Business Improvement


Business Improvement means Attaining Operational Excellence, a Competitive Advantage

Business Improvement relies upon the tools of the Toyota Production System to Improve Business Performance and achieve Operational Excellence. Subsequently, strive for perfection while creating a corporate culture of greatness. Here I show how business excellence is achieved using the Toyota Production System as a model for business improvement and performance excellence.

Toyota Production System Benefits for Business include:

  1. FIRSTLY, CONSTANTLY ERADICATE FAT OR WHAT LEAN SIX SIGMA CALLS WASTE,
  2. CREATE UNIQUE BUSINESS VALUE THROUGH OPERATIONAL EXCELLENCE,
  3. CONSTANT DEFECT REMOVAL,
  4. SUBSEQUENTLY, INCREASED NET PROFIT,
  5. IF POSSIBLE, “PULL” WHERE POSSIBLE,
  6. ABOVE ALL, WHOLE COMPANY QUEST FOR PERFECTION,
  7. FOR EXAMPLE, LEADING TO A CORPORATE CULTURE OF GREATNESS,
  8. DIRECTION TO EXCELLENCE BY GUIDING PRINCIPLES,
  9. STRATEGIC SUPPLIERS DECREASE PRICES, YEAR OVER YEAR, and
  10. SO MUCH MORE.

25 Step Detailed Program for Business Improvement

The Toyota Production System Applied for Business Improvement:

Businesses live in a world of cutthroat challenges. For instance, there is always a push to increase margins. That is exactly where the Toyota Production System comes into play. By implementing components of the Toyota Production System, companies achieve Operational Excellence consequently, they accomplish this through Profound Knowledge of their processes.

Business Improvement, Improved Performance by Turning the Right Business Knobs

This is an Operational Business Model. For instance, Businesses are run with a set of operational knobs. Business Improvement is achieved by operating knobs. For example, the size of the knob is relative to its importance, and the range that it can be turned is relative to your authority and capability to effect change. Above all, I suggest you turn up the Operational Excellence knob all the way. Have a look at this 5-minute video and see what knobs you would like to turn up:

Measuring the Value Delivered – The Power of a Value Stream

A Value Stream delivers Business Improvement by following all the processes from customer order to customer delivery. Rather than a department-by-department view, it gives you a holistic view of your system’s creation of value. I recommend you create Value Stream Maps for your most critical processes first then move to other processes as needed. This video shows you the power that a Value Stream delivers. As a result, the Toyota Production System uses Value Streams to create Profound Knowledge and Operational Excellence of their Processes:

In Conclusion

Use the tools of The Toyota Production System for Business Improvement and Performance Excellence. For instance, Toyota enlists everyone in their company to reach for business perfection. They get better performance year after year. Shouldn’t your business accelerate to greatness year after year?

The Toyota Production System is a System just like a Business is a System.

A Business is a system. The system is comprised of Value Streams. The Toyota Production System is Toyota’s System. The Toyota Production System comprises every other system needed to make an automobile. That includes Toyota, customers, and suppliers. By including all these elements into their system it has created the greatest system in the world.

Toyota’s system will deliver Business Improvement by integrating seamlessly with their suppliers. Toyota will even send its own employees to their suppliers in order to improve the integration. They use their relationship to minimize the cost of inventory. That is a benefit both for Toyota and for the suppliers.

Toyota’s integration with their customers is something they only do in Japan.

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