Jeffrey Liker summarized the management principles of TOYOTA in a 4P model:
• Philosophy
• Process
• People
• Problem Solving
Toyota’s management system is described by fourteen principles within these four levels:
Long term philosophy.
Principle 1. Base your management decisions on a long-term philosophy, even at the expense of short term financial goals.
Lean processes: the right process will produce the right results .
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).
Principle 5. Build a culture of stopping to fix problems, to get quality right the first time .
Principle 6. Standardized tasks and processes are the foundation for continuous improvement and employee empowerment.
Principle 7. Use visual controls so no problems are hidden.
Principle 8. Use only reliable, thoroughly testes technology that serves your people and processes.
Develop and challenge your people and partners through long term relationships .
Principle 9. Grow leaders who thoroughly understand the work, live the philosophy and teach it to others.
Principle 10. Develop exceptional people and teams hold follow your company´s philosophy.
Principle 11. Respect your suppliers by challenging them and helping them improve.
Problem solving and Continuous Improvement Drive Organizational Learning.
Principle 12. Go and see yourself thoroughly understand the situation .
Principle 13. Make decisions slowly by consensus and consider all options; implement decisions rapidly.
Principle 14. Become a learning organization through relentless reflection and code continues improvement.
If we look carefully at the fourteen principles they are all statements of beliefs and values, they are about Toyota´s culture.
Philosophy is about Toyota´s purpose and why they exist.
Process is about what Toyota believes and leads to operational excellence – constantly eliminating waste.
People are what drive the company forward and culture is what teach the people how to act, think and feel to work together toward a common goal.
Problem Solving is the way Toyota people focus their efforts to continually improve.
The Toyota’s principles have a universal application; the Philosophy, Process, People and Problem solving can be found or developed into any organization, thinking in TPS as a process that can be applied just for Toyota is a mistake and it could be an important barrier to bring your organization to High Performance levels.
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