Thursday, 20 March 2014

The Beginning

I hold my undergraduate degree in Industrial Engineering and Management. It is not a sought after branch in Engineering. Not many people know that a branch with this name exists. Frankly, I didn't know myself. I chose this branch only because this was the only available branch in the college which many considered to be one of the best in the state. I wanted computer science, I promised my dad that I will study hard in my first year, get good marks and change my branch to computer science.

Well, I did get good marks, but decided against changing the branch. Most of my seniors were engaged in many extra curricular activities. I didn't find any other branch students interested in these activities. I liked this and this was my strongest reason to hold back.

During the placements, it was heartbreaking to see so many software firms taking away everyone on whom ever they could lay their hands upon irrespective of the branch. I waited and waited but had to succumb to family pleasure and choose one of the software companies. After one week of joining the firm, I got an interview call from an Automobile manufacturer and the rest is history.

 I was shown the following houses again and again during training. I had learned it by heart in my undergrad years but had no practical experience of the same. I was for the first time happy about my branch of Engineering and proud. After 4 years of ignorance, I entered a world where people without this knowledge are ignored. The future was mine.




It was very boring then but today I understand that this should be the core of any organization in the world. Any TPS/ Lean activity revolves around only these two houses. These two are the heart and brain of any company. Oh, of course bread and butter also!! Lean is the term given by western countries. I am very much used to the term ‘TPS’, so I hence forth will use TPS during the course of future discussions.

Sherlock Holmes
                                           
     

I think most of us know him. He is my childhood hero. I always relate my work to his. Probably most Lean gurus agree with me. He is a problem solver, goes to the crime scene to understand facts (Genchi Genbutsu), solves the problem and prevents the culprit (problem) from committing the crime again (Recurrence prevention). I admire him a lot and this rejuvenates me to solve problems. I love solving problems.
Let’s go back to history now.

Mr. Ford started the mass production of automobiles and is widely regarded as the ‘father of mass production’. Also, he was the first to introduce the conveyor based production which is still prevalent today.

As an Industrial Engineer, I don’t like glorifying facts. I rather love talking about problems J.

The American industrialists were very good managers and managed the mass production by managing people. Importance was not given to the other resources- material, machine and other assets.

“I served our country with the weaving machines. I want you to serve the country with automobiles”. Sakichi Toyoda San to his son Kiichiro Toyoda San.

(I request readers to read about Toyoda family to understand few historical important issues)

World war and Oil crisis hit the Japanese hard; they didn't have the resources to do anything. This can be considered as the reason for the origination of TPS. On the other hand, Americans had resources, ample resources; after all automobile manufacturing began there. The profit making philosophy of America went like this.

“Cost of automobile decreases drastically in proportion to the increase in the quantities produced”

Yes, mass production does help in cost reduction and most of us think this is the only way to reduce cost. When Ford started car manufacturing, they had no competitors. They decided the profit margin and sold cars.

Japanese couldn't do the same because of economic crisis. The people couldn't buy expensive cars and the manufacturer was not able to afford the high cost resources.
They had to solve this problem.

Readers should also note that it was impossible for Japanese to follow American manufacturing/ Industrial Engineering blindly. They had their constraints. They had to introduce the American system but to the Japanese conditions.

The then president of the Toyota Motor Corporation, Kiichiro Toyoda San challenged the employees to beat Americans within 3 years.

This was an impossible challenge. Very few people believed this to be possible; one of them was Taiichi Ohno San (My real life superhero).

On a scale of 1 to 10, Toyota stood at 1 and Ford at 10. It was a big challenge.

Birth of TPS:

“9 Japanese were doing a job 1 American was doing. It could not be that one American was putting out 10 times more physical work; it must be that Japanese were wasting something. If we could eliminate the waste, productivity should rise by a factor of 10. Basic idea of TPS IS ABSOLUTE ELIMINATION OF WASTE”
-          Taiichi Ohno


In the next studies, I want to focus on the goal and purpose of TPS.

6 comments:

  1. Thank you posting the article.

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    1. Welcome Sir. I will write more articles about the benefits of TPS.
      Keep following.

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    2. Please post all at FB without fail.I appreciate your knowledge about TPS & way of article presentation. Brilliant....

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    3. Thanks again.
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