The Toyota Way and management principles

Toyota Way is a complete and unique business lesson, in the DNA of which there are found the particles of Continuous Improvement and Respect for People. There are many other secrets to be found in this philosophy, tips and tricks you can apply successfully in your career.

The Toyota Way – 14 Management Principles form the world’s greatest manufacturer (that I strongly recommend) explain lots of management systems, thinking models and the philosophy that lies at the foundation of the Toyota company, lider in the auto industry and organizational model for other companies and industries as well.

How else not to read it when you hear that the company entered in the spotlights in 1980 with efficiency and quality specific for the Japanese nationality? Japanese products were more durable than the U.S. ones and had a low degree of repairments.

The work style was a dream for many companies: more efficiency, more reliable quality and increasing competitive advantage in the marketplace, despite vulnerabilities.

I will not convert this post into a summary of the book, or a lesson regarding the history of the Toyoda family, those of you interested can read the book. But I want to quote one of the Toyoda founding members:

We accept our challenges with a creative spirit and with courage to follow our own dreams without losing focus and energy. We work on a vigorously approach, optimism and full confidence in the value of our contribution.

We strive to decide our own fate. And act with confidence in our own abilities. We take responsibility for our behavior, and in maintaining and improving skills that help us increase the value added.

eeee … how can you not get impressed by these lofty words, kept essentially sincere. How can day not motivate you to develop your own professional belief of commitment?

“The Toyota Way” is actually about people and their continuous development. In the end the learning process is endless, and relying on routine and non-action is a clear sign of giving up on reaching the goals of your career plan.

What are you waiting for? The current times and the tendencies of your career don’t wait for you, nor they hold you by the hand. They challenge you, to excel all the time!

I will probably reopen the subject of the Toyota Way, but, till then, as a gift for one „busy January” I summarize here the Toyota’s 14 management principles:

Section I: Long Term philosophy

Principle 1: Base Your Management Decisions on a Long-Term Philosophy, Even at the Expense of Short-Term Financial Goals
Principle 2: Create Continuous Process Flow to Bring Problems to the Surface
Principle 3: Use Pull Systems to Avoid Overproduction
Principle 4: Level Out the Workload (Heijunka)

Section II: The Right Process Will Produce the Right Results

Principle 5: Build a Culture of Stopping to Fix Problems, to Get Quality Right the First Time
Principle 6: Standardized Tasks Are the Foundation for Continuous Improvement and Employee Empowerment
Principle 7: Use Visual Control So No Problems Are Hidden
Principle 8: Use Only Reliable, Thoroughly Tested Technology That Serves Your People and Processes

Section III: Add Value to the Organization by Developing Your People and Partners

Principle 9: Grow Leaders Who Thoroughly Understand the Work, Live the Philosophy, and Teach It to Others
Principle 10: Develop Exceptional People and Teams Who Follow Your Company s Philosophy
Principle 11: Respect Your Extended Network of Partners and Suppliers by Challenging Them and Helping Them Improve

Section IV: Continuously Solving Root Problems Drives Organizational Learning

Principle 12: Go and See for Yourself to Thoroughly Understand the Situation (Genchi Genbutsu)
Principle 13: Make Decisions Slowly by Consensus,Thoroughly Considering All Options; Implement Rapidly (Nemawashi)
Principle 14: Become a Learning Organization Through Relentless Reflection (Hansei) and Continuous Improvement (Kaizen)