Figure 1 depicts a hypothetical research model, summarizing the above literature review on the diffusion of TPS.
Here, TPS is defined as a collection of principles (including manufacturing methods, work organization, human resource management, and supply chain management), which originated with Toyota, but now is recognized as a standard for manufacturing worldwide.
Those TPS principles may be emulated by various means; including prototyping (an initial replica of manufacturing arrangements), technical transfer (imitation or import of manufacturing facility and technical knowledge through Toyota-related consultancies), and benchmarking (establishing goals and comparative standards).
Through this emulation process, the recipient ‘mutates’ the TPS principles; in other words, it develops its own production model by selecting, interpreting, and transmuting TPS principles to meet its own business context, comprised of both external and internal (or organizational) forces.
Note that this research model is applicable to ordinary manufacturers that have adopted their own course while emulating TPS, without having any direct linkages to Toyota, such as transplants or joint ventures.
Consequently, it offers more generalized insights about the spread of TPS across borders.
The next section applies this research model, in order to examine the specific case of Hyundai.