Total Quality Management (TQM)

Changes and Innovations
(include the Creative Idea Suggestion System)

Based on the corporate philosophy of 'customer first' and 'quality first' since its founding, Toyota Motor Co., Ltd. won the Deming Application Prize in 1965 and the Japan Quality Control Award in 1970, following the introduction of statistical quality control (SQC) in 1949, and has conducted Total Quality Management (TQM) based on the unchanging principles of 'customer first', kaizen (continuous improvement), and 'total participation'.

In addition, since the launch of the Creative Idea Suggestion System in 1951, the number of suggestions made has steadily increased, and the system has supported flexible responses to changes that involve monozukuri (conscientious manufacturing), making substantial contributions to the company's development.

As a result, the basic concepts of TQM and problem solving as well as kaizen (continuous improvement) through creative innovation spread throughout the company and took root, contributing to higher product quality and work quality at all levels and ranks and improving the vitality of individuals and organizations.

Year
Month
Main Initiatives

Month
Creative Idea Suggestion System
1949

Introduction of SQC


1951


May
Creative Idea Suggestion System Committee launched (chaired by Managing Officer Shoichi Saito);
- The Creative Idea Suggestion System was established by Managing Officer Eiji Toyoda (now Honorary Advisor) and Managing Officer Shoichi Saito (formerly Chairman) based on the suggestion system at Ford


June
First Creative Idea Suggestions implemented
1952


December
Individual Annual Awards to honor excellent suggestions system launched
1953


February
Ideas for corporate slogan solicited; 'Good Thinking, Good Products' selected in March
1955


June
First special solicitation of a unified theme conducted ('About Ashtrays' selected)


July
First Exhibition on Best Practices conducted
- Ideas of 1,000 yen or more reviewed from December 1954 to May 1955 exhibited
1956


April
'Creative Idea' name in Japanese changed
1958


July
1st All-Toyota Creative Idea Panel Discussion held (renamed the All-Toyota Suggestion System Research Committee in June 1964)
1960
November
1st Quality Month Event conducted
April
1st Science and Technology Agency Director-General's Award (awarded to three employees who made workplace creative idea suggestions)


October
1st Quality Month Special Solicitation conducted
1961
June
TQC introduced
June
Event marking 10 years since the establishment of the Creative Idea Suggestion System conducted (poster campaign to facilitate creative idea suggestions held)
1962
November
QC Meetings (predecessor of the QC Circles) launched


1963
January
Corporate policy announced


November
SQC workshop conducted


1964
September
Function-based structures focusing on quality assurance and cost management established
June
Creative Idea Suggestion System handbook distributed to all employees
1965
November
The Deming Application Prize for Major Advances in Quality Improvement for major advances in quality improvement won


1966
January
All-Toyota Quality Assurance adopted as group-wide slogan


February
TQC introduced at and expanded among suppliers (QC Committee established by eight group companies)


November
1st All-Toyota Quality Management Competition held


1967


May
Proposals for Creative Idea logo collected and logo adopted

Logo created in 1967 to illustrate the Good Idea philosophy

1968
November
Zero Defect Campaign launched


1969
September
Toyota Quality Management Award created


1970
November
1st Japan Quality Medal won


1971



Event marking 20 years since the establishment of the Creative Idea Suggestion System conducted
1972


January
Workplace Annual Awards established (one prize for division with the highest number of suggestions per person and one for division with the highest amount won per person)


November
Individual Annual Award system modified (gold, silver, and bronze medals created)
1974


May
Total number of suggestions surpasses one million


June
Toyota Good Idea Club established as an annual award recipient social group created
1975
October
Self-run QC Circle activities encouraged


1977
December
QC Circle advisor commendations implemented


1979

Management skills program implemented


1980
November
Executive Vice President Shoichiro Toyoda (now Honorary Chairman) wins Deming Prize for Individuals



QC Circle Toyota Awards established


1981

TQC introduced and spread at dealers
June
Total number of suggestions surpasses 5 million;
- Commemorative events held in conjunction with 30th anniversary events

Drastic increases in operational efficient implemented


1982


December
Targets for total number of suggestions company-wide eliminated
1983
February
TQC Promotion Department established


April
Toyota Dealer QC Promotion Award created


June
QC training for officers conducted
June
Toyota Group Creative Idea Suggestion System Secretariats networking events restored (formerly All-Toyota Creative Idea Panel Discussion and the All-Toyota Suggestion System Research Committee)
1984
February
1st Toyota Dealer QC National Conference held
April
Total number of suggestions surpasses 10 million
1985

Improvement circle activities conducted
January
Creative Idea screening standards reviewed (screening scoring standards unified, family commendation standards reviewed, and evaluation measures clarified)
1986


November
Creative idea suggestion processing computerized with the introduction of OCR
1987
October
1st Overseas Production Company QC Circle networking event held


1988
January
SQC Renaissance Activities commenced


July
First 'Minna no QC Circle' (Everyone's QC Circle) issued


August
First edition of the 'TQC News' for issued





Total number of suggestions surpasses 20 million;
- Events to commemorate 20 million suggestions held (telephone card drawing, Creative Idea promoter commendations, Creative Idea flag created)
1989


July
1st Creative Idea instructor training conducted
1991


June
Events to commemorate 40 years since the establishment of the Creative Idea Suggestion System conducted (Creative Idea Handbook distributed, slogans and posters solicited, video produced)
1993
January
New QC Circle activities with each individual playing a role implemented


1994
March
Toyota Group Executive TQM Training Course conducted for new executives


November
Introduction of TQM announced in All-Toyota Total Quality Management Convention


1995
April
Science SQC activities started
August
Total number of suggestions surpasses 30 million
1996
March
Management skill enhancement program conducted company-wide for division and section managers


1998


June
Yokoten Activities conducted
1999
September
Workplace Management Support Series of booklets published for workplace management
September
Anticipatory improvements introduced
2000
March
Global expansion and entrenchment of QC Circles promoted (South Africa and India used as models)


April
Management-quality Advancement System (MAST) introduced to raise workplace management quality


October
Activities for renewed understanding of appropriate use of control charts conducted internally and for suppliers
October
Environmental improvement scoring standards adopted
2001


June
Events to commemorate 50 years since the establishment of the Creative Idea Suggestion System conducted;
- Commemorative conference and events conducted; 50th anniversary publication issued; Video entitled 'Creation is Limitless' produced
2002

Share workplace mission deployed in each division through utilization of MAST


2003
February
TQM Committee, conducted with 12 Toyota group companies, renamed the Toyota Group TQM Committee with the addition of Toyota Tsusho Corporation and Toyota Central Research & Development Laboratories, Inc.
April
Commendation system revised (outstanding performance award, emerald award, and rookie award created)
December
Basic quality knowledge training program established internally and for suppliers



Method for QC Circle Level Assessment developed and deployed throughout the Toyota Group


2004
February
G-QC Circle activities conducted


April
MAST conducted as a means of establishing compliance activities


2005


July
Three-year program promoting an award from the Minister of Education, Culture, Sports, Science and Technology started
November
All-Toyota TQM Convention renamed Global Toyota TQM Convention and invitations extended to senior executives of overseas affiliates


2007
January
BR Jikotei Kanketsu (defect-free process completion) Department established


November
2015 Vision announced at 20th Global QC Circle Convention commemorative event


2008


May
Outstanding Clerical Suggestion Award created


June
Creative Idea Guidelines adopted
August
G-QC Circle Guidelines adopted
November
Creative Idea Suggestion Performance Statistics System put into operation


December
Screening standards reviewed;
- Scope of external improvement and suggestion assessment expanded according to TMC investment ratio

Overseas implementation of Jikotei Kanketsu started



Collaborative industrial activities with Japanese Society for Quality Control promoted, with 'Ensuring Quality' as the theme



Toyota Group SQC Research Seminar booklet entitled 'SQC for Raising Problem Solving Skills' receives Union of Japanese Scientists and Engineers (JUSE) Quality Management Award


2009
January

TQM Promotion Division reorganized;
- BR Jikotei kanketsu Department and Production Engineering Planning Division Creative Idea Group integrated and reorganized therein

January
Creative Idea Administrative Offices shifted from Production Engineering Planning Division to TQM Promotion Division
April
Implementation of TQM activities centered on Jikotei Kanketsu reinforced; Process completion training conducted
April
First Minister of Education, Culture, Sports, Science and Technology Award for most awards won


July
Annual commendation system reviewed;
- Best Effort Award, Income Contribution Award, and others created
2010
October
Jikotei Kanketsu efforts win Union of Japanese Scientists and Engineers' Recognition of Quality System Innovation Award



Training and promotion activities reinforced with the aim of developing human resources with high reliability and safety skills in technical fields


2011


April
Events to commemorate 60 years since the establishment of the Creative Idea Suggestion System conducted;
- Workshops and exhibitions on best practices and other events


August
Total number of suggestions surpasses 40 million