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Toyota - Essay Example

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Mary Tran 26 April, 2011 Toyota gains competitive edge over other rivals in its product market due to its traditional and consistent business philosophy of focusing on ‘Toyota Production System’. As per this, Toyota not only involves its internal employees by recognizing and rewarding the loyalty and creativity, but also strengthens its ‘supplier-manufacturer’ relationship…
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To be specific about the operational aspects of Toyota, major focus areas involve its ‘supply chain management’: outsourcing to externalize its direct costs and lowering down the market risks to least. Effectively established Just-in-time (JIT) set-up to minimize inventory costs and reducing wastes, further, keeping a look at the suppliers’ channel to avoid any risks and errors. Adding to this, Toyota preferred delegating its tasks singly to the concerned specialist workers rather than giving multiple tasks to single worker. This helped in reducing errors as each task was handled by its specialist. Toyota constantly kept on identifying its errors and designing the related handling processes. Reducing process timing and increase in inventory turnover through kanban was also well-practiced by Toyota. Toyota ensures safety, environmental concern, quality performance of products and other essential attractions on affordable prices, by collecting the needs and expectations directly from the customers. Hence, the primary contact with the users bring the ‘customer involvement policy’ of Toyota which entitles ‘Customer First’ as its focus-line of working, clarifying that it leads to ‘Quality’ which is a distinguishing characteristic of Toyota products. ... Read More
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