Achieve 6+ Sigma Performance Using the Tools of The Toyota Production System
This is one benefit attained when you Build your Toyota Production System. W. Edwards Deming says system leaders don’t have an “appreciation for a system”, you will when we are done. Subsequently Toyota has Profound Knowledge of every process in their Production System.
Build Your Toyota Production System. Each Business Category can Excel Using the Tools of The 6+ Sigma Toyota Production System:
ACHIEVE 6 SIGMA PERFORMANCE. Ramp up performance by building your Toyota Production System using Toyota’s tools. Some Benefits Include:
- 6+ SIGMA SYSTEM PERFORMANCE.
- MARKET DOMINANCE. Original car owners that have kept their cars for 15 years, above all, 10 of 15 listed were Toyota’s,
- FINANCIAL PERFORMANCE. Net income last year $22.0 B / average of $60,000 net income per employee. GM’s net income was $8.1B /average $46,821 net income per employee,
- OPERATIONAL EXCELLENCE. That is to say, continuously remove wasteful process activities Toyota:
- Accelerates processes,
- Decreases costs (by removing wasteful activities), and
- Increases quality (by performing less actions on a product or service).
- EFFICIENCY. Toyota is 30% more productive than GM,
- SEEKING PERFECTION LEADS TO A CULTURE OF GREATNESS. Toyota accelerates into the future utilizing 11 ideas per year per every person at Toyota,
- Above all the PROFOUND KNOWLEDGE OF EVERY PROCESS IN THE SYSTEM. Edwards Deming says that executives don’t have Profound Knowledge of their system. Toyota does,
- FOCUS ON VALUE DELIVERED. Most importantly, you know the Value Delivered at each step in your system, and
- Strategic INTEGRATION WITH SUPPLIERS to ensure quality standards. Embed Toyota employess within suppliers to ensure best practices taught and followed.
The 60-25-20 Rule: 60 Days Setup, 25 Program Steps, Answer 20 Questions to Start – Above all Improvements Accelerate Your System Into the Future
Achieve Six Sigma Performance Utilizing the Benefits of the Toyota Production System Applied to 5 Industries (7 min on a new YouTube page):
I demonstrate how to achieve 6+ Sigma Performance. Build your Toyota Production System for five different transactional industries. Manufacturers who are running at less than 4.5 Sigma, Businesses that want to attain Operational Excellence and Profound Knowledge of their processes, Governments that owe their benefactors value for their money, Military that has a large Supply Chain with a huge opportunity to decrease Supply Chain costs, and finally Hospitals, which don’t understand the impact of Single Payer.
The Build of your Toyota Production System encompasses all of Toyota’s operations, not just manufacturing. Therefore the benefits apply to any entity with a system. Above all, with their system approach, they have attained Profound Knowledge of all their processes. This allows them to increase process velocities, decrease process costs, and increase process quality. Their goal is to attain Perfection by averaging 11 improvement ideas per year for every employee in their company, in a system benefiting direction. This is how you attain Operational Excellence.
Money is left on the if you are running anything less than 4 Sigma. It may even make sense to shoot for 4.5 Sigma since your Sigma capability decreases over time. A Value Stream helps to find which processes to target for improvement. A Value Stream gives you Profound Knowledge of every process in the Value Stream. As the Value Stream improves, you keep the Value Stream Map updated so you always have Profound Knowledge. Toyota’s Continuous Improvement program is so powerful they do not expand their business unless they are sure they can continue the program. Build Your Toyota Production System.
Businesses focus heavily on either Customer Intimacy, Innovation, or Operational Excellence. Every business should focus on Operational Excellence. That is to say, Toyota has a maniacal focus on continuously increasing their margins. Their goal is to march towards perfection, shouldn’t you? Build Your 6+ Sigma Business System.
Firstly Governments and the Military have a fiduciary responsibility to their citizen supporters to use money wisely. Certainly, there is a tremendous amount of saving with aggressive managing the costs of your supply chains and move some of them to Just-In-Time. Further, attain Profound Knowledge of your processes and continually improve on the road to perfection. Build Your Toyota Production System.
The Military has a massive Supply Chain. So does Toyota. In fact, Toyota has the largest American parts supply in their American plants and automobiles than any other automobile company in America. They still maintain 6 Sigma manufacturing performance. For an automobile to be 6 Sigma, all the parts need to be better than 6 Sigma. Build Your Toyota Production System.
Toyota’s Production System encompasses their whole business. There are too many advantages to discuss here, but the Militaries adoption of the tools of the Toyota Production System will move the Military system towards 6 Sigma. Build Your 6+ Sigma Military System. Build Your Toyota Production System.
Some Hospitals are going out of business and others risk going out of business in the future, with the advent of Single Payer. Single-Payer hospitals operate about 35% more efficiently than American hospitals. They increase velocity through their Emergency Departments, perform more surgeries per day, and do more than talk about focusing on the patient experience. Focus on the Patient and consequently satisfy Doctors and Insurance Companies. Build Your 6+ Sigma Hospital System. Build Your Toyota Production System.
A Hospital is a system and that system should constantly reach for perfection.
In Conclusion – Build Your System Using Tools of The Toyota Production System
Build Your Toyota Production System takes time. The road to greatness is arduous. If you pause, your competitors will pass you. However, using Lean Six Sigma and the Tools of the Toyota Production System, and at very least, striving for perfection, consequently puts you in the lead. Toyota is leading and will for a long time.
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