The Toyota Motor Co Ltd

8/8/2019 The Toyota Motor Co Ltd

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Presented by syam

Msc international logistics


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Company Historyy Toyota motor co ltd. (Toyota) was first established in 1937

by kiichiro Toyoda

y Toyota motor sales (TMS) U.S uses the term associates inthe place of employees.

y In 1950s Toyota production system were improved (TPS)

(This system that has become the basis for highly efficientlean manufacturing in industries world wide.)

y Just in Time this system is a major factor in the reductionof inventories and defects in the plants ofToyota and theirsuppliers


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Segmentation of Toyota


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Segmentation of Car buyers Based on PRICE

preference

Economy Segment


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Segmentation of ToyotaEconomy Segment y It is the largest segment of the world market accounting

for over 60% of the market.

y Toyota launched its first small car (model S A) in 1947

y Production of vehicles outside Japan began in1959 inBrazil

Growth in volume expected but decline in market share

y Developing countries, in India, this segment actually wantsa low priced car and not necessarily a small car.


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preference

Mid-sized Segment


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Segmentation of Car buyers Based on PRICE preference

y Mid-sized Segment

- It lies between the Economy car and Family carSegment

- Growth in volume and market share expected

- It is accountable for 15% of Market Share


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preference

Family Car Segment


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preference

Premium Car Segment


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y Premium Car Segment

- represents buyers who need a real world-class car andwilling to pay the price.

- Easy to enter segment, relatively crowed

- Likely to saturate soon and market share will startdipping


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preference

Super Luxury Saloon


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y Super Luxury Saloon

- Buyers in this segment looks for a super premium car.

- Mercedes Benz E 229, E 250,BMW, Rover Montego,Audi 6 , Toyota camry are some of the Major Players

- This is a tiny segment in the Indian contest


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Manufacturing

world wide operations


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Supply chain cycles


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Domestic supply chainy Toyota is the japans market leader with (42.6%)

market excluding mini vehicles

y Nissan -19.4%y Honda -11.9%

y Toyota approach different channel strategy

They listen the opinion of its dealers and offers a wider lineof products in Japan

Mostly building offers from dealers


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Distribution channels

y Toyota sales and marketing works divided in to fourdistribution channels

yToyota (mostly high end large cars)

y Toyopet medium size)

y Toyota corolla

y Netz Toyota(compact)


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Domestic vehicle ordering and

inventory management systemy Ordering process operates in three planning cycle

productiondailyweeklymonthly


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Overseas distribution

supply chain


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y Us market

1,200 dealers 12 regions

multiple districts

10-15 dealers


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Total markets 170 countries

160 distributors /importers and numerous dealers

China is highest growth marketTotal sales

Japan North A

Remaining Regions


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European plants

Located In UK Avensis,Corolla

France Yaris

Turkey Corolla


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Asian plantsy Thailandy Indonesia

y Philippines

y Malaysia

y Taiwan

yVietnam

y India

y Pakistany China - Joint venture with a local company


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Order planning cycles In overseasTwo planning cycles

y Annual planning cycle - starts inOctober(Each country presents three year sales plan)

InDecember - production plan create(Supporting sub plans materials/logisticsrequirements)

In June revisit the plan for adjustments

y Monthly cycleSales are subject to internal / external events

introduction of new car from the competitor


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Competitive advantagey Low price - satisfying all segments

y High quality

y Fast delivery - (shipping advantage , BTS)yWide range of products / CRM

y Innovative technology

yAbility to change the timing /quality in last momentsof production.


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Competitive Polar diagram

quality

speed costLOW

flexibility dependability


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Order winning factorsy T

echnology factorssafety technology

Manufacturing

Design

Price Financial activities


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Order qualifying factorsy Easy understanding technology

y Personal mobility

y Robotic technology


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THANK YOU

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The Toyota Motor Co Ltd