From the course: Advanced Agile: The Team's Mindset
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Manufacturing changes with lean thinking
From the course: Advanced Agile: The Team's Mindset
Manufacturing changes with lean thinking
- The "New, New Product Development Game" article wasn't the only ideas coming out of Japan in the 1980s. Auto manufacturers like Toyota were developing new manufacturing techniques. These Japanese auto manufacturers had a real challenge. American car companies had developed a manufacturing process that relied on huge factories and warehouses to store inventory. As an island nation, Japan simply didn't have the space to store tens of thousands of finished cars with hundreds of thousands of warehoused auto parts. That's why Toyota started develop what was called the Toyota Production System, or TPS. Toyota distinguished between what it called a push or pull manufacturing system. American car manufacturers pushed auto parts into the factory. They assembled warehouse parts into a working automobile. So, if an American car company wanted to manufacture 1,000 cars in a month, it had to store at least 4,000 tires in its…
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