Toyota production system

Topics: Lean manufacturing, Toyota Production System, Manufacturing Pages: 10 (2139 words) Published: April 6, 2014

Operation Management Assignment

Declaration of Plagiarism

Table of contents:


Operations Management

Toyota Production System (TPS c )

Just in Time Inventory Management

Lean Manufacturing

Supply Chain Management



1.0 Introduction

The success of Toyota Motor Company is due to the unique reduction systems that focus on continuous improvement and just in time management. Toyota has created a decentralised structure that encourages employee participation and team working. Toyota incorporated concepts just as supply chain management and inventory management to create high quality automobiles and gain a competitive edge in the highly competitive global automobile market. Toyota’s success and its lean manufacturing philosophy have been widely studied. The Toyota manufacturing system is centred on achieving a high level of productivity. The company has a unique approach to problem solving and it continuously trains its employees.

The Toyota Production Systems is based on the lean manufacturing philosophy that seeks to minimize wastages and centres on cost reduction. The Toyota manufacturing philosophy emphasises on quality management through a process of continuous improvement. This report looks at how Toyota created its manufacturing system and the role of operation management techniques to enhance efficiency. This report examines the production processes and philosophy and Toyota to assess how the company has achieved a competitive advantage globally. The lean manufacturing philosophy pioneered by Toyota has become a benchmark for all manufacturing companies around the world. The lean manufacturing philosophy includes concepts such as customer relations, product design, supplier networks and operations. The lean manufacturing practices have made Toyota achieve low cost production and allowed them to manufacture high quality cars at lowered costs. This report looks at how operations management techniques such as supply chain management and inventory management have led to efficiency and profitability at the Toyota Motor Company.

2.0 Operations Management

The study of operations management looks at the production of quality goods and service. The aim of this discipline is to create efficient and effective business operations. Operation management seeks to ensure the efficient management of resources along with the distribution of goods and services. Operation management seeks to enhance manufacturing performance and this study has proposed various techniques and a heoretical framework to achieve this goals. These techniques include quality management (TQM), just in time (JIT) or Leaning manufacturing. Other concepts in the field of operations management include six sigma and supply chain management.

The competitive pressure for improved product quality has led to numerous operations paradigms emerging/ the most significant ones include Just in Time, Total Quality Management (TQM) AND Supply chain management (SCM). JIT seeks to eliminate waste and recue setup times, it also controls the material flows and focuses on effective resource utilisation. The TQM philosophy looks at developing a corporate culture that is customer focused empowers employees and seeks continuous improvement. The supply chain management integrates buyers and suppliers decision-making to improve the flow of materials in the supply chain. The JIT, TQM and SCM approaches improve the effectiveness and efficiency of the operations function (Kannan & Tan, 2005).

3.0 Toyota Production System (TPS)

The TPS lead to the lean production movement that emphasises on eliminating waste from value streams. This production system is highly standardised. The...

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