16.1  Honda: Structured Process for Continuous Improvement

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Chapter 16, devoted to a discussion of Total Quality Management (TQM) focusses on the development of a culture of continuous improvement.  Honda has created and maintained a reputation for value and quality that exemplifies this culture since it first began to sell cars in the U.S. In contrast to concerns about the possibility to successful operate a Japanese auto plant in the U.S., Honda opened the Marysville, OH plant in 1982. VIDEOMq1
Quality management goes beyond merely inspecting finished products to include the design of quality into the products.  Like many companies, Honda uses the PDCA cycle to identify problems, develop new methods, standardize those methods, and train employees in the procedures. VIDEOMq2
Honda employees or "associates" as they are known, are trained to work on different car models. In fact, new models and old models overlap. VIDEOMq3
Cross training is a common approach to maximizing the value of individual workers. In Honda's case, it is also used to ensure that employees do not get bored at repetitive jobs. They are rotated to different jobs several times per day. VIDEOMq4
To minimize variability, a goal of any quality improvement effort, Honda creates operating standards and documentation to enhance the consistency from one worker to another. VIDEOMq5
Communication from one shift to another is critical to maintain continuity of effort in a manufacturing operation like Honda's. As one shift ends and another begins, employees must be informed about equipment problems or trends. VIDEOMq6
With hundreds of suppliers, quality efforts limited to internal operations would not be sufficient to result in a quality finished product. Honda maintains close relationships with its suppliers, but allows them the autonomy they need to design and produce the necessary components. VIDEOMq7
To maintain continuous improvement, each employee is held responsible for their own quality. Each can stop the assembly line if necessary to maintain quality.  Associates always know how their performance conforms to the plan. VIDEOMq8