TOYOTA MOTORS

- Lalit Sharma
M15045
INTRODUCTION
Established by Kiichiro Toyoda in 1937, Toyota has sought to contribute to a
more prosperous society through the manufacture of automobiles, operating its
business with a focus on vehicle production and sales
Toyota Motor Corporation is headquartered in Toyota City, Aichi
Mr. Akio Toyoda is the President of the company
The company has an employee strength of 344, 109 (as of 31 st March, 2015)
At Toyota, the company upholds the philosophy of continuous improvement
(Kaizen) because it is believed that there is always scope to do better. It is this
very philosophy that drives Toyota towards quality, making it a way of Life at
Toyota.
TOYOTA BOARD OF MEMBER DETAILS
NAME DESIGNATION

Akio Toyoda President, Chief Executive Officer and

Director

Takeshi Uchiyamada Chairman of the Board

Akito Tachibana Managing Director, India

Vikram S. Kirloskar Vice Chairman, India

TOYOTA BHARAT
Toyota Bharat has grown since its inception in 1997 in India
Their mission is to innovate continuously, keeping in mind the changing needs
of customers, stakeholders and society at large
Toyota Bharats ultimate goal is to become 'the most admired company in the
country'
The monumental affiliation of Kirloskar Motor with Toyota Motor
Corporation in 1997 further solidifies determination to work for the growth of
the Indian industry
In India, TKM contributes to society through its efforts in the areas of
education, community care and the environment
MISSION & VISION
Vision
Toyota will lead the way to the future of mobility, enriching lives around the world with the
safest and most responsible ways of moving people. Through our commitment to quality,
constant innovation and respect for the planet, we aim to exceed expectations and be rewarded
with a smile. We will meet our challenging goals by engaging the talent and passion of people
who believe there is a always a better way.
Mission
We deliver outstanding automotive products and services to our customers, and enrich our
community, partners and environment
Four Core Values
Customer first
Respect for people
International focus
Continuous improvement and innovation
GLOBAL PERFORMANCE
Toyota is the worlds largest automotive manufacturer
In 2014, it sold 10.23 million vehicles, beating both Volkswagen and General Motors
Toyotas sales figures are in excess of $250 Billion US Dollar
Toyota has become the largest vehicle manufacturer in Japan with over 40% market share

Source - http://www.forbes.com/companies/toyota-motor/
KEY PRODUCTS
TOYOTA PRODUCTION FIGURES

Source - http://www.toyota-global.com/company/profile/figures/vehicle_production_sales_and_exports_by_region.html
TOYOTA SALES FIGURES

Source - http://www.toyota-global.com/company/profile/figures/vehicle_production_sales_and_exports_by_region.html
TOYOTAS TRANSFORMATION MODEL
FOR BUSINESS IMPROVEMENTS
TOYOTAS GENERIC STRATEGY
Toyota Motor Corporations generic strategy is a combination of the cost
leadership generic strategy and the broad differentiation generic strategy
Cost leadership entails minimizing cost of operations. On the other hand, the
broad differentiation strategy requires developing business and product
uniqueness to ensure Toyotas competitive advantage.
The company does so through the just-in-time (JIT) manufacturing method,
which is also known as the Toyota Production System (TPS)
On the other hand, Toyota has the strategic goal of innovation to address the
broad differentiation component of its generic strategy. Innovation leads to
unique and attractive products for all market segments.
TOYOTAS INTENSIVE STRATEGIES
Market Penetration - This intensive strategy supports business growth by reaching
and attracting more customers in the firms current markets. For example, the
company has sedans, trucks, SUVs, luxury vehicles, and other product lines for every
type of customer.
Product Development - Toyota uses product development as its secondary intensive
growth strategy. For example, through the Toyota Prius, this intensive growth strategy
empowers the firm to attract customers concerned about the environment
Market Development - Toyota already has a global presence. In this intensive
strategy, Toyota grows by entering new markets or selling to new market segments.
However, the company already has presence in most markets around the world. This
intensive growth strategy supports Toyotas cost leadership generic strategy by
maximizing the companys global market presence.
TOYOTA SWOT ANALYSIS

STRENGTHS WEAKNESSES
Innovative culture Large recalls
Brand reputation Weak presence in the emerging markets
Industry leader in production and sales
Strong brand portfolio SWOT
OPPORTUNITIES
The leader in green cars development THREATS
Positive attitude towards green vehicles Fluctuating fuel prices
Changing customer needs New emission standards
Intense competition
TOYOTA PRODUCTION SYSTEM
Toyota Production System aims at Integrating People, Process and Technology
It establish customer-defined value to separate value-added activity from waste
A production system which is steeped in the philosophy of "the complete elimination
of all waste" imbuing all aspects of production in pursuit of the most efficient methods
Toyota Motor Corporation's vehicle production system is a way of "making things"
that is sometimes referred to as a Lean manufacturing system"
The Toyota Production System (TPS) was established based on two concepts: The first
is called "jidoka" - Quality must be built in during the manufacturing process!
The second is the concept of "Just-in-Time - Making only "what is needed, when it is
needed, and in the amount needed!
COMPETITOR DETAILS
NAME UNIT SALES REVENUE (USD) EMPLOYEES
(2015)
Hyundai Motor 7.71 million 80 Billion 249,366
Group
Renault-Nissan 8.47 million - 450,000
Alliance
General Motors 9.92 million 152 Billion 216,000
Volkswagen 10.1 million 220 Billion 592,586
Group
TOYOTA FAILURES
From 2009 2011, Toyota recalled around 6 million cars due to pedal entrapment/floor
mat problem and accelerator pedal problem. It was fined $1.2bn (720m) by US
regulators.
In 2014, Toyota recalled more than 6.5m cars worldwide to fix a variety of problems,
including faulty steering wheels and seats
Each announcement put another dent in Toyota's efforts to recover its reputation and
resurrects questions about the impact of its strategy of rapid expansion on previously
enviable standards of design and production quality
In Oct 2015, U.S. officials demand answers from Toyota after convoys of the carmaker's
trucks and SUVs appear in ISIS videos
U.S. officials watched hundreds of Toyota SUVs and pickup trucks paraded through
Libya, Syria and Iraq in ISIS propaganda videos demanded answers from the Japanese
automaker
Maintaining they were unaware of how ISIS got their hands on the vehicles, Toyota said
it was committed to supporting the Treasury's inquiry
CRISIS MANAGEMENT
The giant of the automotive industry face many crisis
management scenarios
Toyotas response to the recall lacked a clear policy and
process
Delays in recall had significantly affected the brand
image of the company

Source - https://prezi.com/w3wopror7mho/toyota-crisis-management-analysis
SUGGESTION / RECOMMENDATION
Toyota has a weak presence in emerging markets. Toyota should ensure that it
targets Africa and other emerging markets.
A number of recalls in recent years have put a dent on the reputation of
Toyota. Toyota should ensure effective recall mechanism.
Thank You!!!!