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glossary entry

What is the Toyota Production System (TPS)?

The Toyota Production System (TPS) is an integrated socio-technical management system that radically focuses value creation on flow, quality, and waste elimination through jidoka ("automation with human judgment") and just-in-time (JiT). These two pillars have been systematically developed by Toyota since the 1950s and form the basis of what later became known as "lean."

Practical relevance (principles & core practices)

Two pillars – one system:

•            Jidoka: Processes are stopped (automatically or via Andon pull) as soon as a deviation occurs; errors are made visible and corrected at the point of origin.

•            Just-in-time: Only the right thing, in the right quantity, at the right time – timed according to customer demand. Kanban serves as pull control.

 

Stabilizing fundamentals ("foundation of the TPS house"):

•            Heijunka (leveling/smoothing): Smooth out fluctuations to enable flow.

•            Standard Work & Visibility (including Andon): Deviations become immediately apparent.

•            Continuous improvement (Kaizen) & problem solving at the Gemba/"Genchi Genbutsu" ("go and see for yourself").

Many representations summarize this in the "TPS House": foundation (stability/standard), two pillars (JiT & Jidoka), roof (customer/value), supported by respect & teamwork.  

 

Typical misunderstandings

•            "TPS = collection of tools" – wrong. Tools (Kanban, Andon, etc.) are a consequence of the thinking model (flow, cause orientation, respect), not an end in themselves. 

•            "Only for factories" – TPS principles (flow, pull, visibility, cause analysis) are effective across all industries (healthcare, services, IT). 

•            "JiT = zero inventory at any cost" – JiT requires stability and leveling (Heijunka). Without a foundation, "zero inventory" leads to instability. 

 

Relevance for organizations

•            Quality in the process (Jidoka): Errors are resolved where they arise; quality is built in, not "finally checked."

•            Shorter throughput times & lower costs (JiT/Kanban/Heijunka): Flow instead of congestion and overproduction. 

•            Adaptability: Visible deviations + rapid problem solving lead to a resilient, learning organization. 

 

Practical example

A final assembly area suffered from disruptions in the last third of the line. The introduction of Andon (line stop in case of deviation) + Heijunka smoothing in the inflow significantly reduced rework, while Kanban stabilized inventories between pre-assembly and the line. Result: higher first-pass rate and predictable flow – exactly the effect that Toyota addresses with Jidoka & JiT. 

 

Application beyond production (Lean/Agile)

•            Knowledge work/IT: Pull systems (Kanban for work), "stop-the-line" thinking in the event of quality deviations (build breaks → immediate search for cause), Gemba in operations/customer support. 

•            Scaled transformation contexts: Lean/Agile frameworks (e.g., SAFe) reflect TPS logic in flow levers (WIP limitation, smaller batches, faster feedback). 

 

CALADE perspective

We consistently apply TPS principles in projects and programs – regardless of the area: flow orientation (pull/Kanban), Jidoka thinking (quality in the process), Heijunka (rhythm/stabilization), Genchi Genbutsu (understanding on site). Our approach: thinking patterns first, tools second – tailored to the respective value stream and organizational design. (Subtle: our coaches/experts are trained in these methods and embed them in routines, not just in workshops.)

 

Related terms

•            Jidoka, Just-in-Time, Heijunka, Kanban, Andon, Genchi Genbutsu, Kaizen (see separate glossary entries). 

•            Toyota Way / TPS House – cultural foundation and visualization. 

•            Lean/Lean Thinking – popularization & generalization of TPS principles beyond the automotive industry. 

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