Toyota’s approach to automobile production, with its inherent focus on superior quality and putting the customer first, revolutionised the automotive industry. The Toyota Production System (or TPS) is sometimes referred to as a "lean manufacturing” or "just-in-time" system, and has come to be respected and studied worldwide.

Driven by the need to make more with less, whilst ensuring the best possible quality, reliability and flexibility, former Toyota employee, Taiichi Ohno, invented and fine-tuned his "just-in-time" philosophy. It allowed the company to reduce its parts inventory and efficiently produce only precise quantities of items, based on customer demand and with a minimum amount of waste.

This approach was to become a key factor in the company’s development, in line with a consistent philosophy of Respect for People and the environment. The Toyota Production System, with its emphasis on Continuous Improvement, the value of employee commitment and superior quality, would eventually be recognised as a true benchmark in the eyes of the global automotive industry.

The Toyota Product System relies on two basic concepts:

1. "Just-in-time"

…in which each process produces only what is needed by the next process in a continuous flow.

When first introduced, this approach represented a radical departure from conventional manufacturing systems, which required large inventories in order to “push” as much product as possible through production lines, regardless of actual demand. The idea of TPS, on the contrary, is to produce only "what is needed, when it is needed, and in the exact amount needed". It is truly the customer who is “pulling” production.

2. “Jidoka”

…(roughly translated as "automation with a human touch”) which means that when a problem occurs, the equipment stops immediately, preventing defective products from being produced.

In addition, when a machine automatically stops, either because of a problem or because processing is completed, an alert is generated via display boards or other visual devices. Alternatively, operators who spot a problem are requested to pull the “andon”, a cord hanging along the production line, to request immediate support. This allows all workers to easily identify the cause of the problem and prevent its recurrence.

The advantages of Jidoka and Just-in-Time allow the Toyota Production System to produce vehicles efficiently and quickly, one at a time, which are of sound quality and fully satisfy customer requirements. 

By manufacturing products only as they are needed, and by keeping a tight control of quality, the Toyota Production System prevents waste and therefore reduces the amount of energy, raw materials and other resources used, making it a powerful asset in Toyota’s approach towards sustainability.

For customers, this means automobiles of superior quality with a wide range of available features that can be delivered more quickly and at a substantially lower cost.