Total quality management in toyota case study examples

1) List the principles of TQM in Toyota and discuss how Toyota implements the principles. Provide examples in every point.

Total Quality Management is a combined effort of management philosophy with a
set of
practices that lays emphasis on continuous improvement, meet the requirements
of the customer, reduce rework, think on a longer range, involve employees at all
stages
and teamwork, process redesign, solve the issues with the help of team members,
measure the results constantly and always have good relationships with suppliers. Total
Quality Management in Toyota is entirely based on “ Customer First” criterion with an
equal importance to “ Continuous Kaizen” and “ Total Participation”. To achieve these,
the automobile giant has formed the following set of principles.
1. Challenge: To set a clear vision for a steady progress and meeting the requirements to upgrade to the same. Courage and creativity of every individual in the organization become the essential factors to be successful.

For example: Toyota provides its employees with human resource development and healthcare programs to bring about confidence and motivation.

2. Kaizen: To bring about continuous changes in the procedures to have perfection and overall development.
For example: At Toyota, employees do not stop on achieving a set target, they are at freedom to alter practices for enhancing and speeding up the quality and production.
3. Genchi Genbustu (Vasilash, 2005): To follow the “ Go and See” method of problem solving. An issue can be better resolved at the point of its cause.
For example: In an event of a breakdown, the analysis is done right at the place where it occurs, and the decision is made considering the mutual consent of the employees involved and the least time to solve it.
4. Respect: To build mutual trust and responsibility for a stable employment and healthy labor-management relationship.
For example: All employees are treated equally and are provided equal responsibility in decision making for the progress of the organization.
5. Teamwork: To encourage personal and professional growth by sharing the development prospects to increase individual and team performance. Toyota does not only produce cars, it produces talented people through 4P model, the Philosophy, People, Problem-Solving and Process (Liker, Meier, 2007)
For example: Every individual, whether single or as a team is given an opportunity to contribute to the organizational growth with equal importance to self-development.

These combined with the “ 300, 000 Person Communication Activities” like improving English language skills, globalization activities and forming healthy relations with overseas executive to increase workplace competence.

2)
Explain what is Toyota Education System and discuss how it support the success of TQM implementation.

The Toyota Institute (TI) works toward the mission of “ Human resource
development that puts the Toyota Way into practice”. To attain this TI has prepared the
following training programs for Toyota and its overseas affiliates. These are spread
over mainly the three levels of management, the upper, the middle and the new
recruits.

The following activities like the Subordinate development, Toyota Way of
problem solving, Management development training, New Manager training,
Training by job grade, and Expatriate training program are performed as a part of the
Toyota Education System in Toyota Organization globally.

The Toyota Education system is mainly to increase the Quality of products and
services at Toyota. The programs are based on “ Customer first”, “ Continuous Kaizen”
and “ Total Participation” which are the main principles of TQM. Statistical Quality
Control and Quality Control, and Soikufu are also integrated in the education system to
promote TQM. The R&D Learning Center Course Guide was created for all the
managers to enhance the training curricula in each workplace and utilize the courses
systematically, and it was made available on intranet in an attempt to spread the
awareness of self-development across the organization. The employee education in
Toyota is always addressed under the Genchi-genbutsu principle.

3) Discuss ” Continuous Improvement” and ” Respect for People” as initiatives that support the foundation of Toyota Way.

Toyota believes in Continuous Improvement and Respect for People as the fundamentals
for its organizational growth. The key features that comprise Continuous improvement are Challenge, Kaizen and Genchi Genbutsu, and the key features that comprise Respect for People are the Respect and Teamwork. Toyota has a long term vision to meet the challenges with courage and creativity, by driving innovation and evolution for improving the business operations. The greatest principle of Toyota is to go and see in the shop floor to make the correct decisions during the manufacturing process, and achieve the defined goals at the best speed. Respect for people is considered the best principle as Toyota makes every effort to understand each other, build mutual trust and take responsibility.
For example: An error on a shop floor may be a minor error or a major error, like assembling the correct parts in the product. Improper placements of the parts may result in delaying the assembly. So, by following the Genchi-gentubsu under Continuous Improvement principle, this error can be avoided.

4) Highlights what are quality awards being practice and implemented in Toyota.

The quality awards are achieved when every employee fulfills his or her duty at every step of the production cycle by accepting responsibilities and taking ownership so that the defects don’t occur. Quality awards are given by various foundations like the Deming Price, European Foundation of Quality Management (Anvari, Ismail, & Hojjati, 2011), Malcolm Balbridge National Quality Award (Hendricks, & Singhal 2000) and so on based on the concept for implementing the Total Quality Management. Toyota received the Japan Quality Award Quality Innovation Award from the Union of Japanese Scientists and Engineers for company-wide efforts in October 2010. This award was presented to Toyota for following the Ji Kotei-Kanketsu principle (Built-in quality with ownership).

References

Vasilash, Gary S., (2005, July 30). Genchi-Genbutsu and creating the Toyota 4Runner. (On Cars).: An article from: Automotive Design & Production. Retrieved from http://www. amazon. com/gp/product/B0008FK232/ref= kinw_rke_rti_1
Liker, Jeffrey., Meier, David., (2007). Toyota Talent: Developing Your People the Toyota Way. McGraw-Hill
Anvari, Alireza., Ismail, Yusof., & Hossein Hojjati, Seyed Mohammad (2011). A Study on Total Quality Management and Lean Manufacturing: Through Lean Thinking Approach, IDOSI Publications.
Hendricks, Kevin B., Singhal, Vinod R., (2000). The Impact of Total Quality Management (TQM) on Financial Performance: Evidence from Quality Award Winners.