Manufacturing Sector

• Manufacturing is the production of goods for use or sale using labor and machines, tools, chemical and biological processing, or formulation.

• Fortune Global 500 ranks Toyota as Number 1 in World’s manufacturing companies

Business model

Toyota way

Business Unit Organizations

Reorganization of regional

groups

New divisions not belonging

to a new group

New Organizational Structure

Toyota Production

System(TPS)

Just-in-Time(JIT)System

Jidoka

Deployment of the Toyota Production System

IT and Management of Supplier Networks

Persuade suppliers to invest in new IT systems

that directly impacts costs and productivity

Joint IT development project on Auto

Replacement parts with Nippon Steel.

Suppliers use IT to participate in the design phase and supply those parts on a Just-in-Time

basis benefitting from on line information and a

cooperative environment.

Intelligent Transportation System

ITS

Multimedia System for

managing the car

Computerized Traffic

management system

• ITS can reduce traffic congestion by 50% in 10 years and by 80 % in 20 years.

• Smoother traffic flow by harmonizing vehicles and Infrastructure

TMC has developed ITS in conjunction with Japan’s Vehicle Information and Communication System

Challenges faced and overcome by Toyota in Implementing IT

Using IT for total cost effectiveness and reliability instead of using technology just for the sake of it.

Develop a multi faceted strategy to enhance both organizational and product performance

Maintaining large interactive proprietary databases

High costs associated with complex IT mechanisms

Reduced cycle times better efficiency due to parallel

processing

Since related tasks on the assembly line were clubbed

together lead time for mastering a job was reduced to half thereby

improving productivity

Real time system allows suppliers greater flexibility in planning their

own production and respond quickly to changing demands

IT greatly speeds and facilitates interchange of information

between TMC and the supplier and thereby helps in improving the

overall performance.

Benefits

IT Management Organization

IT Infrastructure

• System and Production logistics• Marketing• Spare parts• General Administration

Business Application System(Commercial)

.

• IT Management• System Infrastructure• Networking • System Operations

Business Application System(Engineering)

• Developing and production preparation

• Engineering information management

Readiness• To deliver work faster, cheaper and faster• New metrics and tools to tracks vendors

Renewal• End to end supply chain track and trace project• ‘Top down’ and ‘bottom up’ work

Security

Customers

Employees

Clients

Management Strategy

Security Policy

Road Ahead

Self Driven Cars

Smart Technologies

High Strength ,

Light weight material

Collision Avoidance

System