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TOYOTA PRODUCTION SYSTEM

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Pabrik KABEL ~ LEAN Manufacturing Excellence???

WHY
NOT!?!

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Keinginan KONSUMEN?

• MURAH
• BANYAK
• BERKUALITAS
• MUDAH DITEMUKAN
• MUDAH DIDAPAT
• JAMINAN GARANSI
• JAMINAN SERVISE
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Today Competition…
How are we make sustainable the business?
Price
Price Price Price

Profit Profit

Cost Cost

Traditional Thinking Lean Thinking

Cost + Profit = Price Price - Cost = Profit
Untuk mempertahankan kekuatan bisnis:
• Memenuhi standard qualitas pelanggan
• Penurunan biaya
• Harga yang kompetitif
• Ketersediaan produk
• After Sales Service
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Evolusi continues improvement

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USA ~ JAPAN ~ USA

Visionary Leader : Mr. Taiichi Ohno, 1912 - 1990

Guiding principles of TOYOTA PRODUCTION SYSTEM
“We let the flow manage the process,
NOT the management manage the processes”

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Apa hubungan TPS & Lean Manufacturing?

♚1991, DR. James Womack ~ Word Class Manufacturing practices ~ LEAN MANUFACTURING (1996/7)

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General Motor VS TOYOTA

MP09 Inventory PCI ~ 16 Days

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Who is TOYOTA?
Toyota Motor Corporation
Toyota Jidosha Kabushiki-gaisha (トヨタ自動車株式会社)
• 1933, Kiichiro Toyoda ~ Type A Engine, Toyoda Automatic
Loom Company
• 1936, 1st Model Toyota AA passenger car
• 28 August 1937, Toyota Jidosha Kabushiki-gaisha established
• Pacific War (WW II) ~ Military Truck production
•
1933, Kiichiro Toyoda
1947, starting commercial passenger car production (Model SA)
• 1982, starting attach America, NUMMI
• 1989, Launching….Lexus in 1989
• 1999, NY & London stock exchange
• 1st half 2007, 4.72 Mio Vehicles from the target 9.4 Mio; revenue
~ $212Bio & profit $15.1 Bio… Highest achiever in Automotive…
Never for GM for 76 years
• 522 subsidiaries & 300k employee world-wide

“Drive your dream… Practice make prefect… Moving forward”

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Mentalitas dalam bekerja

• REWARD
¾ Saya akan bekerja jika....

• PUNISHMENT
¾ Saya bekerja karena……

• KAIZEN
¾ Saya bekerja walaupun…..

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1st TOYOTA PARADOX

ƒ Just in time manufacturing
ƒ Pekerja melakukan Quality Inspection pada
input dan output secara mandiri
ƒ Setiap pekerja memiliki hak untuk ‘STOP
PRODUCTION’ pada serius defect dan
penyimpangan
ƒ Pekerja merancang system pekerjaannya

The Second Toyota Paradox: How Delaying Decisions Can

Make Better Cars Faster, Sloan Management Review, Spring ‘95,
Allen Ward, Jeffrey Liker, John Cristiano, Durward Sobek

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2nd TOYOTA PARADOX

Source: A. Ward, J. Liker, J. Cristiano, D. Sobek, The Second Toyota Paradox, Spring 1995, Vol. 36, No. 3

25% Business growth:

ƒ Pekerja memiliki multi-disiplin dan flexibilitas tinggi, bukan
dedicated operator
ƒ Rendah sekali frekuensi melakukan kontak dengan vendor
untuk masalah supply
ƒ Toleran dalam hal improvement dead line
ƒ Pengambilan keputusan yang cepat dan tepat
ƒ Toyota adalah Design engineering

The real different between Toyota and other vehicle manufacturers is not
TOYOTA PRODUCTION SYSTEM.
It is because of the TOYOTA Product Development System.
Kosaku Yamada, Chief Engineer Toyota Lexus line

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Visionary Leader : Mr. Taiichi Ohno

Enlightened Philosophy of Work
¾ Respect for Workers
¾ Full utilization of workers’ capabilities
¾ Entrust workers with greater responsibility & authority

Dramatically New Approach to Process

9 Build only what is needed
9 Stop if something goes wrong
9 Eliminate anything which does not add value

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14 Principles of The TOYOTA Way

SECTION I: Long Term Philosophy (Principle #1)

(~ through 5S)

People need purpose to find motivation & establish goals

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14 Principles of The TOYOTA Way

SECTION II: The Right Process will Produce the Right Result
Principle #2: Continue Process Flow
MASS PRODUCTION SYSTEM LEAN PRODUCTION SYSTEM

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Mass Lean / Continuous Flow

Operation 1 2 3 Operation 1 2 3

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Waste di tempat kerja?

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8 Wastes
at workplace

Co

g
it in
m pe

Wa
ten
Def n

cy
e t io
ct Mo

io
n Pr Ov
t a t oc er
or es
s p sin
an g
Pr
y

Tr
tor

Ov tio
od
en

er n
uc
Inv

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14 Principles of The TOYOTA Way

SECTION II: The Right Process will Produce the Right Result
Principle #3: Pull System
“INVENTORY digerakan oleh OUTPUT PRODUCTION”

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14 Principles of The TOYOTA Way

SECTION II: The Right Process will Produce the Right Result
Principle #4: Balancing, Level out the workload
(Heijunka)

“The slower but consistent tortoise causes less waste and is much more desirable than the speedy hare that races
ahead and then stops occasionally to doze. The Toyota Production System can be realized only when all the
workers become tortoises.”
- Ohno, 1988 -
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14 Principles of The TOYOTA Way

SECTION II: The Right Process will Produce the Right Result
Principle #5: Stop to fix the problem, get right
first time (Jidoka)
Jidoka is consist of:
1. Poka Yoke ~ Error Proofing
2. Automation system
3. Andon ~ Visual signal

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14 Principles of The TOYOTA Way

SECTION II: The Right Process will Produce the Right Result
Principle #6: Standardize Task & Process

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14 Principles of The TOYOTA Way

SECTION II: The Right Process will Produce the Right Result
Principle #7: Visual Control (Andon)

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14 Principles of The TOYOTA Way

SECTION II: The Right Process will Produce the Right Result
Principle #8: Technology is pull by Manufacturing
(Serving to people & process)

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14 Principles of The TOYOTA Way

SECTION III: Add Value to the Organization by Developing people
Principle #9: Educate, Training and Grow Leaders
“If some problem occurs in one-piece-flow manufacturing then
the whole production line stops. In this sense it is a very bad
system of manufacturing. But when production stops everyone is
forced to solve the problem immediately. So team members
have to think, and through thinking team members grow and
become better team members and people.”
Teruyuki Minoura, former President,
Toyota Motor Manufacturing, North America

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14 Principles of The TOYOTA Way

SECTION III: Add Value to the Organization by Developing people
Principle #10: Develop Exceptional People Who
Follow Company Philosophy (Motivation &
Inspiring people)

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14 Principles of The TOYOTA Way

SECTION III: Add Value to the Organization by Developing people
Principle #11: Mutual benefit, Educate & Grow
together with Supplier

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14 Principles of The TOYOTA Way

SECTION IV: Continues Solving Root Problem Drivers Organization
Learning
Principle #12: Go to See (Genchi Genbutsu), Go &
Confirm the facts yourself

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14 Principles of The TOYOTA Way

SECTION IV: Continues Solving Root Problem Drivers Organization
Learning
Principle #13: Make decision based on team &
implement rapidly

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14 Principles of The TOYOTA Way

SECTION IV: Continues Solving Root Problem Drivers Organization
Learning
Principle #14: Learning organization (Hansei) &
Continues Improvement (Kaizen)

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6S & MUDA Waste Eliminations in ACTION Property of Prysmian, Inc.