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Toyota Manufacturing

Submitted by bstephens62 on April 27, 2008

Category: Technology
Words: 898 | Pages: 4
Views: 160
Popularity Rank: 65,941
Average Member Grade: N/A (Add a Comment / Grade this Paper)

Toyota Motor Manufacturing Case










Problem Identification
In 1992 Toyota Motor Manufacturing USA, Inc. (TMM) saw significant problems with defective seats that resulted in a compromise of Toyota’s lean manufacturing system. This problem stemmed from a couple of major deviations from Toyota’s standardized production system (TPS). This problem was initially caused by a change in world market demand for variations of seats and TMM’s facility being made the sole manufacturer of the Toyota Camry Wagon. Toyota faced significant production issues in the wake of the proliferation of these seats. Toyota’s production facility quickly amassed a total of over 30 variations of seats. This was a change from the previous number of 8 variations.
Analysis
In April 1992, Toyota’s run ratio dropped from 95% to 85%. This ratio represented the amount of cars that potentially could have been produced by Toyota under ideal circumstances. This change resulted in 45 less cars being produced per shift. This result was against everything Toyota valued in its lean manufacturing process. This manufacturing problem had significant impact on many processes within the plant. It translated into more overtime for the workers, more off-line attention for the cars and decreased levels profit and employee morale.
As heretofore mentioned, the main culprits in this production weakness were seat defects. Under normal production rules, when a defect was found in a car part the “andon” was pulled. This triggered an alarm that stopped the manufacturing line and called for the group leader to come and assess the situation. If the problem could be solved the line was re-started. It was during this quality control process that TMM began to deviate from normal production standards. Toyota had established a principle called “jidoka” within their production standards....

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