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In 1960, the Emperor of Japan awarded the 2nd order Medal of the Sacred Treasure to Dr. Deming for introducing, pioneering and implementing Kaizen in Japan. Kaizen was first adopted by Toyota when it implemented quality circles in its production process.

A quality circle is a group of people who work on the same or similar project, who meet on a regular basis to identify, analyse and solve work-related issues, if any. This led to the formation of the Toyota Production System, led by Taiichi Ohno, a former Executive Vice-President of Toyota Motor Company.

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