Some have said that it’s “interesting how Japan has had such an influence on the world as an island nation, as island cultures traditionally have problems that mainland cultures do not.” (OLEAD410, 2019) There is no greater example of the reach that Japanese industry has had on Global corporations more than with the development and implementation of the “Lean Plus” concept of manufacturing. “Lean Plus” (or Lean+ as it’s sometimes seen) is the more colloquially known term for the Toyota Production System. “The Toyota Production System (TPS) is an integrated socio-technical system developed by Toyota (automotive manufacturer) to efficiently organize manufacturing and logistics, including the interaction with suppliers and customers, to minimize cost and waste.” (BPI, n.d.)
TPS, or Lean+ was originally developed to reduce waste and allow for continuous improvement by only utilizing the correct amount of something needed, in the time it’s needed. This exemplifies the thinking that island cultures needing to rice paddy farm and fish for survival “…create levels of work ethic and creativity that are typically higher than mainland cultures; (OLEAD410, 2019) ” because it’s tiring to expel more energy than needed to complete a task, and the more efficient you are the higher the yield. This is seen in “modern Japan where these ways of life are no longer the only mainstays of the economy, as the work ethic and creativity are extremely useful in developing modern technologies, such as computing, and industrial machines, such as cellphones, software, desalination plants, and nuclear power.” (OLEAD410, 2019)
Lean+ has been extremely useful when utilized in American manufacturing, where having one or two spares was always seen as a necessity, and waste was overhead that was absorbed. One of the organizations to see the biggest gain from the TPS has been The Boeing Company. It was reported that upon Boeing saw immediate benefits of “overhaul[ing] its jetliner production system using lean-manufacturing principals, such as a moving assembly line and just-in-time inventory. The payoff has been factory efficiency gains that have allowed Boeing to better compete against Airbus in selling jets. Boeing won a record 1,029 orders in 2005 and probably beat Airbus for the first time since 2000.” (Wallace, 2006)
American companies aren’t the only ones utilizing Lean+; benefits have been seen with European automaker BMW. Josh Cable a contributor for Industry Week notes that BMW’s South Carolina plant where the X3 and X5 SUVs are made has a footprint of “4.4 million square feet of space” and that” there isn’t enough room to warehouse parts, and the plant doesn’t manufacture any parts” going on to say that “in most cases, the plant [only] has enough parts on hand to operate for two to four hours. If one of the plant’s more than 250 suppliers is late delivering a part, the supplier can be fined as much as $2,000 per minute.” (2011)
The Toyota production system has remained a powerful tool for several different types of industries in manufacturing; industries where waste is monitored in a cost is associated with physical materials, but it’s implementation is far reaching, often times being paired with Six Sigma (A tool that performs statistical analysis for continuous process improvement anywhere repetitive processes are being performed) across several organizations. Given Japan’s rich history and spirit of “Kaizen” (continual improvement), it’s not surprising that they were the innovators of such a revolutionary way of process improvement, but it is amazing to see the reach it’s had Globally to improve the products we use daily.
References:
BPI. (n.d.). Toyota Production System. Retrieved November 24, 2019, from http://www.leansixsigmadefinition.com/glossary/toyota-production-system/.
Toyota Motor. (n.d.). Toyota Production System: Vision & Philosophy: Company. Retrieved November 24, 2019, from https://global.toyota/en/company/vision-and-philosophy/production-system/.
Wallace, J. (2006, January 10). Aerospace Notebook: Putting ‘lean’ processes into all of Boeing. Retrieved November 24, 2019, from https://www.seattlepi.com/business/article/Aerospace-Notebook-Putting-lean-processes-into-1192351.php.
Cable, J. (2011, November 22). Flexibility Fuels BMW’s Unique Manufacturing Model. Retrieved November 24, 2019, from https://www.industryweek.com/global-economy/flexibility-fuels-bmws-unique-manufacturing-model.