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The Toyota Engagement Equation: How to Understand and Implement Continuous Improvement Thinking in Any Organization, by Tracey Richardson
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The formula for Lean success! Toyota veterans reveal how to build continuous improvement into your company’s DNA Ever since Toyota introduced the revolutionary Toyota Production System (TPS), businesses have tried to replicate Toyota’s success. Few have succeeded over the long term. What businesses have failed to realize is that TPS calls for a fundamentally different way of thinking. Now, at long last, here is a straightforward guide that make sense of the thinking culture behind Toyota’s phenomenal success. In its pages, authors Tracey and Ernie Richardson speak from the heart as Toyota employees who worked in the Kentucky factory when the company was first introducing its people-first approach in the U.S., and went on in the ensuing decades to teach Lean thinking around the world. In The Toyota Engagement Equation, the authors take you through Toyota’s own journey of discovery. This deep dive into the company’s game-changing work practices reveals how employees were developed, how they were taught to spot and define problems through standardization, how they were coached to solve them, and how they were encouraged to improve their thinking as they moved forward. And you’ll see how Toyota developed this simple but profoundly effective approach into an overall management system―and how you can achieve amazing results in your company through the same system. In the world of Lean design and implementation handbooks, The Toyota Engagement Equation stands out as a fresh, unique, and authoritative guide to building your business into the Toyota of your industry. As the authors see it, TPS has now evolved to the “Thinking People System!â€
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Product details
Hardcover: 272 pages
Publisher: McGraw-Hill Education; 1 edition (July 31, 2017)
Language: English
ISBN-10: 1259837424
ISBN-13: 978-1259837425
Product Dimensions:
6.2 x 1.1 x 9.2 inches
Shipping Weight: 1.2 pounds (View shipping rates and policies)
Average Customer Review:
4.8 out of 5 stars
41 customer reviews
Amazon Best Sellers Rank:
#81,537 in Books (See Top 100 in Books)
About the Book:“We were literally homegrown in Toyota’s Japanese way of thinking, taught by trainers who could barely speak English. There wasn’t much theory – just some simple but very powerful ideas, supported with lots of action-based and example-based learning. This wasn’t about Lean or any particular methodology – it was about how to be successful at our jobs.â€This is a book about how to build cars really fast, how to solve problems, how to lead others but mainly, how to think. It’s an entire ecosystem that is, by definition, foreign. Most people are familiar with the notion that Toyota’s production system (TPS) is the secret sauce that made them the most profitable automobile maker in the world, but this is a rare look into that system as it was recreated for the first time on American soil. It turns out that profits were not the goal — of course they were confirmation and a really, really nice side benefit!A New Way of ThinkingTracey and Ernie Richardson were young when they met up with the hiring managers of the Kentucky production plant — Tracey was just 18. To help teach these American hires, Toyota supplied rotating teams of Japanese teachers. They mentored, instructed, allowed them to fail, encouraged them to practice and then left before they could soak up too much American culture.This is the Richardsons’ story of how they absorbed The Toyota Production System, became leaders themselves, relabeled TPS the “Thinking People System†and brought it into the world around them. It’s a blend of their memories and what they did with what they learned. It’s also filtered throughout with learnings and reflections from early managers, John Shook of the Lean Enterprise Institute, VPs of Toyota Plants and Managers of the companies where Tracey and Ernie became, in turn, consultants, coaches and mentors.Selling, Telling and Convincing Are OutThe most pronounced method throughout the book is Socratic. They start with “why.†Early on in her job, Tracey’s mentor tells her, “…you are a contributor to our Plastics Team, which ensures our Assembly shop internal customer has all their expectations met. We need your contribution, so we can set the stage for the external customer to have a smile.†Her sense of pride in her efforts is palpable — she happily pictures her signature inside the thousands of Camry’s she’s helped to put on the road.Tracey and Ernie learned by doing. Their success as consultants shows how deeply they absorbed and embodied what their “senseis†taught them. It’s a journey rich with humbling moments — “trainers would sometimes let me go down a rabbit hole and fail just to bring a learning point to the forefront†— and unexpected epiphanies. The consistent message was that people are what matter. Not just the smiling customers but every single employee at every level. The application at the Kentucky plant is specific to that plant and that time, but there’s a lot the Average Josephine can take to heart.“I Work For You†Mentality of LeadersLeaders were tasked with making themselves replaceable. Not the first thing that comes to mind when laboring to become the best at what you do, but it was a fundamental Toyota strategy to ensure employees thrived. Their attitude was that if you were not setting your people up to grow and master new skills, then they would become frustrated and stagnate.This “Servant-Leader†approach meant leaders were leading and learning at the same time. A comment from Fran Vesica, a Project Manager from the Education Sector sums this up nicely: “Being a servant leader is not having all the answers, but it is about asking all the right questions.†Leaders should be learning and improving their thinking while developing those who report to them. In contrast, the unspoken fabric of most organizations requires management to always know more than their direct reports — and act like it.Beware “Big Company Diseaseâ€Toyota was never satisfied with how they were doing. Being best was not good enough because “their greatest fear was something they called, ‘big company disease,’ which is really apathy.†That meant they had to constantly raise the bar. At a process level, that meant establishing a standard and then immediately setting a new target and working to create a better standard. At a leadership level that meant as soon as you were comfortable in your job, you’d be promoted or transferred into a position that would be a challenge for you. The mantra was to “always be uncomfortable.â€What’s the Equation?Part of internalizing their experience was coming up with their own approach. The titular equation refers to their take on the underlying elements of a successful, problem-solving culture which they boil down to:GTS6 + E3 = DNAUnpacking this reveals the two pillars of Toyota culture — Discipline and Accountability — which accounts for the “DNA.†GTS6 represents acronyms for the 6 elements of problem solving:Go to See: Visit the work as it takes place — test assumptionsGrasp the Situation: Ask questions to uncover the facts — not opinionsGet to Solution: Get to root cause and get consensus on changesGet to Standardization: Establish the new “best wayâ€Get to Sustainability: Use leading indicators to monitor the new processGet to Stretch: Raise the bar — Always be improvingAnd the last piece, E3, refers to “Everyone, Everyday Engaged.†Basically, people come first and all teaching, mentoring and improvements revolve around developing employees and leaders. Everyone is judged on their ability to help others succeed. Again, contrast that with cultures in which people “manage up†and work to secure their own career paths as opposed to helping those around them. Not that these sound like cushy jobs.Gems and InsightsThere’s a chapter on each element providing examples, guidance and depth but below are some thoughts that stood out:Leadership should spend 50% of their time developing people (≤ 5 direct reports)Problems solved = job securityRoot causes are either, lack of a standard, not following the standard or an invalid standardAsk why until you find where the problem happened — Point of Occurence or “POOâ€â€œYou can’t manage what you can’t see†— Leaders must “Go to the Gembaâ€â€œNo idea is left behind†— work to consensus to build support for changesDon’t try to remove more than 5 root causes in a single project“The best-known method can always get betterâ€Worry about worker frustration as much as productivity“You have to create a gap or a problem when you don’t have oneâ€â€œIt’s better to train people and lose them than not train them and keep them.†- Zig Ziglar“The role of a team member is not to do their job, but to improve their jobâ€â€œThe minute you stop learning is the minute your value starts going downâ€The Path to a Thinking CultureMost of the people reading books about Toyota today don’t make cars. At this point, most are not even in manufacturing. So what’s interesting is not how they removed enough waste to get 8 more cars off the line a day, but what led to a culture that enabled continuous breakthroughs. This book is rich with guidance for both continuous improvement methods and how to build a culture of “thinking†problem solvers.The paradox for most people writing about Toyota’s special “system†is that the originator, Taiichi Ohno, felt that writing it down would kill it. Lean thought leaders and authors, like John Shook and Jeff Liker, acknowledge that since we learn from books, we have to compromise. What’s key in the “compromise,†and clear in this book, is that you learn not by reading, but by doing. “Of course, nobody can ‘teach’ wisdom — all you can do is guide people as they acquire it, often through practice, direct observation, reflection, and the process of trial and error.†Time to get to work!
You will not find a finer book to unleash the power of thinking, problem solving, and improving inside an organization that is committed to providing the elbow-room and flexibility that front-line workers need to take small everyday ideas and grow them into something tremendous over time. This is one of the best thought books you can also find about what it means and what it takes to live out the reality of a management system each day in the organization. This book constantly reminds us that the power to improve in an organization rests with the staff and as leaders we should always sponsor and support those improvements through a guided coaching framework. Everyday engagement is the key to unlocking the potential!
Excellent review of what we did at the start up of TMMK....in fact I learned several things I didn't do and and several things I did wrong! Really could have understood what our trainers was wanting us to do if I had this book at that time. Tracey and Ernie did a excellent job explaining and breaking down the steps that made TMMK such a great success. After retiring from Toyota after 26 years I now catch myself watching and thinking about how to Kaizen different business such as restaurants, bars and various other businesses! Great job Tracey and Ernie!
The authors provide a relatable introduction to the thinking underlying the Toyota approach to management. They share first hand information from their experience working within the Toyota organization at different levels. The insights from other professionals that are shared throughout the book are equally helpful.The authors do a good job of emphasising the value of the thinking behind the system ahead of the tools, in particular the attitude towards people. I recommend this to anyone considering leveraging the lean system or anyone interested in deploying a sustainable management framework.On the other hand if you're looking for a prescriptive checklist to instant greatness, this may not be the book for you.
Written by two former long-term Toyota employees who started on the assembly line and rose through the leadership ranks at the KY assembly plant, this is an important piece in the effort to disseminate the power of the Toyota Way. It's a fascinating look into the experiences of two insiders and how working for Toyota transformed their thinking, both personally and professionally. This isn't a book on the tools and methods of TPS, but rather a deep dive into the thinking behind TPS ("Thinking People System" as the authors say) and why the development of people is such a fundamental piece in any organizations' quest to create long-lasting superior performance. They also do a good job of weaving in side bar stories, told by their ex-Toyota colleagues and clients. Definitely a must-have in one's Lean library.
Excellent and well written book that captures the electric atmosphere of TMMK and the very essence of the "Toyota Way" in a creative way (the equation is great way to remember the basics). Book was easy to read, no text book atmosphere. The use of real world examples from the authors' many years of experience at Toyota and guest writers effectively communicated the points being made on how to understand and implement continuous improvement in any organization. The section on Leadership was an added bonus and a must read for leaders and those who want to be leaders in any organization: excellent explanation on what leadership should be – servant leadership!Excellent job by the authors on sharing the life time knowledge they learned and giving back to those who want to grow. Highly recommended read!
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