- Joined
- Feb 1, 2009
- Messages
- 42,997
- Reaction score
- 10,484
Taiichi Ohno (大野耐一, Ōno Taiichi, February 29, 1912 – May 28, 1990) was a Japanese industrial engineer and businessman. He is considered to be the father of the Toyota Production System, which inspired Lean Manufacturing in the U.S.[1][2] He devised the seven wastes (or muda in Japanese) as part of this system. He wrote several books about the system, including Toyota Production System: Beyond Large-Scale Production.
This is the man responsible for the "Just In Time" supply chain concept that is used almost worldwide today to bring goods to market. Ohno developed the concept while working for Toyota to get parts to the assembly line just as they were needed. It might be a good concept for factory production, but it has been adopted by retailers as well to stock their shelves. Unlike a factory, retail sales can't be depended on to be a constant flow. As we are witnessing, events can greatly change the amount of products required. Retailers have limited reserves. Factories have little to no ability to increase production to meet increased demand because they have also adopted the "Just In Time" concept. Factories once operated 8 hours per day and could add another shift to increase production. Now they are run on a 24 hour schedule to minimize the production equipment needed to make a product so they can't increase production without adding equipment. There isn't any reserve capacity in these systems. Even if they could increase production, the transportation system wouldn't have the capacity to support it because they don't have any reserve capacity either.