Toyota Production System at TOYOTA KIRLOSKAR MOTOR PRIVATE LIMITED
Toyota Production System
at
TOYOTA KIRLOSKAR MOTOR PRIVATE LIMITED
TOYOTA PRODUCTION SYSTEM
TOYOTA KIRLOSKAR MOTOR PRIVATE LTDAT
CONTENTS:
1 Introduction to Toyota
2 Profile of Toyota Kirloskar motor.
3 Overview of TKM Logistics.
4 Toyota production system practices in TKM.Just In Time. Kaizen- (Continuous Improvement in logistics)
5 Future Plans.
TOYOTA MOTOR CORPORATION
• Established in 1937 in Japan
• 160 Countries - 5400 Dealers.
• 26 Countries - 46 Plants
• Sales of 15.1 trillion Yen in March 2002
• 247,000 employees worldwide.
• Manufacture of all types of Vehicles including Luxury Car & Small Car.
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G M F o rd T o yo ta V W D a im le r
C h rysle r
P S A H o n d a N issa n R e n a u lt F ia t
C om pany
No. of Units Sold (1=
1000
Units)
Automakers ranking worldwide based on vehicle sales
Toyota is 3rd Largest Auto Maker in the World
2003 First quarter Result Toyota – No. 2
TKM is the 14TKM is the 14thth & almost the last automobile manufacturer & almost the last automobile manufacturer entered in Indian automobile industryentered in Indian automobile industry
TOYOTA KIRLOSKAR MOTOR PRIVATE LTD
Establishment : 6th October 1997
Location : Bidadi near Bangalore in Karnataka State
Start of Production : Dec 1999
Production Model : Multi Purpose Vehicle Passenger car
Production Capacity : 50,000 Units/year
Investment : US$ 170 Million (Phase I)
No. of Employees : 2300
PRODUCTION / SALES Crossed1Lakh cars in Sept 03
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Volum
e
C o ro lla 13 8 3 9 0 0 0
Q u a lis 2 10 8 6 2 8 5 0 9 2 8 9 8 9 3 4 0 0 0
2 0 0 0 2 0 0 1 2 0 0 2 2 0 0 3
COMPLETE VIEW OF TKM PLANT
In-house facilities at TKMPress Shop Weld Shop Paint Shop
Assembly Shop Inspection Area
ISO 14001 WITHIN THE FIRST YEAR
OVERVIEW OF LOGISTIC OPERATIONS
TKM’S Logistics concept
• Just in time supply
• Small lot - high frequency delivery
• Palletised cargo
• Standardized packaging
TKM LOGISTICS OVERVIEW
Delhi Transit Dock (2600 Kms)North Area - 19 Suppliers
Pune Transit Dock (900KMS)West Area - 13 suppliers
Chennai Transit Dock (370 KMS)18 Suppliers
Bangalore PlantSouth Area - 28 Suppliers
SINGAPORE(TRANSHIPMENT)
THAILAND
INDONESIA
TAIWAN
STM
TKM
KUOZUI
TMCJAPAN
TAPPHILIPPINES
TAM
LOCAL SUPPLIERS DISTRIBUTION
Delhi Cross DockNorth Area - 19 Suppliers
Pune Cross DockWest Area - 13 Suppliers
Chennai Cross Dock18 Suppliers
Bangalore PlantSouth Area - 28 Suppliers
Kanban suppliers- 40
(74% parts)
Logistic System - Milk run system
Conventional System TKM System
TKMSUPPLIER-B
SUPPLIER-A
SUPPLIER-C
SUPPLIER-A
SUPPLIER-B
SUPPLIER-C
TKM
LOW FREQUENCY
BIG LOT
HIGH INVENTORY
HIGH FREQUENCY
SMALL LOT
LOW INVENTORYT P S
JUST IN TIME
JUST IN TIME Concept
MAKING MATERIAL AVAILABLE TO NEXT PROCESS
• The right part
• At the right time
• In just the right amount required.
Supported byJUST IN TIMEProcurement Methods for local parts• Scheduled ordering for far of suppliers with cross
dock.• Kanban based ordering for nearby suppliers without
cross dock• Jumbiki ordering
In-house Logistics systems
• Welding (Chorukyu system)
• Assembly (Sequential supply system)
Cross dock operation for Milk run system
3 S2
S3
1
Sub Route 1S1
S2
S1
Cross Dock
Sub Route 3
S4
2S1
S2S3
S3
S4
Sub Route 2
Cross dock operation for Milk run system
Main Route
Main Route
TKM
Delhi Cross Dock
Pune Cross Dock
Main Route
Chennai Cross Dock
Optimum Route Planning
122cm t
cm t kg route cm t kg type cm t kg %C S 011 C H E N W 15.744 5535 1-2 C S 01 37 8976 H C V 32 9000 115%C S 012 C H E N B 0.131 45JG C H E N B (JG ) 1.500 1770C S 013 C H E N I 19.500 1627C S 021 C H E N B T 9.608 516 1-1 C S 02 17.688 1768 LC V 24 4000 74%C S 022 C H E N R 8.079 1251C C 011 C H E N A 52.722 6571 1-1 C S 03 52.722 6571 LD V 55 6800 96%R M C H E N H 0.800 200 - - 0.800 200.0 - - - -R M C H E N A 0.100 20 - - 0.100 20.0 - - - -R M C H E N N 0.100 20 - - 0.100 20.0 - - - -
truck specdayC ycroute area supplier
trip
Standardized Truck Timetable
R O U T E N O .
T R U C K T Y P E
P lace D ist Tim e T/T
29.A pr 7:3029.A pr 9:00
6km 0.15hrs29.A pr 9:1529.A pr 10:15
1km 0.10hrs29.A pr 10:2529.A pr 10:55
28km 0.40hrs29.A pr 11:3529.A pr 12:35
35km 1.30hrs
H C V
C S 01
C ro ss D ock
4 5 6 7 8
S u p -A 1.00hrs
S up -B 0.30hrs
S up -C 1.00hrs
12 13 14 19 10 11
Logistics on fixed time / variable qty basis
High Frequency Delivery✦ Delhi & West : 1 times a day✦ Chennai, South India : 4 times a day✦ Bangalore : 4 - 16 times a day
Supplier A
Supplier B Supplier C
Supplier D
TKM
LOGISTIC CONTROL IMAGE TRANSYSTEM
Joint venture between
Mitsui corp. (Japan) &
TCI (India)
TKM LOGISTICPROVIDER
Volume CalculationReceiving Plan
TKM
Central Operation Control
Suppliers
Cross-Dock TKMLong-Route
Short-RouteTKMSuppliers
Truck Status Control
Detect En-route Problems = Never stop the line
✦ ProcedureLong-Route : Driving-Members call from predefined pointsLocal-Route : Controlled by Radio-Receiver up to 60km
✦ Visual Control (Status-Board)
Special Design Fleet
Side Loading Method✦ Wing type truck
✦ Sliding door type
✦ Swing door type
Long Deck Sliding Door : 16 (50cmt) HCV Sliding Door : 10 (32cmt) LCV Sliding Door : 4 (24cmt) HCV Gull-Wing : 5 (32cmt) LCV Gull-Wing : 3 (24cmt)
T K M - In ven to ry S tatu s
0
1
2
3
4
5
6
7
8
9
C onventional
S ystem
S V P T K M C urrent T M C T K M F uture
Stoc
k in D
ays
-Milkrun pick up of parts.- Transhipment of parts
to Main truck- Truck status control.- Daily arrival of parts
- Frequency increase through Mix Logistics with TKM
Suppliers.- Lot Size reduction
- Double cross docking (Delhi Suppliers)Daily arrival 1 Day
(16 hrs)
Daily arrival 4 Hrs (0.25 days)
Safety Stock 1 Day (16 Hrs )
Safety Stock 6 Hrs (0.3 days)
-Supplier Delivery & Quality
improvement
( Y 2003 ) ( Max 2 Hrs ) (Y 2004 –Oct )( Dec ‘ 99 )
Inventory of far off supplier with Cross dock operations – Delhi & Pune
JUST IN TIME
KANBAN SYSTEM
KANBAN OPERATION OVERVIEW
APL STTI TGK DNKI NTTF
KANBAN SORTING ROOM
1
KANBANPOST
3TIME LOC1LOC2LOC3LOC4
TRUCK1TRUCK2TRUCK3
INCOMING KANBAN
CHECK SHEETAPL 1-2-2KBN NO. QTY111 2222 1333 4XXX Y
KBN 222
KBN 222
2
4 7
KBN 222
KBN 222
12
10
11
1 1
11
11
KBN 111
CHECK SHEETAPL 1-2-2K
KBN 222
9
TKML SUPPLIER
CHECK SHEETAPL 1-2-2KBN NO. QTY111 2222 1333 4XXX Y
PURA/C
PAYABLE
GRN IN SYS
SUPPLIER LINE SIDE
10
LINESIDE
9
8
EMPTY BOX
5 6
LOCAL PARTS KANBAN SAMPLE
TKMPART DETAILS :
GLOVE COMPARTMENT
SUPPLIER INFORMATION :TG KIRLOSKAR
T004-A
PROCESS CODE : ASSEMBLY
55581- 0B010- 00QTY/BOX
10
PACKING CODE : PB10123
DOCK 01
LOCATION CODE :T2R-2
516 SEQ NO1
KEY CODE :1234567890
PARTS READY FOR DESPATCH AT SUPPLIER SIDE(BANGALORE SUPPLIER CASE OPERATING WITHOUT CROSS DOCK)
LOADING / UNLOADING USING FORK LIFT
LABELS FACING OUTSIDEPARTS PALLETISED
Parts stacking at PC Zone ready for in-house logistics:
•Parts are stored at PC Zone at predefined locations Line wise orprocess wise.
T K M - In ven to ry S tatu s
0
1
2
3
4
5
6
7
8
9
C onventional S ystem T K M C urrent T M C
Stoc
k in D
ays
Kanban System-1~ 16 delivery / day
- Truck status control by wireless – Time
control- Frequency increase with Mix logistics of
TKM SuppliersSafety Stock Avg 6 Hrs (0.3 days)
Safety Stock Avg4 Hrs (0.25 days )
( Y 2003 )
Avg 2 Hrs
Inventory of Bangalore supplier ( No Cross dock operations)
JUST IN TIME
JUMBIKI SYSTEM
( Sequential Procurement )
JUST IN TIMEJumbiki System
• System for total elimination of Inventory.
• System to supply Parts directly from supplier to Assembly line according to sequence of production.
• Suitable for bulky Parts with more variants & supplied by nearby supplier
e.g- Seats, Door Trims, Carpets (Araco)
CENTRAL CONTROL ROOM (CCR)
JUMBIKI SYSTEM
AssemblyLine In - Based on Production Leveling
ASSEMBLY LINE
Information to CCR
Fax to Supplier
Preparation at Supplier & Transport to TKM
Receiving andSupply to Line
Pre defined Time Scale based on tact time
JUMBIKI SYSTEM
CONVENTIONAL SYSTEM JUMBIKI
A1
A2
A3 A3
A2 A2
A3
A1 A1 B1
B2
B3 B3
B2 B2
B3
B1 B1 C1
C2
C3 C3
C2 C2
C3
C1 C1
Stock of each set
For Model A
AssemblyLine
For Model B For Model C
Model A Model CModel BAssemblyLine
Seats received from supplier in sequence of Production Plan
TPS
Model A Model CModel B
B3
B2
B1
A2
A3
A1
JUMBIKI PARTS RECEIVED
JUMBIKI SEAT AT LINE SIDE
JUST IN TIME
IN-HOUSE
LOGISTICS
JUST IN TIMEINHOUSE LOGISTICS (Chorukyu System)
WELDING SHOPTKM SYSTEMCONVENTION SYSTEM
Manufacturing
A5A1 A2 A3 A4
A6 A7 A8
A1
Manufacturing
A2 A3 A4
A5 A6 A7
TPS
A8
INHOUSE LOGISTICS (SMALL LOT SUPPLY)
SEQUENTIAL SUPPLY SYSTEMINHOUSE LOGISTICS – ASSEMBLY SHOP
INHOUSE LOGISTICS – ASSEMBLY SHOPSEQUENTIAL SUPPLY SYSTEM
SUPER FLEXIBLE ASSEMBLY LINE SUPER FLEXIBLE ASSEMBLY LINE
TKM IS CHALLENGING NEW CONCEPT OF SUPER FLEXIBLE LINE TKM IS CHALLENGING NEW CONCEPT OF SUPER FLEXIBLE LINE
THAT IS MIXED PRODUCTION OF MPV (frame model) AND THAT IS MIXED PRODUCTION OF MPV (frame model) AND PASSENGER CAR (monocock model) ON SINGLE PRODUCTION LINE, PASSENGER CAR (monocock model) ON SINGLE PRODUCTION LINE,
BY QUICK LAUNCHING OF NEXT MODEL ON THE EXISTING BY QUICK LAUNCHING OF NEXT MODEL ON THE EXISTING PRODUCTION LINE. PRODUCTION LINE.
KAIZEN(CONTINUOUS IMPROVEMENT)
Kaizen based on practice of manufacturingKaizen based on practice of manufacturingShooter system to maintain FIFOShooter system to maintain FIFO
Before After
•FIFO not followed•Mikara not established•Unsafe movement of F/L
•FIFO achieved •Mikara established• F/L movement standardized
Kaizen based on practice of manufacturingKaizen based on practice of manufacturingPallet, Dolly, Flow rack to reduce handlingPallet, Dolly, Flow rack to reduce handling
•Double handling of Parts•Generates waiting time•Fatigue while parts picking
•Direct supply of parts•zero waiting time•Workability improved•Space reduced (210 Sq.mt)
Before After
Combined LogisticsCombined LogisticsKaizen by Suggestion from Team membersKaizen by Suggestion from Team members
Collapsible packing concept
The space saved by this kind of packing is used to transport service parts and CBU
KAIZEN IN PACKING AREAS
1 Plastic Caps of hoseflexible eliminated
2Achieved 99%
returnable packaging
FUTURE PLANS
TKM in-house operations
PC ZONE
W
P
T
A
Kanban Room
S8
S9
S10
S11
S12
S1
S2
S3
S4
S5
Inhouse Bar Coded
Kanban
Store Cards
Receive Material
Insert cards
Store Parts
TKM e Kanban information to
Suppliers/ Cross Dock
S8 S9 S10
S11
S12
S1 S2 S3
S4 S5
CROSS DOCK
Download Kanban data
Cross Dock operations
S8 S9 S10
S11
S12
S1 S2 S3 S4 S5
SUPPLIER
Download Kanban
data
Supplier operations
SERVICE PROVIDE
R
SERVICE PROVIDE
R CROSS DOCKCROSS
DOCK
E E -- Kanban Kanban
Mixed Logistics1st Step
Increase frequency
Reduce lot sizeMixed Logistics
Concept
Purpose:
1) Share logistics between TKM & Supplier.
2) Reduce lot, increase delivery frequency and finally reduce inventory.
3) Reduce transportation cost.
4) Mutual development and benefit between TKM & supplier.
Mixed Logistics Image Example
TKM - TKAP Mixed Logistics
Closing wordClosing word
We live in an age of constant change
‘Today's perfection is tomorrows ‘Today's perfection is tomorrows mediocritymediocrity’’
We need to realise & improve
THANK YOU
FOR YOUR ATTENTION
TOYOTA KIRLOSKAR MOTORTOYOTA KIRLOSKAR MOTORTOYOTA KIRLOSKAR MOTOR