Toyota and TPS Timeline of Selected Events - Art of Lean

Toyota and TPS Timeline of Selected Events
The following table is a compilation of facts and events regarding the development of
Toyota Motor Corporation and in particular the Toyota Production System. Over time I
will update it with more information and eventually some links to pictures or other pieces
of information. For now it is merely a file to observe for persons interested in the
historical development of TPS. Intentionally I have not included important events such
as the date of Henry Ford’s mass production system or Fredrick Taylor’s work etc. as the
list would just grow too long. This timeline by design focuses in more on Toyota and the
emergence of TPS. The main sources for the timeline are listed at the end.
Date
Event
1867 • Sakichi Toyoda born
1890 • Sakichi Toyoda develops a wooden hand loom that improves
efficiency in weaving
1894 • Kiichiro Toyoda born (Sakichi’s eldest son)
1896 • Sakichi invents the Toyoda Power Loom
1902-24 • Sakichi slowly develops a variety of patents on devices on looms
including the auto stop “Jidoka” feature for thread breakage and a
non-stop changeover feature on the shuttle part of the loom. In
total it includes 24 different patents. After 1921 the majority of
the patents and improvements are actually created by Kiichiro
Toyoda the son of Sakichi.
1905-
1907
• American Charles A. Francis is invited to Toyoda and instructs the
company in the basic techniques of machine manufacture
including the use of gauges and indicators for part
interchangeability. In addition he teaches precision gear and
screw manufacturing, and main spindle lathe basics.
1921 • Kiichiro Toyoda tours the United States and England for several
weeks to visit textile factories and observe production methods in
the West.
1924 • Toyoda unveils the G-Type Auto Loom for sale. It combines the
auto stop Jidoka feature and zero change over time on the shuttle
device, as well as enables one person to simultaneously run 24-36
machines. It represents a tremendous leap forward in quality and
productivity in its industry.
1927 • Kiichiro Toyoda establishes the first moving conveyor in all of
Japan for production. The line is used for the main assembly line
for loom production using the principles of Henry Ford and
Fredrick Taylor.
© Art of Lean, Inc. www.ArtofLean.com

1929 • Kiichiro Toyoda again visits the U.S. and tours American textile
and loom manufacturing companies such as Draper & Compton,
and Knowles among others. He further observes the emerging
U.S. auto industry.
• Sale of the patent rights to the G-Type Auto Loom to Platt
Brothers in England is initially negotiated for the sum of £100,000
pounds. This amount provides some seed money for the
experiments leading to engine development and the automotive
department within Toyoda Auto Loom
1930 • Kiichiro Toyoda returns to Japan from Britain and begins initial
study and development of gasoline internal combustion engines.
1931-32 • Kiichiro Toyoda initiates the collection of precision machine tools
from Germany and the U.S. that will be necessary to support
automotive production.
• Initial development work and a formal prototype engine is
produced in 1933. The engine is based off a Chevrolet design.
1933 • An automobile department formally established within the Toyoda
Auto Loom Company.
1936 • The first prototype vehicles are completed by Toyoda in 1936.
1937 • Toyota Motor Corporation is officially established. Kiichiro
Toyoda is President.
• Eiji Toyoda (Kiichiro’s cousin) joins the company after graduation
from Tokyo University’s mechanical engineering department.
• A new factory is built in Koromo, Japan (present day Toyota City)
about 30 minutes outside of Nagoya.
• A 10 centimeter thick document authored by Kiichiro is used to
layout the factory, the process flow, and provides a basis for
training the workers in the new flow style of production. Eiji later
calls this document in writing “The Roots of TPS”.
• As a result a vastly improved initial flow of operations is
established under Kiichiro’s plan upgrading key elements of the
old Kariya loom facility.
• Kiichiro decrees that internal production and procurement should
be done “Just-in-Time” to avoid wasting materials.
1939-
1945
• Sections of Toyota plants are required to produce parts for the
government to aid in WWII efforts.
• Most improvement efforts in the company stall.
1943 • Taiichi Ohno transfers from Toyoda Boshoku to Toyota Motor
Corporation.
1945 • Toyoda Machine Works is established to specialize in the
manufacture of machine tools, jigs, fixtures and other devices for
Toyota Motor Company.
• Eiji Toyoda has Taiichi Ohno join him in the complex machine
shops of the company (engine, transmission, and chassis) to begin
making improvements again now that the war has ended.
© Art of Lean, Inc. www.ArtofLean.com

1947-
1949
• Taiichi Ohno promoted to machine shop manager.
• Machining shop areas designated as a model shop in the company.
Internally it is referred to as the “Ohno Line”
• Rearrangement of machines from process flow to product flow is
piloted.
• End of one man one machine. Start of multi process handling
begins with L, U, and ロ shaped lines in machining. Inspiration
was mainly the fact that one person could operate 24-36 auto
looms in other facilities.
• Detail studies of individual processes and cycle times are
conducted by Taiichi Ohno and staff.
• Time study and motion analysis are conducted as well.
• Reduction of work in process inventory begins in earnest.
• In-process inspection by workers is adopted as a policy.
• Line stop authority to workers is granted as well.
• Major component producing sections of Toyota are divested
partially under instructions from General Head Quarters of the
U.S. occupying forces and become Aishin, and Denso, etc.
1950 • Economic depression and decline in sales triggers a financial crisis
in the company and labor disputes are frequent with work
stoppages. The crisis eventually results in a consortium of banks
loaning Toyota money but requiring a restructuring plan and
reduction in work force. As a result 2146 people or about one
third of the company lose their jobs. Kiichiro Toyoda steps down
as President to accept responsibility.
1951 • Eiji Toyoda tours the U.S. for 6 weeks to visit factories and
observe production.
• For three weeks he is at Ford Motor Company as the guest of
Henry Ford II.
• Eiji notes that Toyoda is behind Ford in many respects and can not
compete on a mass production basis. However he does believe
they can emphasize their own unique attributes and style of
production and improve upon what he observed.
1951-
1955
• Further refinements to the basic system emerging in the machine
shops by Ohno and his direct reports (K. Suzumura, I. Mamiya, T.
Watanabe, M. Morita, Y. Arima) in the engine, transmission, and
chassis areas.
• Start of TWI management training programs (JI, JR, JM) begins to
develop supervisors and managers in production.
• Creative suggestion system initiated based upon a model observed
at Ford.
• Elimination of waste concept is created.
• Initial Standardized Work Charts are developed and utilized for
analysis.
• Further reduction of batch sizes and change over time on tooling is
© Art of Lean, Inc. www.ArtofLean.com

conducted.
• Aspects of visual control / 4S introduced.
• Initial Kanban implementation and replenishment style production
is trialed in areas.
• Production leveling and mixed assembly is conducted in engine
machining and assembly.
• TPS begins to expand slowly outward from the engine,
transmission, and chassis shops to other areas.
1956 • After a trial course in November of 1955, Shigeo Shingo begins
regular visits to teach the “P-Course” in 1956 at the training
department to instruct young engineers and supervisors to build
skills in time study, motion study, process, analysis, and operation
analysis. This course replaces the JM part of the earlier TWI
training. It is a small part of the overall company training efforts
and is taught 3-4 times per year mainly as a lecture.
1957 • Basic Andon system initiated with lights on engine assembly line.
1959 • Start of Motomachi vehicle plant the second major facility for
Toyota.
1960 • Installation of Quick Die Change machines from Danly
Corporation with moving bolster mechanism and other features
greatly reduces average change over time in stamping. These
machines introduce many key rapid changeover features to the
company.
1961 • Start of Production Engineering Department #1 with focus on the
following more technical aspects of TPS and manufacturing.
• In house design of machine tool jigs and fixtures
• Standardization of tooling, cutting conditions, etc.
• Develop Japanese machine tool suppliers.
• Codify and standardize equipment specifications.
• Standardize gauging and measurement.
• Improve production processes to work with TPS. (work closely
with Toyoda Machine Works)
1962 • Start of corporate wide TQC program by Eiji Toyoda.
• Pull system and kanban complete internally company wide in all
of Honsha Plant, and the new Motomachi Plant.
• Average company wide changeover time in stamping is down to
15 minutes. Single minute of die exchange machines exist.
1965 • Toyota wins Demming Prize for Quality
1966 • Kamigo Engine Plants starts operation with Taiichi Ohno as Plant
Manager and a member of the Board of Directors. This automated
machining and assembly plant is called the model shop for both
JIT and Jidoka at this point in time.
1969 • Start of Operations Management Consulting Division (Seicho-bu).
This group is staffed by a small collection of Ohno protégé’s
• Initial codification work on TPS begins.
© Art of Lean, Inc. www.ArtofLean.com

• Special training in TPS Topics for engineers.
• Accumulation of TPS knowledge and method based techniques
(not technology).
1971 • Average changeover time in stamping is down to 3 minutes
company wide.
1973 • The “Oil Shock” from OPEC countries placing an embargo on the
West plunges Japan economy into crisis. Only Toyota makes a
profit among all the major companies in Japan.
• Toyota’s Education Department creates the first 200 page TPS
manual in Japanese. The foreword is drafted by Taiichi Ohno.
Authors include F. Cho, K. Sugimori, S. Uchikawa, etc. Edited by
Isao Kato. This is really the first time that Toyota’s system is
called the “Toyota Production System” in writing.
1975 • Taiichi Ohno is appointed Executive Vice President of
Manufacturing
1976 • Regular supplier improvement workshops (called Jissyuken) begin
with 17 suppliers lead by the Operation Management Consulting
Division (Fujio Cho, Kikuo Suzumura, etc.)
1977 • First English TPS presentation drafted by Y. Sugimori, K.
Kusunoki, F. Cho, S. Uchikawa, for a management conference on
production research in Tokyo, and later publication in the Journal
of Operations Research.
1978 • Taiichi Ohno retires from Toyota Motor Corporation. He is
appointed as Chairman and member of the Board of Director for
both Toyoda Gosei and Toyoda Boshoku.
• Writes his first book on TPS as the request of many people in
Japanese
1970’s
1980’s
• Initial wave of Americans visit Japan and tour different companies
including Toyota.
• TPS is slowly identified in various Western books as various
topics including but not limited to QC circles, Kanban, JIT, 5S,
Visual Control, TPM, Standardized Work, or Kaizen.
1981 • Shigeo Shingo writes “A Study of the Toyota Production System
from an Industrial Engineering Viewpoint”. In 1983 it is
translated into English.
1984 • Toyota GM joint venture Nummi is established in Fremont
California.
1988 • First wholly owned U.S. facility Toyota Motor Manufacturing in
Georgetown, Kentucky is established.
• Toyota Supplier Support Center opens as well to aid suppliers in
the conversion to TPS principles. (Note: TSSC is initially an
outpost of Toyota’s OMCD department in Japan. Now it is a
separate for profit entity operated by Hajime Ohba. Through this
groups efforts much material and instruction are supplied to a
large variety of companies in the U.S.
© Art of Lean, Inc. www.ArtofLean.com

1990 • Professors Jones, Roos, and Womack complete a 5 years study of
the transportation industry and the effort documents the benefits of
TPS calling it “Lean Production”. The book is entitled The
Machine that Changed the World.
SOURCE MATERIALS
Cusumano, Michael. The Japanese Automobile Industry. Copyright The Council on
East Asian Studies Harvard University. 1985.
Fujimoto, Takahiro and Shimokawa Kouichi. Toyota System No Genten (Origins of
the Toyota Production System). Copyright Bunshindo Publishing. 2001.
Hino, Satoshi. Toyota Keiei System no Kenkyu (Research into the Toyota Management
System). Diamond Press Publishing. Copyright Satoshi Hino. June 2002.
Mito, Setsuo and Ohno Taiichi. Naze Hitsuyou na mono o hitsuyou na bun dake
hitsuyou na toki ni teikyo shinai no ka (Why not produce the right part in the right
amount at the right time) Copyright Diamond Press Publishing 1986.
Nikkan Kogyo Publishing. Toyota no Tsuyasa no Genten: Taiichi Ohno - Kaizen
Tamashi (The Origins of the Strength of Toyota: Taiichi Ohno’s Spirit of Kaizen).
Copyright Nikkan Kogyo Publishing. 2005.
Noguchi, Hitoshi. Toyota o Tsukutta Otoko (The Man Who Built Toyota-Kiichiro
Toyoda). Work Publishing Kabushikigaishi. Copyright Hitoshi Noguchi. November
2002.
Satake, Hiroaki. Toyota Seisan Houshiki no Seisei, Hatten, & Henyou (Toyota
Production System’s Formulation, Development, and Transformation). Copyright Toyo
Keizai Publishing. 1998.
Toyoda, Eiji. Toyota 50 Years in Motion. (Originally published under the title of
Ketsudan: Watakushi no rirekisho by Nihon Keizai Shinbunsha 1985. English
translation copyright Toyota Motor Corporation. 1987.
Toyota Jidosha Kabushiki Gaisha (Toyota Motor Corporation). Toyota Nijunen-shi
(Toyota 20 Year Company History). Copyright Toyota Motor Corporation. 1957.
Wada, Kazuo and Yui, Tsunehiko. Toyoda Kiichiro Den (The Life of Kiichiro Toyoda).
Copyright Nagoya Daigaku Insatsu Kabushiki Gaisha Publishing. 2002.
OTHER
Toyota Commemorative Museum of Industry and Technology. 1-35 Noritake
Shinmachi, 4 Chome, Nishi-ku, Nagoya Japan.
© Art of Lean, Inc. www.ArtofLean.com