The Toyota Way: 14 Management Principles from the World's Greatest Manufacturer

In spite of the recent embarrassing product recalls, Toyota remains a highly respected global leader. Jeffrey Liker's 2004 book on "The Toyota Way" summarizes 20 years of insightful study. He argues that the 4-P model of Process, Philosophy, People/Partners and Problem Solving describes the four interdependent components required for long-term success.Scattered throughout the text are descriptions of how and why other firms have failed to succeed in adopting lean manufacturing or "The Toyota Way". They include: lack of senior management involvement or commitment, focus on tools/techniques without an emphasis on culture, overemphasis on cost reduction, lack of discipline to sustain flow improvements, emphasis on format/rules in ISO 9000, inappropriate outsourcing, supplier abuse, and an overly narrow focus in six sigma on statistical techniques applied by experts. The book's insights and stories are valuable, but not totally persuasive.The text provides good historical and contemporary background on Toyota's quality system and progress. It also describes and illustrates more than 30 of the quality tools and techniques in a non-technical manner. The book is well-written and well-organized, covering a massive amount of material effectively.In addition to the many "best practices" quality techniques adopted by most Japanese and leading western firms today, Toyota emphasizes a few other management techniques which combine to make its approach unique. Within the context of "14 management principles", the author explains the value of cultural support for tools, the role of standardization as the basis for cumulative learning, the centrality of engineering and production, the use of appropriate technology, the benefits of experiential learning, the rationale for unit of one production, the role of inventory and goals in creating challenges to solve, the short-term blending of push and pull techniques, the extent of fail-safe practices, the nature of an enabling bureaucracy and the need to maintain key internal capabilities. The author does not always explain "why" these choices are necessary or exactly how they add value.The author closes with an insightful list of "13 Tips for Transitioning Your Company to a Lean Enterprise". Dr. Liker is an unapologetic true believer in "The Toyota Way". His advice to those who do not share his commitment is the weakest part of a very highly valuable reference work on Toyota and Lean Production. "[Non-committed] top leaders should pick and choose from whatever tools are out there to improve processes for the short term, make a bundle of money, and go do something else. This is tantamount to admitting the company will never be a learning enterprise, or a great company, and it is only interested in cutting and slashing waste to look good for the short term."

OK, like anything else, you have to dig for the truth. Dr Liker provides lots of material (regardless of Toyota itself) that you can learn from to help your business!I had a 2007 Toyota Camry and I doubt I would ever buy another one. It never got the gas mileage I was promised (oh yeah that was by a car lot) plus it wore out way too quickly. However, my review is on Dr Liker's book and not Toyota itself.He clearly showed a passion for a company who on some level was committed to quality at some point. That is what you want to learn from, not from what Toyota may or may not have devolved too.One piece flow: You can and better implement that in any business.Reducing waste: You can and better implement that in any business.Employee involvement: You can and better implement that in any business.Leveling workflow: You can and better implement that in any business.Make Mistakes: You can and better implement that in any business (or you aren't trying hard enough).Continuous Improvement: You can and better implement that in any business (another reviewer said that its better to change lots of things, and the two are not mutually exclusive - the book says something like "queue where you have to, but otherwise get rid of queues" which would apply to changes also).Standardized processes: You can and better implement that in any business. (This is why you go to eat at mom and pop restaurants and they are great when chef mom is there, but suck when they are off for the day.)I have learned a lot from The Toyota Way and I have implemented some of the things and they have helped our business substantially.Great book, the criticisms of Toyota are more than warranted, but if you are imaginative, you can use the tools in this book to help your business. Maybe you won't use all of them, but if you use 1 or 2 you will have paid for the price of this book many times over.(If Toyota wants to improve their cars, they need to buy this book and start working at the tail which is the car dealership and bring the Toyota Way to the sales process there first, then move down the line to the factory.)