New JIT: Management Technology Principle at Toyota

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Int. J. Production Economics 80 (2002) 135–144

‘‘New JIT’’: A new management technology principle at Toyota Kakuro Amasaka*,1
Aoyama Gakuin University, 6-16-1, Chitosedai, Setagaya-ku, Tokyo 157-8572, Japan

Abstract A future successful global marketer must develop an excellent quality management system that impresses users and continuously provides excellent, quality products in a timely manner through corporate management. The author proposes New JIT, a new management technology principle for manufacturing in the 21st century. New JIT contains hardware and software systems as next-generation technical principles for transforming management technology into the management strategy. The hardware system consists of the Toyota Marketing System (TMS), Toyota Development System (TDS) and Toyota Production System (TPS). These are the three core elements required for establishing new management technologies in the marketing, engineering and production divisions. To improve work process, quality of all divisions concerned with development, production and sales, the author proposes Toyota Total Quality Management utilizing Science SQC (TQM-S) as the software system. The author believes that New JIT’s effectiveness has been demonstrated as described herein based on the author’s experience at Toyota. r 2002 Published by Elsevier Science B.V. Keywords: New JIT; Three core elements (TMS, TDS, TPS); TQM-S; Science SQC

1. Introduction The production technology principle Japan contributed to the world in the latter half of the 20th century was the Japanese-style production system typified by the Toyota Production System (TPS). This system was enhanced by the quality management technology principle generally referred to as Just In Time (JIT). Today, however, improvements in the quality of Japanese-style management technology principles are strongly desired in the face of unexpected quality-related *Tel.: +81-3-5384-3795; fax: +81-3-5384-6500. E-mail address: kakuro amasaka@aoyama.ac.jp (K. Amasaka). 1 The author was TQM Promotion General Manager at Toyota and led the Toyota team during the course of this study.

recall problems breaking out among industrial leaders, while at the same time delays in technical development cause enterprises to experience crises of existence (see Goto, 1999). To realize manufacturing of the best quality for the customer in a rapidly changing technical environment, it is essential to create a core principle capable of changing the technical development work processes of development and design divisions. Similarly, it is important for the production division to develop a new production technology principle and establish new process management principles to enable global production2 (Hayes and Wheelwright, 1984). The model of high-performance manufacturing (HPM Model) proposed by Hayes and Wheelwright (1984) is well known as a preceding research. 2

0925-5273/02/$ - see front matter r 2002 Published by Elsevier Science B.V. PII: S 0 9 2 5 - 5 2 7 3 ( 0 2 ) 0 0 3 1 3 - 4

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K. Amasaka / Int. J. Production Economics 80 (2002) 135–144

Furthermore, new marketing activities independent from past experience are required for sales and service divisions to achieve firmer relationships with customers. In addition, a new quality management technology principle linked with overall activities for higher work process quality in all divisions is necessary for an enterprise to survive. In this need for improvements, Toyota is no exception. For this reason, the author, anticipating the manufacturing of the next generation, has developed a new management principle called ‘‘New JIT’’ as the next step in the evolution of conventional JIT. Its effectiveness is demonstrated in this paper.

Timely Q TQM (software) C better QCD level D (Before improvement) (After improvement)

Level up

Time (elapsed) TPS (hardware) Use of SQC reduces fluctuations and raises the average level of manufacturing quality. Fig. 1....
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