ABSTRACT
The Japanese system of management is a complete philosophy of organization that can affect every part of the enterprise. There are three basic parts: lean production system, total quality management, and human resources management. The purpose of the lean production philosophy, which was developed at the Toyota Motor Company, is to lower costs. In a lean production system, it is important to move toward a higher degree of process control. A lean production system uses autonomous defect controls, which are inexpensive means of conducting inspections of all units to ensure zero defects. The most important feature of the organizational setup of the lean production system is the extensive use of multifunctional teams, which are groups of workers able to perform many different tasks. The UK has achieved significant improvements in productivity and quality standards, but the supply-chain networks to the large manufacturers are yet to accept fully the Japanese system.
