2/21/2024

The Toyota Way (4Ps)

The Toyota Way
2 nd Edition
Jeffrey K. Liker

92

Practical Scientific Thinking

 Comprehension is always incomplete and

possibly wrong.
 Answers will be found by testing rather than
just deliberating.
 Differences between what was predicted and
what happened are sources of learning.

Toyota Kata: Managing People For Improvement, Adaptiveness, and Superior Results Mike Rother

99

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Philosophy
 Long-term
 Systems thinking
 Clear sense of purpose
 Planning
 Challenging goals
 Clear direction, fuzzy
path
 Pursuit of goals through
continuous improvement

This Photo by Unknown Author is licensed under CC BY-NC

100

Process
 Processes are not static
 Improve through
experiments and learning
 Systems are fragile
 Surface problems and
scientifically solve them

This Photo by Unknown Author is licensed under CC BY

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People
 The gemba
 Repetition creates neural
pathways

102

Problem Solving
 Get to the root cause
 Anticipate future
problems
 Make proactive
improvements

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The Five Principles (Womack, James. Lean Thinking. 1996)

Specify value from the standpoint of the end customer.

Identify all the steps in the value stream, eliminating whenever

possible those steps that do not create value (waste).
This Photo by
Unknown Author is
licensed under CC
Make the value-creating steps occur in tight sequence so the BY-SA

product will flow smoothly toward the customer.

As flow is introduced, let customers pull value from the next

upstream activity.

Begin the process again and continue it until a state of perfection is

reached.
106

Toyota Debacles
Na t u ra l d i s a s t er s di s r u p t c om pa ny op era t i on s

- 20 11

h t t p s : / / www. f or b es . c om / s i t e s / g r e a t s p e c u l a t i o

n s / 20 11/ 0 4/ 08 / j a pa n - qu a k e -t s u n a m i - t a ke -

h e a v y - t ol l - on -t oy ot a / ?s h = 5 1 b c0 b 94 6 1 b4

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Toyota debacles
 Natural disasters disrupt
supplier operations -
2011
 https://www.bbc.com /ne
ws /business-15633051

109

Toyota Debacles

 Doing better during the

pandemic than rivals – 2022
 https://hbr.org /2022/11/wha
t-really-makes-toyotas-
production-system-resilient

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The Five Principles

Specify value from the standpoint of the end customer.

Identify all the steps in the value stream, eliminating whenever

possible those steps that do not create value (waste).

Make the value-creating steps occur in tight sequence so the

product will flow smoothly toward the customer.

As flow is introduced, let customers pull value from the next

upstream activity.

Begin the process again and continue it until a state of perfection

is reached.
111

Value adding
 It physically changes the
form, fit or function of
the product /service
 It’s done right the first
time
 Customers are willing to
pay for it

This Photo by Unknown Author is licensed under CC BY-SA-NC

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What should you do?

Non-Value NVA but Value

Adding necessary Adding

Terminate Minimize this

Optimize to
immediately! “necessary
reduce
And prevent evil” and
resources
from challenge the
used.
returning. need.

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