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Y = F (X)


Effect = F(Causes)

Y = F(X)

X = Toyota Way, Commitment, Consistency, organization wide internalization

Toyota way is the way. One actually falls short of words to explain the golden standard set by Toyota for operational excellence, Quality, commitment to company, stakeholders and society in general. Toyota practices all theses values by themselves and truly stands out as leaders for others to follow.

In the equation Y = F (X).

X represents the set of independent variables that impacts the out come (dependant variable Y).

Y is the effect and X represents causes. Many of the developing companies needs to understand the X’s and define them as clearly as possible. Without going into the complex statistical meaning we will try and simply analyze the cause variables. Factors like Toyota way, Commitment, Consistency and organization wide internalization can take up values like yes or no or partly followed etc. It is in this respect I try to consider them as variables and not in statistical connotations.

If we take X1 = Toyota way, we can consider following Toyota way to the extent possible say from 1% to 100%.  Lean management, relentless commitment and Total Quality and many other elements form the Toyota way. Combination of all these applied relatively to companies in their context forms this variable.

X2 = Commitment. Here obviously the Top Management commitment takes a very high proportion. If all the middle and lower level resources are highly committed to key objectives like Quality and productivity and Top Management does not reflect the same naturally the there will be less motivation down the levels and companies bound to suffer in the long term. Here the commitment index can take values again from 1% – 100%.

X3 = consistency.

Consistency may be defined as applying best principles like Toyota way in all possible opportunities, levels and all areas.

This can take values between 1% – 99%.

X4 = organization wide internalization

The best practices and methodologies do need to percolate down the lowest levels from the Top including supplies and customers forming the seamless Supply Chain.

Here also the index can vary from 1% to 100%.

When all these factors X1, X2, X3 and X4 work in synergy and in suitable combination the Effect Y will be the greatest.

Now Y could be defined as Best Market leader positioning, best service provider, Making difference to the world to a significant extent, profits etc as per the nature and objective of the companies.

Hence the cause variables need to be carefully chosen, understood, given weights and pursued at. The effect variable will get its full value automatically and need not be bothered about.

Performing what ought to be done(Xs) to the best of one’s abilities the Goal (Y) will be met on its own.

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