Toyota Manufacture in Usa

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Doug should work to address the attention to two main aspects. The first is the off-line operation and handling defective cars; the second is the seat assembly training.

Improving the off-line operation and handling defective cars includes four dimensions: how, when, who and where. First is to define standardized approaches taken when defective seats are identified; i.e. what to do when there is a defect. Second, a designated worker will be responsible for fixing the seats; i.e. who will take care of the problem. Third, the fixing worker will know when to fix the problem no matter if it’s right at the spot or after completing the entire assembly. Fourth, a specific space will be assigned as where the fixation will take place. Lacking an efficient approach to properly handling defective cars contributes significantly to the accumulation of defective cars. Moreover, as mentioned above, the current handling approach reflects a violation to TPS’ two basic principles: JIT and Jidoka. Even if TMM USA comes up with methods to alleviate the accumulation of defective cars, unless the handling process of defective cars is not improved, the problem will not be radically solved, and piling up of defective cars will eventually happen again.

Secondly, Doug should make efforts to improve the training of seat assembly workers. This includes both the trainees and the trainers. Seat assembly workers is directly in contact with seats and seat installation. They are highly responsible for defective seats caused by improper installation and seats damages such as torn leather.  On the other hand, team leaders were busy training the new workers at the same time as managing the team. The overload of work can result in unsuccessfully trained new workers and not well managed teams.

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Doug has four options: first, to decrease the production to increase the quality of cars; second, to revise the process of assembly line and off-line operation; third, to enhance the training to seat assembly workers; fourth, to revise the quality of KFS including the correctness of orders and quality of seats.

        Cutting production is recommended, as it doesn’t solve the fundamental problem. The assembly inspection station can be seen as a bottleneck of the total production process, as it impedes cars from being qualified for sale and defective cars are piling up. To solve that, a seat removal station can be added after the inspection station and a rope can be added to connect the end of seat removal station and the beginning of installation station (see Exhibit 1). When a seat replacement is required for a defective car, the car will be labelled in the inspection station and the seat will be removed in the next station. After that the car will be sent on the rope to go back to seat installation station. Adequate cars will pass the seat removal station without their seats being removed.  If seat problem is not correctable, the car will be pulled out from the assembly line. Better seat assembly training for existing and new workers is also recommended. To do that, specialized trainers will give trainees more thorough, practical, and comprehensive trainings. Moreover, designated employees will make sure that correct orders are placed and processed before KFS delivers, and do quality check on the seats when they arrive at TMM. KFS on the other side should learn from suppliers who are providing for the Japanese manufacturer, to improve the manufacturing and quality of the seats, especially the hooks.

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