Scribd
Upload
10 views3 pages

Toyota's Inventory Management History, Achievements, Founders and Products

Toyota Motor Corporation, founded in 1937 by Kiichiro Toyoda, has become a leader in the automotive industry through innovative supply chain management and production processes. The company produces a wide range of vehicles, including popular models like the Toyota Corolla and Prius, while also focusing on environmental sustainability with advancements in hybrid and hydrogen fuel cell technology. Toyota's strategic inventory management, which includes safety stock and lead time considerations, has contributed to its resilience and competitive advantage in the market.

Uploaded by

nguyenhien292004
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
10 views3 pages

Toyota's Inventory Management History, Achievements, Founders and Products

Toyota Motor Corporation, founded in 1937 by Kiichiro Toyoda, has become a leader in the automotive industry through innovative supply chain management and production processes. The company produces a wide range of vehicles, including popular models like the Toyota Corolla and Prius, while also focusing on environmental sustainability with advancements in hybrid and hydrogen fuel cell technology. Toyota's strategic inventory management, which includes safety stock and lead time considerations, has contributed to its resilience and competitive advantage in the market.

Uploaded by

nguyenhien292004
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 3

Toyota's inventory management

● History
The Toyota Motor Corporation is a globally recognized leader in the automotive industry.
From its beginnings in 1937, Toyota has established itself as a leader in supply chain
management and production process innovation. Toyota’s supply chain strategy has been
instrumental in its success and has allowed the company to achieve a level of competitive
advantage over its competitors.

Source: An Insight into Toyota supply chain strategy by DFREIGHT May 19, 2023

Toyota Motor Corporation is a Japan-based company mainly engaged in the auto industry
and business financial company operates through three business segments. (Toyota, 2010)
The automotive sector is engaged in the design, manufacture and sale of car products
including passenger cars, vans, and trucks, as well as related parts and accessories. Involved
the financial sector in the provision of financial services related to the sale of the company’s
products, as well as rental vehicles and equipment. And others participate in the design,
manufacture and sale of residential projects, as well as information and communication
business.

Toyota is the seventh largest company in the world and the second largest supplier of cars,
with production facilities in 28 countries around the world (Toyota, 2010) – and the
production facility is higher than any non-domestic auto industry in the United States. In
general, Japanese plants are flexible and produce multiple models, while allocated foreign
plants to a single form.

● Founders
Kiichiro Toyoda, founder of Toyota Motor Corporation through the work of his father,
Sakichi Toyoda as a starting point in the automotive industry, has developed Kiichiro Toyoda
founded what is now known as Toyota Motor Corp. more than 70 years. (Corporation, 2010)

● Achievements
Toyota takes a strategic approach to inventory planning. Operationally this stands on three
legs: strategically sized inventories in the right locations to act as a buffer to meet changing
demands, safety stock that factors in the risk of disruption, and a nuanced view of lead times.
It has been pointed out that the company learned a great deal from the Tōhoku earthquake
and tsunami of 2011, after which it identified parts vulnerable to disruption and, as a result,
were candidates to be stockpiled. How Toyota factors lead times into its inventory planning is
the key.

Safety and Quality: Toyota has consistently been known for producing vehicles with high
reliability and safety ratings, such as the Toyota Camry and Toyota Corolla.

Environmental Sustainability: Toyota continues to innovate in hybrid and hydrogen fuel cell
technology, with vehicles like the Mirai, a hydrogen-powered car. It aims to reduce carbon
emissions and lead the way in green technology.
Source: What Really Makes Toyota’s Production System Resilient by Willy C. Shih
November 15, 2022
● Products
Passenger Vehicles: Toyota produces a wide range of vehicles, including sedans, SUVs,
hatchbacks, and compact cars. Some popular models include:
- Toyota Corolla: One of the world’s best-selling cars.
- Toyota Camry: A reliable mid-size sedan.
- Toyota Prius: The pioneering hybrid car.
- Toyota Land Cruiser: A rugged off-road vehicle.
- Toyota Avalon: A full-size sedan.
Luxury Vehicles (Lexus): Toyota introduced Lexus in 1989 as its luxury brand, competing
with European and American luxury automakers. Lexus is known for high-end vehicles such
as the Lexus RX, Lexus ES, and Lexus LS.
Hybrid & Electric Vehicles: Toyota has been a leader in hybrid technology, offering vehicles
like:
- Toyota Prius: The world’s first mass-produced hybrid.
- Toyota RAV4 Hybrid: A hybrid version of the popular SUV.
Commercial Vehicles: Toyota also produces trucks, vans, and commercial vehicles,
including:
- Toyota Tacoma: A popular midsize pickup truck.
- Toyota Hilux: A rugged, reliable pickup sold globally.
Electric & Future Models: Toyota is expanding its offerings in electric vehicles (EVs), with
models like the Toyota bZ4X, part of its “bZ” (beyond Zero) series focusing on fully electric
cars.

Source: Toyota manufacturing UK

You might also like