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CONCLUSION

NEGATIVE IMPACTS

Lower equipment utilization unless multi-functional equipment is employed.

POSITIVE IMPACTS

Whole operation may shut down when one piece of equipment goes down.

Lead time from order taking to shipping

Work In Progress Inventories

If demand falls and production output is below the planned capacity, per unit manufacturing costs tend to be higher with some cells.

Risk of scrap generation

Large space savings

Any small subsequent changes in the production process or sequence can have major changes on the operation layout and efficiency.

Higher quality output

Supports demand pull operation

TOYOTA

PRODUCTION

SYSTEM

SUPPLY CHAIN MANAGEMENT

SUPPLY CHAIN MANAGEMENT

1. SUPPLIERS

- First tier suppliers

- Second tier suppliers

- Toyota does not process or create its own raw materials

2. TRANSPORT

- Transportation of raw material

- Transportation of finished products

3. Inbound logistics

Organisation of Suppliers

4. Production

Vehicles are produced at the final assembly plant

5. Outbound

Car is directly sent to Toyota Dealer

6. Distribution

Local Production Model

Overseas Production

European Distribution

7. Effects Of Supply Chain On the Company

INTRODUCTION

JUST IN TIME INVENTORY MANAGEMENT

PROCESS

- what aspects of the product add real value for the customer

- remove activities that don't add value wherever possible

- manufacture what the customer orders or requests: efficiency of the process is customer value rather than cost reduction

DOWNSIDE

  • Works on the principle “Produce what is needed, only how much is needed, and only when it is needed”
  • They use a “demand pull” strategy.
  • It is also known as the zero inventory production system.

4. The Kanban system

1. Heijunka or Leveling the flow

Heijunka is the elimination of unevenness in workload (mura). Levelling volumes to produce a smooth, continuous and efficient flow does this. Heijunka also eliminates muri – overburden or strenuous work that can lead to safety and quality problems.

2.Elimination of waste

3. Takt Time

Eliminate overproduction, holding too great an inventory, and all unnecessary movement, processing and waiting.

Lean Manufacturing

Takt time is the term given to a work-cycle that fulfils each customer's demand. The key is that the work-cycle should be synchronized with demand to avoid either underproduction or overproduction.

Focuses on using efficiency to add value for the customer

- Concept of Kaizen

- Zero defects

- Scarcity of resources and competition

TOYOTA PRODUCTION SYSTEM

CONTRIBUTIONS TO TOYOTA PRODUCTION SYSTEM

GROUP 10

TAIICHI OHNO

SAKICHI TOYODA

SHRIDA SHAH

SIMRAN JAISINGHANI

SONALI TALWAR

TANVI SHAH

TANYA KUMAR

ZOYA BISHT

46

47

48

49

50

56

  • Considered to be the creator of the Toyota Production System.
  • Father of the Kanban System.
  • Expanded upon the JIT concepts developed by Kiichiro Toyoda to reduce waste, and started experimenting with and developing methodologies to produce needed components and sub assemblies in a timely manner to support final assembly.
  • Managed the machining operations under severe conditions of material shortages as a result of the war.
  • Father of the Japanese industrial revolution
  • Founder of Toyota Industries Co
  • Invented an automatic power loom.
  • Implemented the principle of Jidoka (autonomous automation)
  • Concept of 5 Whys

KIICHIRO TOYODA

Kiichiro's system provided for different processes in the assembly sequence of production, the logistics of material simultaneous to production consumption, and a supplier network capable of supplying component material as required. The system was referred to as Just-in-Time within the Toyoda Group.

PRODUCTION FLOW

2. TIMELY PRODUCTION

3. REPLACEMENT OF PARTS USED

4. Production Of Parts Retrieved

1. PRODUCTION INSTRUCTION

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