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Paper Topic:

Toyota Motor Company (process strategy and process analysis)

Running head : TOYOTA

Process Strategy and Analysis For Toyota Motors Corporation

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The Process Strategy of Toyota Motor Company


When organizations seek to improve or transform their resources into goods and services , they are , in a way , developing their process strategy in producing their customer and product specifications at lower costs and less managerial constraints . As companies are targeting global markets at present , each organization needs to decide on long-term competitive goals that are strategic in nature . In making these process

decisions , managers need to focus on controlling competitive priorities like quality , flexibility , time , and cost to meet the global demand for their products . In having a look at Toyota Motor Corporation 's process strategy , it will be helpful to realize why their decisions for both service and manufacturing processes are successful . By determining the processes that comprise their operations , we will be able to assess if their value chains are managed efficiently and effectively

According to Krajewski et al (2007 , a process strategy specifies the pattern of decisions made in managing processes so that they will achieve their competitive priorities . Also , a process strategy guides a variety of process decisions , and in turn is guided by operations strategy and the organization 's ability to obtain the resources necessary to support them . Thus , a process strategy consists of decisions that help define the value chain . Usually these decisions seek the improvement of processes and they are done most likely when

A gap exists between competitive priorities and competitive capabilities

A new or substantially modified service or product is being offered

Quality must be improved

Competitive priorities have changed

Demand for a service or product is changing

Current performance is inadequate

The cost or availability of inputs has changed

Competitors are gaining by using a new process

New technologies are available

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As a leading auto manufacturer in the world , Toyota Motor Corporation sells its vehicles in more than 170 countries and regions worldwide Toyota 's primary markets for its automobiles are Japan , North America Europe and Asia . Employing nearly 300 ,000 people , its headquarters is located in Toyota City , Japan . Their products include passenger cars recreational and sport-utility vehicles minivans and trucks . Toyota 's subsidiary , Daihatsu Motor Company , also produces and sells mini-vehicles and compact cars . While another brand , Hino Motors produces and sells commercial vehicles . More importantly , Toyota manufactures automotive parts , components and accessories for its own use and for sale . Toyota has 52 manufacturing facilities in 27 countries and regions (Toyota Website

Process Strategies in Toyota

One of the most notable processes that Toyota Motor Corporation had made famous is the Toyota Production System (TPS . At present , TPS is also known for a variety of terms like lean systems or just-in-time (JIT manufacturing , lean production , stockless production and zero inventories . Cox and Blackstone (1998 ) defined lean systems as a philosophy of production that emphasizes the minimization of the amount of all the resources (including time ) used in the various...

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