 3-layers Implemented effectively in Western companies Online QV System Design Engineering Production Engineering Production Visualization of GEMBA (Work place) Marketing Sales 17
Cost Reduction Committee Chief Basic Engieer Title of Toyota CEO VP Engineering Only one VP to manage all Chief Engineers and functions Prius Chief Engineer CE Corolla --- CE Body Chassis ---- Cost Quality Delivery Under -10% DOK 90% 1 st proto May 1 Platform Standardized committee New navigation system committee Matrix & Metrics break down VP Strategy VP Production VP Marketing & Sales... -20% DOK 80% On time Dec 15 Executives lead cross-functinal committee 18
Clear Basic s Title Drive Results Oobeya creates a more action-oriented organization. Productivity Schedule 2009 Jan Feb --- Dec Weekly Actions Issue Board this year Sales Profit Quality Cost Achievable Actual 4 5 6 7 8 9 10 11 Actual Achievable 4 5 6 7 8 9 10 11 Deliver Product Improve -ment Product A Product B ---- Planning R&D Production 1. Improve fuel efficiency Marketing 2. New production Sales concept HR Achievable Actual 4 5 6 7 8 9 10 11 Suitable Current Status Gap Only 3-5 focused metrics Clear and concise activity and action Only decision ready issues 19
Concept Basic Title of Quality into Process Occurrence prevention Process 1 Process 2 Process 3 Process 4 Inspection Delivery No defect No defect No defect No final inspection!! Outflow prevention 20
Design Check Sheet Rem: Follow up later items is establish another file, GM checks w eekly. Eng Type Parts# Depart R G Factory Car Type Name Outside design request #: Distribute Other Other Design change #: Requested section Document, Memo CE agree GM Leader Establish Order Final M D M D M D M D Planning Cost Estimated Weight min min min Inspect drawing Drawing Purchase, Fin Change drawing Cost Planning Y - N Y - N Y - N with leader Outside design $ Outside g Final audit of draw ing Recognized draw (+ - %) ( ) (+ - %) 1. No problem Others Background, Objective 2. No confirmation, but no problem Change spec Commonalization Reduce weight 3. There is issue, but go Durability, Reliability check Research Performance Productivity What is issue? Item Count Check VA, VE Solution of Issue Service efficiency Continue hi-speed Explain: If it needed, Full throttle U/D Contents of change, Problems by GM Attachment Planning figure distribute to Low sw eep U/D Engineering check sheet production Total pattern Objective, reason by GM Required specification engineering Total temperature Performance Solution of Issue NV improve contact issue Others ( ) of each factory Low temperature Request from others (CE, Production)Commonalization Service efficiency Reduce weight Ex main temp. Cost reduction SOC problem Others( ) If necessary Long drive Hammering Contents of change 1.SOP phase Stresses 2. cost Resonance Dirt course Others 3.Current 4.Supplier estimate Hi-speed reliability 5.Gap Heat test Anxious by change Countermeasure 6.Countermeasure Body test Prototype CAE Stress 1.Parts cost 2.Mold 3.Total Reflect for test (Left table) Reflect to production Weight 1.SOP phase 2. cost 3.Current 4.Supplier estimate internally, Later Recognized draw ing Plan ( / ) Plan ( / ) 6.Countermeasure OR Follow up ( Y - N ) M D M D M D M D Copy N Check grade Check Check Engineer 1 2 GY 1 No issue : ++ Regulation check require ( Y - N) Conf irm with Material dep: rubber, plastic, paint No guessing issue : + Acceptance f or F/R, F/F General name of material( ) Total Face (Revised '05 June) Engine Related Guessing issue : - Parts list of OBD(On-board diagnosis) Assembly and serv ice(line tools, serv ice manual) No countermeasure: -- Saf ety issue (FH, Crash, OR, Leak) Row material, process with prod. Eng & supplier Not accept: Blank Conf irmation Engineering check sheet Conf irm guideline of parts f itting (Internal E2-14) Including all PPC items Drawing: parts table, request, label The case of - and --, Satisf ied required f unctions by reliability matrix Change Drawing: old parts, ov ersea, Write f ollow up date Keep dev elopment target by justif ication check sheet Parts table: Saf ety, regulation, maker option Information Leader comments: Item Conf irmed by control design inf ormation matrix Pattent:requested (Y N), Fall f ault (Y N Analy ) Implement DRBFM Deliv ery location, change( ) Prohibited design change, conf irmed by real parts Environmental condition & influence Conf lict of parts, distance, slack, f astened, seal Oil, water & gas temperature, f rozen, f uel, etc Caulking, weld, press, insert choking Roll out other model(y N), Influence other organization(y N), informed(y N): #1: Each engine & using area has template Check sub-design check sheet of back side #2: Attach engineering check sheet Final Order Route: Design room -> Manager ->each CE 2- copy for group Item 5.Gap Cost Quality Basic Title into Process tools Front loading tools Planning Design Test Production : - Right on time - Right first time Delivery 7. Feedback sheet Lesson and learn from past projects Occurrence prevention 1. Management Policy deployment and Metrics Long-term planning Daily implementation Issue board for unexpected problems Oobeya for project 2. Education/ Training Knowledge management Multi-skilled engineer Supplier training 3. Standard Work Design standards Process standards Structured template 4. Quality assurance Sustain standard work Support improvement activity Outflow prevention at each gate 6. Check sheet Front page, Whole process Back sheet, a part or a process 5. Improved Design Review Gate DR Collaborative review Open/closed issues 21
Selecting Basic Title Right Leader for Lean Technical strength Experienced leading large projects Influence at the executive level Strong collaborative skills Real network within the organization 22
Conclusion Basic Title Will your market reward significant improvement? What is your human-side culture? What is the leader s clear vision and target? Focus on fewer targets, clearly quantified, and then, drive your organization! 23