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Japan / Korea Trip Presentation: Toyota. Aaron Fyke Yuki Wada Gary Mi Grace Webber Tony Palumbo. Agenda. Headline facts: Toyota Global auto industry trends Japanese auto industry history Toyota company background Company history Production history Business segments

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japan korea trip presentation toyota

Japan / Korea Trip Presentation:Toyota

Aaron Fyke Yuki Wada

Gary Mi Grace Webber

Tony Palumbo

agenda
Agenda
  • Headline facts: Toyota
  • Global auto industry trends
  • Japanese auto industry history
  • Toyota company background
    • Company history
    • Production history
    • Business segments
  • The Toyota Production System
  • Toyota’s strategy
  • Our questions for Toyota
headline facts toyota
Headline Facts: Toyota
  • Toyota has annual sales of $120 Billion
  • Produces ~5.5 million vehicles per year
  • From 56 manufacturing plants across6 continents
  • Employs ~200,000 people
  • 3rd largest automotive manufacturer
global auto industry trends
Global auto industry trends
  • Overcapacity
  • Economic downturn
  • Shifting consumer demands
  • European trade barrier reductions
company history
Company History
  • Established in 1937 out of Sakichi Toyoda’s weaving machine company
  • Launched first car (SA Model) in 1947
  • “Toyota Production System” formed in 1950 based on Just-In-Time principle
  • First global expansion in 1959 at Brazil
  • In 1972, cumulative production >10M units
business segments
Business segments
  • Automotive
    • Design, manufacture and sales of passenger cars, recreational vehicles, SUVs and related parts
  • Financial services
    • Provisions of loans to car buyers and car dealers
  • Others
    • Industrial vehicles (forklifts, etc.)
the toyota production system
The Toyota Production System
  • Revolutionized manufacturing industry
  • At its core is “lean”
    • a relentless drive to improve efficiency and eliminate waste
  • Beginnings of TPS were born out of necessity due to lack of resources in post-war Japan.
toyota production system key main concepts
Toyota Production SystemKey Main Concepts
  • SMED
    • Single Minute Exchange of Dies
    • Promoted flexibility of production runs
  • JIT
    • Just In Time manufacturing
    • Small batches which reduced inventory costs, tightened relationship with suppliers and improved quality control
slide11

Toyota Production SystemKey Main Concepts

  • “5 Whys” Quality
    • Asking “Why?” 5 times to locate source of problems
    • Stopping the production line whenever there are quality problems to ensure they are not repeated
  • Low cost supplier
    • Long term supplier relationships
toyota s strategy
Toyota’s Strategy
  • Increase competitive strength through advanced technology
    • Environmental technology
      • fuel consumption, emission, recoverability
    • Hybrid vehicles and next generation fuel cells
    • Cost-reduction efforts
      • discontinuation, integration of older models
    • Increased emphasis on financial services and information communication system
our questions for toyota
Our questions for Toyota
  • Current competitive landscape
    • Local and global competition (Korea, Daimler-Chrysler, Ford, GM etc.)
  • Future of automobiles
    • Development of fuel-cells, integration of Internet applications and other trends
japanese auto industry history
Japanese auto industry history
  • From follower to leader
  • From domestic producer to exporter
  • Interventionist government