Phân tích hệ thống hậu cần chuỗi cung ứng của toyota e

Quality Management: Globally quality commitment Both in short and long term, Toyota always commits and implements high quality strategy in every production stages: marketing, production

PHÂN TÍCH HỆ THỐNG HẬU CẦN & CHUỖI CUNG ỨNG CỦA TOYOTA ANALYSIS OF LOGISTICS SYSTEM & TOYOTA'S SUPPLY CHAIN.

Lessons learned from the construction of Toyota’s logistics system and supply chain

CONTENTS

About Toyota 2

I Business strategy, market segmentation and competitive priorities of Toyota 1 Business Strategy of Toyota

2 2 Market segmentation

2 3 Competitive priorities

3 II Operational Strategy of Toyota

1 Product Design 3

2 Capacity Management 4

3 Positioning 4

4 Quality Management 5

5 Material Management 5

III Logistics strategy and supply chain

1 Production and distribution process of Toyota 6

2 Inventory Strategy 11

3 Transportation Strategy 11

4 Information Strategy 11

IV Lessons learned from construction of logistics system and supply chain of Toyota 12

About Toyota

Toyota Motor Corporation is founded on August 28, 1937

- Head Office: 1 Toyota-Cho, Toyota City, Aichi Prefecture 471-8571, Japan, Phone: (0565) 28-2121

- Tokyo Head office: 1-4-18 Koraku, Bunkyo-ku, Tokyo 112-8701, Japan, Phone: (03) 3817-7111

- Capital: 397.05 billion Yen (5 billion USD) (as of March 31, 2011)

- Number of employees (Consolidated): 317,716 people (as of March 31, 2011)

- Number of employees (non-consolidated): 69,125 people (as of March 31, 2011)

- Main business activities: Motor Vehicle Production and Sales

- Sales revenue:

From April 2010 to March 2011: 18.993,60 billion Yen (243,5 billion USD) From April 2009 to March 2010: 18.950,4 billion Yen (242,9 billion USD) From April 2008 to March 2009: 20.529,5 billion Yen (263,1 billion USD)

- Sales result:

From April 2010 - March 2011: 7,308,000 vehicles

From April 2009 - March 2010: 7,237,000 vehicles

From April 2008 to March 2009: 7,567,000 vehicles

Source: http://www.toyota-global.com/company/profile/overview/

Toyota

1 Business Strategy of Toyota

Toyota is the world’s No.1 manufacturer of automobiles and always implements the strategy to maintain this No.1 position

2 Market segmentation

Toyota compete in 03 product lineup that are luxury car (Lexus), midsize car (Landcruiser , Venza, Fortuner, Camry, Avelon, ) and low price car (Corola Altis, Vios, Yaris, )

3 Competitive priorities

Toyota globally competes in 03 market segmentation Toyota’s policy is products

to meet diversified customer and demand in each region

II Operational Strategy of Toyota

1 Product Design:

Strategy of product design: design offices of Toyota are based in home country and different regions: Japan, American, Europe (Belgium, France), Asia Pacific (Thailand, China, Australia); Each office designs their own products, then Toyota starts selecting the best design that satisfy customer preference, culture diversification from different countries, regions all over the world to produce Toyota always focuses on launching the car model with advanced technology, compact design, elegant, high quality, and particularly luxury interior equipped and fuel economy

- Attractive products

Strive to improve style and feeling

Satisfy demand in each region

Provide car inspring to customers

- Environment

Promote the eco-friendly hybrid cars.

Launch eco-friendly car models in the future (PHV, EV, FCV)

Design increasingly fuel economy models

Illustration 1 – Strategy of Toyota’s product design

Source: http://www.toyota-global.com/innovation/toyota_design/global_network/

http://www.toyota-global.com/company/message_from_president/president110309.pdf

http://www.toyota-global.com/company/profile/facilities/r_d_center.html

2 Capacity management: Toyota maintain low inventory strategy, “made-to-order”

strategy (when customers prefer Toyota, they are completely able to wait for their car)

Positioning

Toyota’s plants are located in many different areas to respond diversified customers’ demand as soon as possible

Plants located in Japan: producing high quality and luxury car models

Plants located in Europe, Americas and Oceania

Plants located in Africa

Plants located in several Asian countries: China, Taiwan, Thailand and Vietnam…

By the end of March, 2011, Toyota has 50 plants in 26 countries and territories outside Japan Toyota car models are sold over 170 countries and territories

Illustration 2 – The system of Toyota plants outside Japan

Source : http://www.toyota-global.com/company/profile/facilities/worldwide_operations.html

Factories are located at places with convenient transporation system

3 Quality Management: Globally quality commitment

Both in short and long term, Toyota always commits and implements high quality strategy in every production stages: marketing, production, sale service

“Always better cars, Develop vehicles which exceed customer expectations”

Illustration 3: Toyota quality strategy

(1) Marketing, (2) and (3) production, (4) after-sale service

Source : http://www.toyota-global.com/company/toyota_traditions/quality/

The key to success of Toyota is production system and advanced management method which is known as "Toyota Way" In essence it is a business philosophy towards the highest quality and satisfy customer needs the best, most completely and timely It never ceases effort to get the perfectiveness, continuously create and improve all methods and processes of production and marketing, from the first stage to the finished cars, from lauching products to customer service, maintenance and product warranty

4 Material management

The entire core of car production in Japan is to ensure global quality and technology secret Supporting materials are purchased locally

III Toyota logistics and supply chain strategy

1 Toyota’s production and distribution process

Toyota implements “Just in time” strategy: only do “What is needed, when it

is needed, and in the amount needed”

Production efficiency is achieved by eliminating all waste, inconsistencies, and unreasonable requirements of production line to deliver products to customer as soon as possible.This can be done by following these steps:

- When Toyota get orders from customers, they should regulate production department to produce as soon as possible

- Assembly line must always have available sufficient varied car parts to

proceed immediately

- Assembly line always get parts from department producing these to cover parts used at the end of each cycle

Department producing parts should always maintain small number of all types of parts and only provide assembly line added parts for the next cycle of line

Toyota is manufacturing high quality automobile due to the invention of high quality production system “Jidoka”

Automation with a human touch

Jidoka Visual control

Toyota TPS Production System is the most famous key to success of this brandname, which is widely applied in all factories and affiliates around the world

by Toyota Problems in the production process and the risk of poor quality products are prevented from the first step to ensure stable quality and minimize workload, cost and time to overcome these problems and poor quality later When problems arose, the first is asking why five times then conducting research and analysis immediately the cause so such things can not happen again in the future Products and production processes are improved and continuously grew Customer needs are considered as decision criteria for all For the whole, business philosophy and expectation is everything that turns the whole corporation into an instrument making up value for customers, society and those who work in corporation

The secret of success for Toyota is a form of business culture characteristic Preventing problems in the production process, mistakes in management, risks of materials and parts supply chain as well as encouraging employees to commit with corporation, wholeheartedly working for corporation helps to reduce maximum all unnecessary expenses and charges, to ensure all business activities stable and effective; managing and operating consistently make the large corporations operate harmoniously and continuously be improved to become better, more perfect and more effective

Illustration 4: Jidoka – Manufacturing high-quality products

Source : http://www.toyota-global.com/company/vision_philosophy/toyota_production_system/jidoka.html

Toyota production and distribution system

Producing and delivering ordered vehicles in a timely manner

Illustration 5 –Toyota automobile production and distribution sytem

Source: http://www.toyota-

global.com/company/vision_philosophy/toyota_production_system/illustration_of_the_toyota_production_system.html

(1) Production order information is incorporated to the production line

To quickly incorporated order information into production system, production plan is built by 03 phases:

- Monthly production plan: total number of automobiles manufactured (total volume) is determined each a month

- Detail production plan: confirmed 04 times/ month based on orders received from dealers

- Daily production plan: Amount of daily production shall be determined by the last update of orders Production plan framework gives the latest order into assembly line

Based on confirmation of the daily production plan, production system will proceed to produce types of uniform quality automobile throughout a day As a result, the number of components is used up (heijunka)

(2) Timely production

Efficiently producing vehicles with different specifications one at a time in a timely manner while ensuring high quality

Facility: Capable of accommodating vehicles with various specifications For example: Use of welding robots that can weld several types of bodies with different shapes Painting system can switch paint for individual vehicles painting their bodies in different colors without creating any waste

Operators: Able to correctly and smoothly assemble vehicles with different work details and assembly parts

Parts: To be able to accommodate dozens of different types of which the assembly line is stocked with small numbers of all types

(3) Replacement of part used

Only those parts that have been used up are retrieved in a timely manner, without delay, using card “parts retrieval kenban”

Parts retrieval kenban

- Parts retrieval kenban is attached to each box of parts on the assembly line

- When an operator uses parts, he or she removes the parts retrieval kenban

- Operator carries parts retrieval kenban to the parts plant without delay to retrieve replacement

- Parts plant has small numbers of all types of parts available at the end of each process so that they can replace immediately all used parts

- Operator retrieves parts according to parts retrieval kenban

- When retrieveing the parts, operator attaches the parts retrieval kenban to the parts box

(4) Efficiently producing and replenishing only those parts that have been retrieved.

Using a card called a “production instruction kenban” as a production instruction sheet, parts are produced without delay

• Producing and replenishing parts based on a “production instruction kenban”

- All types of finished parts are stocked at the end of each process and a

“production instruction kenban” is attached to each box

- When the operator of the succeeding process retrieves finished parts, the production instruction kenban is removed

- “Production instruction kenban” is returned to the parts production process without delay, and parts are produced

- “Production instruction kenban” is attached to the box of produced parts, which is kept according to the type of parts it holds at the end of the process

• Key points for reducing finished product inventory

- Parts are produced in a flow system, eliminating delays

- Parts are produced at a speed commensurate with the production volume needed

- Only the quantity of parts needed is produced

 Kanban production operation method

Based on the idea of store management of supermarket with thousands types of goods sold, supermarket must ensure all goods are always reloaded sufficiently at anytime, not including ordered goods This problem is very difficult, because of diversified types of goods, not including goods that need a special preserve condition, short expiry date So how large is the stock area? How much is equipment to satisfy above mentioned condition? The answer is using product’s card with information such as: name of product, code and storage location It is necessary to design a system that products are always reloaded to be ready for the next cycle Toyota is very successful with its Kanban system

Illustration 6 – Toyota Kenban system

Source : http://www.toyota-global.com/company/vision_philosophy/toyota_production_system/just-in-time.html

 Customer service:

As mentioned in part II.4, Toyota commits good quality of production, sale and after sale service

Toyota expects and conduct to “achieve the credibility of customers and dealers” Toyota’s view is Customer first Toyota designs and provides products, conducts service that satisfy varied customer’s needs globally Toyota implements production plan according to customers’ needs to respond the best customer’s expectation

Toyota develops and provides attractive products lineup, showroom and sales office, warranty center with professional style, provide parts, manage globally quality Expecting to keep the customer and dealer’s trust

Source : http://www.toyota-global.com/company/vision_philosophy/pdf/chapter2.pdf

2 Trasportation strategy

Toyota conducts low cost transportation strategy because vehicles and accessories are heavy and voluminous In addition, customers already compared and carefully selected before order so customers are completely able to wait for their cars

- Finished goods: Because of large dimension, it is complied to be transported

by sea shipping line for international shipping, for domestic shipping, it is able

to be shipped by sea, water way or road

- Material: shipped by sea to reduce cost of products, high value and compact materials are shipped by air way

Purchase accessories at plants to reduce transportation cost

(If shipping by sea way from Japan to Vietnam, from the date of loading to docking Hai Phong port takes 10 days, by air way, it takes only 1 day Not mention time to unload at arrival port)

3 Inventory strategy

Made-to-order, low inventory to reduce cost of storage and other related costs For materials of production, conduct low inventory strategy due to optimal production and materials management system

4 Network strategy

By the end of March, 2011, Toyota has 50 plants in 26 countries and territories outside Japan Types of Toyota vehicle are sold over 170 countries and territories Dealer systems, warranty center widespreads in every country where Toyota does business

Outside Japan, Toyota widely conducts research and development around the world as mentioned above to operate better and adapt changing environment of business activities, global diversification, characteristic of each local and region in regulation and customs, and so on…, quickly changing of climate, politics and world economy Toyota respects international regulation and law, as well as custom,s culture and local history Toyota promotes business and contributes to the local socioeconomic development

Network widespreads to response customer demand as soon as possible, utilize low cost labor, investment incentives such as tax and transportation cost to reduce costs Set up showroom, sale center at city center (the best is places where are available showroom and sale center of other manufacturers) because of not being a commodity, customers will research and compare carefully before purchasing