Daily Management: The Toyota Way An entrepreneur has to constantly organize, operate and assume various risks in a business venture

By Faber Aakash Borse

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

Shutterstock

Starting a business and becoming an entrepreneur is exciting as well as terrifying. While starting a new business, entrepreneurs face so many challenges; such as instability, stress, negative mindset, overwhelming feelings, lack of support, growing the business, problems of 4Ms (man, method, material, machines), problems relating to marketing, outdated technology, lack of infrastructural facilities, etc.

An entrepreneur has to constantly organize, operate and assume various risks in a business venture. The intensity of the challenge to promote an entrepreneurship culture as well as to evolve new enterprises in a sustainable and competitive manner varies on the daily management. Robust management of routine activities efficiently avoids firefighting and daily surprises for the entrepreneur to focus on growth!

In order to conduct business efficiently, an entrepreneur must overcome these challenges. Toyota has been working on the system based on lean principles that can be a solution to these routine challenges faced by entrepreneurs.

Daily Management is the system that provides the ability to manage departments, functions, and processes, wherein processes are defined, standardized, controlled, and improved by the process owners. It focuses on process and not people. It is a very reliable problem solving and sustenance technique.

Goals of Daily Management Methodology:

  • Regularly reaching out to each & every person working at various levels so that a structured review mechanism where a formal discussion is facilitated related to details and communication.
  • The management should be done on a day-to-day basis; ensuring daily standard jobs and daily standard objectives are accomplished strictly on daily basis.
  • Make everyone come at a common platform, take charge and ownership of each and every aspect.

Steps of Daily Management Methodology:

  1. Prepare and visualize standards for Man, Machine, Material and Methods
  2. Define Leader Standard Work
  3. Have visual controls for standards and results
  4. Focus on process stabilization
  5. Record abnormalities for rolling out Structured Problem Solving
  6. Have a daily accountability process

Daily Management works based on SDCA cycle: The Standardize – Do – Check – Act (SDCA) cycle is a follow-up cycle for sustenance ensuring that the improvements that have been achieved via Plan – Do – Check – Act (PDCA) cycle, do not slide back. SDCA and PDCA cycle are part of Deming's improvement formulae where, PDCA leads to improvement and SDCA prevents the deterioration, respectively. Hence, it is extremely important that both the SDCA & PDCA cycles are well established.

Benefits of Daily Management:

  • Provides data on where you are (actual) compared to where you want to go (planned)
  • Assists with meeting customer demand
  • Improves process quality
  • Reduces process variation
  • Ensures effective problem-solving
  • Help standardize the way organizations manage their facilities
  • Ensures sustainability for improvement efforts
Faber Aakash Borse

Contributory Author

Faber Aakash Borse is Director and one of the founding partners of Faber Infinite Consulting , with operations in Asia Pacific, Africa & Middle East. He holds a masters degree in Operations Management with his 1st degree being in Engineering.

Related Topics

Growing a Business

How an Executive Coach Can Help You Set Better Goals — And Transform Your Business

Ways to enhance your competitive advantage — and psychological wellbeing — with the assistance of a seasoned, results-focused professional.

Business Ideas

55 Small Business Ideas to Start in 2023

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2023.

Side Hustle

Anyone Can Start a Passive Income Side Hustle For Easy Money — But Only If You Know These 5 Essential Tips First.

The rise of digital automation technology has made starting a passive income side hustle easier and more accessible than ever before.

Growth Strategies

Taking The 'Make in India' Flag Higher

During a panel discussion on 'The Made in India Big Promise', at the 'India Live 2023' Summit in Mumbai, organised by Entrepreneur Media, companies in the manufacturing space came together and shared their thoughts on the Government of India's initiative, their role and further steps needed to accelerate it.

Leadership

Improving Yourself Takes 9.6 Minutes of Work Each Day

Micro-habits are the antidote to a chaotic world, offering a pathway to sustainable change.

Growing a Business

7 Strategies to Secure Business from Fellow Entrepreneurs

When implemented, these seven strategies will be valuable and helpful in growing your brand and ultimately increasing your revenue.