Taiichi Ohno

Taiichi Ohno is one of the most important innovators in the business world. He is widely credited as the father of the Toyota Production System (TPS). His work has had a profound impact on business management and influenced the way businesses work today.

Born in 1902 in the rural town of Shiowa, Japan, Ohno was raised in the Japanese merchant business tradition. His father was the owner of a small clothing shop and Ohno worked in the family business from an early age, setting up the store and managing customers. His father taught him to focus on customer satisfaction and to never rely on a single strategy in order to thrive.

From a young age, Ohno was focused on continuous improvement. He pushed himself to learn more, gaining knowledge in both business and engineering. After graduating from college, he joined Toyota in 1943 and began working in their factories. While at Toyota, he started to really think deeply about the production process, constantly striving to make improvements.

It was in 1948 when Ohno and Toyota developed their now famous Just-In-Time production system. Before this, production processes were often inefficient and wasteful, with rework or scrap being common. Ohno saw an opportunity to streamline and speed up production, leading to greater efficiency and lower costs. He and his team achieved this by removing waste from processes, cutting down lead times, smoothing out production and ensuring quality of production.

One of Ohno's most important contributions to the business world was the development of the seven tools of Quality Control. Ohno and his team developed these tools in order to increase quality, providing a toolkit that businesses can use to identify and eliminate defects. The tools include cause and effect diagrams, histograms, Pareto charts, control charts, process capability, scatter diagrams and failure mode and effects analysis.

In addition to the seven tools of Quality Control, Ohno also developed a set of core principles, which he called the Toyota Way. These principles were focused on developing a culture of improvement in the business, ensuring efficiency and creating a customer-centric approach. The principles revolve around activities such as creating continuous improvement processes, developing a culture of respect, creating a process of problem-solving, and creating a culture of learning.

Today, much of the business world operates on principles established by Ohno. From their Toyota Production System to their seven tools of Quality Control, his work has had a profound effect on the world of business management. But beyond that, his principles of continuous improvement, respect and an ongoing pursuit of excellence have influenced the way businesses are run today.

Ohno’s legacy will continue to be felt for years to come. His thought-provoking insights and unparalleled innovation have not only changed the way business works, but influenced the work of numerous other students of business and operational excellence. His dedication, hard work, and perseverance in perfecting his craft have set an example for everyone to follow.