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"What is the difference between the Toyota Production System and Lean?"

What Is the Difference Between the Toyota Production System and Lean?

Art Smalley ·
Lean Kaizen Management Toyota Production System

Short answer: The Toyota Production System is Toyota’s actual production system as it evolved inside the company over decades. Lean is a Western translation framework derived from selected observations of TPS. The translation has real value — it makes the ideas teachable and portable. But translation is not the entire operating system. In places Lean lacks the depth of actual TPS and rigorous focus on both results and process. TPS was specifically developed for the industry and context of Toyota’s circumstances. Lean has to be broader and more flexible to accommodate different industries and situations.

Where did the word “lean” come from?

“Lean” was coined by John Krafcik in 1988 as part of the MIT International Motor Vehicle Program research that later produced The Machine That Changed the World. It was an English word chosen to describe Japanese manufacturing techniques as exemplified by Toyota. The word stuck.

Toyota never called what it did “lean.” For a long time the system did not even have a stable name. In the 1950s and 1960s, improvements were referred to as 合理化 (gorika) — rationalization efforts. People inside the company often called it the Ohno System in the early days, or simply referred to specific methods: kanban, supermarket, kaizen. Ohno deflected this and insisted it be called the Toyota Production System. In 1973 Toyota’s Education Department compiled its first internal TPS textbook, titled トヨタ式生産方式 — “Toyota Style Production System.” It was an internal document, never formally published. Even then, TPS was not created initially as a philosophy to export. It grew out of specific production problems attacked over decades first in Japan and then overseas.

What did lean capture from TPS?

Lean saw what was possible. It saw the external, visible side of TPS and fixated there.

What lean captured best is the JIT pillar. Value stream mapping (internally called material and information flow analysis). Pull systems. Kanban. Takt time. Flow cells. Leveling. These are real and powerful concepts, and the people who brought them to the West did genuine work making them accessible. Most of the examples came from the assembly side of Toyota, which is the largest section and easiest to show visitors. Anyone can walk through and see how material flows, how work is organized to takt, how clean and visual it is.

But TPS has two pillars, not one. Lean sees the JIT side well. It does not see the Jidoka side — building in quality, process stability, abnormality detection, stop-and-fix discipline — nearly as well. And underneath both pillars is a foundation of process stability, equipment capability, and technical standards that lean barely touches. These are of critical importance in capital intensive environments like casting, forging, machining, heat treat, welding, stamping, etc.

What depth is missing from lean?

At every level, what lean sees is the surface of something deeper inside TPS.

Standardized work. Lean sees the Standardized Work Chart posted at the job. It does not understand the complicated types of work standards underneath it. Inside Toyota there were over a dozen different types of work standard particular to technical equipment — too many to categorize cleanly — machine accuracy standards, tooling specifications, fixture drawings, quality check methods, gauge standards, maintenance standards, and more. The chart is a small visible artifact sitting on top of that infrastructure.

Visual management. Lean sees a board on the shop floor and calls it visual management. It does not understand what Toyota now calls FMDS — Floor Management Development System — or the Three Pillar Activities that connect daily management, problem solving, and people development into a discipline that develops the people, not just tracks the numbers. The board is not the point. The daily management system behind the board is the point.

Process capability. Lean talks about flow and pull. TPS started in Taiichi Ohno’s engine plant in the 1950s — casting, forging, machining — where the real work was improving equipment uptime from 60% to over 90%, raising process capability from low levels to Cpk above 1.33 and often 1.5, reducing scrap to minute levels, designing detection systems that stop at the sign of abnormality, and developing detailed specifications for fixtures and tooling at micron-level tolerances. Try running a pull system with high downtime and uneven quality. It will not function.

People and technical depth. Lean talks about respect for people. TPS built highly skilled operators, supervisors, engineers, and managers — each with a specific role — through coordinated maintenance systems, equipment design, controls technology, measuring systems, and long-cycle technical development. That depth does not photograph well. It lives inside machines, inside standards documents, inside the technical knowledge of people built over careers. Toyota considers it confidential. You can get a copy of a standardized work chart on a factory visit. You will not get information about tooling, machine design, or fixture specifications.

Product Development and Production Engineering. It is also accurate to point out that modern Lean efforts typically focus on the operational side of Toyota’s system. It typically does not include as much focus on Product Development or Production Engineering or the purchasing system and supplier development process. Even though that was covered in the book The Machine That Changed the World it was less focused on in the overall Lean movement.

What is the difference between lean conformance and TPS performance?

One subtle but critical difference I have observed over many years is that lean, as most companies practice it, often seeks to conform to a stereotype. TPS strives for both process and results.

The lean movement is often about tools and methods. Do we have our value stream maps? Is standardized work posted? Are we doing kaizen events? Do we have flow cells? The question is whether it looks lean enough. There are often scorecards for if you have the tool in place and how you score 1-5 on the tool. Unless you are careful this is analogous to caring more about “form” than “results”. TPS keeps detailed score. What is your actual productivity? Your quality level? Your uptime? Where are you losing? How much? Why? What are you doing to actually improve?

Why does lean have the know-what but lack the know-how?

The lean movement has made real progress on the “know-what” dimension — principles, frameworks, thinking patterns. I do not see as much progress on the “know-how” dimension. And frankly that is hard to extract without having worked inside Toyota or alongside a highly skilled coach.

Consider a production lathe running at 68% uptime and 5% scrap. Lean experts may hold kaizen events to improve flow and post standardized work. The next group may draw value stream maps and implement pull. The next may talk about principles and jidoka. But if nobody can diagnose that the spindle runout is 50 microns and the adjustment gibs are worn, the machine still does not run well. A retired Toyota person with a dial indicator gauge may see the actual problem in minutes — not because he knows the right principle, but because he has the technical depth to see what is wrong.

Try running a pull system with high downtime and uneven quality. It will not function very well. The visible practices rest on an invisible foundation of process capability, equipment reliability, and technical knowledge. Without that foundation, the practices become wallpaper. See Tools, Rules, Principles, and Lean Wallpaper.

What is the practical difference between studying lean and studying TPS?

In practice the two serve different purposes:

  • Lean provides language, principles, practices, and learning routines that can travel outside Toyota. It is the more accessible starting point for improving operations.
  • TPS shows the deeper technical, organizational, quality, maintenance, and people-development infrastructure that made the visible practices effective. It is harder to access but explains why things worked, not just what was done.

It would not bother me if lean were different from TPS and managed to achieve sustainable results while developing people. Unfortunately, I do not see that happening very often. And when I do see it, it tends to be very local and highly dependent upon a small group of people who understand it well and practice it consistently. TPS has succeeded in lasting generations and beyond the impact of specific personalities.

The problem is not that the translation exists. The problem is when the translation is mistaken for the whole or you forget to adjust for your specific context. The same issue exists in the difference between Toyota’s Product Development Process and Lean Product and Process Development. This is the inevitable difficulty in learning about how something works from an external viewpoint.

See also: TPDS and LPPD Are Not the Same Thing, Lean Versus Historical TPS, Sometimes Lean Is a Bad Name, and Does Lean Forget Quality at Times?.