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  • 2.810T.G.Gutowski 10/29/01*The Toyota Production System

    High Quality and Low Cost

    Readings;

    James Womack, Daniel T. Jones and Daniel Roos, The Machine that Changed the World, 1990, Ch 3 and 4

    Kenneth N. McKay, The Evolution of Manufacturing Control-What Has Been, What Will Be Working Paper 03 2001

    Michael McCoby, Is There a Best Way to Build a Car?HBR Nov-Dec 1997

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Consumer Reports

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Toyota vehicle sales2002

    T.G.Gutowski 10/29/01

    Sales Summary

    Ward's U.S. Light Vehicle Sales Summary

    SeptemberJanuary - September

    Units% ShareDSRVol

    CurrentYear-AgoCurrentYear-Ago% Chg.CurrentYear-Ago% Chg.

    Domestic Cars431,496481,31835.337.3-2.64,594,2034,865,569-5.6

    Import Cars170,554158,89713.912.316.71,708,7801,566,2869.1

    Total Cars602,050640,21549.249.72.26,302,9836,431,855-2.0

    Domestic Light Trucks545,865573,32944.644.53.55,769,2605,621,8052.6

    Import Light Trucks75,99975,5756.25.99.3798,656711,17812.3

    Total Light Trucks621,864648,90450.850.34.26,567,9166,332,9833.7

    Domestic Light Vehicles977,3611,054,64779.981.80.710,363,46310,487,374-1.2

    Import Light Vehicles246,553234,47220.118.214.32,507,4362,277,46410.1

    Total Light Vehicles1,223,9141,289,119100.0100.03.212,870,89912,764,8380.8

    Source is country of manufacture. Domestics are from U.S., Canada, Mexico. Imports are from overseas.

    Light vehicles are cars and light trucks (GVW Classes 1-3, under 14,001 lbs.). DSR is daily sales rate.

    Source: Ward's AutoInfoBank

    Copyright 2002, Ward's Communications, a division of PRIMEDIA Business Magazines & Media Inc. Redistribution prohibited.

    Sales Company

    Ward's U.S. Light Vehicle Sales by Company

    SeptemberJanuary - September

    Units% ShareDSRVol

    CurrentYear-AgoCurrentYear-Ago% Chg.CurrentYear-Ago% Chg.

    Chrysler Group**165,397152,16513.511.818.11,723,8591,712,3680.7

    Ford276,556291,85822.622.63.02,733,5542,914,689-6.2

    GM309,356385,42725.329.9-12.83,652,0983,584,6181.9

    Big 3 Total751,309829,45061.464.3-1.58,109,5118,211,675-1.2

    Daewoo3,1102,6560.30.227.333,85140,658-16.7

    Honda101,24994,9218.37.415.9945,767917,0323.1

    Hyundai30,25730,1662.52.39.0297,336260,47214.2

    Isuzu4,6314,8270.40.44.343,84167,098-34.7

    Kia18,17920,5851.51.6-4.0186,019164,89912.8

    Mazda24,09919,8192.01.532.2211,107207,5031.7

    Mitsubishi23,17523,6871.91.86.3261,979231,03613.4

    Nissan55,69955,1894.64.39.7567,245522,7758.5

    Subaru14,06414,2421.11.17.3134,348136,454-1.5

    Suzuki4,7254,8590.40.45.749,21449,360-0.3

    Toyota122,065127,20310.09.94.31,343,0701,294,7853.7

    Asia Total401,253398,15432.830.99.54,073,7773,892,0724.7

    BMW18,41215,1271.51.232.3187,157160,48416.6

    Mercedes17,64515,4901.41.223.8155,483150,1833.5

    Porsche1,2139490.10.138.916,89017,978-6.1

    Volkswagen34,08229,9492.82.323.7328,081332,446-1.3

    Europe Total71,35261,5155.84.826.1687,611661,0914.0

    Total Light Vehicles1,223,9141,289,119100.0100.03.212,870,89912,764,8380.8

    Light vehicles are cars and light trucks (GVW Classes 1-3, under 14,001 lbs.). DSR is daily sales rate.

    **Chrysler Group is former Chrysler Corp. operations only.

    Source: Ward's AutoInfoBank

    Copyright 2002, Ward's Communications, a division of PRIMEDIA Business Magazines & Media Inc. Redistribution prohibited.

    Top 10

    Ward's 10 Best Selling Cars and Trucks

    9 Month 2002

    CarsTrucks

    1Camry337,884Ford F Series620,197

    2Accord304,336Silverado480,158

    3Taurus247,015Explorer328,036

    4Civic243,633Ram Pickup303,319

    5Cavalier192,839Caravan192,632

    6Focus189,285Ranger181,289

    7Altima155,933TrailBlazer178,248

    8Corolla146,080Grand Cherokee161,175

    9Impala143,695Tahoe160,465

    10Malibu134,492Sierra149,470

    Note: Table combines imports and domestics.

    Source: Ward's AutoInfoBank

    Copyright 2002, Ward's Communications, a division of PRIMEDIA Business Magazines & Media Inc. Redistribution prohibited.

  • 2.810T.G.Gutowski 10/29/01*The Toyota Production SystemHistorical View Performance measures Elements of TPSSix Eras of Manufacturing PracticeDifficulties with Implementation

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Three Major Mfg Systems from 1800 to 2000180019002000Machine tools, specialized machine tools, Taylorism, SPC, CNC, CAD/CAM Interchangeable Parts at U.S. ArmoriesMass Production at FordToyota Production System

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Key Elements for New Mfg Systems

    Element/SystemNeed of SocietyWork Force MotivationEnabling TechnologyLeaderResourcesInterchange-able PartsMilitaryYankee IngenuityMachine Tools, Division ofLaborRoswell Lee/JohnHallU.S.GovtMassProductionTrans-portation$5/dayImmigrantMovingAssemblyLine,etcHenryFordEarningsToyota Production SystemPost WarJobs,SecurityCNC, Integration of LaborTaiichiOhnoJapaneseBanks

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Q. By what method did these new systems come about?A. Trail and Error

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*History of the Development of the Toyota Production System ref; Taiichi Ohno19451975

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*The Toyota Production SystemHistorical View Performance measures Elements of TPSSix Eras of Manufacturing PracticeDifficulties with Implementation

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Summary of Assembly Plant Characteristics, Volume Producers, 1989 (Average for Plants in Each Region)

    T.G.Gutowski 10/29/01

    Sheet1

    JapaneseJapanese inAmerican inAll Europe

    in JapanNorth AmericaNorth America

    Performance:

    Producvitity (hours/Veh.)16.821.225.136.2

    Quality (assembly

    defects/100 vehicles)606582.397

    Layout:

    Space (sq.ft./vehicle/yr)5.79.17.87.8

    Size of Repair Area (as %

    of assembly space)4.14.912.914.4

    Inventories(days for 8

    sample parts)0.21.62.92

    Work Force:

    % of Work Force in Teams69.371.317.30.6

    Job Rotation (0 = none,

    4 = frequent)32.70.91.9

    Suggestions/Employee61.61.40.40.4

    Number of Job Classes11.98.767.114.8

    Training of New Production

    Workers (hours)380.337046.4173.3

    Absenteeism54.811.712.1

    Automation:

    Welding (% of direct steps)86.28576.276.6

    Painting(% of direct steps)54.640.733.638.2

    Assembly(% of direct steps)1.71.11.23.1

    Source: IMVP World Assembly Plant Survey, 1989, and J. D. Power Initial Quality Survery, 1989

    &C&"Geneva,Bold"&14Summary of Assembly Plant Characteristics, Volume Producers, 1989 (Average for Plants in Each Region)

    Sheet2

    Sheet3

  • 2.810T.G.Gutowski 10/29/01*Cost Vs Defects Ref. Machine that Changed the World Womack, Jones and Roos

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*The Toyota Production SystemHistorical View Performance measures Elements of TPSSix Eras of Manufacturing PracticeDifficulties with Implementation

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*How do you get this kind of performance?Womack, Jones and RoosJ T. Blacks 10 StepsDemand Flow Technologys 9 PointsMSDD, D. Cochran and Students

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Womack Jones and RoosAutomation? Yes, but.DFM? ProbablyStandardized Production? No!Lean Characteristics? Integration of TasksIdentification and removal of defects

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Cost Vs AutomationRef. Machine that Changed the World Womack, Jones and Roos

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*J T. Blacks 10 StepsRef; JT. Black Factory with a Future 19911. Form cells2. Reduce setup 3. Integrate quality control4. Integrate preventive maintenance5. Level and balance6. Link cells KANBAN7. Reduce WIP8. Build vendor programs9. Automate10. Computerize

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Demand Flow Technologys 9 Points1.Product Synchronization2.Mixed Model Process Maps3.Sequence of Events4.Demand at Capacity5.Operational Cycle Time6.Total Product Cycle Time7.Line Balancing8.Kanbans9.Operational Method Sheets

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Current Value Stream Map

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Future Value Stream Map

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Manufacturing System Design Decomposition (MSDD)ROISalesCosts InvestmentsLower level actionsquality predictable output delay reduction- s resolving problems s m

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*J T. Black 1, 21.Form CellsSequential operations, decouple operator from machine, parts in families, single piece flow within cell2. Reduce SetupExternalize setup to reduce down-time during changeover, increases flexibility

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*TPS Cell

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*Standardized Fixtures

    T.G.Gutowski 10/29/01

  • 2.810T.G.Gutowski 10/29/01*J T. Black 3, 43.Integrate quality controlCheck part quality at cell, poke-yoke, stop production when parts are bad4. Integrate preventive maintenanceworker maintains machine , runs slower

    T.G.Gutowski 10/29/01