Japanese management techniques


Today, in the world every organisation is competing with every organisation. most of the organisation trying to minimise the cost and maximise the profit but not at the cost of products quality so they can survive in this competitive world. For this every organisation now adopting some management technique for that Japanese people introduce Japanese Management technique to minimise cost and maximise profit not at the cost of their quality of product. Japanese Management has different philosophy and technique but it would not work in every organisation equally for example this technique work more efficiently in Japanese company but it would not work in western organisation as effectively as it work in Japan. Japanese develop many different techniques in recent decades which are applied to many production process and system. For example one defined technique was developed to minimise quantity of goods in stock that is JUST IN TIME (JIT) and for batter quality surety TOTAL QUALITY CONTROL (TQC) by using those techniques many Japanese organisation and some western organisation did manage their minimisation of cost of production but not at the cost of product quality for this one of the best example is Toyota. Now day's Japanese management techniques widely practised in the West (Whitehill, 1991).most of this technique are well known in today's world and also successfully implemented by many western organisations.

Japanese Management Philosophy and Techniques

Japanese management introduce important philosophy and technique in last few decades which are follows:

  • Suggestions System-Japanese Style
  • The Concept of Kaizen
  • Pareto Charts
  • The Five Whys
  • The Silent Idea-Generation Process
  • Brainstorming
  • Quality Circles (QC)
  • Total Quality Control
  • Just in time (JIT)
  • Japanese Decision-Making Process (Ringi)
  • Promotion Based on Seniority
  • Job Rotation
  • Taking the 'Ouch' Out of Restructuring: Recruit in Japan
  • Lifetime Employment (Shushinkoyo)
  • Jidoka (Automation)
  • Shojinka (Flexible Workforce
  • Soikufu (Creative Thinking)

Lifetime Employment (Shushinkoyo)

lifetime employment has objective to provide security and identity to worker. Once they recruited, lifetime employees become members of the organisation family, so organisation will have to take care of their entire career. (Whitehill, 1992)

Job rotation

Job rotation is important for increasing and improving of motivation, performance at work place and efficiency and productivity. First ten years of employment individual keep on a job rotation scheme. Under this plan, employee is trained by management and management expect from employee to learn and become expertise in different areas of the firm. (Keys et al, 1990)

Promotion Based on Seniority

In business environments, seniority within a organisation is counted more by age and length of service than by individual skill or initiative. The words junior and senior are used in business to show this.

Japanese Decision-Making Process (Ringi)

one of the most important features of Japanese management is The ringi system of decision-making(Fukuda, 1988: 65)

two methods are compressed in The ringi system :nemawashi and ringi seido. Business decision-making process gives careful attention in preliminary stages of the decision making process (Chen, 1995: 184).

Just in time (JIT)

It was first developed and perfected by Tai-chi Ohno, Toyota vice-president.

Just in time is a 'pull' system of production, Demand-pull makes organisation to produce only what is required, in the right quantity and at the right time. This means that storage of raw materials, components, work in progress and finished goods can be kept to a minimum

Total Quality Control

Every single employee is needed to try maintain and improve quality of his products and also to help organisation to improve the overall quality of the company's product (Cheng and Podolsky, 1993: 206).

Quality Circles (QC)

Quality circles are small groups of individual of organisation they do similar or related work, which are to identify, analyse, and solve product-quality and production problems, and improving in operations. They also take issue of organisation like personal training, job enrichment, and leadership development (Cheng and Podolsky, 1996:206).


it is easily defined as a group of people using their imagination power to make new ideas and solutions of problems. The main objective of the meetings of the group members is to identify problems and develop their solutions.

The Silent Idea-Generation Process

this process deal with those employees who are not able to give their best output at their work place so member of this process identified the problem which is related with that employee and give solution for that problem. The silent idea-generation process also can be used to identify problems, inadequacies in training etc.

Pareto Charts

Pareto charts assist in problem identification and analysis of the percentage of each cause that contributes to the problem.

Suggestions System-Japanese Style

The suggestion system, It involves three stages. In the first stage, management makes every effort to help the workers provide suggestions, no matter how primitive, for the betterment of the worker's job and the workshop. This stage is usually used to help the workers look at the way they are doing their jobs. In the second stage, management stresses employees' education so those employees can give better suggestions for decision making. In order for the workers to provide better suggestions, they should be equipped to analyse problems and the environment. This requires education. Finally, in the third stage, after the workers have become both interested and educated, management starts to be concerned with the economic impact of the suggestions (Masaaki, 1986:113-14).

Adaptation of such technique of Japanese management by Toyota

Toyota is one of largest automobile company of the world and Toyota is a winning car manufacturer for many years and not any organisation can delivers the same way as they do, it is a Japanese company and they follow the Japanese management method for their production system. Every time Toyota tries to reduce their production cost unless it will not cost their quality of products and for that Japanese management is adopted by Toyota for their production system. Toyota produce products required quality and quantity of products when it is demanded by customer with the help of Japanese management technique and By using Japanese management technique Toyota managed to control on cost. Toyota management applies kaizen (Continuous improvement) framework and Just In Time (JIT), Jidoka (Autonomation), Shojinka (Flexible workforce) Soikufu (Creative thinking) is a part of Kaizen framework.

Just in time (JIT)

It is a 'pull' production system. It help organisation to produce whatever is needed or whatever is required to produce in right time and right quantity. This help organisation to keep all amenities which is required for production at its minimum level even finished products kept according to its demand. This needed to very careful planning but today's technology become very waste and development of new software it becomes very easy to maintain stock record for manger. So it becomes very easy to ordering for right stock.

Toyota applies JIT in his production system because it helps them to delivered right thing when it is needed in production process. JIT help Toyota to save their production cost by many ways for example it reduce cost for stock holding, it reduce storage space so they can save rent for warehouse and also insurance cost for it.

There is small amount of raw metrical for faulty products which needed to look for its availability when it needed. Stock should be come on time if stock which is not arrive on time all production process needed to stop. If demand for product is increased so it become difficult because production of product is made on actual demand.


Jidoka also known as autonomation and it is a main concept of Japanese management which is adopted by Toyota for his production system. Main function of jidoka is autonomation in organisation. it deal with machine which can do human work for organisation more effectively and more efficiently. Sakichi toyoda developed this technique in 1902 with the shut down machine if there is any single defect take placed in product. And second important function of jidoka is it make separate human from machine.

Toyota adopts this technique because machine is operated by one person so it cause reduction in direct labour and it can reduce lot of cost from production process. And jidoka help to reduce waste of row martial.

It cause huge redundancy in organisation and if there is any of the machine stop working it needed to stop all production process system.


It is also known as flexible workforce. Shojinka deals with human resources in the organisation and maximum use of human resource at work place. They trained their employees to be multitask oriented because of it they can mange absence of any other worker at work place. Job rotation is one of the import implementation when you see your worker as multi skilled employ. Job rotations help them to get experience of different machine handling, experience, and motivation to do work at any place in organisation.


Soikufu is also known as creative thinking so the company progress can be achieved through continuous efforts to improve the activities it can be done from creative thinking of their employees.

Soikufu concepts play important role in Toyota production system and most importantly it deal with the workers' creative suggestions which help them to create new process or thing in organisation. If any employ innovate something new the results of innovation are officially published and honorary degrees is also given to the most outstanding workers by Toyota management and La cesin gratuita de su "saber-hacer", es garanta de la conservacin del puesto laboral. the innovations are finally registered on behalf of Toyota.

The Concept of Kaizen

Kaizen means continues improvement in organisation. One of the most important concepts in Japanese management is Kaizen and the one of the important key to Japanese competitive success. Japanese managers give their at least half attention to Kaizen.

Kaizen is generic and can be applied to every aspect of everybody's activities. The Kaizen philosophy assumes that our way of lifeis it our working life, or social life, or our home life-deserves to be constantly improved. In most of the business, the work of employee is based on present situation standards, may be explicit or implicit, and imposed by management. Training and discipline is also included in continuous improvement of human (Masaaki, 1986:16).


Lastly it is concluded that from last few decades Japanese management techniques have been improved and many organisation in the World are adopting those technique to maximise their profit. Japanese management also help in high productivity and efficiency and the equally high quality of the products, customer oriented, trained employees for solving problems. Main concept of Japanese management is human creative thinking for their work which is most important for any organisation. Toyota adopted Japanese management technique for his production system and now Toyota is one of the greatest companies in the world in car manufacture and these technique help Toyota to reduce cost of production but it does not cost their quality of product. Toyota adopted four technique of Japanese management which are Just In Time (JIT), Jidoka, Shojinka, Soikufu for Toyota production system and all four technique are part of Kaizen framework which can be founded in Japanese management and because of the competition which they give in market.

Many organisations in the world which are adopting some of the Japanese management technique mostly by western organisation and they are getting success from it. Large organisations as well as small organisation are using many of the Japanese management technique in present year in the world.

Los ms creativos reciben recompensas monetarias.


  • WHITEHILL, A.M. (1991) Japanese management: tradition and transition, London: Rutledge
  • FUKUDA, K.J. (1988) Japanese-style management transferred: the experience of East Asia, London: Rutledge
  • CHEN, M. (1995) Asian management systems: Chinese, Japanese and Korean styles of business, London: Rutledge
  • CHENG, T.C.E and PODOLSKY, S. (1993) Just-in-time manufacturing, London: Chapman & Hall.
  • CHENG, T.C.E and PODOLSKY, S. (1993) Just-in-time manufacturing, London: Chapman & Hall.
  • MASAAKI, I. (1986) Kaizen (Ky'zen): the key to Japan's competitive success, New York, NY. ; London McGraw-Hill
  • MASAAKI, I. (1986) Kaizen (Ky'zen): the key to Japan's competitive success, New York, NY. ; London McGraw-Hill

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