The Andon Cord
Andon is the Japanese word for paper lantern.
Almost anyone can make a paper lantern. All it takes is paper and a candle.
But if a little paper lantern is not attended to, it can burn down an entire house.
Paper lanterns or more specifically, Andon Cords, set Toyota apart from American car makers.
The Andon Cord was a string that any employee on the Toyota product line could pull if there were a problem.
Today, companies like Amazon have also adopted this practice, which has helped increase customer satisfaction.
Calling out a mistake or stopping an entire production line sounds like a scary proposition for a mere line worker.
But Toyota created a culture that encouraged pulling the Andon Cord.
As soon as the Andon Cord was pulled, the team lead would arrive and thank the team member for pulling the cord, creating psychological safety.
Toyota knew that small mistakes had rippling effects and, therefore, encouraged error identification and caught them early on. This helped Toyota become a car manufacturer known for quality that’s built to last.