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Qimpro Champions League
Challenge 5:
Best Practices/Problem Solving
(Toyota)
Submitted by
Arif Shaikh
Ankita Deshmukh
What is Benchmarking?
• Definition - A measurement of the quality of an
organization's policies, products, programs, strategies,
etc., and their comparison with standard measurements,
or similar measurements of its peers.
• Benchmarking allows you to compare your data with
aggregated industry data from other companies who
share their data.
• Benchmarking provides valuable context, helping you to
set meaningful targets, gain insight into trends occurring
across your industry, and find out how you are doing
compared to your competition.
• Benchmarking is measured on parameters like
Quality,Time and Cost.
Objective of Benchmarking
• To determine what and where improvements are needed
• To analyze how other organizations achieve their high
performance levels
• Use information to improve organization performance.
• Benchmarking is sometimes used to improve training
methods.
• organizations might be near the top in performance or
operational efficiency. Hence, they may execute
benchmarking tactics to gain the upper hand on the top
competitor
Best Practices by Toyota
Know Your Suppliers
• Toyota brand had become synonymous with quality.
• One of the key components is a program entitled ‘Total
Quality Control” (TQC). In this program Toyota works
together with its suppliers to improve methodologies for
its component products
• The TQC model embedded quality into Toyota’s
production system up and down the Supply Chain
• Through the program, Toyota was able to understand the
critical link between quality and profit through high
customer satisfaction
• This TQC program has been embraced by numerous US
companies, including Toyota’s US auto manufacturing
rivals
The Compliance Oversight
Committee
• Toyota’s overall quality program was a high-level
oversight committee which had been set up to deal with
quality issues in 2005
• Oversight Committee was made up of persons across
functions within the company and had the power to deal
with issues outside of typical bureaucratic silos
• Oversight Committee is a key component of any best
practices compliance program
• Oversight committee was used for reviewing and
managing traditional high risk areas such as third party
business representatives; a company can create such
committees for other high risk issues particular to a
company
Don’t Let Growth Overwhelm
You
• Toyota almost doubled its overall global market share in
a little over 10 years and this caused sales to grow “faster
than the company could manage”
• This changed the traditional order of priorities within
the company: growth now became paramount over
quality
• This growth was pursued while not fully assessing or
even appreciating the risks involved
• There were many new vendors in the Supply Chain that
did not receive the rigorous due diligence and training
into the Toyota philosophy regarding quality
• The company also hired huge numbers of new contract
employees who did not receive the same training as
previously hired employees
Lessons for the Compliance
Practitioner
• The growth experienced by Toyota was the clear lesson
for the compliance practitioner
• Compliance must be rigorously implemented and
continued for a company to succeed in its overall anti-
corruption and anti-bribery policies
• The Toyota TQC model served it well until the rigor
surrounding it was reduced
• This model inculcated quality throughout vendors in the
Supply Chain
• A company must continue to push compliance
throughout its Supply Chain
Best Practices Adapted in
College from Toyota
• Implementing and improving assessment methods
• Improving classroom instructional strategies to include
problem-based learning and inquiry
• Improving data-driven decision making for classroom teachers
and distributed leadership
• Cleanliness maintained in toilets
• Query solving sessions immediately after lectures
• Test after every chapter for better understanding of student
study process
Classroom Learning
Lesson Learned
• To be up front about an issue, and to communicate, so that
others believe that we are doing more than covering up or
fluffing off the matter
• Problems should be effectively solved by “one off” situations
• Act quickly on the unknown
• Gather facts, assess the many dimensions of the challenge to
be addressed, and act with clarity and precision
• Understand from know where to go to seek situational advice
when these challenges arise
• Have a team of advisors who specialize and have deep
experience in “special matters” ready to step in
• When a crisis hits, “shopping” for support will take valuable
time. In sum, there is an economic value in establishing a
“quick to action” resolution process with the best advisors
• Be prepared to make adjustments as you resolve the problem
at hand
• More times than not, as a problem unfolds, it will morph and
new issues will arise
• Flexibility, while holding steady on how these “jack in the
box” pop ups are addressed, will help you win back lost trust.
• Put your credibility and integrity are at stake
• You must prove that you are serious and working diligently to
restore reach to your goal
• Never bury your corporate head in the sand with the hope
that the storm will pass with minimal effort
• Rebuilding corporate trust is extraordinarily important and
exceedingly difficult without an extraordinary effort, expense,
and strategic distractions
Thank you !!!

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Qcl 15-v4 5-rizvi management institute_ankita deshmukh and arif shaikh

  • 1. Qimpro Champions League Challenge 5: Best Practices/Problem Solving (Toyota) Submitted by Arif Shaikh Ankita Deshmukh
  • 2. What is Benchmarking? • Definition - A measurement of the quality of an organization's policies, products, programs, strategies, etc., and their comparison with standard measurements, or similar measurements of its peers. • Benchmarking allows you to compare your data with aggregated industry data from other companies who share their data. • Benchmarking provides valuable context, helping you to set meaningful targets, gain insight into trends occurring across your industry, and find out how you are doing compared to your competition. • Benchmarking is measured on parameters like Quality,Time and Cost.
  • 3. Objective of Benchmarking • To determine what and where improvements are needed • To analyze how other organizations achieve their high performance levels • Use information to improve organization performance. • Benchmarking is sometimes used to improve training methods. • organizations might be near the top in performance or operational efficiency. Hence, they may execute benchmarking tactics to gain the upper hand on the top competitor
  • 5. Know Your Suppliers • Toyota brand had become synonymous with quality. • One of the key components is a program entitled ‘Total Quality Control” (TQC). In this program Toyota works together with its suppliers to improve methodologies for its component products • The TQC model embedded quality into Toyota’s production system up and down the Supply Chain • Through the program, Toyota was able to understand the critical link between quality and profit through high customer satisfaction • This TQC program has been embraced by numerous US companies, including Toyota’s US auto manufacturing rivals
  • 6. The Compliance Oversight Committee • Toyota’s overall quality program was a high-level oversight committee which had been set up to deal with quality issues in 2005 • Oversight Committee was made up of persons across functions within the company and had the power to deal with issues outside of typical bureaucratic silos • Oversight Committee is a key component of any best practices compliance program • Oversight committee was used for reviewing and managing traditional high risk areas such as third party business representatives; a company can create such committees for other high risk issues particular to a company
  • 7. Don’t Let Growth Overwhelm You • Toyota almost doubled its overall global market share in a little over 10 years and this caused sales to grow “faster than the company could manage” • This changed the traditional order of priorities within the company: growth now became paramount over quality • This growth was pursued while not fully assessing or even appreciating the risks involved • There were many new vendors in the Supply Chain that did not receive the rigorous due diligence and training into the Toyota philosophy regarding quality • The company also hired huge numbers of new contract employees who did not receive the same training as previously hired employees
  • 8. Lessons for the Compliance Practitioner • The growth experienced by Toyota was the clear lesson for the compliance practitioner • Compliance must be rigorously implemented and continued for a company to succeed in its overall anti- corruption and anti-bribery policies • The Toyota TQC model served it well until the rigor surrounding it was reduced • This model inculcated quality throughout vendors in the Supply Chain • A company must continue to push compliance throughout its Supply Chain
  • 9. Best Practices Adapted in College from Toyota • Implementing and improving assessment methods • Improving classroom instructional strategies to include problem-based learning and inquiry • Improving data-driven decision making for classroom teachers and distributed leadership • Cleanliness maintained in toilets • Query solving sessions immediately after lectures • Test after every chapter for better understanding of student study process
  • 11. Lesson Learned • To be up front about an issue, and to communicate, so that others believe that we are doing more than covering up or fluffing off the matter • Problems should be effectively solved by “one off” situations • Act quickly on the unknown • Gather facts, assess the many dimensions of the challenge to be addressed, and act with clarity and precision • Understand from know where to go to seek situational advice when these challenges arise • Have a team of advisors who specialize and have deep experience in “special matters” ready to step in
  • 12. • When a crisis hits, “shopping” for support will take valuable time. In sum, there is an economic value in establishing a “quick to action” resolution process with the best advisors • Be prepared to make adjustments as you resolve the problem at hand • More times than not, as a problem unfolds, it will morph and new issues will arise • Flexibility, while holding steady on how these “jack in the box” pop ups are addressed, will help you win back lost trust. • Put your credibility and integrity are at stake • You must prove that you are serious and working diligently to restore reach to your goal
  • 13. • Never bury your corporate head in the sand with the hope that the storm will pass with minimal effort • Rebuilding corporate trust is extraordinarily important and exceedingly difficult without an extraordinary effort, expense, and strategic distractions