Sustainability Report Toyota

Sustainability Report 2012
Full Version
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Ink
The ink used contains less than 1% VOC (volatile organic compound) as petroleum-based solvents are replaced by vegetable oil-based solvents,
principally soybean oil.
Toyota has participated in activities of the WBCSD (World Business Council

for Sustainable Development) as a member of this organization.
WBCSD engages in advocacy activities aimed at realizing sustainable
development based on the three pillars of economic growth,
environmental protection and social development.
Toyota is a supporter of Education for Sustainable Development (ESD).

ESD activities are aimed at creating a sustainable society.
Cover design: The tree on the cover represents the Toyota Global Vision and illustrates what kind of company Toyota wants to be: the firm roots stand for Toyotas shared values, the fruit for always better cars
and enriching lives of communities, and the trunk for the stable base of business. The firm roots produce fruit and allow the trunk to grow thick and strong, ensuring the next crop of fruit. This virtuous circle
reflects Toyotas vision to be a company achieving sustainable growth.
Published by Corporate Planning Div., Toyota Motor Corporation

Published: September 2012
Next scheduled report: Summer 2013
Web version URL
http://www.toyota-global.com/sustainability/report/sr/
EA-1209
CONTENTS
Editorial Policy
02
Message from the President
The objective of this report is to convey Toyotas efforts to realize harmony with people, societies, and the global environment, as well as a
sustainable society through monozukuri (manufacturing).
In our 2011 report, our efforts were organized according to each stakeholder. Toyota is carrying out management based on the Toyota
Global Vision we announced in March 2011, and from 2012 we are rearranging the report according to the three elements (Always better
cars, Enriching lives of communities, and Stable base of business) of Toyota Visionary Management that aims for sustainable growth
for society and Toyota alike. The information for each element includes 1) the fundamental message, 2) special feature, and 3) information
about initiatives.
This report is comprised of a printed version and a website. Information of particular importance is included in the printed version,
while further initiatives and detailed information are available on the website.
The report on environmental initiatives (published in 2011 as the Environmental Report) has been renamed the Sustainability Report
Separate Volume: Environment Facts & Figures.
03
Toyota Global Vision
Disclosure of CSR Information
0405
Toyotas CSR Initiatives

Creating the Future
of Japan Together from Tohoku
0607 Special Feature
08
17
Always Better Cars

Society/
Environment/
Governance
Sustainability Report 2012 Full Version (Website)

PDF: http://www.toyota-global.com/sustainability/report/sr/
0809 message
Aqua from Tohoku

to the World
HTML: http://www.toyota-global.com/sustainability/
Websites for
overseas affiliates reports

Key Messages
(15 countries and regions)
(Printed version and website)

Separate Volume:
Environment Facts & Figures
Finance
TOYOTA Annual
Report 2012
PDF
http://www.toyota-global.com/
sustainability/report/sr/
HTML http://www.toyota-global.com/
sustainability/
PDF
sustainability/report/er/
HTML http://www.toyota-global.com/
sustainability/
1213
Initiatives for Improving Traffic Safety
1415
Initiatives to Improve Quality
1617
To Be Rewarded with the Smiles

of Customers
(Website)
(Printed version and website)

HTML
sustainability/report/overseas/
Always Better Cars
HTML
investors/ir_library/annual/
18
45
Enriching Lives of Communities

1819 message
Contributing to the Realization

of a Low-carbon Society
2425
A Linked Mobility Society

A New Lifestyle/Cooperation with Communities and Infrastructure
2631
Period covered
The period covered in the reports data is from April 2011 to March 2012.
For major ongoing initiatives, the most recent status update in FY2012 has been included.
Scope of report
Toyota Motor Corporations own initiatives and examples of those of its overseas consolidated affiliates,
and so on.
Contribution to the Environment

Special Feature/Key Initiative-related Data
3239
Overseas affiliates reports

In 2012 plans call for separate reports to be issued in a total of 16 countries and regions (including Japan) in which Toyota overseas affiliates
and other companies operate. The information disclosed globally by these reports will cover about 89% of Toyota vehicles sold worldwide.
Contributing to Communities
Affluent Communities/Social Contribution (Environment/Traffic Safety/Education)
4042
46
43
59
Stable Base of Business

4647 message
Mutually Beneficial Relationships with

Dealers/Distributors and Suppliers
As a Member of the Local Community
WBCSD Rio+20
4445
Respect for Human Rights
Monozukuri Is about
Developing People
5056
Argentina
Australia
Brazil
China
Europe
India
Indonesia
Malaysia
* Issued in the UMW
Holding Report
57
5859
Employees
Corporate Governance/
Compliance
Financial Information
6061
New Zealand
North America/
Canada
South Africa
The Philippines
Taiwan
Thailand
CSR Achievement Data
62
ISO26000 Comparison
63
Third-party Opinion
Vietnam
Message from
the President
By delivering always better cars to customers

and contributing to the betterment of towns
and communities, we aim to be a company
whose growth is welcomed by as many people
as possible
I first would like to express my sincere gratitude for your ongoing support and understanding of
our company.
No matter how harsh the business environment becomes, Toyota has always strived to make
better cars that exceed expectations and bring smiles to those who choose them.
In our vehicle manufacturing, as well as in our social contribution activities and across the
whole of our business activity, we have a responsibility to consider how to respond to societys
expectations in a range of areasfrom the environment and safety, to employment, human
resource development, and our response to the aging society.
The Toyota Global Vision announced in March 2011, is an articulation of what kind of company we want to be
what kind of company we ought to be. It clarifies our value, we want Toyota to be a company that customers
choose and brings a smile to every customer who chooses it. The Toyota Global Vision is a distillation of our
resolve at Toyota for the future.
Backdrop and Progress
Rewarded with a Smile

by exceeding your expectations
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 challenging goals by engaging
the talent and passion of people,
who believe there is always a better way.
In the backdrop of this vision, there is our fall

into the red after the Lehman Brothers collapse,
as well as our reflection over a series of quality
problems.
To unite all Toyota together to advance our
efforts for the recovery of business performance,
we came to realize the necessity of having
a dream or a path that we should take that
all people who work for Toyota could have in
common, one that would define what kind of
company we want to be what kind of company
we should be.
We also keenly felt the importance of making
what kind of company we are and what kind of
values we hold known to all our customers. Based
on our ideal for Toyota, the members of our team
gathered to discuss and finalize the vision. This is
a distillation of our resolve at Toyota.
As stated in the Toyota Global Vision announced in March 2011, making better cars and
contributing to the betterment of towns and communities leads to a stable business base. This is
the Toyota approach to business: achieving sustainable growth through a virtuous cycle. I believe
the new cars we launched in the fiscal year 2011 show the direction we are headed in.
It is likely that the very difficult business environment the world is facing now will continue. All
320,000 of us at Toyota around the world will work as one to be a company that can realize sustainable growth. Toyota will move forward, never turning back. I, and everyone at Toyota, request your
continued and ongoing support.
August 2012
Akio Toyoda
President
Toyota Motor Corporation
Toyota Visionary Management

The image of a tree has been chosen to
symbolize the Toyota Global vision its roots
to fruits.
The roots of the tree are the shared values
that have steered Toyota from the beginning and
that have underlain our monozukuri. They are
values expressed in the Toyoda Precepts, in the
Guiding Principles at Toyota, and in the Toyota
Way, which are the basis of our business.
The fruit that Toyota provides for
customers is making better cars and enriching
lives in communities.
Through these efforts, we aim to become
an admired and trusted company in the various
regions where we conduct businesses.
The trunk of the tree, the underlying
support for Toyotas creating of products that
earn smiles from our customers, is the stable
base of business.
Toyotas business activities are based on the
concept of ensuring sustainable growth by
fostering the virtuous circle, Always better
cars Enriching lives of communities Stable
base of business.
Fruit
Always better cars

Develop vehicles which
exceed customer expectations
Fruit
Enriching lives of communities

Contribute to communities
Contribute to the future of mobility
Sustainable
growth
Constantly drive
always better cars and
enriching lives of communities
by ensuring sustainable
profitability under
long-range perspective
Trunk Stable base of business
Roots
Toyota values
The Toyoda Precepts

The Guiding Principles at Toyota
The Toyota Way
Toyotas CSR Initiatives
Safety
Safety
Environment
Social
aspects
Environmental
aspects
Economic aspects
Comfort and
Society
convenience
and culture
Resources/
energy
sources
Education
Positioning of the CSR Policy
Guiding Principles at Toyota
Toyota Way 2001

4
Sustainabilit y Repor t 2012
The Toyota Code of Conduct
CSR Policy: Contribution towards Sustainable Development
Discussion by
chief function officers
The CSR Department is responsible for drafting CSR policies,

responding to CSR issues across divisions, raising awareness of
CSR internally and externally, distributing CSR-related information, and communicating with stakeholders.
The CSR committee meets three times a year to discuss topics
such as the status of implementation of CSR activities, legal
compliance checks, internal controls, social contribution activity
policies, and risk management.
Organizational
Chart
CSR Committee
Chairman: Fujio Cho
Established in 2007
Secretariat: CSR Department,

Corporate Planning Division
Corporate Citizenship
Activity Subcommittee
Assessment of
practical work
based on
the CSR Indices
(approx. 100 items)
TSHD* (2)
Direct Dialogue
with NGO/NPOs,
opinion leaders,
etc.
KPI to Realize the Global Vision for Those We Serve

Presenting some numeral targets and time boundaries would increase
reliability. And even if some targets are not achieved, explaining the
reason why they were not achieved could be part of communication.
Discussion within
the CSR Committee
Setting
KPI Strategic
Focus
Discussion by
chief function officers
Need for disclosure varies according to country and region. It would be

effective to work out numerical values by region or segment as well as
global ones.
For more details, please refer to the following web page.
http://www.toyota-global.com/sustainability/csr_initiatives/
toyota_stakeholder_dialogues/index_csr.html
Global Vision for Those We Serve
CSR Planning
Subcommittee
Risk Management
Committee

http://www.toyota-global.com/sustainability/csr_initiatives/csr_concepts/policy.html
Articulating
the Global Vision
for Those We Serve
Opinions Expressed at
the 11th Stakeholder Dialogue
Held in November 2011
Social issues
Toyotas CSR Structure
Corporate Ethics
Subcommittee
TSHD* (1)
Direct Dialogue
with NGO/NPOs,
opinion leaders,
etc.
* Toyota Stakeholder Dialogue
Toyota has been promoting educational opportunities to enable

employees to learn about the principles of CSR, including a global
training session for the Toyota Way and rank-specific education
classes. Study sessions in small groups began in FY2010 as part of
the CSR Boost-up Initiative. In FY2011, the CSR study session on
the theme of the disaster was held for a large group of participants.
In this way, Toyota is raising awareness of it employees with regard
to CSR.
http://www.toyota-global.com/sustainability/csr_initiatives/
toyota_stakeholder_dialogues/index_csr.html
Always Better Cars
The Toyoda Precepts embody the thinking of the founder of the

Toyota Group, Sakichi Toyoda, and have provided moral support for
employees as company principles. They continue that role today in
the form of the Guiding Principles at Toyota (adopted in 1992 and
revised in 1997). The CSR Policy: Contribution towards Sustainable
Development is an interpretation of the Guiding Principles at Toyota
and takes into consideration Toyotas relations with stakeholders. It
clearly states Toyotas basic policies related to social responsibility
for stakeholders inside and outside the company. Toyota has shared
the statement with its consolidated subsidiaries and takes appropriate action. We also expect our business partners to support this
initiative and act in accordance with it.
In addition, we participated in the formulation of and observe
the standards outlined in the Charter of Corporate Behavior of the
Nippon Keidanren (Japan Business Federation), an alliance of
leading Japanese corporations.
Toyota
Global Vision
VOICE
Discussion within
the CSR Committee
Compliance
Guiding Principles at Toyota

Contribution towards Sustainable Development
Environment
The Spirit of the Toyoda Precepts That

Have Been Passed on since Toyotas Foundation
Regular business activities
Since 2001, Toyota has held the Toyota Stakeholder Dialogue each
year with participants from a range of corporations and institutions, to bolster communication with external experts in CSR. In
2011, such Dialogues were convened twice, with an initial discussion on the concept of the KPI Strategic Focus, followed by a
second Dialogue to decide which KPIs would be adopted. We
understood the expectations of non-Toyota participants and
endeavored to improve our activities accordingly.
FY2010
Overview of Toyotas CSR Activities

(automobile manufacturing, new business,
and social contribution)
Toyotas social contribution activities
Company policies, annual policies, regional policies,

head office, and divisional policies
After we drew up the Global Vision for Those We Serve, which

describes how we embody the Toyota Global Vision, we commenced
full-scale KPI (Key Performance Indicators) development. Based
on the KPI Strategic Focus, which were newly-established after a
process extending over two years, our CSR activities have been
further enhanced from FY2012 involving the efforts of both external
experts and Toyota executives.
FY2011
Since its foundation, Toyota has continuously strived to contribute to the sustainable
development of society through the manufacture and provision of innovative and
quality products and services that lead the times. Cars are useful because they afford
us freedom of mobility. On the other hand, they impact society and the environment
in various ways. Always bearing this in mind, we listen carefully to our customers
and neighbors in local communities to pursue our business, seeking harmony with
people, society, and the global environment, as well as the sustainable development
of society through monozukuri.
In the main line of our business automobile manufacturing we develop and
introduce environmentally friendly hybrid vehicles in addition to mechanisms
for active and passive safety. We also roll out new businesses in such areas as
biotechnology, afforestation, and energy. Furthermore, we pursue initiatives
for social contributions that focus on the environment, traffic safety, and
education. Such activities centering on automobile manufacturing are designed
to help people in the wider community and bring them happinessthis is Toyotas
aspiration. The basis of our rationale is our CSR Policy: Contribution towards
Sustainable Development. Toyota aims to become a company that is admired and
trusted by society by ensuring that all employees recognize and put into practice
our CSR Policy.
Medium- to long-term management plans
Communicating with Stakeholders
Process for devising KPI Strategic Focus
Seeking Harmony with People, Society, and the Global Environment,

and Sustainable Development of Society through Monozukuri (Manufacturing)
Global Vision for Those We Serve
Provide safe and reliable vehicles that inspire

enthusiasm at affordable prices.
Main KPIs
Achieve the highest level of customer

appraisal in terms of safety, quality and
moving people
Receiving appraisal in each country for high safety

standards (NCAP, IIHS, etc.)
Listen sincerely to customer voices and

continue to reinvent ourselves through
sufficient information disclosure and dialogue.
Increase customer satisfaction at the

Toyota Customer Assistance Center etc.
No. of calls at the Toyota Customer Assistance Center

etc.
Contribute for economic development of local

communities with open stance to new
suppliers and dealers and through sustainable
growth based on mutually beneficial business
relationships with dealers/distributors and
suppliers.
Suppliers: Promote local purchasing

globally
Reduce environmental burdens through

lifecycle by developing various eco-friendly
vehicles and technologies and making them
prevail.
Aim to improve global average fuel

efficiency by 25% by FY2015 (compared
with FY2005)
Be aware of responsibilities of developing and

producing vehicles and contribute for
realization of new mobility society free from
traffic accidents and congestion.
Engage in advanced/cutting-edge
research for a new mobility society, and
promote the practical application and
popularization thereof
No. of models mounted with safety support systems
As a good corporate citizen, respect the

culture and customs of every nation and
contribute to social development.
Continue stable social contribution

activities at an appropriate level as a
good corporate citizen
Total expenses of social contribution activities
Create working environments for various

employees to work proudly and with loyalty
and confidence in fulfilling their potential,
which realize their self-growth.
Increase the ratio of employees who

feel that their jobs are rewarding
Employee Satisfaction
Ensure sustainable growth by fostering the

virtuous circle, Always better cars >
Enriching lives of communities >
Stable base of business.
Establish a stable base of business
Operating income ratio/Break-even point
Receiving high external appraisal for product quality

(JDPower, IQS/VDS, etc.)
Customer satisfaction level
Dealers/distributors: Establish sales

networks together to be rewarded with
a smile
Promote reduction of CO2 emissions

from our business activities
Diversification of suppliers (Japanese/non-Japanese)

Local purchasing
No. of countries where Toyota deploys business
Evaluation by dealers
Global average fuel efficiency
Cumulative HV sales
CO2 Emissions
No. of Smart Community Service users
No. of specific program participants
Frequency rate of lost workday cases
CSR/SRI evaluation
For more details, please refer to pp. 6061.
Close up
Creating the
Future of Japan
Together from
Tohoku
With All Toyota united efforts, continuously
supporting Tohoku revitalization in three areas
Tohoku Revitalization
Initiatives by Toyota
VISION
Automotive Business
In the aftermath of the Great East Japan Earthquake, Toyota

understood that recovery of production would not be possible
without recovery of the aected areas. To this end, Toyota immediately got involved in a range of support programs with swift
decision-making and implementation based on the following
order of priority: (1) lifesaving eorts; (2) early recovery of the
aected areas; and (3) recovery of production.
VISION
Automotive Business
Making Tohoku the third car

manufacturing hub in Japan
Establishment of Toyota Motor East Japan (July 2012)
Kanto Auto Works, Ltd., Central Motor Co., Ltd. and Toyota Motor
Tohoku Corporation have been merged with the aim of creating the
worlds most attractive compact cars.
Furthermore, in July 2011, Toyota launched new regional revitalization initiatives in the Tohoku region, based on the concept of building
a brighter future for Tohoku in cooperation with local communities through monozukuri. The revitalization initiatives include making
Tohoku Toyota s third car manufacturing hub in Japan and boosting the involvement in social contribution activities and programs.
With All Toyota united eorts, we will continue to carry out initiatives to promote Tohoku revitalization based on the three pillars: the
automotive business, social contribution, and new business.
VISION
Social Contribution
VISION
New Business
Kokoro Hakobu Project
F-Grid Concept*
All Toyota revitalization initiatives
Create new-style smart communities with the leading plant

in the town playing a central role
Kokoro Hakobu means to deliver ones heart, which refers here

to delivering the warm supportive hearts (kokoro in Japanese)
of people all over Japan and our feeling of wanting to do
something useful for the affected areas. We put these two
hearts into carrying out various continuous and long-term revitalization assistance activities.
[Major Approaches of the New Company]
Special open classes of the

Toyota First Experience
Program were held for
elementary students in the
affected areas
Build production infrastructure for compact cars

Develop a profitable management structure for compact cars
F-Grid Concepts is a new initiative with the aim of addressing

energy issues amplified by the disaster, such as security, environmental performance, and economic efficiency, through comprehensive energy management that is not limited to Toyota plants
but also encompasses the entire industrial and surrounding areas.
* F stands for factory
[F-Grid Concept Initiative]

Flexible energy
exchange with
nearby plants
Strengthen compact car production capabilities
Energy-independent facility
Stimulating the economy through

monozukuri (manufacturing) at one
with the Tohoku region
Emergency power
supplies for the
local community
Toyota plant
Making Tohoku the third car manufacturing hub in Japan
VISION
In-house power
generation facilities
Social Contribution
External power-supply
units fitted to cars in
public use (Prius) free
of charge
Aqua, the star of the Tohoku revitalization (launched December 2011)
Continuous assistance for the

affected areas
VISION
Emergency information
service
Special Tohoku performance of

the Toyota Master Players, Wien
(all ticket sales proceeds donated)
Monozukuri at one with the region

Establish a local-procurement-promotion center in Tohoku (January 2012)
Strengthen the Tohoku technical center
F-Grid Center
Regional energy
management hub
Reduce reliance on external

power sources
Utilizing waste heat generated by

in-house power generators
Heat supplied to plant factories
For more details, please refer to pp. 34-38.
New Business
COLUMN
Developing new business capable of

promoting revitalization
F-Grid Concept combining Toyota strength with lessons
learned from the disaster
Aqua component disassembly exhibition and trade show (April 2012)
Medium- to long-term human resources development
Toyota East Japan Technical Skills Academy (scheduled to open in April 2013)
CSR Boost-up Initiative: Toyotas Initiatives toward Revitalization after the Disaster
The CSR Boost-up Initiative on the theme of Toyotas Initiatives toward Revitalization after the Disaster was held on March 21, 2012 for the benefit of employees, as
a means of raising awareness of the Toyotas principles to address social
challenges and Toyotas CSR initiatives. The event also provided an opportunity to
reexamine our role as a good corporate citizen in the community.
Due to the high level of awareness and interest in the revitalization process,
the number of applications was far greater than the venue capacity. For employees
unable to attend, a video of the event was prepared and shared at a later date.
The event gave a general overview of Toyotas initiatives toward revitalization
along with individual presentations of people working on the front line in disasterstricken areas. In addition there were two external speakers who talked about
Toyotas contributions and discussed potential future collaboration.
VOICE
Quotes from Those Who

Attended
It gave me a better overall understanding

of Toyotas work and guiding principles in
this area, including things I was not
previously aware of.
The stories from those who have actually
gone there to help out were very moving.
It has inspired me to do something to help
others without thinking just of myself.
It made me think about what I can do to
contribute.
I look forward to seeing similar CSR
events in the future.
For more details, please refer to pp. 10-11.
Always Better Cars
Sustainable Growth through

Always Better Cars that
Akio Toyoda
Exceed Customer Expectations
Peoples expectations of cars are constantly changing. People are beginning to experience the pleasure of ownership in emerging countrieswhich are experiencing rapid economic growthand everyone has high expectations for greater driving enjoyment
and environmental performance. In an era of sudden and drastic change, we need the ability to see what is already apparent, as
well as to foresee the next advancement. It is the customer who drives such change. By remaining firmly focused on customers and
continuing to listen to them, we can adapt to change and make sustainable growth possible. Continuing to make always better
cars that earn smiles from our customers is the only way forward to a successful future. Based on this conviction, Toyota will carry
on working to meet the diverse needs of different customers and make always better cars that can satisfy customers. To enable
us to continue meeting this goal, we are working to preserve and strengthen Japans monozukuri (manufacturing) tradition.
President
Toyota New Global Architecture (TNGA): A New Approach to Car Manufacturing from Toyota
Working Toward Always Better Cars
In order to strengthen our research and development systems, we are expanding
the role of our chief engineers (CE) as a way of clarifying their position as the
development representatives closest to the consumer, thus speeding up the
decision-making process. We have also strengthened our design systems by
introducing a design process in which the CE plays the central role. In order to
make better cars that match the needs of each region, we have strengthened
regional R&D bases, posted regional general managers (North America and
China, Japan and Europe, and emerging countries), and are coordinating operations with regional sales divisions and research and development bases.
TNGA: A Smart New System for Making Better Cars

TNGA represents an initiative to make better cars hereafter and a new framework
for car manufacturing that will simultaneously realize a large increase in product
appeal and cost reductions at an advanced level. It delivers improved performance
in the basic performance of driving, turning, and stopping, and enables the
standardizing of parts and major components across different models to reflect
the preferences of local markets.
Through cooperation between the development and design divisions, newly
developed car platforms will help to realize the development of cars with neverbefore-seen inspiring designs and superb handling. The TNGA initiative will
commence with three front-wheel-drive platforms (accounting for approximately
half the total unit production volume). To coincide with TNGA, Toyota will introduce
grouping developmentthe simultaneous planning and development of multiple
vehicle modelsallowing the standardization of parts and major components
across a greater number of car models and cost reductions in cooperation with
suppliers. This approach means that development manpower and costs can be
targeted at those development processes that relate to customer preferences and
region-specific characteristics, thus achieving differentiation and realizing further
improvements in product appeal.
Delivering Good Quality at an Affordable Price that Outperforms International Competitors

Current R&D Initiatives
Improved design
Greater authority to the CE
Eliminate limiting factors in

design and production
technology
Speed up decision-making by
responding directly to the
chief officer
Overhaul the design review

process (CE is responsible
for design review)
Overall authority of
development units for
individual models, with
responsibility for product
group
Stronger emphasis on
regional characteristics
Refined organizational
structure
Assess consumer
expectations in each market,
boost quality and product
appeal
The CE has full responsibility

for the whole process of
developing a model, and
each specialized division
develops individual
technologies
Shift resources to expanding

markets such as China and
other emerging markets
Further improvements in design

TNGA (Toyota New Global Architecture)
Substantial boost to development efficiency
Stronger focus on markets in emerging economies
Further enhance product appeal through environmental and
other technologies
The Toyota Awards were instituted with the aim of

making better cars and are determined based on the
numbers of votes from all employees.
NS4 (next-generation 4-door concept car: 2.0L PHV)

This concept car realizes excellent environmental
performance and is fitted with advanced safety
technology and technology that links people, cars and
social infrastructure. In addition, it achieves high
standards across the board, ranging from design and
dynamic performance to actual quality feel.
Camry
In order to reflect our policy of always better cars in our production phase, we strive for making better cars and competitive monozukuri.
The automotive industry operates in diverse market environments. While market expansion in emerging nations has created a demand for cars
of good quality at an affordable price adapted to regional needs, the limited markets of developed countries are the scene of fierce competition
centered around environmentally friendly cars. Moreover, current issues in society ranging from the unprecedented strength of the yen to the crisis
in electricity supplyproduce very challenging conditions for monozukuri. Nevertheless, Toyota has a strong track record in monozukuri and as a
result of technological innovations, the company has overcome a series of major environmental changes in the past, from the oil crises and
stringent emissions standards to the bursting of the Japanese economic bubble.
Going forward, innovations must focus on the need to become a company capable of
Orientation of Production Technology for Making
winning in a climate of global competition and delivering to customers quality products at
Better Cars
more affordable prices. Toyota sees this challenging social environment as a major opportuMaking better cars
nity and aims to achieve groundbreaking cost reductions through monozukuri innovations
originating in Japan. To reach this goal, we must rebuild our production system, for example
Competitive monozukuri
by increasing our workplace strength, which is rooted in our knowledge of monozukuri and
consummate technological skill; strengthening our technological innovation capabilities by
Direction of Technology Innovation
integrating advances in production technology together with the creation of new methods
and materials and product development; and by developing a three-region system to rebuild
(1) One-by-one production
production systems based in the Tokai, Kyushu, and Tohoku regions.
This policy orientation means (1) One-by-one production, (2) Production at the
(2) Production at the optimum speed for sale
optimum speed for sale, and (3) Small-scale production, all of which form the basic
(3) Small-scale production
principles of the Toyota Production System and the concrete realization thereof.
Future Initiatives
The 86 won first place in the New Car Sales category

of the 2011 Toyota Awards
Innovations in Product Engineering Enable the Making Better Cars
Global Rollout of Innovative Technology Established in Japan

In order to manufacture quality products at affordable prices, even in small quantities, we
plan to increase the net efficiency rate and universality of our facilities, make possible
gradual investment (investment starting at a low level and increasing in line with requirements), and promote the merging and discontinuance of processes as well as other
improvements. We believe that this will in turn facilitate localization of production. The
following four key phrases form the basis of achieving such technological innovation:
simple and slim, meaning equipment that is resistant to breakage, easy to repair, and
involve reduced depreciation cost; variable models in variable volume, meaning introducing small-scale general-purpose lines with simple set-up changeovers to new/different
models; net shaping, meaning a reduced number of processes and high levels of skill;
and high added value through miniaturization, higher performance, higher design values,
and reasonable prices. Applying this innovative technology will allow timely response to
changes in production model or quantity, reducing lost opportunities, and also enable
reductions in investment costs, thus strengthening our management systems.
Henceforth, Toyota will rapidly develop and mature innovative technologies that
focus on Japan and roll them out globally in a timely manner. The basis of production is
to manufacture where the market is. We will therefore implement localization of production. Nevertheless, the source of our competitiveness lies in Japans strong production
sites, advanced production technology, high added-value product manufacturing, and
strong sales capacity. In order to maintain and enhance this competitiveness, we are
maintaining production in Japan of three million cars and making effective use of this
system. This is our approach.
Key Phrases for Technological Innovation

Simple and slim
Simple equipment
Break-resistant, easy to
repair
Variable models in
variable volume
Capital investment reduction

Depreciation cost reduction
High-volume production line

Small-scale production line
(Eliminate waste of
production capacity)
Net shaping
High added value
Process reduction
(Reduce stock removal)
More compact, higher

performance, more stylish,
more reasonably priced
Craftsmanship
Making better cars

Good style, appearance
Stability and controllability
Environment friendly
Simple set-up changeovers

to new/different models
Competitive monozukuri
Following volume
fluctuations
Prompt changeovers
More compact at lower cost
*Net efficiency rate: Proportion of input material used effectively in the final output, such as the time and
material process yields that increase added value
Special Feature
Always Better Cars
Aqua from Tohoku to the World
Launching a world-leading fuel-efficient car,

surpassing Prius, from Tohoku to the world
Debut of the Made in Tohoku Aqua,
boosting the popularity of hybrid cars and
promoting the development of Tohoku
Always Better Cars

Special Feature
Aqua from Tohoku to the World
Toyota has released the hybrid car Aqua for the compact car marketin
which demand is the highestbased on the belief that the spread of
environmentally-friendly cars will contribute to society. During the
launch of the new Aqua, a live broadcast was made from the Iwate Plant
in Tohoku where the Aqua is produced. The plant has been
reinvigorated by the orders for 60,000 cars prior to the launch and
production line operators appeared in the broadcast, speaking
passionately about the Aqua. The Iwate Plant commenced production
firmly believing that the launch of the Aqua would assist in the
revitalization of Tohoku. A plan to make Tohoku into the third car
manufacturing hub in Japan after Tokai and Kyushu has now begun.
Seeking to Take Root in Tohoku while Continuing Monozukuri (Manufacturing) Activities at One with
the Region, and Aiming to Be a Corporate Citizen that Is Admired
In July 2012, Kanto Auto Works, Ltd., which operated the Iwate
Plant, Central Motor Co., Ltd., and Toyota Motor Tohoku Corporation were merged to form Toyota Motor East Japan, Inc.
The newly formed company will participate in manufacturing globally competitive compact cars, leveraging the innovative technological strengths of its three predecessors.
Tohokus production sites, including the Iwate Plant, make
use of the regions advantagessuch as the local support,
outstanding local personnel, and a wide variety of fundamental
technologiesto reinforce their capability for compact car
production.
Toyota Motor East Japan will provide the worlds most
attractive compact car that closely fits the needs of customers
by creating streamlined and flexible manufacturing sites which
handle the production of major components through to assembly, and by making improvements and reforms to car produc-
tion through unified development, manufacturing technology

and production. We believe that this will enable us to preserve
Japanese monozukuri.
Toyotas quintessential compact car, the new Corolla
launched in May 2012,
is also produced in
Tohoku, at the Miyagi
Plant, boosting the
local procurement rate
to 40% and giving
impetus to the car
production industry in
the region.
Production line for the Aqua
Three Key Measures for Providing the Worlds Most Attractive Compact Cars
Build production infrastructure
for compact cars
Monozukuri at one with the
region
Medium- to long-term human
resources development
VOICE
VOICE
Also, ingenious features support driving to help the driver to

better enjoy the capabilities of the hybrid car. These include
features to support eco-friendly driving such as Eco Judge,
which monitors the level of eco-driving in different driving
situations and Eco Wallet, which displays the cost-saving
achieved through greater fuel efficiency.
World-leading fuel-efficiency
plus exhilarating driving
Stylish, yet surprisingly

spacious
A fun and easy-to-use

hybrid
Reasonably priced
Aqua received the Selection Committee

Special Recognition Award in the New Car
Sales category at the 2011 Toyota Awards
10
Establish a local-procurement-promotion
center in Tohoku (January 2012)
Strengthen local procurement that is at one with regional industry
Strengthen the Tohoku technical center
Promote development of new technologies and parts through

partnership with private, public and academic institutions
Establish a training center in April 2013
Contribute to the revitalization of the local economy over the

medium- to long-term through development of human resources
in manufacturing (accept trainees from local industry)
Comments from the Field
Our motto is Delivering shiny new cars to our customers
Aqua the Ideal Compact Car for 2020

Toyota has sold more than 4 million hybrid cars worldwide
since 1997 when it released the worlds first mass-produced
hybrid car, Prius, which gained favor with many customers.
Over the intervening years, Toyota has expanded its range of
cars fitted with hybrid engines to include minivans, sedans,
SUVs and wagons, broadening the scope of hybrids. In addition,
responding to the increasing environmental awareness of
customers in recent years and the demand for fuel-efficient
cars, Toyota has developed the compact and affordably-priced
car, Aqua.
Aqua is not simply a smaller version of the Prius. Instead,
the concept behind Aqua is to present a revolutionary hybrid
compact car designed for 2020. It is a lighter and more
compact, fun and easy-to-drive car, boasting the best fuel
efficiency at an affordable price. The car name is derived from
the Latin word for water, evoking a clean and free-flowing
image, to encourage more people to experience the joy of
driving hybrids. It has the same hybrid system as the Prius
the Toyota Hybrid System II (THS II)but most parts, such as
the smaller motor, have been redesigned to make them lighter
and more compact.
Rigorously implement manufacturing fundamentals; lean and

strong management
Strengthen engineering skills and further improve manufacturing
capabilities
Develop a profitable management

structure for compact cars
Strengthen compact car production
capabilities
Nobuaki Takahashi
Quality Control Div.

Iwate Plant
Toyota Motor East Japan, Inc.
Aqua, the first hybrid car we have produced, is the shining star of Iwate for the revitalization of
Tohoku. As Team Iwate, we have replaced our inspection checklist with an evaluation from
the customers perspective and, by closely coordinating each process, we succeeded in the
early launching of a high quality car. We will continue to aim for even higher quality, with a goal
of one day seeing the Aqua sold everywhere as the highest quality car in the world.
Toyota East Japan Technical Skills Academy Contributes to Local Development by Nurturing Talent
Toyota has long being engaged in human resource development
based on the principle that "monozukuri is about developing
people." For Toyota Motor East Japan, it is the Toyota East Japan
Technical Skills Academy that will reinforce the foundation of
monozukuri by developing people.
The Academy's founding concept is to be a school that will
cultivate future strength based on three pillars: "human resource
development," "environmental and energy management" and
"coordination with local communities."
In concrete terms, it will establish a Manufacturing Equipment
Course for students to learn about production technology and
manufacturing equipment, and will recruit new graduates from
technical high schools in the Tohoku region. It is a one year
program providing approved vocational training based on the
Ministry of Health, Labour and Welfares Human Resources Development Promotion Act. Of the 1,760 class hours, approximately
60% is dedicated to practical skills training, 30% to general education for the body and mind and 10% to academic subjects. In
addition, programs are planned for learning about the roots of

Tohoku monozukuri, club activities and conducting local volunteer
work.
Through such training opportunities, the Academy will make a
medium- to long-term contribution to community development in
Tohoku.
Toyota East Japan Technical Skills Academy (artist's rendition)
11
Always Better Cars
Always Better Cars
Initiatives for Improving Traffic Safety
People
Lectures etc.
to raise
awareness of
traffic safety
Initiatives for
Improving Traffic Safety
The Front Line of Safety Technology

Vehicles
Provide safe and reliable vehicles that
Development of
technology for
accident avoidance
and driver/
passenger
protection in
a car collision
inspire enthusiasm at affordable prices
Integrated Three
Part Initiative
to improve
traffic safety
Traffic
environment
Information on
traffic jams, and
maintenance and
management
of traffic lights
and roads
Basic Concepts of Safety

To realize the safe and responsible ways of moving people in the Global Vision, Toyota considers safety
the most important priority and promotes product development with the ultimate goal of, one day,
completely eliminating traffic casualties. Toyota
promotes the Integrated Three Part Initiative,
Safe and Responsible Ways of Moving People
viewing people, vehicles and the traffic environment
as an integrated whole while pursuing real-world
safety in product development based on investiga Ultimate goal to
Goal
tion of actual road accidents. Also, we advance
completely eliminate traffic casualties
technology development with the Integrated Safety
Integrated Three Part Initiative
Approach
Management Concept set in 2006 as a basic techno Pursuing real-world safety
logical concept ultimately striving toward zero
Concept
Integrated Safety Management Concept
casualties.
Investigation and
analysis of accidents
Active Safety Technology Supports Drivers in Avoiding Dangerous Situations

Adaptive High-beam System
A high beam that illuminates farther ahead increases visibility when driving after dark. The
Adaptive High-beam System controls the headlight projection areas to achieve visibility equal to
that of the high beam while reducing vision-impairing glare for other drivers in vehicles ahead
(traveling in the same and opposite directions). The headlights' high beams are partially shielded
to prevent light from shining directly at preceding and oncoming vehicles detected by an onboard
camera, preventing vision-impairing glare to other drivers. Nighttime visibility has also been
improved, which further contributes to the quick detection of pedestrians.
The Pre-crash Safety System Evolved from a System to Minimize Collision Damage to
a System that Helps to Avoid a Collision
Pursuing
real-world
safety
Pre-crash Safety System
Pursuing Real-world Safety by Learning from Real Accidents
This technology supports minimizing the damage of collisions by predicting and preparing for a
collision. If it registers a high probability of collision with a car driving ahead, it sounds a warning
for the driver. When the driver steps on the brake pedal, brake assistance is activated to enhance
braking control. If the system recognizes that the collision is unavoidable, it also activates
pre-crash brakes to lower the speed of impact as far as possible. In this way, the system supports
the minimization of crash damage and avoidance of collisions.
Toyota puts efforts into developing fundamental technology that enables reliable reconstruction of
accidents, and has developed a driving simulator for our active safety technology research and a human
model known as THUMS*1 for our passive safety technology research. We conduct about 1,600 collision
tests annually using actual vehicles. Furthermore, we make research data from our CSRC*2 publicly
available. These efforts contribute to the reduction of traffic casualties.
Pre-crash Safety System with Pedestrian Detection

and Collision Avoidance Support Functions
*1
*2
Total Human Model for Safety (THUMS), which can simulate the impact on a human body to a degree that cannot be measured with
a crash-test dummy.
Collaborative Safety Research Center (CSRC) is a research institute for advanced safety technology in Michigan, USA, established
by Toyota in March 2011.
Area where the light of a high beam

is partially blocked out
Development
and assessment
Simulation
Driving simulator to reconstruct accidents

for analysis
Stereo camera
This is a system with an advanced Pre-crash Safety System and

stereo camera, enabling the detection of pedestrians and supporting the avoidance of collisions with them. The near-infrared projector aids in recognizing pedestrians day or night.
Millimeter-wave radar
Near-infrared
projector
Light range
Detection range of
near-infrared beams
Millimeter-wave radar
Detects range beyond headlight beams
Integrated Safety Management Concept

Our idea is to improve the safety level through integrating development of various safety systems in a car rather than thinking of each
separately. In the pursuit of optimum driving support, the scope of
the research is widened from the traditional focus on the moments
immediately before and after an accident, to cover every stage of

the driving experience from parking, to normal operation, the preand post-crash time-frame, and post-accident rescue.
Integration of Individual Technologies and Systems
Collision
Parking
Active Safety
Driving Information and Support
Back Guide Monitor
Distance Warning
Lane Keeping Assist
Lane Departure
Warning
Adaptive Frontlighting System

(AFS)
12
Emergency
Response
Damage Mitigation
Passenger Protection
Rescue
Pre-crash Safety System

(detects vehicles and pedestrians
ahead or to the forward flank)
VDIM
Brake Assist
Night Vision System
Blind Corner Monitor
Passive Safety
GOA
Radar Cruise Control
Intelligent
Parking Assist
G-BOOK, G-Link
Accident Warning & Avoidance
Pre-crash Safety
Network-linked
Navigation System
COLUMN
Lexus CT 200h Wins the Five-star Award and the Grand Prix Award under
the Japan New Car Assessment Program (JNCAP) Car-safety Evaluation Tests,
while 17 Models of Toyota Cars are Granted the American IIHS Top Safety Pick Status in 2012
Since fiscal 2011, the Japan New Car Assessment Program (JNCAP) has
integrated car occupant protection and pedestrian protection performance
during collisions, providing an overall safety evaluation for automobiles.
Safety features of the CT 200h include an impact-absorbing body and highly
rigid cabin, Whiplash Injury Lessening (WIL) seats, eight airbags, as well as a
state-of-the-art body structure that helps to protect pedestrians from
injuries. The CT 200h has received the maximum five-star rating for achieving
the highest level of safety, as well as the JNCAP First Prize.
The 17 Toyota cars which received

the Top Safety Pick from the IIHS (2012)
Seatbelts,
Airbags
HELPNET
Toyota: Corolla, Siena, Avalon, Venza, Hilander,

Tundra Crew Cab, Prius, Prius v, Prius c,
Camry, Yaris
VSC
ABS
Vehicle-infrastructure
Cooperative System
Rear-end Pre-crash
Safety System
(detects to the rear)
Toyota received the highest Insurance Institute

for Highway Safety (IIHS) automobile assessment, the Top Safety Pick, for 17 models in
2012, the largest number of any automotive
manufacturer in the USA. This makes Toyota
the leading manufacturer by far.
Collision-safety
Body
Lexus: RX, CT 200h, GS

Scion: xB, tC, xD
CT 200h
The Five-star Award

from the 2011 JNCAP
13
Always Better Cars
Always Better Cars
Refinement of
drawing requirements
Fix it right
the first time
Listen sincerely to customer voices and continue
Ji KoteiKanketsu*
EDER
(Early Detection,
Early Resolution)
to reinvent ourselves through sufficient

information disclosure and dialogue
Sales and
after-sales
service
Purchasing of
excellent parts
and materials
Ensuring Global Promotion of Quality Initiatives to Regain Customer Confidence
Requirements for
processes and parts
to produce good
products
(production
engineering)
Maintain and control

the standardized work
(manufacturing)
Enhance teamwork,
work related skills
and work ethic
Production
*Ji Kotei-Kanketsu:
Built-in quality with ownership
Structure of Continuous Quality Improvement Activities

in Customer First Program
Basic Concepts of Quality

Quality is achieved through the integration of Development, Design,
Purchasing, Production and After-sales Service. Each is indispensable in the delivery of satisfactory quality to customers.
We continue to aim to put the concepts of Customer First
and Quality First into practice and to respond to the expectations
Purchasing
Development
of customers and society. That is why every member across our

operations maintains high consciousness, and takes ownership
and the responsibility of striving for continuous improvement and
the enhancement of customer confidence and trust by cooperating
closely with one another.
The framework for initiatives to regain customer confidence laid

down during the 1st to 3rd meetings of the Special Committee for
Global Quality was incorporated into the company policy for FY2011
to establish a localized system enabling promotion of activities
based on the opinions of customers, implemented at a level closest
to the customers of different regions through collaboration between
the Quality Function Board and regional quality committees.
As part of companywide efforts to increase customer
confidence and provide better safety, the main elements of
specific quality-related activities in FY2011 were the promotion of
the reduction in the failure mode risk ratings, improvement of the
confidence ratings, and enhancing of explanations to customers
Activities in the Various Fields in FY2011 and Plans for FY2012
Development
We continued our efforts in activities to achieve zero customer complaints through prevention of recurring
problems and prevention of new ones, revised and enhanced our operational processes, implemented early
adoption of parts into automobiles incorporating ideas to reduce risk ratings, strived to achieve product safety in
diverse projects, endeavored to improve the quality of parts manufactured to Toyota-approved specifications
through collaboration with the Purchasing Group and Production Engineering Group, carried out inspections of
aged products through the collection of aged parts, and established improvement processes based on external
evaluations.
In 2012, we will accelerate our efforts to ensure product safety, and enhance customer confidence which is an
even more vital theme.
Purchasing
Focusing on new suppliers, we endeavored to clarify the division of roles with suppliers and enhance mutual
confirmation.
In FY2012 we will continue revising our work procedures by clarifying the roles and responsibilities of Toyota and
the suppliers, and promote mieruka (visualization) in the supply chain quality control system in association with
expansion of suppliers in emerging markets, with the aim of promoting prevention activities.
Production
As a key step in delivering high quality cars to customers we have made concerted efforts to establish requirements for good products to realize designers intentions in manufacturing processes. At the same time, we have
achieved steady progress in our endeavors to enhance the integrity of Ji Kotei-Kanketsu (built-in quality with
ownership) and thereby build quality into products, and have strengthened final quality inspections.
In FY2012 we will promote monozukuri (manufacturing) that exceeds customer expectations by working more
closely with Development and other departments.
Sales and
after-sales
service
Aiming to establish the industrys quickest early detection and early resolution system to solve quality problems
based on the gathering and analyzing of market information, we have been expanding our customer genchi
genbutsu confirmation activities. We respond quickly by gathering customers comments from dealers and
government offices.
In FY2012, we established a new Customer First Promotion Group to enable us to work closely with and respond
to customers as a manufacturer, and we are striving to further enhance customer satisfaction through the
integration of manufacturing, service and sales.
Customer First Promotion Group Newly Established

to Allow Working Closely with and Responding to Customers
In an effort to establish a more-reliable system in order to provide
customers with a higher level of quality and customer service, we
integrated and reorganized the functions of the former Quality
Group and Customer Service Operations Group to establish the
new Customer First Promotion Group in April 2012. The new group
integrates functions to handle quality issues in the service field
that is closely involved with customers. The group aims to put our
customer first policy into practice by acting from the customers
perspective and responding quickly and appropriately, striving to
Main Objectives
implement customer-centered sales plans and operational

development, and engaging in initiatives to strengthen support for
dealers service capabilities. A new Customer Service Field has
been established within the group, consolidating the support
services for dealers and distributors with functions to handle
market quality and deal with customers. Initiatives are now underway to establish an early detection, early resolution system to
provide one-stop solutions to resolve quality issues quickly and
smoothly.
VOICE
Views of the Person in Charge

Promoting the enhancement of initiatives bringing
together products and services to improve
customer satisfaction
To improve the ability to respond quickly to market

quality issues from the customers perspective
To strengthen support services for domestic
dealers, parts distributors and overseas
distributors
To enhance localized collaboration with planning
and development functions
To strengthen the establishment of internal
systems aimed at quality improvement
Junichi Kobayashi
Customer First Promotion Group
Under the new system, we engage in detailed and closer

communication with dealers, parts distributors and vehicle
distributors to invest the maximum effort into implementing
our customer first policy, together with our dealers, through
the support for repair services, provision and expansion of
technological information, and enhancement of services. We
also promote the establishment of a system for quickly and
appropriately relaying the opinions of customers back to
Development, and improving customer safety and confidence
through collaboration among Development, Sales and
Services.
COLUMN
COLUMN
A Quality Web Forum was Held for All Employees

to Discuss What can be Done to be Rewarded with
the Smiles of Customers
During the Month of Quality in November 2011, a Quality Web Forum was held with the aim of
getting each and every employee to think about what they need to do to be rewarded with the
smiles of customers. At this in-house, online forum, the Quality Forum held in 2010 was further
developed to allow everyone to hold free discussions on the theme and enhance each others
awareness. Seven cartoon stories based on real episodes were shown online consecutively over
a month, and everyone posted their opinions after reading them. 11,714 members from 264
divisions participated and engaged in active discussion in the forum.
14
about our safety features, new technologies and functions. The

Toyota Advanced Quality Information Center (T-AQIC) has been
deployed globally to gather and analyze quality information for
early detection and early resolution to solve quality issues quickly.
The system was introduced in North America in November 2011,
and in Europe and China in January 2012. In addition, quality risk
management was strengthened to clarify the operational rules
and processes, and the regulations for quality assurance were
also clarified. Furthermore, the principle of Ji Kotei-Kanketsu
(built-in quality with ownership) was added to the global contents
of level-specific education in January 2012 to foster human
resources focusing on quality.
Improvement in Evaluation of Quality by Third Party Evaluation Organization
According to the results published in February 2012 of an

Initial Quality Study (IQS) of North American automobiles
released by J.D. Power and Associates, a global organization
specializing in surveys and consulting in customer satisfaction, Lexus rated No. 1 in nameplate ranking while Toyota was
ranked No. 7. The results of a Vehicle Dependability Study
(VDS) carried out by the same company revealed that Lexus
rated No. 1 and Toyota No. 3. As a result, all ratings and
scores exceeded those of last year. In addition, in the results
of the spring issue of the 2012 Consumer Reports evaluating
reliability, road tests and safety, five Toyota cars were chosen
in 10 categories. Therefore, we have received proof of the
recovery of customer confidence through a variety of evaluation organizations. We will continue striving to provide
automobiles which exceed customer expectations in the belief
that Quality is Toyotas mainstay.
Prius
Camry
The Prius and Camry chosen in consumer reports
15
Always Better Cars
Always Better Cars
To Be Rewarded with the Smiles of Customers
To Be Rewarded with
the Smiles of Customers
Customer Feedback from Each Country and Region
Delivering universally user-friendly products and

At Toyota, in order to offer products and services based on our Customer First principle, we have established customer assistance centers
not only in Japan, but also in the U.S., Europe, other Asian countries, and at each distributor around the world. Here we wish to introduce
some encouraging customer feedback we have received.
services through monozukuri (manufacturing) that

closely responds to customer feedback
Customer Assistance Center
Customer Feedback for Toyota
Applying Customer Feedback to the Creation of Better Products and Services

Toyotas principle of Customer First exists for the purpose of
providing customers with products and services that earn their
smiles. On this basis, we hope to offer cars with superior features
in terms of environmental, safety and quality performance, while
also offering the intrinsic appeal of cars, such as driving performance, at an affordable price.
Therefore, in order to make better cars, we make rigorous use

of customer opinions gleaned from dealers and the Customer
Assistance Center.
Toyota Customer Assistance Center

and Lexus Information Desk
Ongoing Customer First Staff Education
The Toyota Customer Assistance Center, as well as the Lexus

Information Desk dedicated to Lexus brand models, offers toll-free
phone consultation 365 days a year and accepts brochure requests
24 hours a day in Japan. With this convenient customer-oriented
system, we offer speedy, appropriate and empathetic responses to
customer inquiries, and listen to opinions and requests, based on
our policy of Customer First. At the same time, we undertake
initiatives to link this feedback to the creation of better products
and services.
Furthermore, in order to support dealers in implementing the
Customer First policy, we have established the Salesperson
Support Desk.
We also conduct surveys of customers who use our telephone
service via an automated response system, in an effort to make
further improvements. One such improvement made was the
establishment of a team specialized in navigation and audio
systems to be able to quickly and appropriately respond to technical inquiries.
At Toyota, we have named the nationally designated Consumers

Month of May as Customers Month, and we are continuing to
undertake initiatives aimed at permeating awareness of the
Customer First principle throughout the company.
In FY2012, we held customer feedback experience events,
exhibitions, and lectures with the aim of helping each employee to
take personal responsibility for customer feedback, and encouraging them to take action. These events were based on the theme
What do you do from the customers point of view to gain their
confidence and be rewarded with a smile?
The events were attended by representatives from each
division, who visited the Customer Assistance Center and
monitored customer feedback. At the exhibitions, we conveyed
feedback from customers and presented examples from within
Japan and overseas of customer feedback activities implemented
by each division from the customers perspective.
A lecture was provided inviting a guest from another company
practicing the Customer First policy to speak on the theme of
Excellent monozukuri that emphasizes safety and confidence.
No. of calls
Consultation
397,000
335,000
CarNavigation
related
and audio
(specifications,
systemsequipment,
related
etc.)
21%
42%
2%
35%
36,000
Promoting the making better cars policy

Applying customer feedback on current cars to
future development
Sales and
After-sales Service
Creation of easier-to-understand customer

information tools
Improvement of brochures, instruction manuals,
etc. based on customer feedback
Exhibition held during Customers Month
lit
While travelling back to my hometown, suddenly a warning lamp
up. I had the car checked out at a Toyopet dealer I was passing, and
they fixed it for free. Thank you so much!
The revival of the 86, like the recent Doraemon commercial, makes
me realize the changes at Toyota. I look forward to seeing whats next
in terms of both new Toyota products and overall developments!
My mother, who is now 90, still drives her 1985 Camry. For me, it
shows the durability and vitality of Toyota.
There were problems with the car I purchased, but the salesperso
ns
at the dealer immediately adjusted their schedule to suit my needs
and worked hard to sort out the issues. It was great service.
I want to thank Toyota for constructing 14 plants
in the US.
Europe
Asia/Africa
Ive had an MR2 for 10 years, and have driven it 320,000 miles
(512,000 km) on the original engine. Thats a record for me.
My 1986-registered Tercel 4WD is already 25 years old, but is so

sturdy that even my friends praise it.
The Land Cruiser 80 which I bought over 10 years ago

is reliable even under Russian weather conditions; its
powerful, and sets my mind at ease.
ng it in turn to hit the car in

My car was struck from behind, causi
technology saved me.
as
Toyot
ed.
front, but nobody was harm
Prius. The sales agent was
new
a
t
bough
I
since
Its been one month
I want to express our
ease.
at
feel
me
and
young, but made my wife
gratitude.
and now my father owns

Our first family car was a Corolla,
Im proud to be a Toyota owner.
a Camry.
Universal Design (UD)

Cars are a means of transportation used by a variety of people under a variety of conditions. Toyota
endeavors to build people-friendly automobiles
bearing in mind the relationship between diverse
needs and cars which meet those needs. Universal
design based on ergonomics is part of that effort,
and we conduct product development tailored to
users and their use environment.
Enhancing the Welcab Lineup

for More Comfortable Mobility
26,000
Product Planning
the
When I had an accident in my LS, I was protected, surrounded by
airbag and side-cushioning. I truly believe it is an extremely safe car.
Other
Brochures (car delivery Opinions and Salesperson
requests
date, etc.)
requests
support
Utilization of Customer Feedback
16
No. and Content of Calls Received by the Center and the Desk
in FY2011
North America
Japan
With a philosophy of providing freedom of moving

in comfort to all people, Toyota has worked
towards the development and popularization of
its assisted-mobility cars, the Welcab series. In
order to respond to diversifying needs in assistedmobility vehicles, in FY2011, we deployed a total of
60 types of 30 models, including care-giving, and
self-operation models. Toyota is also encouraging
the establishment of Welcab Stations at Toyota
dealers nationwide, which have been rolled-out to
a total of 112 dealers and 195 sales outlets (as of
the end of March 2012).
COLUMN
Welride: A Feature Allowing a Wheelchair User

to Board a Minivan with High-positioned Seats
The Welride, released in December 2011, is equipped with systems that
are first of their kind in Japan, enabling wheelchair users to transfer to
the high-positioned seat by themselves and store their wheelchair using
a remote control. This was in response to feedback from people who use
wheelchairs but have relatively strong upper bodies and who want to
drive by themselves or drive their families around. During development,
we sought evaluation directly from vehicle users at numerous eminent
rehabilitation centers in Japan, and engineered the hook and handrail
shapes, and the hoist based upon customer feedback. Welride has been
fitted into the Alphard/Vellfire and Estima.
Welride, which offers wheelchair

users the new option of driving
a multi-passenger minivan
17
Nobuyori Kodaira
Executive Vice President
Contributing to the creation of

next-generation communities, pioneering
the future of the automotive industry, and
realizing new mobility societies and
affluent local communities
A variety of problems exist in our rapidly progressing modern society. These include responses to energy problems and global warming, the
preservation of biodiversity, food and water shortages, poverty, discrimination, unemployment, a falling birthrate and the aging of societysome of which are global issues, while others differ by region. Corporations such as Toyota, which are rooted in each local communities,
must work to resolve these issues.
To achieve this end, our Global Vision declares that we will contribute to enriching lives of communities as well as the making of always
better cars. Toyota proposes amenable, low-carbon mobility in addition to new lifestyles involving, for example, the early practical application
of personal robots that provide support for medical care and nursing. We also contribute to creating comfortable, livable communities by
developing and promoting next-generation, eco-friendly cars including hybrid vehicles (HVs), as well as safe mobility through interaction with
transport infrastructure. We will proceed forward together with members of each region to accomplish our goal of enriching lives of communities.
More Linked Cars for a More Linked World:

Safe Mobility through Interaction with the Transport Infrastructure
Contributing to New Mobility Societies

In order to ensure the sound future development of a mobility society that relies on automobiles as a means of transportation, it is necessary
to minimize their impact on the environment while significantly reducing traffic accidents, traffic congestion, and other negative aspects.
Based on the concept that the spread of eco-friendly cars is the key to their contributing to society, Toyota is developing and promoting
various eco-friendly cars that will help realize a low-carbon society. In addition, we provide safe mobility through interaction with transport
infrastructure, amenable, low-carbon mobility, and new societies that link people, cars, robots, and houses. In this way we are actively
working toward realizing sustainable, affluent societies.
Efforts to improve the safety of the cars themselves are basically a

major component of our initiatives. We also work to further improve
the safety of cars by linking them with infrastructure.
For example, our efforts include improving car safety by
automatically detecting dangers in accident-prone areas such as
intersections and warning drivers of such dangers. We introduce

such systems and technologies that have passed verification
stages through cooperation with the nation, government, and
related industries.
More Linked Cars for a More Linked World: New Lifestyles

Contributions through Cars Aimed at a Low-carbon Society
The Prius went on sale in 1997 as the worlds
first mass-produced HV. Other HVs have since
been introduced and are currently sold in
approximately 80 countries and regions around
the world. In April 2012, cumulative sales of HVs
exceeded four million units, with a CO2 emissions
reduction of roughly 26 million tons. The Prius
PHV went on sale in December 2011, and the
RAV4 EV is scheduled to go on sale after summer
2012. Furthermore, Toyota intends to enter the
fuel cell car market in around 2015.
Unit: 1,000 cars

(the right-hand scale applies to the line graph)
4000
Cumulative HV sales
800
700
3500
Aqua
600
3000
500
400
2500
2000
Prius
300
1500
200
1000
100
500
With the goal of achieving societies where all people are able to lead more enjoyable, affluent lives,
Toyota is developing partner robots that are useful to people by combining cutting-edge technologies from various disciplines including the robotic, automotive, and IT fields. For example, we are
currently developing and testing assist robots which provide support in various realms of nursing
in order to fulfill the needs of an aging society together with specialized medical institutions, with
the aim of practical use in the early 2010s.
00
01
Japan
02
Overseas
03
04
05
06
07
08
09
10
11
12
Contributions through Our Business Activities
(Jan.Apr.)
Total
More Linked Cars for a More Linked World: Smart Communities

Toyota is also resolving issues by linking cars and societynot only
with people, but with houses and infrastructure as well. The Smart
Grid to which Toyota has been devoting energy in recent years is
one representative example.
Toyotas concept of the Smart Grid involves linking cars,
houses, and society via Toyota Smart Center, and improving energy
efficiency through energy management as a means to contribute to
a low-carbon society. Cars account for a sizeable proportion of the
energy used in regular households. Because Toyota also sells PHVs
and EVs powered by electric motors, we believe there is much we
can accomplish in this field.
Patient transfer assist robot
In addition, we have been engaged in our housing business,

Toyota Home, for over 30 years. We began selling SINC feelas, a
type of Smart House, in April 2012. Furthermore, we have made
accomplishments in relation to car telematics through activities
including the G-Book. By making use of these strengths for
initiatives in this field, we intend to help realize a low-carbon
society and create pleasant, convenient lives.
We are working to resolve various issues through the evolution of cars themselves and via links with cars. We have a fundamental role that
we must fulfill as we carry out our business, which includes responding to issues related to employment and the aging of societies.
Toyota produces automobiles in 50 countries across the globe and has over 300,000 employees. Furthermore, the number of
relationships we have is dozens of times greater if we include the dealers and suppliers that support us, as well as the family members
that support them. We believe that our role is to contribute to employment and the affluence of communities by carrying out sustainable
businesswith no peaks or troughstogether with the people who support Toyota. Toyota will continue to contribute to the sustainable
growth of local communities through cars themselves, links with cars, and our business activities.
A townscape from the Toyota City pilot projecta Smart Community with the aim of zero CO2 emissions from houses and cars
18
19
Special Feature
Enriching Lives
of Communities
Contributing to the Realization of

a Low-carbon Society
Linking Cars, Homes, and

Peoplethe New Future
Envisioned by Toyota
With changing social conditions and technological innovations (as exemplified by declining birth rates,
the aging of society, and energy diversification), the role of the car is likely to extend beyond just providing
a means of transport to becoming a part of society and peoples lifestyles. To create the possibility of
economic growth without the intensive use of energy and resources and contribute to a sustainable,
low-carbon society, Toyota is moving beyond the existing framework to produce new cars with added
Participating in Demonstration Tests

in Various Countries and Regions
value and appeal. Furthermore, with respect to peoples lifestyles and activities, we wish to continue
contributing to the creation of genuinely prosperous lifestyles with peace of mind for everyone.
This is the Smart Grid Envisioned by Toyota!

Cleverly controlling PHV and
EV battery charging and
household electricity
Providing an information center

for the diverse energy uses of
households
Effective energy use

in the whole region
Rokkasho Village,
Aomori Prefecture
Collecting data
Ad
vic
e
da
ta
ng
cti
Strasbourg
America
Toyota City,
Aichi Prefecture
Kitakyushu City,
Fukuoka Prefecture
Boulder, Colorado
EV/PHV Towns
As a result of the demonstration tests, several products have been put into
production and commercialized (Toyota Smart Center, G-Station, H2V Manager, etc.)
See below
Kitakyushu City,
Commencement of energy data analysis using FEMS (Factory Energy Management
System), a fixed electricity storage system utilizing spent nickel-metal hydride
Fukuoka Prefecture
batteries from hybrid vehicles, and a solar power generation system
Boulder,
United States
Monitoring of 108 households where 18 PHVs were used on a rotational basis for
three-month periods, evaluation of PHV usability, and observation of reactions to
battery charging time controls
INES project,
France
Testing of optimal control of PHV battery charging in a large parking lot with solar
power generation
PHV demonstrations Observations of vehicle use and customers battery charging behavior in the
market and application of findings to the development of the Prius PHV
Application of demonstration test results to increase PHV appeal and to PR
activities within Toyota and externally
Aiming to Create Clean and Comfortable Next-generation Communities

(Smart Melit: Smart Mobility & Energy Life in Toyota city)
Smartphone
Covered by
stored
electricity
Using
no electricity
Toyotas Role in Creating Communities of the Future
INES project
ata
gd
lle
ctin
lle
Co
Co
Information
center
Storage battery
20
Rokkasho Village,
Aomori Prefecture
Steady progress has been made in the horizontal expansion of demonstration tests
to Toyota City (smartphone apps, predictive algorithms, etc.)
Solar panels
Toyota is making use of smart grid* technology from the perspective of vehicle users by linking cars, homes, and people to help
customers live comfortable, low-carbon, and energy-efficient
lifestyles, as well as to assist in creating next-generation smart
communities.
In the future, as the use of eco-friendly vehicles including
plug-in hybrid vehicles (PHVs) and electric vehicles (EVs) expands,
the peak electricity demands of communities will increase if
battery charging commences simultaneously. The optimal way to
control battery charging is an important issue in the popularization
of eco-friendly vehicles. The smart house developed by Toyota
Home is equipped with a solar power generator and functions to
efficiently control electricity consumption, thus providing an ideal
method of utilizing self-supplied electricity and managing battery
charging for cars. This initiative for battery charging grew out of a
single PHV and one smart house, and will be expanded in stages to
eventually create large eco cities. This is the smart grid envisioned
by Toyota.
Toyota has vast expertise in the numerous technologies
needed for the operation of smart grids including of course vehicle
technologies, and also IT and housing-related technologies. These
will be incorporated into smart grids, or smart communities, in
cooperation with various industries and local governments.
Cutting-edge information technologies and extensive information
management infrastructure are also needed. By coordinating this
Japan
Main Advances and Demonstration Test Results for FY2011
Toyota City,
Aichi Prefecture
Substantial
electricity
usage
China
Tianjin/Beijing
France
Toyota participates in demonstration tests

in several locations worldwide to realize the
smart grid that the company envisions and
popularize next-generation environmentally
friendly vehicles. Through these tests, Toyota
has developed new technologies and evaluated
the usability of cars, peripheral devices, and so
on from the customers perspective.
Information center
Battery
charging
stand
Contributing to the Realization of a Low-carbon Society
Special Feature
with future car manufacturing, cars will become not just a means
of transport, but also a contact point for peoples daily lives and an
important element of social systems. Providing comprehensive
lifestyle support services to customers through carsToyota
believes that this will be a valuable business that will respond to
communities requirements and contribute to environmentally
friendly societies of the future.
* Smart grid: In general terms, the smart grid is a new power network for achieving
stable electricity supply and energy saving by controlling supply and demand through
the use of information technology.
In one of the demonstration testthe Smart Melit: Smart Mobility

& Energy Life in Toyota citythe Ministry of Economy, Trade and
Industry and Toyota City, in conjunction with private enterprises
including Toyota, is undertaking initiatives relating to the creation
of a low-carbon society and alternative energy. The trial involves
the monitoring the owners of 67 smart houses, that had undergone
demonstration tests, for the optimization of energy use in their
daily lives (at home), during transportation (PHV/EV, traffic
systems), and at destinations (commercial or public facilities, etc.).
Outline of Trial
Targets
Aims
Controlling organization
A 20% reduction in CO2

emissions from household
energy use and a 40%
reduction from the
transport sector
As one of the projects in the Ministry of

Economy, Trade and Industrys Demonstration of Next-Generation Energy and Social
Systems, creation of consumer-oriented
low-carbon communities
Smart Melit: Smart Mobility & Energy

Life in Toyota city, comprising 33
organizations including Toyota City
and Toyota (as of April 2012)
Demonstration
test period
Five years from
2010 to 2014
Demonstration test contents

The occupants who purchased the 67 Toyota Homes smart houses are being
monitored with the aim of optimizing energy use in their daily life. To link
this with the construction of low-carbon traffic systems, approximately 4,000
publicly available PHVs and EVs are included in the trial.
Outline of the Smart Melit: Smart Mobility & Energy Life in Toyota city
Combined
spheres
of life
Support of consumer activities and optimization of

energy use by overall society
Realization of an environmentally friendly lifestyle
with a reasonably high quality of life
Analysis of energy usage data using an
Energy Data Management System (EDMS)
Allowing visualization of energy saving
Balance of supply and demand in anticipated
battery charging and discharging
Provision of incentives by awarding eco-points, etc.
Giving commendations, etc. for eco activities
Optimal energy utilization within households

Within
households
Model regions
in urban centers
Preliminary introduction of
trial technology and provision
of locations for showcasing
purposes in Japan
and overseas
Controlling of devices for energy generation,

energy saving, and energy storage, and optimization
of electricity use from solar energy
Development of Home Energy Management System (HEMS)

devices and systems with storage batteries
Visualization of electricity consumption and calorific values, etc.
Toyota Homes smart house, SINC feelas, launched in April 2012
The aim is to achieve optimal energy use in these combined

spheres of life to create next-generation low-carbon societies in
regional cities. The plan is to construct low-carbon social systems
that provide a high level of resident satisfaction, and which are the
most cost-effective in the world, over the five years of the demonstration test period between 2010 and 2014, and then to communicate this to the rest of the world. It is also hoped that the results
may be of assistance in creating new communities when rebuilding
areas damaged by the Great East Japan Earthquake.
Development of PHVs and EVs with

battery charging and
discharging capabilities
Construction of low-carbon traffic systems

Transportation
Provision of diverse means of transport and their coordination

to reduce carbon emissions
Promotion of usage of public transportation by utilizing
a Traffic Data Management System (TDMS)
Promotion of shared use of personal mobility and
next-generation vehicles
Introduction and promotion of next-generation vehicles
Installation and expansion of battery charging infrastructure
and hydrogen stations
Use of ITS to ease traffic congestion and promotion of eco-driving
Optimization of energy use in commercial and

public facilities, etc.
Destinations Maximum use of untapped energy at destinations

and at community level
Use of EV and PHV onboard storage batteries for power supply

during power failures and disasters
Installation of infrastructure for battery charging
from renewable energy
Utilization of wood and other biomass energy
Introduction of power storage equipment at commercial facilities
(convenience stores, shopping centers, etc.)
21

Special Feature
Special Feature
EDMS Initiatives for Realizing a Comfortable, Environmentally Friendly Society
Demonstration Tests for TDMS as Part of a Low-carbon Transport System
The Smart Melit: Smart Mobility & Energy Life in Toyota city involves the introduction of an original Energy Data Management System (EDMS) to
achieve optimal utilization of energy across combined spheres of life. This project is also testing the provision of services for optimal lifestyles. By
connecting the energy management systems of each household, data on the electricity consumption of the whole region is gathered and analyzed
and the amount of solar power that can be generated is predicted. This information is used to encourage carbon reductions and shift peak electricity demand through measures such as varying the timing of battery charging. Mechanisms for achieving a low-carbon society that can be enjoyed
by consumers are also being considered alongside the establishment of indicators for satisfaction with eco-lifestyles. In this way, the project is
testing the provision of services for optimal lifestyles. In addition, plans are also being implemented to increase environmental awareness through
initiatives such as awarding points according to electricity generation and power saving, and establishing a system of commendation.
In addition to reducing carbon emissions by using next-generation eco-friendly vehicles such as PHVs, EVs, and FCVs for transport, improving traffic flow and promoting the eco-driving of vehicles equipped with ITS, the Traffic Data Management System (TDMS) was developed
with the aim of constructing a smooth traffic flow system by providing guidance on optimal modes of transportation according to actual
conditions. Demonstration tests of the system will commence in FY2012. TDMS is a traffic system that is intended to form a part of smart
communities by balancing supply and
demand in traffic and improving energy
Outline of the Smart Melit: Smart Mobility & Energy Life in Toyota city
utilization effectiveness through coordination with regional energy management
Reducing congestion and
ITS
Transportapromoting eco-driving using ITS
systems. Specifically, it will gather
tion and
Hydrogen station
driving data
BRT
transportation and driving data within
FC bus
regions by coordinating with the Toyota
Smart Center IT platform. The aim is to
Charging station
Toyota City Hall
construct an urban traffic system that will
with solar panels
PHV
Charging
Toyota
HV bus
PHV/EV
demand bus
Power supply
reduce carbon emissions and deliver
Smart
TDMS
Center
smooth transportation by providing
Toyota
Promoting the
information and guidance from time to
City Station
Rail
introduction of nexttime on optimal modes of transportation
generation automobiles
(such as car sharing park and ride, etc.
Guidance
Smart parking
and
coordinated with public transportation
Car sharing
Promoting the use of public
information
Park and ride
transportation
availability).
* EDMS (Energy Data Management System)

EDMS was developed to enable energy management in the pursuit of optimal energy use in living spaces at the community level. Electricity supply and demand is balanced by measures such
as the transfer of surplus power, not just between smart houses but also at the level of the surrounding community, including convenience stores and schools. In addition, trials for achieving
optimal energy management are being carried out using information and communication terminals such as smartphones to link cars, homes, and people in real time.
Outline of Results of Energy Use Optimization within Households in FY2011

Reduction in Energy Consumption through the
Introduction of EDMS
Reduction in Electricity Consumption through EDMS
Trial Results in Shifting of PHV Battery Charging Times

Using a system similar to the carbon reduction incentives, trials were
conducted on the shifting of PHV battery charging times through a service
provided by EDMS for peak electricity consumption. By means of advice on
ideal battery charging times and the awarding of points, there was a change
in conduct with 84% of users charging batteries at the ideal late night time.
VOICE
Comments from a Smart House User
VOICE
Rate of
reduction
Demonstration contents
Data on the power consumption of each household is gathered through

EDMS (11 households with EDMS as of May 2012), while trials using the
points system as an incentive to encourage carbon reductions are being
carried out. Regarding the energy transferred within a community, the
lower the amount of carbon, the more points awarded. Compared to smart
houses of the same standard in which the service has not been introduced,
there was an average reduction in the community in electricity consumption of around 30% (equivalent to a 34% reduction in carbon emissions).
Instructions on ideal battery charging times
Visualization
period
-8.1%
*Explanation detailing how late night PHV battery charging is beneficial

to local production of energy for local consumption
Incentives given for battery charging times
DR points period
*Introduction of a system in which a large number of points are awarded

if PHV batteries are charged late at night
Recommendation
period
Information provided on more effective electricity use

through analysis
*Information was displayed in special photo frames showing messages

such as Tomorrow will be sunny. Recommended car battery charging
time from 11:00 a.m. to 4:00 p.m.
-30.7%
-25.2%
DR Points and PHV Battery Charging Times (Households with EDMS)

kWh
500
450
400
350
300
250
200
150
100
50
0
Power consumption for PHV battery charging before DR points implemented

(total for the time zone in the community)
Power consumption for PHV battery charging after DR points implemented
(total for the time zone in the community)
DR points during the implementation period (median)
Points
15
10
Incentive points
(Proportion to carbon coefficient)
0
-5
0:00
12:00
23:00
-10
*DR (demand/response): Indicates regional energy conditions and encourages restraint in power
consumption
Striving to balance the environment and consumer satisfaction
Solar panels and storage batteries provide

peace of mind, even in an emergency
I try to do the housework when I have plenty of
solar power
Its handy because I can see how much
electricity Im using in which room.
Masayuki Kawamoto
R&D Management Div.
I decide on my target electricity costs and take

care not to exceed them
Based on regional electricity consumption data gathered by EDMS, we are implementing

initiatives to allow citizens to lead environmentally friendly lifestyles that are comfortable
and enjoyable. In the Smart Melit: Smart Mobility & Energy Life in Toyota city, based on
the idea of effectively utilizing natural energy to reduce carbon emissions, power
generated by solar panels in each household is saved in storage batteries and excess
amounts are shared across the region. The cornerstone of these trials is EDMS. There is
strong interest in smart houses among people in the region, and between September
2011 and May 2012 40 households moved into smart houses and are cooperating in the
demonstration tests. We are keen to promote activities that balance the environment and
consumer satisfaction, and that are aimed at the creation of next-generation communities that are both environmentally friendly and comfortable to live in.
EDMS Demonstration Plans
Construction
of basic
systems
FY2011
FY2012
EDMS, HEMS, and effective regional

energy management (visualization)
demonstration outcomes
Commencement of
the first occupancy
period
Toyota City (Takahashi and Higashiyama

districts)
67 houses (consecutively from September)
EDMS, HEMS, cars, people,

and incentive models (behavior
support) demonstration outcomes
Toyota City demonstration tests coordinated
with demonstration tests conducted by other
regions
HEMS development phase
Fixed controls (nighttime battery charging, daytime use)
EDMS individual services
Optimization through settings done by the consumer based

on EDMS information (e.g., PV battery charging in sunny weather)
FY2013
Demonstration tests of regional carbon

emissions reductions through total energy
management, including transportation
FY2014
As an initiative to achieve a low-carbon society through the utilization of public

transportation, Fuel Cell (FC) buses are being trialed in the types of environments in
which they will actually be used. FC buses use fuel cells as their power source to
generate electricity via an electrochemical reaction of hydrogen with oxygen from
the air. Producing no CO2 or exhaust gas by-products other than water, the buses
will provide clean and highly efficient public transportation for the near future. In
addition, as they can also be used as power generating equipment, a single FC bus
can provide supplementary electricity to an ordinary household for a month and
thereby FC buses can contribute to society as emergency power sources.
FC bus
Use of Ultra-compact EVs in Next Generation One-mile Mobility

To promote a modal shift to the coexistence of cars with public transportation, demonstration tests for one-mile mobility will commence
in FY2012. The objective of one-mile mobility is to construct a next generation feeder transport system using ultra-compact EVs. The last
mile is the distance between the home or other daily destinations in daily life and rail, bus, and other key transport systems. The aim is to
promote the use of public transportation for traveling these short distances and contribute to the realization of a low-carbon society.
Summarization of demonstration
results and reconstruction of
the system for commercialization
Activities for global standardization of Toyota

Citys urban area demand management system
HEMS improvement/validation phase
Predictive learning control (use PV battery to the maximum,

late night charging for further use)
EDMS HEMS coordinated control
Electricity use control corresponding to the EDMS

unit price (interlocked with the carbon coefficient)
Demonstration end
FY2010
FC Bus: Clean Energy Public Transport of the Near Future
Comments from the Employee in Charge of Demonstration Tests
Living in a smart house increased my

awareness of power saving
22
23
Cooperation with Communities and Infrastructure:

Basic Concept of Vehicle-infrastructure Cooperation
ties to improve the quality of life (QOL) of all people
A New Lifestyle: Basic Concept of Partner Robots

Amid the aging of society, declining birth rates, global warming,
and other major environmental changes, societal expectations are
looking toward further sustainable mobility and universal robots.
In line with our philosophy of contributing to the community
and people by enriching society through manufacturing, in order to
realize societies where all people can lead more enjoyable, affluent
lifestyles, Toyota is developing partner robots that are useful to

people by combining cutting-edge technologies from various
disciplines including the robotic, automotive, and IT fields.
In the future, expanded pilot projects will be carried out at the
same time as development, with the goal of practical use in the
early 2010s.
Onboard safety equipment and systems are

evolving at Toyota, where the latest Intelligent
Transport Systems (ITS) technology is being
applied to the development of Vehicleinfrastructure Cooperative Systems with relevant
government agencies and other private corporations. These systems enable information that
onboard sensors fail to acquire to be transferred
from sensors installed on the roads to vehicles, as
well as shared between vehicles. Providing the
driver with such information leads to safe driving
and accident prevention.
As society ages and birth rates decline, Toyota aims to improve the
quality of life (QOL) of all people in realms such as nursing, medical
treatment, and daily life. Toyota develops and tests a wide range of
assist robots through medical and engineering cooperation with
organizations such as the Toyota Memorial Hospital, Fujita Health
University, and the National Center for Geriatrics and Gerontology.
These robots are used to support physical functions such as
walking, movement, and patient transfer from indoors to outdoors,
independence to nursing support, and the recovery of functions to
assistance.
VOICE
Comment from a Medical Professional

Expectations for practical application based on
a high degree of perfection
Eiichi Saito
Professor
Fujita Health University
Robots are the only solution to providing support in

the aging society of the future. Research is being
undertaken on various types of robots, and I look
forward to the practical application of robots such as
the Walk Assist Robot based on its high level of
performance.
Reduces the burden on family

members, caregivers, and helpers by
supporting movement between rooms,
as well as when getting onto and off the
bed and toilet, during nursing care
Assists walking to support

independence in the daily lives of
people who have difficulty walking
or who have suffered leg paralysis
due to a disability
Independence
Independent
walk assist
robot
Patient transfer
assist robot
Assist robots that

support patient independence,
exercise, and nursing are
currently being developed
and tested
Walk training
assist robot
Supports the recovery

of natural walking
functions through
walking training for
people who have
difficulty walking due
to a disability
24
Exercise
Autonomous safety systems

Autonomous safety
systems
Vehicle-infrastructure
Cooperative Systems
that support safe
driving
Increased
awareness of
people
Vehicle-infrastructure Cooperative Systems

that support safe driving
20XX
(Present Future)
Head-on
collisions
Rear-end
collisions
Solo vehicle
accidents
Accidents
at
intersections
Accidents
involving
motorcycles/
motorbikes
Accidents
involving
bicycles
Accidents
involving
pedestrians
Overview and Progress of Vehicle-infrastructure Cooperative Systems that Support Safe Driving
Support system 1
Partner Robot Solutions
Effects of Vehicle-Infrastructure Cooperative Systems that support safe driving

Reduction of deaths and injuries
create mutual links between cars, people, and communi-
Effects of accident reduction
Through the development of new mobility and robots, we
ITS spot services

(Dedicated Short Range Communication [DSRC])
Dedicated Short Range Communication (DSRC) is a traffic information service that, as

an addition to conventional ETC services, operates primarily on expressways and uses
bidirectional communication between vehicles and infrastructure to support safe
driving. Specifically, this system makes it possible to inform the driver of dangers at the
earliest opportunity, such as by notifying the driver of any stationary vehicle or traffic
congestion beyond a curve that affords poor visibility before the driver reaches the
curve, and also by notifying the driver of falling objects before they are encountered.
Operation of this system began in FY2009. DSRC units for ITS spot services went on sale
at the same time, and the number of adopted models for the service has been expanding
gradually. As of May 2012, infrastructure was installed at 1,600 locations throughout
Japan, mainly on expressways.
Support system 2
Congestion
Roadside sensor
ITS spot (DSRC antenna)

Caution
Congestion ahead.
Proceed with caution.
Providing information on obstacles ahead
Driving Safety Support Systems

(DSSS)
This system supports the safe driving of a vehicle by sending information from transport
infrastructure to the vehicle, including information on areas with poor visibility and
traffic control information (traffic lights, signs, etc.), with a main focus on ordinary
roads. It also supports safe driving by preventing drivers from overlooking red lights by
informing them of red lights before they reach intersections with traffic lights, and also
by preventing accidents caused by collisions through the provision of information on
nearby vehicles at intersections with poor visibility.
In tandem with the introduction of this service in 2011, Toyota installed DSSS driving
support functions on its HDD Car Navigation Systems.
Probability of running
a red light detected
Warning beep:
Red light ahead
Traffic signal
information received
Infrared beacon
Sending red light warnings
Nursing
Support system 3
Researching and developing next-generation systems

(communication systems among vehicles or between vehicles
and pedestrians) to achieve further evolution
In addition to bidirectional communication between vehicles and infrastructure, Toyota

is working to develop services that contribute to environmental improvements and
further reductions in the number of traffic accidents through the direct communication
and continuous exchange of information among vehicles, or between vehicles and
pedestrians. These systems aim to prevent collisions between vehicles and pedestrians
at intersections where there is poor visibility, as well as to prevent crashes and other
accidents with oncoming vehicles when making a right-hand turn. Toyota is engaging in
proactive development to enable the early practical application of these systems
through participation in Toyota City driving experiments on public roads from March
2012 and other initiatives.
Roadside
wireless device
Warning beep
Infrared
beacon
A vehicle making
a right turn
Pedestrian
Pedestrian
detection sensor
Systems that help drivers avoid overlooking pedestrian crossings
25

Summary of Toyotas Initiatives on the Environment
Reduce environmental burdens and create a sustainable

society through lifecycle by developing various eco-friendly
Toyota aims at globally establishing a low-carbon society, establishing a recycling-based society, and environmental protection and
establishing a society in harmony with nature to contribute to sustainable growth of society and the planet based on the Fifth Toyota Environmental Action Plan. To realize those aims, we reduce the environmental impact at all stages of vehicle life cycle from development and design,
procurement, production and logistics, sales to waste and recycling, and promote environmental management.
vehicles and technologies and making them prevail
Establishing a low-carbon society

Significantly reduce GHG emissions
Various activities with an eye on energy-saving, lower greenhouse gas

emissions at various stages of business activities including development of
next-generation environmental vehicles to establish a low-carbon society
Establishing a recycling-based society
Ultimate Eco-Car
Wire harness using pull-tab type

grounding terminal
Average Fuel
Economy Meter
Diesel
HV
Plug-in
HV
THS II
Use of renewable energy considering the

characteristics of each nation and region
(Photo: Tsutsumi Plant)
Hybrid Technology
Synthetic
fuel
CNG
Diesel
engines
VVT-i
Gasoline
engines
Continually reducing water use

(Photo: Australian rain water
project team)
EV
The right vehicle for the right place at the right time
Alternative
fuel engines
Promoting biotechnology and afforestation

business (Photo: Example of roof greenery
with maintenance-free TM9 Korai turf)
The Fifth Toyota Environmental Action Plan
D-4
Lean burn
Eco-driving enlightenment
activities (Photo: A Camrys
average fuel economy meter and
current fuel economy meter)
Promoting integrated actions on CO2

reduction (Photo: Smart House
collaboratively controls home electric
appliances, cars and solar power to use
home energy more effectively)
DPNR
Common
rail DI
Pull-off
direction
* The average fuel economy meter

and moment fuel economy meter
occupy the same instrument face,
so it shows the average figure of
17.5 km/L on the right and the
moment figure of 25 km/L on the left.
Further performance improvement through the use of hybrid technology
Bio fuel
When dismantled
Assembled condition
Moment Fuel
Economy Meter
FCHV
Alternative
fuel HV
Promoting 3R (Reduce, Reuse, Recycle) and increase resource productivity on the assumption that various resources are limited
Returnable containers
Activities to reduce CO2 by further improvement of

transport efficiency (Illustration shows reduction of
total transport distance through transporter truck
modification)
The wiring harness can be

stripped out
without
interfering
with other
components.
Separates
at the thinner areas
Use of the Easy to

Dismantle Mark
The Easy to Dismantle
Marks are added to
show key points
for disassembly
tasks.
Instrument panel removal

The positioning of the V
grooves makes it easy to
remove the instrument
panel by pulling it strongly.
Examples of easy to dismantle vehicles items
Environmental protection and

establishing a society in harmony with nature
Internal reutilization
Intra-process reutilization
Products
Resource input
Receiving and continuing the blessings of nature
Electrical
energy
Wire harness layout innovation
Contributing to the establishment of a society in harmony with nature by reducing the environmental impact and taking into consideration biodiversity
*1. Waste at cost
Recycling for profits

Waste at cost*1
Incineration of waste
Landfill waste
Waste
Materials discarded that are recycled for a fee
Development of next-generation vehicles using electricity,

and promoting combination of different power sources in
ways that maximize the strengths of each
Enhancing development of recycling technology for effective

reutilization of resources(Fig. Resource flow)
Toyota vehicles have been certified 50%

lower than standard levels for 2005 or
better.
Enhancing management of harmful

chemical substances contained in
products (Photo: REACH briefing session)
Expanding the use of waterborne paints

worldwide
Promoting community- and

society-based forestry
initiatives (Photo: Toyotas
Forestry brochure)
TOYOTA Shirakawa-Go Eco-Institute

The institute's Nature Coexistence Projects
won the Minister of the Environment Award
for Corporate Activities on Biodiversity
Commemorative ceremony marking

the cumulative total of 100,000 visitors
to the Forest of Toyota
Environmental management
Promoting environmental management to stakeholders such as consolidated subsidiaries, business partners and employees. Assuming the basis for contributions that can achieve the three types of societies listed above.
Design and Prototype
Planning
Environmental
performance
26
Education Classifications
Environmental awareness
improvement education
for employees
Customers request
CE commitment
Cost
Performance
Chief Engineer
(CE)
Vehicle planning makes inconsistent
matters compatible in an advanced way
Toyota Green Purchasing Guidelines
Pre-production Start
Sequential understanding
of target achievement status
Education by level
Quick response
Final check of
environmental performance
Consistent achievement of targets
Information disclosure to customers
Promotion of environmental management ECO-VAS in product development
Specialized education
Tree planting event at the Sorocaba Plant in Brazil
Name
Toyota Global Environment Month Events (every June)
Toyota Eco Drive Month (every November)
Environment e-Learning Environment Handbook
New Employee Education
Manager Education
Executive Development Program
Environmental Protection Leader Education
Internal Environmental Auditor Education
Overseas Environmental Protection Promoter Education
Key Environmental Facility Worker Education
Environmental education system
27
Topics
Special Feature Prius PHVThe Most Promising Next-generation Eco-Vehicles

The finite nature of petroleum reserves tells us that energy sources must be diversified (electric, hydrogen, and so on) if automobiles are to
have a viable future. With our hybrid vehicle (HV) technology as the core, Toyota developed the Prius Plug-in Hybrid Vehicle (PHV), one of the
most promising alternatives for next-generation eco-vehicles. The new vehicle was officially launched in January 2012. Before eco-vehicles
can contribute to the environment, they must first penetrate the market. And to do that, they must win wide acceptance among consumers.
Thus, leading up to the launch of Prius PHV models, we sought to maximize the vehicles performance, ease of use and affordability.
Plug-in Hybrid System

EV driving range increased significantly with newly developed high-capacity lithium-ion batteries.
The high-capacity onboard charger allows charging from external electricity sources.
High-capacity lithium-ion batteries
Power Control
New lithium-ion batteries offer high capacity,

high energy density, and high power output.
They supply power to the motor, and they are
recharged from energy recovered as the
vehicle slows down.
This transformer converts direct

current from the battery into
three-phase alternating current
used by the motor and power
generator.
High-efficiency 1.8L engine

Uses the Atkinson Cycle to achieve
superior engine efficiency.
High-efficiency onboard charger
Motor
Drives the wheels with power from
the batteries. When the vehicle is
decelerating, the motor works as a
generator, producing electricity to
store in the batteries.
Alternating current from the external

source is converted to direct current and
efficiently charges the high-capacity
batteries. Compatible with AC200V or
AC100V systems.
IT Support Optimizes PHV Performance

Prius PHV Has Two Driving Modes, which Combine the Advantages of Both Electric Vehicles (EV) and Hybrid Vehicles (HV)
Performance
Short rang EV mo de
EV-mode cruising range
26.4km
* Cruising range for the Grade S, in JC08 Japanese test cycle, verified by Japanese Ministry of Land, Infrastructure, Transport and Tourism. Differs by grade.
Maximum EV-mode driving speed
100km/h
Fully charged cruising range of 26.4 km in EV-mode driving powered by the electric motor. Should cover most commuting, shopping
and other short-range driving needs, and allows speeds of up to 100 km/h.
Performance
Lon g d is ta nce HV mod e
28
EV-mode driving is ideal for everyday commuting and shopping
61.0km/L
Because the vehicle can travel 26.4 km on a full battery charge, it gets an amazing 61.0 km/L fuel efficiency rating (for the Grade S, in JC08
Japanese test cycle, verified by the Japanese Ministry of Land, Infrastructure, Transport and Tourism). While in EV driving mode, Prius PHV
uses no gasoline and produces zero CO2 emissions.
Once the power to drive in EV mode is depleted, Prius PHV operates as a hybrid vehicle
When all the battery power necessary to operate in EV mode is used up, the vehicle automatically switches to HV mode, so the driver
needs not worry about the batteries becoming depleted. That means there is no reason to worry about plugging in somewhere away from
home. The driver does not have to keep an eye on the amount of charge remaining or find a plug-in charging station, just enjoy driving the
Prius PHV as if it were an ordinary vehicle, for as long and as far as you wish.
Toyota has always worked to establish a sustainable recycling-based society. In the field of resource recycling, Toyota is at the very leading edge.
Since October 2010, it has promoted the world s first battery-to-battery recycling business, which recovers nickel from the nickel-hydrogen
batteries used in hybrid vehicles and reuses it in new batteries.
Dismantle
JC08 Japanese test cycle
To Make Best Use of Our Limited Resources, Toyota Has Its Own Battery-to-battery Recycling Network
In EV mode, gasoline use is minimal so CO2 emissions are significantly reduced
Plug-in Hybrid fuel efficiency (combined fuel combination)
Performance
With eConnect service, Prius PHV drivers can use their smart phones to check on battery charge condition and browse to compare fuel efficiency with that of other Prius PHV drivers. Drivers can also operate the vehicle s air conditioning by remote control. Typical comments from owners who have tried
eConnect are I feel like Im already in the future, and I feel Im always connected to my Prius PHV.
The vehicles are designed

to ensure safe sure
battery removal, and
Toyota produces manuals
outlining the process.
Recycling
Rare metals and other
such precious materials
are recovered from the
batteries and recycled as
resources.
Recovery
Recovery Network
The batteries are collected

and delivered by trucks
returning from delivering
parts to dealer service
centers, which helps minimize
CO2 emissions by eliminating
the need for extra trips.
Rebuilding and reusing

A unique Toyota network, batteries are
collected when hybrids receive a battery
change, or when a hybrid reaches the
end of its service life.
Batteries that are still

functional are used when
hybrid vehicles need replacements, and Toyota is researching ways to use them as
sources of household power.
29
FY2011 Key Environment Data
The icons categorize global and Japan data.

Japan data includes TMC non-consolidated and consolidated data.
Toyota has promoted environmental management with three major themes: Establishing a low-carbon society; establishing a recyclingbased society; and environmental protection and establishing a society in harmony with nature. Listed below are the main environmental
data collected in Japan and overseas. Detailed information is reported in the Separate Volume : Environment Facts & Figures.
CO2 Reduction
Increase of Average Fuel Efficiency
Average fuel efficiency in Japan, U.S. and Europe has improved significantly due
to the increase in the number of hybrid vehicles (HVs), mainly the Prius and
Aqua, and more fuel-efficient conventional vehicles.
Average Fuel Efficiency for Toyota Vehicles

in Japan, U.S. and Europe
Cumulative CO2 Reduction

with 4.0 Million HVs (Toyota Estimate)
(Index)
1.50
VOC emissions per unit of painted area were reduced through activities at vehicle
production affiliates in Japan.
29.2
28.5
1.00
97
98
99
00
01
02
03
04
05
06
07
08
09
11
10
(FY)
97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 (Jan-Apr)
Camry, Crown Hybrid, SAI, Prius, Prius PHV
Sedan
1.50
Commercial
01
02
03
04
05
06
07
08
09
10
11
(FY)
CO2 emissions per unit produced have improved from FY2010 through activities
to reduce CO 2 at affiliates in Japan and overseas. However, the total volume
increased from the previous year due to an increase in the number of units
produced. The index of per sales unit was changed to per unit produced
starting with the Fifth Toyota Environmental Action Plan.
Emissions per unit produced
(Tons per unit produced)
9.0
7.01
7.36
7.08
7.18
7.22
1.5
6.0
5.0
0.88
2.0
0.84
0.85
0.83
0.5
1.0
01
The rest of Asia,

Australia,
the Middle East,
South Africa,
Latin America
Europe
08
09
10
11 (FY)
09
10
11 (FY)
SU-LEV
U-LEV
No. of Models
No. of Models
Avensis
Camry
Pixis Space
Aqua
Prius PHV
Reduction of Waste Volume

Total Volume of Waste (Global)
Total volume of waste was reduced through activities at affiliates in Japan and
overseas. The index of waste was changed starting with the Fifth Toyota Environmental Action Plan.
The new waste index started with
200
Japan
(excluding TMC)
100
0
144
102
GS
GS450h
Total
10
the Fifth Toyota Environmental Action Plan

(Waste at cost, incineration, landfill)
Incineration + landfill
The rest of Asia, Australia,
the Middle East, South
Africa, Latin America
Europe
China
105
81
North America
76
Low-Emission Vehicles as a Percentage of Total Production in Japan
08
09
10
11
(FY)
08
09
10
11
96%
97%
97%
97%
TMC
* 119 companies (TMC, consolidated subsidiaries and other companies in Japan and overseas)
Japan: Companies subject to consolidated EMS (including sub-subsidiaries; excluding Toyota Tsusho)
listed in Groups 1-5 in the Separate Volume : Environment Facts & Figures
Overseas: Production companies and production/sales companies listed in the Separate Volume :
Environment Facts & Figures (excluding TMMR in Russia)
* Reduction of incineration and landfill waste volume was reported until the Fourth Toyota
Environmental Action Plan (FY2006 2010). The volume of waste at cost (materials discarded that
are recycled for a fee) is added starting with FY2011 (the Fifth Toyota Environmental Action Plan)
* Chinese affiliates have been included since FY2006
60
New
U-LEV
50% lower than
standard levels for 2005
40
20
0
07
08
09
10
11
(FY)
99%
Toyotas vehicle
recycling/
recovery rate
(in terms of
percentage
of entire vehicle)
93%
70
76%
80%
81%
85%
ASR recycling/
recovery rate
Legally mandated 70% rate for FY2015
07
08
09
10
11
(FY)
* Vehicle recycling/recovery rate: Calculated as the approximate 83% recycling rate of materials recovered
from the dismantling and shredding processes (as per documentation of the policy board of Japan, May 2003),
plus a 93% ASR recycling/recovery rate multiplied by the 17% ASR remaining after recycling of materials
recovered from the dismantling and shredding processes [83 + (93/100 x 17) = 98.81]
Enhancing Consolidated Environmental Management

Percentages by Companies Subject
to Consolidated EMS Worldwide
Percentages of vehicles produced and sold by companies subject to the
consolidated EMS worldwide was:
99% of vehicles produced and 91% of vehicles sold.

Promotion Structure for Global Environmental Management
North America
Environment Committee
European Environment Committee

(2002~)
conventional low
emission vehicle
25% lower than
80
(FY)
* 8 companies (TMC, consolidated and other companies in Japan)
(%)
100
Japan (excluding TMC)

01
98
FY2011 Vehicles that Meet Japanese LEV Emissions Standards
Prius
The graph shows

the volume of waste until 2011
(incineration + landfill)
27.0
(%)
RX450h
400
100
SUV
465
27.8
Toyotas Vehicle Recycling/Recovery Rate and

ASR Recycling/Recovery Rate in Japan
Greenery of Emissions
LS600h/LS600hL, GS450h, HS250h
500
29.3
Compliance with Automobile Recycling Laws
Model
North America
TMC
08
CT200h
300
* 119 companies (TMC, consolidated subsidiaries and other companies in Japan and overseas)
Japan: Companies subject to consolidated EMS (including sub-subsidiaries; excluding Toyota Tsusho)
listed in Groups 1-5 in the Separate Volume : Environment Facts & Figures
Overseas: Production companies and production/sales companies listed in the Separate Volume :
Environment Facts & Figures (excluding TMMR in Russia)
Note 1: In the case of companies for which FY2001 results could not be determined, the oldest
subsequent data is used
Note 2: Affiliates in China have been included since FY2005
Note 3: The CO2 conversion coefficient has been calculated with reference to the GHG Protocol
(See the Separate Volume : Environment Facts & Figures)
01
Low-emission level
Volume of waste (Thousand tons)
32.0
TMC
Hatchback/Station wagon
China
1
1.18
3.0
1.0
Lexus Brand
CO2 Emissions (from Energy Sources) and CO2 Emissions per Unit
Produced (Stationary Sources such as Plants and Offices) (Global)
Total CO2 emissions (Million tons)
Dyna, Toyoace hybrid model
50
50
Sedan
00
Japan
(excluding TMC)
In FY2011, almost 100% of Toyota vehicles produced were certified as meeting

the Ultra-Low Emission Vehicle (U-LEV) or higher levels in Ministry of Land,
Infrastructure, Transport and Tourism.
1.20
99
2.0
Aqua, Auris Hybrid (overseas market only)
1.30
98
10
Vehicles that Meet LEV Emissions Standards in Japan
Harrier Hybrid, Highlander Hybrid (overseas market only)
78.8
75
North America
3.0
Minivan
SUV
97
3.5
Prius
Hatchback/Station wagon
+68%
3.7
3.6
Alphard hybrid model,

Vellfire hybrid model, Estima Hybrid
1.40
1.00
3.8
Wagon
1.60
100
25
* 33 companies (TMC, consolidated and other companies in Japan and overseas)

* Chinese affiliates have been included since FY2006
Toyota Brand
Average Fuel Efficiency for Toyota Vehicles in Japan
Europe
4.0
15
(FY)
HV Lineup (as of March 2012)
(Index)
1.70
1.10
Cumulative total
from 1997 to April 2012
6.0
Emissions per unit of painted area (g/m2)
China
4.8
+44%
About 26 million tons of

reduced CO2 emissions
Cumulative HV sales
500
1.10
26.9
5.0
20
1,000
1.20
28.1
27.3
25
CO2 emissions from conventional

gasoline vehicles of
equivalent size and power output
CO2 emissions from HVs
The rest of Asia,

Australia,
the Middle East,
South Africa,
Latin America
Per unit produced

(m3/vehicle)
7.0
30
1,500
1.30
30
Both water consumption per unit produced and total volume decreased through
efforts at affiliates in Japan and overseas.
35
2,000
1.40
VOC Emissions Volumes in Vehicle Body Painting

Processes at Consolidated Companies in Japan
(Thousand vehicles)
2,500
4.0
Water Consumption at Vehicle Assembly Plants

and Consumption per Unit Produced (Global)
Water consumption (Million m3)
3,000
1.60
7.0
Reducing Substances of Concern
3,500
1.70
8.0
Reduction of Water Consumption
Global cumulative HV sales, mainly the Prius, exceeded 4 million units, and
cumulative CO2 reduction was 26 million tons.
4,000
Japan data
Global data
(2004~)
China Environment
Committee
Toyota
(2007~)
(1992~)
Asia Pacific
South Africa
(2008~)
(2007~)
South America
(2006~)
SU-LEV
75% lower than
31
Contributing to Communities Creating Affluent Communities
Creating Affluent Communities
Diverse Usage Environments
Contributing to society through local employment

and providing appealing mobility to as many
people and communities as possible
The founder of Toyota, Kiichiro Toyoda, said his reason for

beginning the automotive business was to provide wonderful
freedom of movement to as many people as possible. Since the
beginning, Toyota has performed its corporate activities under the
philosophy of contributing to society through making cars.
Toyota responds to the needs of consumers in countries and

regions throughout the world. We engage in development that is in
line with various societies, natural environments, and usage
conditions as well as local purchasing and production in order to
enrich the lives of communities on a global scale.
Topics
Providing Made by TOYOTA Quality and Cost to Customers around the World
The IMV* Project Promotes the Development of Products that Meet the Conditions
and Needs of Countries and Regions around the World, as Well as Local
Purchasing and Production.
*Innovative International Multipurpose Vehicle (IMV):Toyotas global strategy models, so named with the aim of creating multipurpose vehicles that can meet the various needs of customers around the world.
Simultaneously Providing Appealing Products at

Affordable Prices to Customers in Countries
around the World
Hilux (B, C, D cabs)

A wide range of cars have been developed
and produced ranging from private- to
business-use vehicles, as well as
reasonably priced to luxury cars.
The IMV Project, which was founded in August 2004, achieved a

cumulative total of five million cars sold as of March 2012. The goal
of the IMV Project is to simultaneously provide appealing products
at affordable prices around the world. Cars are sold in 170
countries and produced by 12 overseas affiliates in emerging
markets.
The IMV Project has worked for drastic reform from three
major viewpoints toward efficient production and distribution on a
global scale. During car development, priority was placed on the
development of products that best suit emerging markets, based
on three models and five body types. Prior to the IMV Project, the
production structure included production bases of similarly small
scale at 11 affiliates. Under the IMV Project, four plants in Thailand,
Indonesia, South Africa, and Argentina were designated global
bases for production and exports. Furthermore, the Global
Optimum Purchasing System was established for parts with the
aim of 100% local purchasing instead of purchasing from Japan.
Currently, some business units have high non-Japanese purchasing ratios of up to 95%. The Optimum Purchasing System also
covers engines, transmissions and other major components.
The number of cars sold is increasing each year, partially
because of the expansion of emerging markets. Last years Great
East Japan Earthquake and floods in Thailand caused major
impacts, but production capabilities were restored at a comparatively early stage. The number of cars sold in FY2011 was approximately 770,000 units. We estimate that sales will increase due to
market expansion from this fiscal year.
32
Fortuner SUV
This luxurious SUV is popular among
customers in the Middle East and India.
Innova MPV
This car is supported by the taxi industry,
large families, and other consumers in
India and Indonesia.
Global Supply System
In Thailand and Indonesia
In Africa
In other emerging markets
People completely load the deck of their vehicles with

baggage and many family members ride together at the
one time. Because major traffic congestion is a daily
occurrence, fuel efficiency is particularly important.
There are few paved roads, so most driving is off road in

rugged locations. The weather is very hot, and many
vehicles are used in coal mines.
In Peru, vehicles require a motive force for high altitudes

of 4,000 meters or more. Vehicles must be able to
withstand intense heat in the Middle East and severe cold
in Russia.
Toyotas Global BEST is Accepted

Internationally, while the Local BEST Meets
the Needs of Each Regions Usage Environment
The three major factors that contributed to achieving sales of five
million units are: 1) detailed surveys and analysis of usage environments in various countries and regions around the world, 2) thorough
development of products that are tailored to the needs of different
countries and regions, and 3) an extensive after-sales service network
spanning numerous countries and regions. The world is a big place,
and there are many usage environments that are unimaginable in
Japan. These harsh conditions include unpaved, rugged roads;
deserts; high altitudes of 4,000 meters or more; intense heat of 40 C
or greater; and severe cold of -30 C or less. Common understandings
of vehicle usage differ by region: some people haul loads of three tons
or more while others fully load their car deck with luggage, and some
cars are ridden by many people at once. Cars are utilized in a wide
range of ways for passengers, commercial use, or a combination of
the two. Toyota develops cars for each region and country by understanding the local usage conditions. Based on five unified body types
for the entire globe (Global BEST), we offer 330 models with 1,250
final specifications (Local BEST) to carefully meet a range of needs
with attention to detail.
Detailed Service Capabilities in Each Region to

Customers Provide Peace of Mind
Toyotas service system offers reassuring service capabilities that
make it possible to respond comprehensively and in a detailed
manner to a variety of situations in all regions. Our network of
dealerships is expanding. As in Japan, dealers in emerging
markets are fundamentally in charge of the three areas of new
cars, parts, and after-sales service. Large and small service shops
have also been established in each region. In addition, we dispatch
service staff from dealers for customers who have established
service shops inside their companies for work use. In this way
Toyota provides careful support for each cars maintenance, usage
conditions, and circumstances.
Export destination (main supply)

Export destination (backup supply)
Building large and small service shops in

each region
Required Product Conditions
12 business units in emerging markets
Dispatching service staff to customers who

have their own service shop
TMV (Vietnam)
Europe
TDV
(Venezuela)
IMC
(Pakistan)
TMEE
(Egypt)
Tough
Eco
Will not break down even in

harsh usage environments
Eco-friendly
and fuel-economy
Kuozui (Taiwan)
Practical and
comfortable
Middle
East
Africa
Central and
South America
TMP (The Philippines)
Asia
TKM (India)
TMT (Thailand)
Oceania
TASA
(Argentina)
UMWT
(Malaysia)
TSAM
(South Africa)
Part Purchasing Rate by Source (example: Thailand)

Old Hilux
TMMIN (Indonesia)
Production in 2011
Within
the country
Overseas
Major export
destinations
Extremely practical usage

methods for many people and
large amounts of baggage
Major related
FTAs
TMT
340,000 units
14 (40%)
20 (60%)
TMMIN
110,000 units
7 (64%)
4 (36%)
Asian region,
Middle East,
Oceania
ASEAN countries,
Thailand Asia Pacific
TSAM
120,000 units
5 (40%)
7 (60%)
African region, Europe EU South Africa
TASA
70,000 units
2 (31%)
5 (69%)
Central and South

America region
Supply from
Japan
34%
Purchasing
in the country
61%
Mercosur countries
IMV
Supply from Japan 6%
Purchasing from
other countries
13%
Purchasing from
other countries
5%
Local purchasing rate: 66%
Purchasing
in the country
81%
We have drastically improved

local purchasing rates through
the mutual complementation of
parts from Asian countries
excluding Japan and other
regions. We have aggregated
production bases for engines and
manual transmissions, and have
adopted local purchasing in a
fundamental way.
Our Mission is to Create More Appealing Cars

in Each Region and Develop the Automobile
Industry in All Countries and Regions
In line with increased numbers of vehicles being produced and
sold, Toyota has strengthened its production capabilities, mainly in
Asia. In the future we will continue to enhance our production and
supply systems while paying attention to sales-related conditions.
The IMV Project provides appealing cars to customers around the
world as well as employment opportunities in the countries of
production. In this way, we are working to fulfill our mission of
developing the automobile industry in all countries and regions.
Local purchasing rate: 94%
33
Social Contribution (Environment/Traffic Safety/Education)
Social Contribution
(Environment/Traffic Safety/Education)
Examples of Initiatives in Japan
As a good corporate citizen,

respect the culture and customs of every nation
and contribute to social development
Environment
Results of Social Contribution Activities
The Basic Concepts of Social Contribution
Other
Environment
Traffic Safety
Toyota laid down the principles and policies for social contribution
activities based on the Guiding Principles at Toyota and its CSR
Policy, which the company shares globally. Toyota spent approximately 14.4 billion yen on social contribution activities in FY2011,
with around 20,000 employees taking part in volunteer activities
every year.
Global Focus Fields
* Fourth theme of society and culture

is added in Japan.
Environment
* Approx.
14.4 billion yen
Education
http://www.toyota-global.com/sustainability/corporate_citizenship/
Traffic Safety
Society and Culture
Education
* Toyota and major subsidiaries on a consolidated basis. Results

for overseas affiliates have been calculated in Japanese yen
based on the average exchange rate for FY2011.
Key activities for FY2011

Disaster Area Recovery Support by Toyota Group
Aiming for the enrichment of society, Toyota joins forces with a broad
range of individuals and organizations to make effective use of resources
while engaging in social contribution activities to resolve social issues.
Based on this philosophy, Toyota has implemented recovery and
revitalization support initiatives for disaster area recovery since the Great
East Japan Earthquake by way of monetary donations, supplies aid,
provision of automobiles, provision of company dormitories and other
forms of housing, support for people involved in agriculture and food
production, and the dispatch of aid workers for physical support.
In June 2011, in a bid to deploy a variety of relief efforts to aid the

disaster stricken area, Toyota launched the Kokoro Hakobu Project,
which is based on the idea of bringing more than temporary allocations of
human resources and material resources to the recovery effort. As part
of these efforts, the company rearranged and continues to run its former
voluntary programs in the field of arts and culture with the aim of helping
in any way possible to heal the hearts of disaster victims.
Volunteers
Provision of support to agricultural and food production industries

Offering of agricultural products from the Tohoku and Kanto regions in employee cafeterias and in-house stores
in response to a request from the Keidanren (Japan Business Federation)
Provision of personnel
Volunteer activities by employees from 15 Toyota and Toyota-related companies (approximately 200 people)
Provision of culture and the arts (refer to pages 37 to 38 for details)
Toyota Children Meet Artists Program: Holding of workshops at elementary schools in disaster stricken areas to
provide emotional care to children
Toyota Community Concerts: Concerts in disaster stricken areas held by local amateur orchestras and other
groups from around the country (13 performances)
Toyota Master Players, Wien: Charity concerts held in Miyagi and Iwate Prefectures and visiting concerts held at
schools and other locations across Japan. Donations collected at each venue
Donations to culture and arts support activities
Fifteen Toyota and Toyota-related companies have been conducting support activities for reconstruction in disaster areas to enable the victims of the Great East Japan Earthquake and Tsunami to return to their normal lives as soon as possible. In FY2011, around 200 employees
traveled to Iwate Prefecture in a bus driven by a member of an in-house volunteer club, the Heavy Vehicle Drivers' Association, to assist
in restoration of the region based on their needs in a 5-days/4-nights volunteer event. Fifteen volunteers participated per event, with the
event held 14 times
Duration of Total of 14 times between
15 Toyota and Toyota-related companies
throughout the year. activities June and November 2011
of
Kesen District of Iwate Prefecture
These activities are Area
Toyota Industries Corporation Aisin Seiki Co., Ltd.
Hino Motors, Ltd.
activities
(Ofunato City, Rikuzentakata City, Sumitacho)
Aichi Steel Corporation
Denso Corporation
Tokai Rika Co., Ltd.
being continued in Number of Around 15 people per event.
volunteers
Total of approximately 200 people
JTEKT Corporation
Toyota Boshoku Corporation Aisan Industry Co. Ltd.
FY2012.
Details of
Removal of debris and flotsam from rice paddies,
farm roads, residential houses, etc., and
washing and tidying of photos, among other things
Toyota Auto Body Co., Ltd.
Toyota Central R&D Labs, Inc. Taiho Kogyo Co., Ltd.
Toyota Tsusho Corporation
Toyoda Gosei Co., Ltd.
Toyota Motor Corp.
Removal of flotsam
from Rikuzentakata City
34
Launched in the suburbs of Toyota City in October 1997 in a company-owned forest as a model for satoyama restoration, the Forest of Toyota
project is open to the general public. The project aims to restore and carry out research into the preservation of forests, plants, and animals,
as well as engage in environmental education in collaboration with the local community. Visits by elementary school children have reached
55,000, and the project has firmly become a field for hands-on study in the region. In addition, Toyota operates a transport service using
company buses for the
greater convenience of
local elementary schools.
The cumulative total of
visitors to the forest
reached 100,000 on February 23, 2012. A certificate and a memento were
given to each of the 23 first
grade students of Hirai
Elementary School in
Toyota City, which became
the 100,000th visitor.
Experience nature program
Main Initiatives to Date
Ceremony to commemorate a cumulative total of 100,000 visitors
Total Number of Visitors

(Cumulative total / 1,000 people)
11,926
120
11,420
(Differentiated by fiscal year / 1,000 people)
1992: Drafting of the plan for the Forest of Toyota
12
1997: Establishment and opening of a model satoyama restoration

forest
10
Holding of eco monitoring, a survey to assess the effects of

the model forest (until 2008)
2001: Commencement of the hands-on learning program through
interaction with nature for elementary school children
2003: Opening of the Satoyama Learning Institute Eco-no-Mori house
Differentiated by fiscal year

Cumulative total
10,447
9.623
100
8,973
80
8
6,957
60
40
3,059

http://www.toyota-global.com/sustainability/corporate_citizenship/environment/
10,509 10,577
10,395
1,819
1,723
98
99
1,310
20
1,556
516
0
97
00
01
02
03
04
05
06
07
08
09
10
11 (FY)
The Second Phase of the Human Development Program Toyomori

Institute of Sustainable Living is Currently Underway
Implementation Plan for Relief Efforts by the Toyota Group
activities
Cumulative Number of Visitors to the Forest of Toyota Reaches 100,000 since its Opening
1998: Holding of the Eco-no-Mori Seminar, an ecology education

program (until 2005)
Details of Initiatives to Date

Provision of funds
Donations made to the Central Community Chest of Japan and Japan Platform,
etc. (approximately 300 million yen)
Donation of funds collected from executives and employees to the Japanese Red
Cross Society (55 million yen)
Donation of funds for earthquake orphans in Miyagi, Iwate, and Fukushima
Prefectures (100 million yen per prefecture)
Provision of supplies
Supplies aid to regions with associated business entities
Provision of vehicles
Provision of rent-a-cars and work vehicles (260 units)
Free-of-charge retrofitting of a system that supplies auxiliary electricity to the
Prius in fleets at each prefectural office in the Tohoku region.
Provision of temporary accommodation
Provision of company dormitories and other forms of housing in Aichi Prefecture
Toyota addresses domestic and international environmental issues by publicizing knowhow acquired through the
establishment of satoyama (forests and wetlands near populated areas) and experimental studies in the Forest of
Toyota, and using the accumulated knowledge for environmental education. The company also implements afforestation, human resource fostering, and support for research and activities with a focus on collaboration with society and
local communities, as well as initiatives in environmental preservation by employee volunteers.
The Toyomori Institute of Sustainable Living is a human development project carried out
in cooperation with Toyota, Toyota City, and the Support Center for Sustainable Regional
Design (NPO) in a bid to connect cities and rural areas.
The Toyomori Institute of Sustainable Living, which forms the core of this program,
opened in May 2009, and 30 individuals recruited from the general public engaged in
classroom sessions and field work over a period of approximately two years in order to
gain an understanding of the local region, learn about advanced cases studies in the
community and business, and propose businesses for connecting cities to satoyama.
Since graduation, some participants have actually moved to satoyama to begin
businesses based in the local community.
The second phase of the project began in April 2011 with 26 individuals recruited
from the general public.
Field work
35
Traffic
Safety
As part of activities that aim to achieve zero casualties from traffic accidents, Toyota has continued promoting traffic safety
education activities targeting a wide cross section of society, encompassing children to the elderly, since the 1960s. Below
we present some representative cases of such activities, including the Toyota Traffic Safety Campaign that we have been
engaged in since 1969 and the Toyota Safety Education Center mobilitas.
Education
Toyota engages in activities to foster human resources based on the fundamental policy that "Toyota will maximize the
benefits of its social contribution activities by working with partners; by using our resources effectively; and by concentrating on initiatives that address real social needs, including fostering future human resources." The Toyota Children
Meet Artists program is a representative example of these activities.
Toyota Spring and Autumn Traffic Safety Campaigns and Support to Dealers
Providing Emotional Care to Children through Children Meet Artists
In the Toyota Traffic Safety Campaign held in the spring of FY2011, Toyota distributed approximately 2.44 million copies of traffic safety picture books and 43,000 copies of picture-story show
cards to new students at kindergartens and nursery schools all over Japan in cooperation with
419 Toyota dealers and other companies around the country. We, however, refrained from
conducting such activities in regions affected by the Great East Japan Earthquake. These
activities are now in their 43rd year, and the cumulative number of picture books and picturestory show cards distributed amounts to approximately 126 million copies and 1.33 million
copies, respectively.
In the autumn campaign, given the high number of accidents involving elderly people at
night, Toyota also printed and distributed some 820,000 leaflets explaining the effectiveness of
using reflective materials and the difference in visibility depending on the color of clothes.
Many other traffic safety events were also held in regions across Japan in conjunction with the
support provided by Toyota to dealers nationwide, including the renting out of Driving Under the
Influence simulators (DUI Goggles) and other traffic safety education tools.
Toyota Children Meet Artists is a next-generation education program run by Toyota in cooperation
with the NPO, Children Meet Artists, and executive committees in each region. The program is
designed to foster childrens sensitivity and nurture dreams through interaction with artists, and
has been run in regions around Japan since 2004.
Activities were carried out in Tottori and Kochi Prefectures in 2011, and in Miyagi, the
Minami-sanrikucho Future in a Song project was launched based on the idea that the voices of
children, who will be the future of the town, will contribute to its revitalization. Workshops were
held involving Minami-sanrikuchos five elementary schools to create and present a song to the
people of the town written in the childrens own words with their own melody expressing what
they had witnessed first hand in the year following the earthquake. The original song was sung at
a memorial service organized by the town on March 11 in the hope that it would help alleviate
some of the pain and suffering of local people.
FY2011 Autumn Traffic Safety Campaign leaflet
Traffic safety picture books distributed in FY2011:

2.44 million copies with a cumulative total of 126 million copies
Traffic safety picture-story show cards distributed in FY2011:
43,000 copies with a cumulative total of 1.33 million copies
The lyrics reflected the childrens feelings

over the past year
The song was sung at a memorial service on

March 11
Masashi Asada
Traffic safety event held at TRESSA YOKOHAMA
Other Main Activities in FY2011 to foster Human Resources
Safe-driving Programs and Traffic Safety Classes Held at mobilitas
Scientific Jack-in-the-Box! The Why/What Lecture hands down fun of monozukuri (manufacturing) to elementary school children
Number of participants in FY2011: 1,226
Safe-driving programs for drivers are currently being held mainly at Toyota Safety Education
Center mobilitas, which opened at the Fuji International Speedway in Shizuoka Prefecture in
2005. mobilitas offers curricula for individuals from the general public as well as corporations
and groups that aim to actively improve driving techniques and enhance driver awareness of
vehicle safety. Improvements are constantly being made to the curricula with the addition of ways
to deal with emergencies as in an earthquake and so forth, in an attempt to boost customer
satisfaction.
Around 4,200 customers took part in the program in FY2011, with the cumulative number of
participants since 1987 reaching around 50,000.
In addition, the Toyota Safety School for young children, which has been running at Toyota
Kaikan Museum in Toyota City in Aichi Prefecture since 1975, have also been held at mobilitas
since 2006. In FY2011, 190 local kindergarten children enjoyed learning about traffic safety at
mobilitas.
Providing an automobile technical training course in Portuguese for Brazilian residents of Japan
Cumulative total of graduates: 241
http://www.toyota-global.com/sustainability/corporate_citizenship/education/
Topics
mobilitas program allowing dangerous
driving to be experienced in a safe environment
Toyota Driver Communication

Number of participants in the program in FY2011:
4,210 with a cumulative total of approximately 50,000
Toyota Safety School (mobilitas/Toyota Kaikan Museum)
Number of participants in the program in FY2011:
5,095 with a cumulative total of over 230,000
How to cross the road at a pedestrian crossing

(safety school at mobilitas)
Other Main Safety Education Activities in FY2011

The website, Kodomo-bilita a mixture of kodomo 'children' in Japanese and mobilitas, which promotes all
kinds of traffic safety based on bicycles and other themes, began a new series of riddle-solving anime called
Detective Bilita in March 2011. Road sign fortune telling also commenced in March 2012.
Voluntary Activities at Elementary Schools as Part of

the New Employee Training Program
As part of their training, newly graduated recruits who partake in general office and technical
work have been involved in beautification activities at elementary schools in Toyota City since
FY2011. The purpose is to raise awareness among the recruits that they are members of a
company that supports the local community, and to foster human resources who will actively
take part in the development of the region. With the help of the Board of Education, around 500
recruits took part in activities prompted by requests from schools to remove dirt and sand from
ditches, establish vegetable gardens, and clean windows in high places at eight elementary
schools in Toyota City in April 2012. The recruits worked enthusiastically while interacting with
the children. These activities epitomize the strong bonds the Toyota Head Office has with the local
community and expectations from the community for these activities are high.
VOICE
Removing dirt and sand from ditches

after removing coverings
Comments from Participants
Seeing the children who greet us every time we meet reinforced the importance of simple greetings.
New recruits taking part in volunteer activities

at Koromogaoka Elementary School
Many children expressed their gratitude and it has inspired me to try and set an example for them in the future.
The children knew a lot about Toyota and Toyota cars, and it made me realize their keen interest in the company, which made me very happy.
It made me realize that I must not forget the basic fact that the business activities of Toyota are sustained by the understanding and support of
the local community.
http://www.toyota-global.com/sustainability/corporate_citizenship/traffic_safety/
36
37
Society and
Culture
For the enrichment of society, Toyota engages in arts and cultural activities including music and dance, focusing on the
promotion of local culture, the fostering of the younger generation, and the expansion of the range of activities. We also
ork toward creating a harmonious and interdependent society where a diverse range of people respect one another,
develop self-reliance and work together to realize a mutually supportive society, and take part in activities to promote
regional culture, welfare services and self-reliance.
Examples of Overseas Initiatives

Turkey Sends Senbazuru to the DisasterStricken Northeast Japan
Toyota Community Concerts Celebrate 30th Anniversary
Thai Flood Damage Relief

Asia: Toyota Motor Thailand Co., Ltd. (TMT)
Europe: Toyota Motor Manufacturing Turkey Inc. (TMMT)
Toyota Community Concerts aim to contribute to the promotion of local culture through music. Local Toyota dealers and Toyota provide
support to concerts staged by amateur orchestras performing in their respective regions. These activities began in 1981 and celebrated
their 30th anniversary in FY2011. Thirty-one concerts were held in 18 prefectures attracting 26,000 people in FY2011. Apart from the usual
concerts held every year, children of nearby schools were given lessons on playing musical
instruments, with a portion of the proceeds from admission fees donated to welfare facilities,
while other special projects were implemented to mark the 30th anniversary. The September
2011 concert in Misatomachi in Miyagi Prefecture marked a fresh start for members of the
orchestra who had lost their houses along with their musical instruments in the Great East Japan
Earthquake.
In support of revitalization efforts, amateur orchestras from all over Japan visited disaster
stricken areas to perform concerts at schools, halls, and commercial facilities. In addition, we
invited orchestra members who had lost venues where they could perform due to the
earthquake. A total of 13 such concerts were performed. These activities, which have their roots
in the local community, will be continued in the future based on the wish to deliver smiles to
people all over the country through music.
At an event for TMMT members and their families, the

Japanese staff set up a senbazuru (thousand origami
cranes) stand. They demonstrated paper cranes folding
to Turkish employees and their families while explaining
the senbazuru tradition. The cranes made by Turkish
employees were then collected, and the heartfelt
compassion with which the cranes was made was
thoroughly communicated to the disaster-stricken town of
Sumita in Iwate Prefecture after they were delivered by
TMC volunteers in Japan.
Meanwhile, TMC and two Turkish affiliates sent 10
million yen in relief money for victims of the
7.2-magnitude quake in eastern Turkey in October 2011.
The flooding of Thailands Chao Phraya River basin

started in July 2011 and continued for more than 3
months, causing large-scale damage of 6 million hectares
of land and over 400 deaths. As relief measures, TMT took
a twin-track approach that consisted of emergency
countermeasures in November and a recovery plan that
would run from December to May of the following year. As
part of the emergency measures, TMT sent a total of 20.5
million baht in emergency relief funds to organizations
such as the Thai Red Cross and the Prime Ministers
office, as well as 2.6 million bahts worth of survival kits,
31 boats, and finally, approximately 16,000 employee
volunteers who contributed daily to relief efforts.
Achievements in FY2011:
31 concerts held in 18 prefectures with approximately 26,000 attendees
Recovery aid concert

by the Iwaki Symphony Orchestra
Cumulative achievements:
1,371 concerts held in 45 prefectures with approximately 1.104 million attendees

Senbazuru Project
Volunteer clean-up
activities
Toyota Master Players, WienCharity Concerts Held in Sendai and Morioka

Toyota Master Players, Wien has been giving concerts since 2000 in a specially formed orchestra consisting of 30 people, including the head
musician of the Vienna Philharmonic and performers from the Vienna State Opera. The concert in 2011 was canceled as a result of the Great
East Japan Earthquake, but in 2012, the year of the 10th tour, seven concerts were staged in seven cities across Japan attracting 11,000
people (the Nagoya concert was jointly performed by the Nagoya Philharmonic
Orchestra).
A special concert in Morioka was added to the tour this time as part of the
Kokoro Hakobu Project, and all proceeds from ticket sales of the Sendai and
Morioka concerts were donated to funds for the educational assistance of children
in Iwate, Miyagi, and Fukushima Prefectures, many of whom lost their parents in the
disaster. Orchestra members also visited and performed at high schools in Tono City
in Iwate Prefecture and Higashi-Matsushima City in Miyagi Prefecture.
Achievements in FY2012:
7 concerts held in 7 prefectures with approximately 11,000 attendees

Sendai Concert
c
Studio
02
Helping Hearts Heal After the Sichuan

Earthquake
Helping the St. Bernard Project Rebuild

Homes Destroyed by Hurricane Katrina
China: Toyota Motor (China) Investment Co., Ltd. (TMCI)
U.S.: Toyota Production System Support Center (TSSC)
The Sichuan Earthquake in May of 2008 resulted in

massive damages. TMCI immediately announced its
support for rescue activities by donating emergency
assistance funds. A particular focus of the support
activities was to help heal the hearts of the local citizens.
Initiatives implemented included a project to offer 1,000
complimentary outdoor movie screenings; the Toyota
Bookmobile project that utilized Coaster buses to visit and
replace books periodically at 50 elementary schools; and
the Toyota Study Assistance Fund to students affected by
the disaster. The Toyota Bookmobile continued until 2011
and special allocations for the Toyota Study Assistance
Fund will continue until 2013.
Tens of thousands of homes were destroyed by Hurricane

Katrina when it struck the southeast United States in 2005. The
St. Bernard Project is a non-profit organization that has rebuilt
over 400 such homes with the help of veterans and volunteers.
TSSC undertook a task of reviewing the rebuilding processes
and making them more efficient based on the Toyota Production
System (TPS). Working together with the St. Bernard Project,
we were able to reduce the lead time for rebuilding a home
significantly.
With the philosophy of Toyota Production System, TSSC will
continue to support more companies, public service and
nonprofit organizations through development of people.
Main Topics in FY2011 on Other Social and Cultural Activities

A Table for Two program to provide meals to African children was launched in June 2011. The program has been adopted in the district
around Head Office and at the Tokyo Head Office, Nagoya Office, Higashi-Fuji Technical Center, and Nisshin Training Center as of May 2012.
A total of 1.26 million yen, including the matched amount, was donated to the cause.
http://www.toyota-global.com/sustainability/corporate_citizenship/society_and_culture/
38
Study Assistance
Presentation Ceremony
Rebuilding of
destroyed homes
39
Mutually Beneficial Relationships with Dealers/Distributors and Suppliers
Mutually Beneficial Relationships

with Dealers/Distributors and
Suppliers
Holding of the Prius Cup, the First National Competition
Contribute for economic development of local communities

with open stance to new suppliers and dealers and through
sustainable growth based on mutually beneficial business
relationships with dealers/distributors and suppliers
Basic Concept of Business Partners

In order to contribute to society through automobile manufacturing
and monozukuri and put into practice the principle of Customer
First, it is necessary to implement various activities in a spirit of
cooperation and share principles with our business partners. In
addition to steadily pursuing open and fair business activities and
conventional ones including CSR activities, Toyota is committed to

working to achieve better quality in terms of safety and confidence
to secure higher customer satisfaction, in further united cooperation with its business partners including suppliers and dealers.
The Prius Cup has been held by each branch of TMSA since 2007
with the aim of strengthening ties with dealers and vitalizing
Toyota, and all eight branches have had the opportunity to host this
event. The first national competition was held in December 2011 at
Fuji International Speedway, and was attended by the top 29
companies from branch competitions and over 700 people.
This huge car field day is an event that allows people to
compete in driving and service contests and provides opportunities
for participants to ride in a racing car. It brings together staff from
Toyota and dealers nationwide to experience Waku Doki, the fun
and excitement of automobiles.
We plan to continue holding Prius Cup events in the future to
increase the number of car fans everywhere.
A Variety of Experiences through Cars for

Children Who Will Lead the 21st Century
To contribute to local communities, in collaboration with dealers
who play an active part in community-rooted activities, Toyota
began the First Experience Program involving lectures at local
elementary schools in 2008.
Around 40,000 children from over 700 schools have participated
as of March 2012. Furthermore, as part of the Kokoro Hakobu
Project, Toyota employees and dealers jointly held open classes in
Iwate, Miyagi, and Fukushima Prefectures between July and
September 2011, with the desire to cheer up children in the
disaster stricken areas through cars, attracting over 500 people to
the events held at the three venues.
Main Activities in the First Experience Program
First Car Experience Class
For fourth grade students
Hands-on learning of the power and control of cars

Experiment using a compressed air engine car
Experiment using a real car
Collaboration with Sales Networks
Class to Fully Understand Cars
The sales network is the front line where Toyotas Customer First principle will be directly observed. Toyota and its dealers always work
as one to enhance customer satisfaction based on a strong relationship of trust, close two-way communication, the superiority of Toyota
products and services, and shared value.
Relations with Dealers in Japan
Hands-on learning of the relationship between cars and the

environment/economy through a car and eco-game
Basic knowledge of cars and the automobile industry
A car and eco-game workshop with a wrap-up class
The Aichi Toyota Team won the Driving Competition at the First National Competition.
Within Japan, Toyota has concluded contracts directly with approximately 280 dealers who operate 5,400 sales outlets including used car
outlets. A fundamental principle of Toyota is Customer First, Dealer Second, Manufacturer Third. Based on its policy of Customer
First, Toyota believes that dealer success, which ultimately leads to the growth of Toyota, is achieved by boosting support for dealer
initiatives to improve customer satisfaction through the implementation of PDCA (Plan, Do, Check, and Act), as well as by being committed to meeting customer and dealer expectations.
VOICE
Comments by Children Who Participated
It was good being able to learn about
VOICE
Comments by Participants in the Winning

Aichi Toyota Team
There was a variety of events and I had a lot of fun.

I experienced the fun of driving.
It was a fun and lively competition. Thank you very much.
Please continue to hold these events.
cars, factories, and the environment

by playing games.
We learned about cars in an
easy-to-understand way and had fun.
I liked cars before, but I like them
even more now.
Dealers CSR Activities

Based on the Toyota National Dealers' Advisory Council (TNDAC) CSR Guidelines issued in
2005, every dealer engages in the three pillars of CSR activities: compliance, environmental
responsiveness, and social contribution activities. Toyota is ensuring the continuation of the
PDCA cycle by sharing knowhow to support the CSR activities of dealers. Toyota cooperates
in revising and upgrading the self-auditing tool called the CSR Checklist system every year.
The main area of improvement in 2011 was sending of a feedback sheet allowing comparison of each dealers own results with the average results of dealers throughout the country,
making it possible to compare results year-on-year. We have received a lot of feedback from
dealers saying that it has become easier to use.
COLUMN
40
At the showcase class held in Fukushima
Relations with Dealers Overseas

Toyotas approximately 170 distributors and 8,000 dealers located overseas serve as its key partners in highlighting the appeal of Toyota
vehicles to customers. They also engage in a variety of activities to advertise the value of products and cars to customers.
Workshop on Safety and Maintenance for Women in Fiji

Feedback on evaluation results (example)
TNDAC Holds CSR Lecture
TNDAC holds the CSR Lecture every year with the aim of enhancing awareness of CSR
activities among member companies. In FY2011, it was held in November in Nagoya for
the purpose of educating participants on risk management in reference to the Great
East Japan Earthquake from the perspectives of business continuity and connections
with local communities. The event attracted 323 representatives from dealers around
the country. Mr. Tadahiro Aochi, Ph. D., Manager, Chief Consultant of Tokio Marine &
Nichido Risk Consulting Co., Ltd. was invited to give a lecture on the theme of Lessons
learned from the Great East Japan Earthquake and business continuity management.
Many positive comments were received from participants such as, We want to reconsider the business continuity plan (BCP) of our own company.
For fifth grade students
The Women & Wheels Program was held in the Fijian cities of Nadi and Suva on September
14 and 21, 2011. The organizer of the event was Toyota Tsusho (South Sea) Ltd. (Asco
Motors) in Fiji.
The 95 female drivers who were invited to the event received safety and maintenance
tips, as well as hands-on experience changing flat tires, conducting under-vehicle inspections and jump starting a flat battery. Following the success of the event, Toyota Tsusho
(South Sea) Ltd. (Asco Motors) plans to form the Women & Wheels Club, which will publish
a quarterly newsletter with information updates and driving ideas to keep program participants safe on the road.
Members of the Women & Wheels Club
At the CSR Lecture
41
As a Member of the Local Community

Collaboration with Suppliers
Since its establishment, Toyota has sought to work closely with its
suppliers in its manufacturing activities. In good times and bad,
Toyota and its suppliers have faced the same issues together and
Toyota has built strong and close relationships with them based on
the need for mutual support and a harmonious society. The strong
foundation based on solid relationships with suppliers helped
quickly restore normality to production systems after the Great
East Japan Earthquake. With the recent globalization of business
activities we will cherish these tiesincluding those with our new
partnersand together we will promote our Customer First policy.
Global Suppliers Convention

The annual Toyota Global Suppliers Convention is held to convey
Toyotas policies and approaches towards its suppliers. The 2012
event held in February
drew 756 executives from
96 overseas suppliers and
355 Japanese companies.
Toyota
reconfirmed
a
commitment for cooperation with all its suppliers.
Suppliers win Toyota
Global Contribution Award
Toyotas Basic Purchasing Policies
Supporting Social Contribution Activities of Suppliers
The role that ought to be played by a purchasing function is to

ensure stable, long-term purchasing of the best products in the
world at the lowest prices and in the most speedy and timely
manner. In order to achieve this, Toyota believes that the most
important task in purchasing is the creation of relationships in
which suppliers in various countries and regions and Toyota do
business on an equal footing based on mutual respect, thus
building firm bonds of trust and promoting mutual growth and
development. Toyotas global purchasing activities based on close
cooperation revolve around the following three policies making up
the Basic Purchasing Policies.
CSR Study Meetings held Focusing on Risk Management
1.
2.
3.
Fair competition based on an open-door policy

Mutual benefit based on mutual trust
Contribution to local economic vitality through localization:
good corporate citizenship

http://www.toyota-global.com/sustainability/csr_initiatives/stakeholders/partners/
Toyota holds CSR Study Meetings to support the CSR activities of

suppliers. In FY2011, study meetings targeting around 340 companies were held based on the themes of risk management, labor
workplace management, competition laws (antitrust and subcontract laws) and confidential information management.
Promoting the Spread of CSR among Suppliers through

AIAG Activities
Toyota also participates in the CSR educational activities of AIAG*
for the supply chain in an effort to spread awareness of CSR
activities among suppliers in and outside the U.S. The AIAG has
also focused on the conflict minerals problem, and Toyota has been
considering ways of addressing this issue with other U.S. automobile manufacturers and parts suppliers.
* AIAG (Automotive Industry Action Group): An organization which lays down the code of conduct in
the U.S. automobile industry.
Implementation of Policies
WBCSD Rio+20
Active pioneering of projects particularly
in the field of mobility aiming for
sustainable growth
World Business Council for Sustainable Development (WBCSD),
Participation in the World Business Council

for Sustainable Development (WBCSD)
The Sustainable Mobility Project
As the name suggests, the WBCSD carries out surveys and offers
advice based on the three pillars of economic growth, environmental protection and social development in its aim for sustainable
development. Furthermore, in regard to ISO, the organization has
engaged in activities which have prompted study of the ISO14000
series through seeking to establish international standards
regarding environmental management systems. As a member
since the establishment of the organization in 1995, Toyota is
taking part in a variety of projects such as the Sustainable Mobility
Project.
A new Secretary-general was appointed in January 2012, and
the sustainability proposals to date are now entering a phase of
practical application.
1995: Joins WBCSD upon its establishment

2000: Honorary Chairman Shoichiro Toyoda inaugurated as Vice Chairman of
the WBCSD Executive Committee
2001: Participates in the Sustainable Mobility Project (SMP) as Joint Chair
2004: In the SMP, seven companies including Toyota cooperate with the Global
Road Safety Partnership (GRSP) to launch the Global Road Safety
Initiative (GRSI)
2006: Participates in the Mobility for Development project as Joint Chair
2008: Participates in Vision 2050 project
2010: Honorary Chairman Shoichiro Toyoda appointed a member of the
Suppliers CSR Activities
To clarify the expectations of its suppliers, the Toyota issued the

Toyota Supplier CSR Guidelines. Toyota suppliers are asked to
implement their own independent CSR activities based on the
Toyota Supplier CSR Guidelines, and in turn expand their individual
CSR policies and guidelines to their own suppliers. As demands
from society are changing every year, Toyota is currently working
on a revision to the guidelines for the first time in three years, in
order to bring its CSR policies quickly in line with the latest societal
trends.
Toyota suppliers also voluntarily engage in various activities to

promote CSR.
Toyotas supplier associations, Kyohokai and Eihokai jointly
held lectures on CSR in August 2011. Eiichiro Adachi of the Japan
Research Institute, Limited was invited to give a lecture in an
effort to enhance awareness of CSR among member companies.
Furthermore, the Kyohokai and Eihokai took part in the Make
a CHANGE Day event as part of their CSR activities. Volunteer
activities to collect items such as unused cell phones, and wasted
and unused postcards were held to aid areas struck by the Great
East Japan Earthquake. These activities won high appraisal as
CSR activities and as well as the
Encouragement Award in the 3rd
Make a CHANGE Day award
ceremony held in October 2011.
Conflict Minerals
In line with this revision of the Toyota Supplier CSR Guidelines, Toyota
intends to clearly indicate its principles to suppliers clarifying its
stance regarding conflict minerals*. Toyota will continue to work in
cooperation with suppliers to further promote purchasing that takes
human rights into consideration.
* Conflict minerals: Minerals and their by-products (the four targeted minerals are tantalum,
tin, tungsten and gold) which have been stipulated in Section 1502 of the Dodd-frank Wall
Street Reform and Consumer Protection Act (regulations laid down to deal with human rights
abuses along the supply chain), and which are being used to finance wars in conflict zones in
the Democratic Republic of Congo and its neighboring countries.
42
To portray its vision of a sustainable, mobile society, the WBCSD

launched the Sustainable Mobility Project (SMP) in 2000. In the
project, the report, Mobility 2030: Meeting the challenges to
sustainability was compiled in July 2004. Seven goals were
outlined in the report, and it was suggested that there was a necessity to make use of the various forms of new mobility systems in
order to improve the mobility opportunities of people all over the
world.
In 2006, the organization took part in the Mobility for Development project, and highlighted the situations in Tanzania, India,
China and Brazil.
Toyotas Involvement in the WBCSD to Date
2010: Participates in Urban Infrastructure Initiative
Implementation of the Toyota Supplier CSR Guidelines
head office: Geneva
Honorary Committee, and Chairman Fujio Cho a member of the WBCSD

Executive Committee
COLUMN
20 Years since the Earth Summit
Rio+20, the United Nations Conference on Sustainable

Development was held in Rio de Janeiro in June 2012,
exactly 20 years after the United Nations Conference on
Environment and Development (Earth Summit).
In Japan, people with an interest in Rio+20 gathered
to stimulate dialog between stakeholders and
established the Japanese National Preparatory
Committee for Rio+20 with the aim of providing input to
Rio+20. Toyota too, took part in the committee as a
member of the KEIDANREN (Japan Business Federation), and Toyota do Brasil
provided the official car
(Prius) at Rio+20.
The Urban Infrastructure Initiative Enters its

Third Year
Toyota participates in the Urban Infrastructure Initiative (UII),
launched in January 2010, as one of 15 corporate members from 8
nations. The aim of the UII is to select several cities around the
world and collect and formulate proposals on sustainable urban
regeneration through talks with those cities. The project has
entered its third year and has reached a
stage where discussions with the
selected cities are progressing and a
report on the proposals is being put
together. The UII plans to issue the
report in 2013.
The WBCSD issued Changing Pace,

a discussion paper on policy
recommendations contributing to
the realization of Vision 2050 in
preparation for Rio+20.
Changing Pace issued

in May 2012
The shield awarded as an Encouragement

Award at the Make a CHANGE Day
award ceremony
43

Holding the CSR Boost-up Initiative with the Goal of Raising Each Employees Awareness of
Sustainability
Respecting and honoring the human rights and

other rights of people involved in our business
Basic Concept of Human Rights

The Guiding Principles at Toyota and the Toyota Code of Conduct
(established in 1998; revised in 2006), which consolidate our
approach to putting these principles into practice, contain the
concept of Respecting and honoring the human rights and other
rights of the people who work at Toyota. In addition, our CSR
Policy: Contribution towards Sustainable Development, which was
drawn up in 2008, stipulates that We respect and honor the human
rights of the people involved in our business. We work to fully
reflect these principles throughout all Toyota business activities,
including our suppliers and other parties.
In particular, regarding relationships with employees, The
Toyota Waywhich we have expanded to Toyota employees
worldwideis Toyotas action principle for which Continuous

Improvement and Respect for People have always served as the
two pillars. Respect for People refers to respect for all our
stakeholders, while employee growth is inextricably linked to
company achievement. The keywords here are Respect and
Teamwork. The Toyota Way is the moral foundation for sharing
common values with all business units across the world. In
addition, various measures are implemented so that employees
can work with confidence, vigor, and enthusiasm. Efforts are also
made to fully reflect such concepts throughout Toyotas entire
business activities, which includes our suppliers and other parties.
Toyota set up the CSR Boost-up Initiative for its staff members to directly communicate with various stakeholders in 2010. It has been added
to Toyota Stakeholder Dialogue conducted between external stakeholders and Toyota's executives and upper managers. Recognizing that
the CSR actors should be individual employees, we strive to enhance our sensitivity and capabilities with regard to sustainability issues.
In December 2011, NGO members were invited to present lectures and hold discussions on the
theme of NGOs/NPOs and human rights, which is a subject of growing interest throughout the world.
The attendees included 15 staff members from relevant divisions. There were positive comments from
the participants that they could gain a better understanding of NGOs/NPOs and human rights in a global
context as active experts in the NGO field gave them clear presentations.
Toyota will consider the broad range of views on and expectations for the company, and use them
when creating future initiatives.
Direct communication with NGOs and NPOs on

the theme of NGOs/NPOs and human rights
Explanations and Opinions from NGO Members
Kaori Kuroda
Executive Director
CSO Network Japan
Hideki Wakabayashi
Executive Director
Amnesty International Japan
System for Respecting Human Rights

Toyota established its in-house CSR Indices to confirm whether
business is being executed in line with the concept of respect for
human rights, and follow-up is performed for the various functions
each year. Toyota requests the drafting and implementation of
correction measures based on the results of Consolidated Compliance Check-sheets once a year for its subsidiaries, and once every
two years for overseas subsidiaries.
For suppliers, Toyota established and distributed the Supplier
CSR Guidelines in 2009, which clearly state Toyotas expectations of
its suppliers and Toyotas policy of respect for human rights. In
addition, Toyota asks each company to perform self inspections.
Beginning FY2012, as part of our efforts to further strengthen
CSR-related initiatives, we intend to examine the situation and ask
each company to make their own corrections as necessary, as well
as take actions to confirm those corrections.
Toyota will continue to listen to the views of our stakeholders
and further undertake various types of measures to reflect these
views in our management.
Tetsuo Tsutsui
System for Respecting Human Rights

Toyota
Subsidiaries
CSR POLICY:
Contribution towards Sustainable
Development
Suppliers
Dealers
Supplier CSR
Guidelines
Dealer CSR
Guidelines (Japan)
Self-inspections
CSR Indices
Education
For more details, please refer to p. 42.
CSR Policy: Contribution towards Sustainable Development (excerpt)

We respect and honor the human rights of people involved in our business and, in particular, do not use or tolerate any form of forced or child labor.
(Guiding Principles 5)
We respect our employees and believe that the success of our business is led by each individuals creativity and good teamwork. We stimulate personal
growth for our employees. (Guiding Principles 5)
We support equal employment opportunities, diversity and inclusion for our employees and do not discriminate against them. (Guiding Principles 5)
We strive to provide fair working conditions and to maintain a safe and healthy working environment for all our employees. (Guiding Principles 5)
Through communication and dialogue with our employees, we build and share the value Mutual Trust and Mutual Responsibility and work together
for the success of our employees and the company.
We recognize our employees' right to freely associate, or not to associate, complying with the laws of the countries in which we operate. (Guiding
Principles 5)
Management of each company takes leadership in fostering a corporate culture, and implementing policies, that promote ethical behavior.(Guiding
Principles 1 and 5)
COLUMN
Issues concerning international human rights and relationships with corporations were introduced. It is
important to recognize that human rights exist beyond country or legislation, and that public mindset should
be changed. There was a comment that there is an expectation for Toyota to take a key role to address issues
around human rights given its influence as a multinational company.
Examples of Shapla Neers detailed activities on sites and the collaborative cases with companies were
presented. Then, some of the latest situations of Bangladesh were shown, namely, that there are huge
improvements on education and literacy rate, and that micro-finance is widely accepted for almost every
family, as NGOs are very vital there. A voice of a local NGO was cited as saying that they don't need money
but they would like to learn Japanese system or management.
Hiring Employees and Contributing to the Sustainable Development of the Local

Economy while Placing Priority on Employee Health
South Africa/Toyota South Africa Motors (TSAM)
Consolidated compliance program
We implement our philosophy of respect for people by honoring the culture, customs, history and laws of each country. (Guiding Principles 2)
44
Secretary General
Shapla Neer:
Citizens' Committee in
Japan for Overseas Support
Information was shared on the diversity of NGOs/NPOs and their relationships with corporations, and some
concrete examples provided. Relationships with corporations are being transformed into two-way relationships involving dialogue, communication, and cooperation. Advice was also given that since such cooperation
involves mutual benefits and risks, it is important to spend time building trusting relationships.
Toyota South Africa Motors (TSAM), which employs around 7,950 people and produces approximately 154,000 cars per year
(mainly the Corolla and Hilux), implements various measures in relation to human rights in its workplaces. For example, the
content of initiatives undertaken by the company in response to the countrys measures to correct employment imbalances, as
well as topics such as sexual harassment, form part of the required education. TSAM is working to prevent unjust discrimination
and correct imbalances in its workplaces in addition to taking measures such as those related to employment, appointment, and
promotion. As a result, drastic, continual improvements have been made in addressing the racial imbalances stemming from the
apartheid policy of the past. For example, the percentage of non-white employees in top management has increased from 14.8%
in 2009 to 33.3% in 2012. TSAM is also making proactive efforts in response to HIV/AIDS based on a consensus between labor
and management to give consideration to employees infected with HIV to enable them to continue working.
In 2010 the Government of South Africa introduced Health Counseling Testing (HCT), which is testing related to adult
diseases such as blood pressure and blood cholesterol that is carried out at the same time as HIV and AIDS screening. This
testing is a new attempt to help prevent adult diseases, which are increasing every year, as well as reduce the number of people
who are reluctant to undergo medical examinations. All of TSAM worked to improve the percentage of people who undergo HCT,
resulting in a substantial
increase. TSAM has also
HCT Utilization
Percentage of Non-white Employees in Top Management
strengthened its medical
100
Total percentage of non-white
care for employees who
80
employees 2009: 88.3%, 2012: 91.4%
2009 4.9%
9.8%
14.8%
receive positive results,
62
60
51
and the number of
2012
12.5%
20.8%
33.3%
33
40
employees who die or
contract diseases has
20
0
10
20
30
40 (%)
decreased in recent years.
(%) 0
African
Indian
09
10
11 (FY)
45
Achieving sustainable growth through the

virtuous cycleMaking better cars and
enriching lives of communities leads to
a stable base of business
Satoshi Ozawa
Executive Vice President
Contributing to Society through Management that Shows Respect for People and
Is Based on Mutual Trust and Mutual Responsibility
A Relationship of Mutual Trust and Mutual Responsibility Supporting a Stable Base of Business
In order to support making better cars and accomplish a stable
base of business, Toyota aims to realize management that shows
respect for people and build stable labor-management relations
based on mutual trust and mutual responsibility, as well as to have
all employees display their abilities to think, be creative, and utilize
their strengths to the maximum extent possible.
Toyota experienced labor disputes and personnel cuts during
the management crisis of the 1950s. These difficult experiences
led Toyota to create a company where it would never again have to
dismiss its employees. After holding exhaustive discussions on the

best course of action between labor and management, both parties
came to a mutual understanding where employees would proactively cooperate to improve productivity, while the company would
work to maintain and improve working conditions. Further, by
sharing information and enhancing employee awareness in times
of crises, Toyota also created a relationship of mutual trust and
mutual responsibility based on which all employees execute their
duties and responsibilities for the prosperity of the company.
The Four Principles of Building a Relationship of Mutual Trust and Mutual Responsibility
First of all, we believe that employment, safety, and health are
matters of the highest priority so that employees can work with
confidence, and to this end we have developed a range of
measures. In addition, we have worked to cultivate teamwork and
promote continual improvements by enhancing two-way communication between the company and its employees, sharing information during times of crises and encouraging a sense of unity
throughout the entire company. Efforts are also being made to
create ample systems and develop human resources with the aim
of enabling employees to demonstrate their abilities to the fullest.
We believe that carrying out personnel and labor management
that is based on these four principles makes it possible to
maximize the entire companys performance and create a stable
base of business.
Basic Principles of Human Resources Management

1. Creating a workplace environment where employees can work
with their trust in the company
2. Creating a mechanism for promoting constant and voluntary
initiatives in continuous improvements
3. Fully committed and thorough human resources development
4. Promoting teamwork aimed at pursuit of individual roles and
optimization of the entire team
Establishing a relationship of mutual trust and mutual responsibility

Realizing management that shows respect for people
Sharing the Origin of the Toyota Way with All Employees

This ideology has been systematically organized as the Personnel and Labor Toyota Way,
which is shared throughout all of Toyotas global business units. In this way, management and various measures based on the Toyota Way are implemented around the
world.
At Toyota, we believe that we can strengthen the bonds between labor and management for which this relationship of mutual trust and mutual responsibility serves as a
foundation. We also believe that we can contribute to society and customer satisfaction
by realizing management that shows respect for people.
In order to engage in monozukuri (manufacturing) that exceeds the expectations of customers, it is necessary to have a strong desire
to sincerely listen to the opinions of people who support Toyota, as well continue to reinvent ourselves and fulfill challenging goals.
Underlying this feeling are Toyotas values that have been passed down since its establishmentthe Toyota Precepts, Toyota Guiding
Principles, and Toyota Way. Each of Toyotas more than 300,000 employees around the world share these values while carrying out
their individual business activities. The sharing of such global values is the foundation of making better cars, contributing to society
through these cars, and consequently increasing the number of cars sold and profit. This leads to reinvestment in the making
always better cars. Toyotas concept for its business activities is to accomplish sustainable growth through this virtuous cycle. We
will work to create solid profitability that is able to respond to environmental changes and support this cycle through further, continual improvements.
Making Efforts toward Continual Improvements to Accomplish Solid Profitability,

and Making Better Cars
Toyotas basic management principles entail contributing to
society through its business activities while realizing stable,
long-term growth. The three key components of Toyotas financial
strategy are growth, efficiency, and stability. We believe
that by implementing policies for these three components while
maintaining balance over the medium- and long-term, it will be
possible to accomplish stable, sustainable growth and at the same
time lead, increase our corporate value.
In addition, Toyota aims to achieve sustainable growth hinging
on always better cars and based on the Global Vision, even in the
midst of any type of severe management environment. If customers
accept our products as better cars, this will lead to increased
numbers of cars sold and higher profits, which will make it possible
for us to invest in always better cars. Delivering always better cars
and contributing to the enrichment of the lives of communities
consequently leads to greater profit. This is the spirit to which we
aspire to achieve sustainable growth. This cycle is supported by the
aims of the Global Vision. Even amid a harsh management environment with a yen/dollar exchange rate of 85 to the dollar and a unit
sales volume of 7.5 million cars, we will endeavor to restore Toyota
(unconsolidated) to profitability. We will work toward achieving a
consistent consolidated operating income of approximately one
trillion yen and a consolidated operating income ratio of 5%.
Production was reduced in FY2011 due to the Great East Japan
Earthquake and the floods in Thailand. However, production was
normalized more quickly than expected and we were able to move
toward recovery as a result of devoted efforts to restore production.
Regarding the sharp appreciation of the yen, the entire Group joined
together and made efforts including those to cut costs. In this way
we were able to accomplish further constitutional improvement
toward the creation of solid profitability.
Toyota will continue to work toward becoming a corporation
that is capable of realizing sustainable growth, and will move
forward with a sense of unity between all 320,000 Toyota employees
worldwide.

Regional Strategy
Product Strategy
Quality
Cost
HR
Development
Business Strategy
Improve
competitiveness
for products
and costs
Solid Profitability
Achieve consolidated operating income
ratio of 5%
(approximately one trillion yen)
Restore Toyota (unconsolidated)
to profitability
Achieve both goals

as soon as possible
Regional strategy
Providing Toyotas unique products and services tailored to the needs of each
community and country
Product strategy
Strengthening product appeal
Expanding the lineup of eco-friendly vehicles
Positioning Lexus as a truly global premium brand from Japan
Global sales ratio (2015 Sales Plan): Industrialized nations (Japan/North
America and Europe) 50%, emerging markets 50%
Supply strategy
Japan: Manufacturing hybrid vehicles and other technologically advanced,
high-value-added products
North America and Europe: Striving to maximize productivity at existing plants
Signing ceremony for the Joint Declaration of Labor and
Management in 1962
(Right: then-President Fukio Nakagawa;
Left: Toyota Motor Workers Union Chairperson Kazuo Kato)
Emerging markets: Expanding production capacity as necessary, then

analyzing the timing and scale of investments
New business strategy

Developing the Smart Community Service to link vehicles, homes, and
information networks (contributing to the building of next-generation
communities)
46
47
Special Feature
Monozukuri Is about Developing People

Special Feature
Monozukuri Is about Developing People
WorldSkills Competition
An ongoing commitment to
developing human resources
The WorldSkills Competition, which consists of 40 events in ten

categories and is targeted specifically at young engineers, is a kind
of Olympics for Engineers. The international version was
launched in 1950 in Europe and is held every two years, while the
National Skills Competition in Japan, held annually, began in 1963.
Toyotas first entry into the WorldSkills Competition was in the
11th international competition in 1962, where it won gold in the
milling machinery category. The company next appeared at the 6th
National Skills Competition in 1968, and has attended every
competition since. Gold medal winners from the Japanese championships are automatically chosen to represent Japan at the WorldSkills Competition the following year. The aim of the WorldSkills
Competition is to promote vocational training in the workplace.
to enhance workplace
strengths is the key to
staying at the forefront of
monozukuri
At Toyota, the customer always comes first. This founding credo forms the
Toyota is a staunch supporter of the WorldSkills Competition,

which brings rewards in the form of skills enhancement, discipline
and increased workplace motivation. The maximum age of
competitors is 23, which means that most are specially selected
new recruits who have undergone extensive training at the Homi
Training Center. In order to create human resources that will form
the core of the companys future monozukuri, many hours are
spent developing problem-solving techniques that require both
technical skills and concentration. Those who take on the
challenge of appearing at the WorldSkills Competition have the
ability to take on challenges and overcome obstacles through
perseverance and hard work. These people will form the next
generation of skilled engineers at Toyota.
Seven Japanese and Four International Gold Medals
basis of our everyday business operations. To ensure that we always deliver

the best possible products to the market, we maintain a resolute commitment
to quality and monozukuri (manufacturing) while constantly striving to refine
The Japanese national championships in December 2011, held in the aftermath of the Great East Japan Earthquake, was spread across 17 sites
in four prefectures (including Shizuoka prefecture). There were 1,066 participants. Toyota entered nine events and took home a record tally of
seven gold medals. The number of prize-winners by group company also hit a record. Meanwhile, four Toyota employees represented Japan at
the WorldSkills Competition in London in October
2011, which attracted a total of 944 participants in
Prizewinners at the National Skills Competition
Prizewinners at WorldSkills Competition
Endeavor
Endeavor
850 teams drawn from 51 countries and regions.
Silver Bronze
Total
Silver Bronze
Total
Gold
Gold
award
award
Toyota employees contributed four of Japans haul
Grand total 115
173
154
213
655
Grand total
23
13
8
6
50
of 11 gold medals, while a Toyota Motor Thailand
7
4
6
10
4
0
0
0
2011
2011
27
4
Co., Ltd. (TMT) employee also won a gold medal
4
8
7
6
25
0
2
0
0
2
2010
2009
for Thailand, bringing Toyotas global medal tally
5
5
7
7
2
1
1
0
2009
2007
24
4
to five.
and enhance our skills and competencies.

Toyota understands that ultimately, products are manufactured by people,
and that monozukuri is predicated on workers. Since as a manufacturer, our
growth is dependent on the skills and competencies of our workers, all
employees have a shared appreciation of the Toyota Way, and our comprehensive system of training and awareness programs based on on-the-job training
(OJT) provides a solid foundation for the quality ideals that lie at the heart of
the Toyota management philosophy.
Engineers Pursue Global Quality Standards and Strive

to Realize World-leading Quality
As a global producer with manufacturing operations throughout
the world, quality assurance is our single most important
objectivein other words, to ensure that every Toyota product, no
matter where it is made, meets the same exacting quality
standards. We want every one of our products to be Made by
TOYOTA, as opposed to made in the respective country of manufacture. To this end, the GPC* coordinates training and skills
programs for local employees at all Toyota plants in order to
ensure that quality standards are consistent throughout the world.
Meanwhile, in the pursuit of the worlds highest quality, we provide
training and development for our young employees and actively
support participation in the WorldSkills Competition.
*GPC: Global Production Center
equipment as well as training manuals complete with animations

and videos that are designed to promote faster and more efficient
skills acquisition. Local GPCs have also been set up in the United
States, United Kingdom and Thailand in a bid to accommodate
increased production capacity and promote skill levels in line with
the global standards. The experience of the 2009 recall demonstrated the need for more rigorous quality control in production
involving improved training in the fundamentals of manufacturing,
higher individual skill levels of managerial staff and production
employees based on ongoing quantitative monitoring of quality
standards in everyday procedures and specialized pre-process and
post-process training. Toyota is working closely with related
divisions to ensure that training and skills development programs
are both up to date with the latest developments in manufacturing
and production technology and tailored to both regional differences
and the specific circumstances of production affiliates.
GPC Trainees
In Line with the Made by TOYOTA Principle, GPC

Promotes a Uniform Approach Towards Developing
Employees Who can Meet Rigorous Global Standards
48
2009
22
2010
The Global Production Center was set up in 2003 to improve the
efficiency of skills development programs, provide tools and
framework for supervisors and administrators, and maintain the
strictest quality standards at production affiliates throughout the
world. The GPC has developed and provided a range of training
48
1,488
167
1,507
2,893
1,215
61
1,000
Grand total
Total 3,130
2,967
0
72
956
2,000
Total 5,069
344
59
2011
454
3,000
91
Total 4,145
4,000
33,508
Domestic (Japan):
21,245
3,595
Overseas (Japan):
North America (NA-PSC): 4,661
2,033
Europe (E-GPC):
Asia and Oceania (AP-GPC): 1,974
5,000
Domestic (Japan)
Overseas (Japan)
Europe (E-GPC)
Asia and Oceania (AP-GPC)
North America (NA-PSC)
VOICE
Winner at the
WorldSkills Competition
Atsuya Kamioka
Toyota President Akio Toyoda with gold medalists
Comments from Secretariat
Plant Engineering Div.

IT Network Systems Admin category
Tamotsu Nishijima
Ive been training hard since winning the

silver medal last time around. The
international event is more difficult
because there are so many people
watching, so I got everybody to come and
watch me train so that Id get used to it.
Thanks for your help! I couldnt have done
it without you!
The WorldSkills Competition gets more difficult

every year, so the instructors need to be
constantly learning. The longstanding emphasis
on education at the heart of the Toyota
corporate culture is the reason for our success
at the WorldSkills Competition. Skills are hard
to regain once lost, which is why Toyota is
committed to passing on our proprietary skills
and corporate culture to the next generation.
Toyota Secretariat for WorldSkills Competition
Left to right: Keisei Sogabe (creative modeling), Atsuya Kamioka (IT network system admin),
President Akio Toyoda, Yuichi Sawaki (autobody repair), Kengo Watanabe (CNC milling)
COLUMN
VOICE
Gold Medal Win by Overseas Affiliate Demonstrates High Technical Prowess
Toyotas overseas affiliates have been entering the WorldSkills Competition since
2007. In 2011, Thailand and Indonesia each sent two employees as their countrys
representatives, and one employee took home the first ever gold medal for an
overseas affiliate. Local workers who were trained at the GPC in Japan are now
responsible for training the next generation back home. Toyota provides assistance
for WorldSkills Competition participants as part of the overall commitment to
employee training and development.
The four WorldSkills Competition entrants from
overseas affiliates came to Japan with their supervisors to undergo additional training alongside the
Japanese entrants. It was an inspirational learning
experience, with the winner of the gold medal in
particular seen as a model young employee who is
setting a great example in the workplace.
Training for the WorldSkills Competition
VOICE
WorldSkills Competition Winner
Tanongsak Hengsawad,
Toyota Motor Thailand (TMT)
Creative Modeling category
So many people helped

me on my way to winning
this gold medal. I look
forward to using the
experience I have gained
in my everyday work. And
I want to pass on my
skills to subordinates in
the future.
49
Employees
Employees
Basic Employment Principles
Create working environments for various employees to work proudly and with loyalty and confidence
in fulfilling their potential, which realize their
Excerpts from the Guiding Principles at Toyota
self-growth
1. Honor the language and spirit of the law of every nation and undertake open and fair corporate activities to be a good corporate
citizen of the world
5. Foster a corporate culture that enhances individual creativity and teamwork value, while honoring mutual trust and respect
between labor and management
Sharing the Toyota Way Globally and Implementing Human Resource Measures
Since its foundation, Toyota has contributed to society
through
pursuing
conscientious
monozukuri
(manufacturing) as its philosophy. Within this
philosophy, beliefs and values for business original to
Toyota have been created and techniques for management and implementation have been devised to be
fostered as the source of Toyotas competitive power.
Business beliefs and values such as these handed
down in Toyota as tacit knowledge have been organized
and compiled into the Toyota Way 2001 so that they
can be viewed and understood by anyone. With
Continuous Improvement and Respect for People
as its pillars, the Toyota Way 2001 has five keywords,
which are Challenge, Kaizen, Genchi Genbutsu,
Respect, and Teamwork, and is shared throughout
Toyota globally.
Challenge
We form a long-term vision, meeting
challenges with courage and creativity
to realize our dreams.
Employees We support equal employment opportunities, diversity and inclusion for our employees and do not discriminate
against them. (Guiding Principles 5)
Employees We strive to provide fair working conditions and to maintain a safe and healthy working environment for all our
employees. (Guiding Principles 5)
Genchi Genbutsu
We practice genchi genbutsu, go to the
source to find the facts to make correct
decisions, build consensus and achieve
goals at our best speed.
Continuous
Improvement
Respect
for People
Labor-management Relations Based on Mutual Trust and Respect

Respect
We respect others, make every effort to
understand each other, take responsibility and do our best to build mutual trust.
Teamwork
We stimulate personal and professional
growth, share the opportunities of
development and maximize individual
and team performance.
(Continuous Improvement,
Respect for People)
is one of Toyotas most important
Safety and
Health
bases for our business activities.

Each workplace serves as the
individual driving force behind a
Human Resource
Development
Toyota is working to develop
programs based on the Toyota Way,

and strives for creation of a
workplace worthy of vigor and
enthusiasm.
Pride and
Loyalty
Toyota strives to foster employees
vigorous workplace by greater
pride and loyalty to the company,
enhancement and reinforce-
workplace and colleagues by

encouraging a culture of teamwork
based on the Toyota Way with
through communication and mutual

ab
St
le
Em
ili
ty)
ment of educational programs

OJT as an essential.
50
and reinforcement of educational
Diversity and
Inclusion
Pride and Loyalty

Human Resource
Development
plo
po
es
ym
lR
en
a
u
t
t an
Mu
dL
nd
abo
st a
r-ma
u
r
T
al
nagem
ent Relationship (Mutu
In the 50th year since the Joint Declaration of Labor and Management
Joint Declaration of Labor and Management (excerpts)
We will contribute to the development of the national economy through the prosperity of the
automotive industry.
The relationship between labor and management shall be based on mutual trust and respect.
We will endeavor to maintain and enhance the company's prosperity and labor conditions
through the improvement of productivity.
We hereby swear to further reinforce ties between labor and management based on mutual trust and mutual respect like
two wheels on a car, traveling down the same road, and, by exceeding expectations for customer satisfaction and social
contribution, to pass on the spirit of the Joint Declaration of Labor and Management and Toyotas monozukuri to the next
generation.
At the 50th Anniversary Signing Ceremony

(Left: President Toyoda, Right: Chairperson Tsuruoka)
May 29, 2012

Akio Toyoda, President, Toyota Motor Corporation
Mitsuyuki Tsuruoka, Chairperson, Toyota Motor Workers' Union
Toyota plans greater enhancement
Work with
Vigor and
Enthusiasm
company-wide effort.
The approach of "mutual trust between labor and management" became the basis of labor-management relations in the Joint Declaration
of Labor and Management concluded in 1962 based on lessons learned from earlier labor disputes. As 2012 marks the 50th year since the
signing of the declaration, Toyota has once again vowed to further reinforce ties between labor and management.
Diversity and Inclusion
The Toyota Way
Ensuring employee safety and health
Chapter 1. Through our communication and dialogue with the company, we (people working for TOYOTA) strive to build and share
fundamental value of Mutual Trust and Mutual Responsibility. TOYOTA (TOYOTA MOTOR CORPORATION and its subsidiaries)
endeavors to improve its business achievements so that TOYOTA can continue to provide employment and fair and stable working
conditions for each of us. Simultaneously, TOYOTA promotes a work environment in which each of us can work in a harmonious and
dynamic manner.
Excerpts from the Toyota CSR Policy
Kaizen
We improve our business operations
continuously, always driving for
innovation and evolution.
Toyota aims to create a corporate culture that reliably reflects the Toyota Way 2001 in actual corporate activities and the work of individual
employees. Therefore, founded on a stable employment and labor-management relationship based on mutual trust and mutual responsibility, Toyota promotes various measures including human resource development and healthcare so that employees can work with vigor and
enthusiasm. Toyota also respects employees diversity in areas such as culture, nationality, race, language, religion, gender, age and
perspective.
Safety and Health
Excerpt from the Toyota Code of Conduct
ib
ns
cooperation.
Maintaining Employment even

during Flooding in Thailand when
Global Production was Affected
Although no direct damage to Toyota was
caused by the flooding in Thailand that
occurred in October 2011, parts supply
from suppliers affected by the flooding
was hindered and operations had to be
temporarily suspended in a total of 12
affiliates (approximately 55,000 people/day
affected) in Asia, North America and
Europe.
In order to respond to this situation,
Toyota worked as one with its employees,
setting up substitute operation days and
conducting activities for strengthening of
work structures (education, improvement)
at each workplace.
Shifts in Number of Global Toyota Employees

(Thousand employees)
340
316
320
321
321
326
318
Newly Operating Plants

Fiscal year
Name of plant (Region)
Number of
new plants
FY2003
TMMAL (Alabama, North America)
FY2004
TMMBC (Mexico, North America)

FTCE (Changchun, China)
TFTD (Tianjin, China)
FY2005
TPCA (Czech Republic, Europe)

TMIP (Poland, Europe)
GTE (Guangzhou, China)
FY2006
TMMTX (Texas, North America)

SFTM (Sichuan, China)
GTMC (Guangzhou, China)
FY2007
TMMR (Russia, Europe)
FY2011
TMMS (Mississippi, North America)

Creation of 2,000 new jobs
TDB New Plant
(Brazil, South America)
Creation of 1,500 new jobs
299
300
285
280
264
266
260
240
220
200
03
04
05
06
07
08
09
10
11 (FY)
51
Employees
The Gate to Safety
Basic Concept of Safety and Health

Ensuring employee safety and health is one of Toyotas most important business
activities and has a universal and timeless value.
Upon assuming the position of General Safety and Health Supervisor in 1957, Honorary
Advisor Eiji Toyoda explained his basic stance on safety and health: Safe work is the
gate to all work. Let us pass through this gate.
With this basic philosophy always in mind, Toyota is striving to create a dynamic working
environment that is conducive to the mental and physical well-being of its employees.
Basic Concept of Human Resource Development
Basic Philosophy for

Safety and Health
We are working to develop human resources by implementing an educational program based on OJT (on-the-job-training), which is crucial for
the development and generational transfer of excellent monozukuri (manufacturing), with the five Toyota Way keywords as a fundamental basis.
Safe work
Reliable work
Skilled work
Safe work is the gate to all work.
Let us pass through this gate.
Practice of the Toyota Way

http://www.toyota-global.com/sustainability/
csr_initiatives/stakeholders/employees/
Promotion of 3-pronged Approach to Safety and Health
So that the Toyota Way, which explains Toyota values and ways of
thinking, can be understood and practiced by employees globally,
we have organized and arranged job types and techniques into
what we call Global Contents. These Global Contents are
communicated to Toyota employees through courses and OJT both
in Japan and overseas.
List of Global Contents
In FY2011, building a culture that promotes interactive development of safety and health was set as the foundation of Toyotas global policy.
Total accidents decreased by 30% over the previous year as a result of basic rule observance and interdependent bottom-up initiatives
involving the whole company that were implemented so that employees at every workplace realize the risks present and take independent
preventive action with the aim of making safety and health a custom and culture at Toyota. In FY2012, we will continue to promote the three
pillars of safety in order to further increase our safety level.
Administrative/
Engineering employees
Policy management
Managers
Education of subordinates
Three Important Items for Implementation in FY2012

Safety-oriented culture
Educating employees to enable them to protect themselves
safety management system
Establishing OSHMS that leads to recurrence

prevention, incorporation of relevant party viewpoints
and enhanced workplace strength
On-premise supplier
Clarification of and absolute adherence to on-premise
safety in plant
management rules at plants
Establishment of a
Frequency of Industrial Accidents
All industries
(frequency rate of lost workday cases)

2
Manufacturing
industries
Toyota
Ji Kotei-Kanketsu
General employees
07
08
09
10
11
(Year)
Building up Good Health

In FY2011, BIP2 activities (BMI reduction and anti-smoking measures) were implemented in order to improve lifestyle habits and health
mindsets whereby employees protect themselves. Specifically, this included healthy PDCA (Plan, Do, Check, and Act) at workplaces,
on-site work-out lectures with exercise trainers, mini health seminars on diet and giving up smoking, health and hygiene exhibitions, and
individual guidance to those at risk of metabolic syndrome. As a result, we have improved lifestyle habits (a reduction in the proportion of
smokers).
Smoker rate
BMI
BMI and Smoker Ratio
39.2
37.6
35.9
26.9
24.7
31.8
33.6
30
20
27.7
Bolstering Mental Health Care

In FY2011, to enable early detection and action for people requiring
mental health care, active listening courses were held for managers
and supervisors in order to enhance care by managers and in turn
managers ability to notice the signs of poor mental health. For
self-care, courses were held for new
assistant managers and younger employees. Rehabilitation support for employees
taking administrative leave was enhanced
through coordination with workplace
counselors, and information on mental
health was provided on the Toyota intranet Active listening courses
at all workplaces.
52
26.9
07
08
09
Global Contents
Toyota Way
Values and ways of thinking that should be held by those

working for Toyota
Toyota problemsolving techniques
Techniques for improving current conditions in order to

realize ideal working conditions
Ji Kotei-Kanketsu
(Built-in quality
with ownership)
How to work in order to continually produce the best output
Education of
subordinates
Systems for training subordinates through ones daily work
Policy management
Managing implementation items that should be initiated in

order to accomplish workplace missions and create new value
Basic skills
Minimum skills necessary for production line work
Production skills
Knowledge regarding recognizing irregularities and work

points
Trouble-shooting capability
Skills and Roles

of Management
and Supervision
Manager and supervisor skills for soundly managing

standard operations
Group and team operational knowledge, etc. for managing
irregularities
25.2
10
Health and hygiene exhibition (diet)
Basic skills
Toyota Way
0.5
40
(Built-in quality with ownership)
Problem-solving
Source: All industries/Manufacturing industries/Automotive manufacturing industry (Results of Ministry of Health,

Labour and Welfare 2011 survey on industrial accidents)
On-site work-out lecture
Production skills
(%)
50
Skills and roles of

management and
supervision
Automotive manufacturing
industries
1.5
Shop floor employees
10
11
(Year)
Reinforcing the Health Management of Overseas

Personnel
In FY2011, we continued to provide health check-ups for overseas
personnel and provided industrial physician advice by making use
of health follow-up sheets. While industrial physicians routinely
made rounds checking on medical conditions at local sites,
medical information was also provided using the Internet for
locally-stationed staff and follow-up e-mails regarding self-health
management were sent out. Tele-conferences were also routinely
held with local points of contact and information exchanged.
Human Resource Development in the Workplace

(OJT)
The foundation of human resource development at Toyota is
on-the-job-training (OJT) but we also provide off-the-job-training
opportunities for development through guidance by supervisors or
superiors. For example, in a globally-shared training program,
employees, following group training, spend approximately six
months attempting problem-solving during actual work duties.
Development of Human Resources with Strong

Language Abilities and a Local View and Local Sense
of Regions around the World
The OT-clab (Overseas Trainee culture
language business) program started in 2002, is a
system for sending young employees to overseas
sites as trainees in order to develop human
resources.
As of January 2012, 84 trainees were working
hard at 37 affiliates in 20 countries to study
working procedures, business practices and
accurate English and host country language
communication abilities while respectively
reporting to local supervisors under the program.
Ko Nakamura
OT-clab Body Assembly
Engineering Div.
Dispatched to: TGB (UK)
Dispatch period: January 1,
2012 to January 1, 2013
ICT Program for Self-reliance of Affiliates and

Contribution to Local Communities
In order to promote self-reliance in overseas
affiliates, the ICT (Intra Company Transferee)
program temporarily transfers employees of
overseas affiliates to TMC for human resource
development through on-the-job training.
Transferees learn skills and know-how throughout their training periods which range from six
months to three years.
As of the end of April 2012, a total of 450
transferees from 48 affiliates in 27 countries
were working in Japan under the program.
Heather Nelc
ICT Production Engineering
Planning Div.
Dispatched from: TEMA
(North America)
Dispatch period: September
2010 to August 2012
COLUMN
Global Human Resource Development of Young

Employees
New Establishment of Study-abroad Program
Prior to Entering TMC for Job-offer Recipients
In the face of rapid globalization, Toyota in FY2011 newly
established a Study-abroad Program for job-offer recipients in
order to quickly develop human resources that can play active
roles on the global stage. This program provides opportunities
for recipients of job offers to use the period after being given a
job offer and prior to entering the company to study abroad.
Therefore, the program aims to help participants develop a
broad network with university students outside Japan and to
learn more about the roles expected of them within the
international community.
For the first year of this program, 12 participants were
selected among applicants from the clerical and technical
job-offer recipients of 2011 and dispatched in April 2012. For
six months from April to September, they will study language
and business skills at the University of Pennsylvania in the
United States before entering the company in October. TMC
will cover costs for tuition, dormitory fees and roundtrip airfare
while participants will be responsible for living expenses.
53
Employees
Over
sixties
People with
disabilities
Basic Concepts of Diversity and Inclusion
Promotion of Localization of Management at

Overseas Affiliates
Global human
resources
For companies engaged in business around the world, it is important to promote a diverse
range of human resources activities while raising the skills of each individual employee.
Toyota is establishing a corporate culture with abundant vitality by fostering human
resources that include a diverse range of individuals.
Although the focus of respect for diversity varies in different countries and regions,
Toyota strives to be a company with a working environment that promotes self-realization
while respecting diversity of values and ideas among its employees.
Fixed-term
contract
employees
Work-life
balance
Full-time Toyota Employees

(unconsolidated basis) As of March 31, 2012
Number of fulltime employees
Male
Female
Total
61,543
7,418
68,961
38.9
31.5
38.1
17.8
10.5
17.0
Average age
Average years
of service
Promoting Various Measures to Create a Workplace Full of Vigor and Enthusiasm

Toyota is currently working to establish various programs to help
female workers balance work with childcare and to educate
employees on effectively utilizing the programs while refining
communication tools for these activities.
Trends in Number of Employees Taking Childcare Leave and
Using the Flexible Working Hours System in FY2011
System
Male
Female
Childcare Leave
20 (-1)
399 (+17)
Flexible Working Hours System
24 (+13)
724 (+142)
(Figures in brackets are comparisons with the previous fiscal year)
Recent Key Initiatives

FY
Support for balancing work with childcare
2009
2010
Childcare Leave First Guidebook

distributed
2011
Support for career development

Networking Event for Female
Shop Floor Workers hosted
Social Gathering with Overseas
Female Officers hosted
Social Gathering with Overseas
Female Officers hosted
Pregnancy, Childbirth and Care-related Benefits for Employees

Pregnancy Determined
Maternity
Leave Plan
for Female Employees

Conducting Work that
Requires Standing Up
Childbirth
6-week
Maternity
Leave
Age 1
Age 2
Age 3
4th Grade Completed
8-week
Postnatal Leave
14-week Maternity Leave

for multiple pregnancies
Nursing Time (2x30 min/day)
Parental Leave
Exemption from Nonscheduled Work
Toyota has been promoting the localization of management at

overseas affiliates from a medium- to long-term perspective. The
head office has clarified division of roles, determining what things
are to be done and how they will be done at overseas affiliates.
In principle, executives responsible for overseas operations
(including chief officers) live at the respective overseas location
and create a management system that has close ties with the local
community.
Appointment of local human resources is also being actively
promoted and, in our Europe Operations Group, Managing Officer
Didier Leroy (President of Toyota Motor Europe (TME)) has become
the first native European to be appointed Chief Officer of TME
(appointed as Senior Managing Officer from April 2012). As of June
2012, the number of foreign executives at Toyota Motor Corporation
(TMC) was six.
Toyota will continue to actively foster and promote local personnel on the principle that this ensures the right resources will be in
the right places, driving forward the localization of decisionmaking, operation and management posts.
This should facilitate the timely understanding of customer and
employee needs in each region, enabling us to make appropriate
business decisions.
Limiting Overtime Work (up to 24 h/month and 150 h/year)

Exemption from Late-night Work
Shorter Working Hours (at workplaces instituting flextime)
Flextime System with no core time
Child nursing leave (5 days for each child up to 4th grade elementary school.
Maximum 10 days/year)
Working Partially at Home (allowed after 3:00 p.m.)
* A regular employee is entitled to take two years of nursing care leave (or four years including applicable periods
for Working Hour Reduction, Core Time Exemption and Partial Work at Home)
COLUMN
A Female Employee who Followed Her Own Path, without Worrying about Precedents
Hiromi Oda, Project Manager, Japan Service Field Operations Div.
I moved to the Customer Service Group following approximately ten years spent in the Engineering Group upon
entering Toyota. I was previously in charge of overseas operations, and in my current post act as a mediator
between Toyota and sales outlets in Japan. When I first considered what sort of job I really wanted to do, I realized
that I wanted to know what kind of cars made customers happy, understand customer needs and the market, and
to utilize this information to enable the manufacture of better cars. With this in mind, I put in my transfer request.
When my hopes were fulfilled despite the lack of precedent, I was very grateful to my superior and colleagues.
A Male Employee who Respects and Supports His Wifes Feelings towards Work
Takeshi Kasugai, Group Manager, Human Resource Div.
My eldest daughter is one year and ten months old. This April, my wife returned to work from childcare leave
and our lifestyles were turned upside down. Although we basically try to split housework and childcare
duties evenly between the two of us, it is harder to balance both of our jobs with housework and childcare
than we had imagined. At first, we were unable to strike a good balance and pace between us and there were
times when we clashed. When this happened, I took action to become more considerate. When you exceed
your partners expectations, they become grateful. I feel that this is also true at work.
Female Executives Help Each Other Maintain Work-life Balance
Nancy Fein, Vice President, Toyota Motor Sales, U.S.A., Inc. (TMS)
In 1997, I was promoted to corporate manager along with five other women. Even for the United States, promoting six women at once to such positions was unusual. I am celebrating my 25th wedding anniversary this year,
and in order to ensure the right balance between work and home, the first thing I had to do was structure my
life, set a daily schedule, and use my limited time efficiently. The important thing is not to focus entirely on ones
job, but strike a balance between work and ones private life. Another important thing is developing a network
of people who can help you adjust your schedule and work load. The strong, mutually supportive relationships
I have with the other women in my situation makes achieving a good work-life balance all the easier.
Job Placement Program for Over-sixties

Following the 1991 introduction of the Internal Re-employment
Program for Retired Professionals, an Optional Re-employment
Application System was launched in 2001 to outplace applicants to
external affiliates and other sites, providing a framework for
helping over-sixties to continue working at either external or
internal workplaces. Programs were updated to their present state
based on the revised Law on Stabilization of Employment of Older
Persons that came into effect in FY2006, in order to expand
re-employment opportunities. A review was also initiated at the
same time to refine policies on shortening work hours in response
to growing diversity in job preferences and so on.
Employment of Fixed-term Contract Employees

With regard to fixed-term contract employees, while we already
take steps to ensure that appropriate employment and contract
renewals are conducted, we are also putting our utmost efforts into
creating stable employment conditions and improving workers
employability. The full-time staff appointment system gives fixedterm contract employees who have worked for Toyota for at least
one year and have a recommendation from their workplace the
chance to take an examination for regular employment. This leads
to increased motivation and vitality.
Fixed-term contract employees can also take the examination
in their third year. Toyota plans to continue to promote appointment
of fixed-term contract employees as full-time employees.
Employment of People with Disabilities

Toyota believes that people with disabilities deserve the chance to
become socially self-reliant and we make it a rule to provide them
with opportunities to work together with non-challenged individuals. A number of such people are engaged in a range of roles at
various workplaces.
As of June 2012, the number of people with disabilities
employed was 1,015 and the ratio 1.96% (for Toyota only), which is
above the legal requirement of 1.8%. Efforts are under way to
create an even more employee-friendly working environment,
including hosting an internal sign language workshop, deploying
counselors to provide all kinds of support, and spreading good
workplace examples across the organization.
Increasing Employment Opportunities for People

with Disabilities: Toyota Loops
Toyota Loops Corporation was established to increase employment
opportunities for people with disabilities, and began operations as
a special-purpose subsidiary in FY2009.
It is mainly entrusted with Toyotas internal printing (creating
manuscripts, printing and bookbinding) and mail service duties
(including internal mail, postal collection, delivery and sorting, and
sending sales outlet mail). Since FY2011, it has newly been
entrusted with document insertion and the issuing of visitor or
employee identification cards. Furthermore, the Toyota Loops head
office has a universal design throughout the whole company
building and provides specially-adapted facilities, as well as
mental health care through support staff so that people with
disabilities can work at ease with the pleasure of feeling their
personal growth.
Toyota is also actively conducting information exchange in
coordination with welfare institutions, the government and local
communities.
In October 2011, Toyota Loops participated for the first time in
the Aichi Abilympics where people with disabilities compete. All
three employees who
entered
DTP
and
Product packing events
received prizes. Toyota
Loops plans to participate again in 2012.
Prize-winners at the Aichi Abilympics
Number of employees (as of June 2012)

Employees with disabilities
103
65
Intellectually challenged employees
29
Employees with physical disabilities
29
Employees with psychological disorders

Number of people with disabilities accepted for practical training in FY2011
Number of people accepted for observation in FY2011
7
39 people from
17 groups
565 people from
37 groups
*Affiliated departments at time of interview
54
55
Corporate Governance/Compliance
To Be Rewarded with the Smiles of Employees
Corporate Governance
In order to strengthen its human resource base, which supports Toyotas growth, the company has created a positive working environment
in which employees can work with confidence, vigor and enthusiasm. Toyota strives to foster employees pride and loyalty to the company,
workplace and colleagues by encouraging a culture of teamwork through communication and friendly competition.
WE LOVE TOYOTA Initiative to Create an

All Toyota Sense of Unity
In order to develop employee interest in the companys operations
and products, based on the notion of All Toyota, and to deepen
loyalty, an internal campaign called WE LOVE TOYOTA has been
carried out since FY2009.
As a part of these activities, the 2nd WE LOVE TOYOTA seminar
was held in April 2012. Approximately 350 participants attended
including corporate executives and foreign employees. Teamwork
and ties between participants were deepened by forming teams
consisting of members who had never met before and holding an
Internal Prius Cup while discussing the joy of driving.
Results of Employee Satisfaction Survey

Toyota believes that the greatest assets a company has are its
people and that customer satisfaction cannot be achieved without
employee satisfaction.
The employee satisfaction survey conducted in FY2010 on
administrative and engineering employees revealed an affirmative
response rate of over 70% regarding satisfaction with company
life and feeling that ones job is rewarding.
The most common reason given for satisfaction with company
life was work quality and level while young employees in
particular gave experiencing a sense of personal growth as the
most common reason for feeling that ones job is rewarding.
The results of the survey conducted in FY2011 on shop floor
employees revealed that the number of employees who answered
that they were satisfied was 64.4%, an affirmative response rate of
over 60% despite the impact of the earthquake disaster. The
FY2010 survey conducted overseas had an affirmative response
rate of 74% for administrative and engineering employees and 72%
for shop floor employees.
This employee satisfaction survey is conducted every other year
and its analyzed results are used in planning and executing
measures to allow employees to work with confidence.
Results of Employee Satisfaction Survey

The 350 members who gathered together for the Internal Prius Cup
Administrative and engineering
Shop floor
(%)
(%)
80
80
Athletic Clubs Provide Exciting Discussion Topics

Toyota has 35 clubs consisting of those for advanced athletes
competing for national championships on behalf of the company
and for employees who are engaged both in sports and a job
function. All employees are proud of the clubs good showing and,
beyond that, feel motivated and encouraged to see workplace
colleagues competing strongly.
The womens softball club and the mens basketball club Alvark
won national championships in November 2011 and April 2012,
respectively.
70
66.9
64.2
60
60
50
50
06
08
10
(Year)
66.7
60.3
Toyotas Basic Approach to Corporate Governance
Basic Concepts of Compliance
Toyota has a range of long-standing in-house committees and

councils responsible for monitoring and discussing management
and corporate activities from the viewpoints of various stakeholders.
This is in order to make prompt decisions for developing our global
strategy, speed up operation, and ensure heightened transparency
and the fulfillment of social obligations. Toyota has a unique
corporate culture that places emphasis on problem solving and
preventative measures. Toyotas approach is to build in quality
through manufacturing processes, enhancing the quality of everyday
operations and consequently strengthening corporate governance.
The Guiding Principles at Toyota state that Toyota will honor the
language and spirit of the law of every nation and undertake open
and fair corporate activities to be a good corporate citizen of the
world. It is in this process that Toyota seeks to maintain compliance. In accordance with the Basic Approach to Internal Controls,
Toyota is promoting initiatives centered on the construction of
framework such as that for adopting and implementing the Code of
Conduct and human resource development through education and
other means. Toyota has also established consultation hotlines so
no issues are overlooked and detailed responses can be made.
Systems for Ensuring Appropriate Management

and Basic Approach to Internal Controls
Checking Activities to Enhance Compliance
At the general meeting of shareholders in June 2011, the number

of directors was drastically reduced to maintain close and vigorous
mutual communication and achieve fast decision-making.
Toyota has adopted an auditor system to monitor management.
Four of Toyota's seven corporate auditors are external auditors
employed to increase transparency of corporate activities. As a
system to ensure appropriate management, Toyota has convened
meetings of its International Advisory Board (IAB) annually since
1996. The IAB consists of approximately 10 distinguished advisors
from overseas with backgrounds in a wide range of fields, including
politics and economics. In 2011, we established Regional Advisory
Committees in major regionssuch as North America, Europe and
Asiaand we receive advice on diverse business issues from
various perspectives. Using the following basic internal control
policies established in May 2006 as a foundation, Toyota implements enhancements to its internal control system as necessary.
Toyotas Corporate Governance
71.3
70
64.4
Emphasizing Frontline Operations + Multidirectional Monitoring

Appointment
Board of Corporate
Auditors
07
09
11
(Year)
Majority are outside

corporate auditors
External Accounting
Auditor
Results of FY2010 Employee Satisfaction Survey (Administrative and

Engineering Employees): Reasons for Affirmative Responses
Items
Most common
reason
Second most
common reason
Third most
common reason
Satisfaction with company

life
Work quality and

level
Human relations at
the workplace
Pay level
(wage, bonus)
Experiencing a sense
of personal growth
Social significance
Authority and
responsibility
Feeling that ones job is

rewarding
Compliance
Audit for consolidated

financial statements and internal
control over financial reporting
Disclosure Committee
(disclosure systems)
International Advisory
Board
Shareholders
Board of Directors
Labor-Management Council/
Joint Labor-Management
Round Table Conference
CSR Committee*
Senior Managing Officers

or Managing Officers
Toyota Environment
Committee
Internal Auditing Department

(internal control systems)
* The CSR Committee deliberates on and makes decisions concerning CSR-related plans,
corporate ethics, legal compliance, risk management and social contribution activities
Basic Approach to Internal Controls

Fundamental Approach
Communication Activities within the Workplace
The womens softball club that has successively

won two consecutive league championships
56
Mens basketball club, Alvark
Toyota is conducting a range of initiatives to ensure smooth

communication within the workplace. One of these is lunchtime
discussions held with foreign staff regarding anything from
personal troubles and worries to differences in culture and ways of
thinking, which deepens mutual understanding between Japanese
and foreign staff.
Draw out the good will, enthusiasm, and autonomous decision-making abilities of
the people who perform work, based on the idea of respect for people
Establish structures within the work processes carried out by people and
organizations that incorporate internal controls and establish checks and balances
as well as management and oversight by directors
Establish inter-departmental organizations to supplement internal controls
Basic Policy
(1) Legal compliance by Directors
(6) Appropriateness of the business
operations of the group
(2) Retention and management of
information relating to the execution of
(7) Employees assisting the Corporate
responsibilities by Directors
Auditors
(3) Regulations and other systems related
(8) Independence of employees described in
to the management of risk of losses
the preceding item (7)
(4) Efficiency of execution of responsibilities (9) Report to Corporate Auditors
by Directors
(10) Ensure the efficient execution of audits
(5) Legal compliance by employees
by the Auditors
In FY2008, Toyota started checking activities to enhance its compliance

structure. In FY2009, it also started the checking of subsidiaries in
addition to internal checking. In FY2010, we further enhanced our
checklists and implemented additional strengthening of the structure.
The results of the activities were reported to the CSR Committee, and
Toyota continues to push ahead with improvements based on the results.
Education and Training to Ensure thorough Compliance

To ensure that awareness of compliance issues extends from senior
managers to all other employees, Toyota conducts education and training
programs for directors, newly-appointed departmental general managers
and newly-recruited employees in addition to company-wide e-learning
programs. It also conducts seminars on business compliance regarding
topics such as copyright, security control and products liability law.
Toyota Code of Conduct

The Toyota Code of Conduct (adopted in 1998 as the Code of Conduct
for Toyota Employees and revised in March 2006) organizes the basic
attitudes necessary for people working at Toyota in order to put the
Guiding Principles at Toyota into practice and fulfill social responsibilities, giving indication of some specific important points.
The Compliance Hotline and Other Hotlines

Toyota has established a number of hotlines for swift and appropriate
resolution of issues related to compliance, gender harassment, working
conditions, and mental and physical health. The Compliance Hotline in
the chart below allows employees to have consultations concerning
compliance-related issues and has been set up at an outside law firm
(subcontractor). Upon request, the content of consultations is conveyed
anonymously to a secretariat within Toyota and the details are investigated with scrupulous care to ensure that the identity of the employee
having the consultation is not revealed. If the results of the investigation
indicate a compliance-related
issue, a response is immediately
Content and No. of Consultations with
the Compliance Hotline (FY2011)
implemented.
Hotlines Established at Toyota
Improper cost and expense

accounting procedures
Personnel, labor and employment
4
69
Compliance Hotline
Personal information management,

confidential matters
Heartful Net e-club
Personal matters
Gender Harassment Prevention Hotline
Other
26
Mental and Physical Health Hotline
Total
111
6
6
57
Performance Data (consolidated basis)
Making efforts toward continual improvements to
Vehicle Production/Vehicle Sales
accomplish solid profitability, and making better cars
(thousand
units)
Vehicle production
Overseas
Vehicle Production by Region (FY12)
Japan
Overseas
Japan
6,000
achieve an operating income of 355.6 billion yen. Furthermore,

with the Group as a whole promoting cost reductions and curtailment of fixed expenses, we made progress to accomplish solid
profitability.
For FY2012, with continuous profit improvement activities, we
aim to become even stronger and secure a consolidated operating
income of 1 trillion yen through utilizing our competitive product
lineup (including our hybrid cars and IMVs as well as our new
products,) and actively working to increase sales along with the
unified and unceasing cost reduction efforts of all our suppliers.
Consolidated basis
Year ended March 2012

(April 2011 through March 2012)
Year ended March 2011

Compared to
previous year
Reference: (Unconsolidated)
year ended March 2012
18,583.6 bil. yen
18,993.6 bil. yen
-2.2%
8,241.1 bil. yen
(2) Operating income
355.6 bil. yen
468.2 bil. yen
-24.1%
-439.8 bil. yen
(3) Net income
283.5 bil. yen
408.1 bil. yen
-30.5%
35.8 bil. yen
(4) Total assets
30,650.9 bil. yen
29,818.1 bil. yen
2.8%
10,612.7 bil. yen
(5) Shareholders equity
10,550.2 bil. yen
10,332.3 bil. yen
2.1%
6,261.7 bil. yen
50 yen
50 yen
(6) Dividend per share
18.0%
Japan
28.2%
Japan
North
America
North
America
FY 12
FY 11
10.8%
* Other regions: Central and South America, Oceania and Africa
Net Revenues and Operating Income by Geographic Segment

(trillion yen)
Net revenues
Japan
North America
Europe
Asia
Other regions*
Capital Expenditure and R&D Expenses
(FY12)
(billion yen)
(billion yen)
Operating income (right)
25.5%
Europe
17.1%
FY 10
(1) Net revenues
Asia
5.2%
53.0%
12
10
8
6
4
2
0
2
4
6
8
Other Regions* 17.5%
Europe
4,000
2,000
On a consolidated basis, Toyota saw an increase of 44,000 in unit

sales to 7.352 million cars, but net revenues decreased by 2.2% to
18,583.6 billion yen, operating income fell by 112.6 billion yen to
355.6 billion yen and net income declined by 124.6 billion yen to
283.5 billion yen. The business environment was extremely difficult
in the fiscal year that ended March 31, 2012 because of reduced
production due to the Great East Japan Earthquake and the
flooding in Thailand, the continued strong yen and other factors.
Nevertheless, thanks to the efforts of our workforce, and all our
suppliers and dealers who have done their utmost in working
towards the recovery of production and sales, we were able to
Consolidated total 7,352 thousand units
Other Regions* 5.3%
Asia 19.4%
8,000
Summary of Business Results for FY2011
Vehicle Sales by Region (FY12)
Consolidated total 7,435 thousand units
Vehicle sales
600
500
400
300
200
100
0
100
200
300
400
Capital expenditure
(billion yen)
R&D expenses (right)
2,500
1,000
2,000
800
1,500
600
1,000
400
500
200
FY08
FY09
FY10
FY11
FY12

http://www.toyota-global.com/investors/ir_library/annual/pdf/2012/index.html
Global Expansion
Toyota respects the culture and customs of every nation and region and contributes
to economic and social development through corporate activities in the communities.
Analysis of Consolidated Net Income*

(billion yen)
* Net income attributable to shareholders of Toyota Motor Corporation
Europe
Japan
Net income* (-124.6)
31
22,000
Operating income (-112.6)
15
Asia and
the Middle East
69,000
23
Excluding Valuation Gains/Losses

from Interest Rate Swaps (-91.8)
Africa
11
5
40,000
32
408.1
North America
154,000
Central and
South America
3
Increase in
expenses, etc.
Cost reduction
-100
efforts
150
Effects of
FOREX Rates
-250
April 2010 March 2011
58
Marketing
efforts
150
283.5
Other
-62.6
Non-operating
income
-17.7
Equity in
earnings of
affiliated
companies
-17.3
Income tax,
etc.
23
51
24,000
Oceania
4
1
44
16
31,000
12,000
No. of plants and manufacturing companies (as of March 2012)
No. of distributors (as of June 2012)
No. of employees (manufacturing companies + distributors)
* In Japan, Toyota manages the function of distributors and the number
of employees counts Toyota on an unconsolidated basis.

http://www.toyota-global.com/company/profile/overview/in_the_world/
April 2011 March 2012
59
Data
CSR Achievement Data
Area
Stable base of
business
Items
Employees
Smoking rate (unconsolidated)

: KPI Strategic Focus
Items
Safety
Unit
No. of 5-star models
FY2009
Japan
U.S.
Europe
Models
China
U.S. IIHS Top Safety Pick models
Quality
Rewarded with the smiles
of customers
No. of models that are ranked No. 1 in J.D. Power

IQS (Initial Quality Study)
Good Design Award
Vehicle sales (worldwide, consolidated)
Vehicle sales (Japan, consolidated)
No. of Welcabs sold (Japan)
Market share of Welcab (Japan)
No. of Welcab models (Japan)
No. of calls to customer call centers (Japan)
Call response rate at customer call centers (Japan)
Enriching lives of
communities
Contributing to the realization of

a mobility society that links people
with products and services
(cooperation with communities and

infrastructure)
Initiatives for establishing a

low-carbon society
Cumulative HV sales (worldwide)*1
CO2 emissions per unit produced (consolidated basis*2)
17
4
Prius
Passo, Etios
Ractis, Prius ,
FJ Cruiser
Thousand
vehicles
7,237
7,308
7,352
15,580
14,849
15,887
70.8
67.6
68.5
Models
30
28
30
Thousand calls
400
401
397
1,600
89.0
8,570
2,100
Male
No. of new employees
Male
26.9
35.9
33.6
31.8
69,961
69,178
68,961
62,928
62,109
61,543
7,033
7,069
7,418
37.6
37.8
38.1
38.5
38.6
38.9
30
30.6
31.5
16.6
16.8
17.0
17.4
17.5
17.8
9.7
10.3
10.5
1,150
1,040
1,103
1,036
909
999
114
131
104
Administrative
109
107
93
Male
85
74
69
Female
24
33
24
407
389
460
Male
394
362
443
Female
13
27
17
690
629
550
Male
610
553
487
Female
80
76
63
1,053
942
798
Persons
95.0
Shop floor
2,580
Index with
1997 = 1 base value
1.35
1.34
1.44
Ratio of employees who feel their own growth (unconsolidated)
70.0
70.6
72.6
Thousand
vehicles
530
691
629
Ratio of employees who feel pride and loyalty (unconsolidated)*4
83.2
72.3
78.1
2,255
2,945
3,574
Ratio of employees who feel their jobs are rewarding (unconsolidated)*4
71.7
76.6
68.3
66.7
71.2
64.4
18,950.9
18,993.6
18,583.6
Japan
11,220.3
10,986.2
11,167.3
5,670.5
5,429.1
4,751.8
Million
tons
14
19
26
7.08
7.18
7.22
Tons/vehicle
0.84
0.85
0.83
Ratio of employees satisfied with company life (unconsolidated)
*4
Financial information
(Consolidated)
Net revenues
0.279
0.264
0.268
Thousand tons
43.4
39.4
36.0
Europe
2,147.0
1,981.4
1,993.9
kg/vehicle
16.5
15.8
14.1
Asia
2,655.4
3,374.6
3,334.2
26.9
Central and South America/Oceania/Africa
1,673.8
1,809.1
1,760.1
147.5 (0.8)
468.2 (2.5)
355.6 (1.9)
Toyota waste volume (volume per unit)
ASR
Vehicle recycling/recovery rate in Japan
Million m
28.1
3.6
3.7
3.5
81
85
93
94
94
94
97
97
99
6.7
4.5
4.0
93.3
95.1
95.5
29.3
27.8
27.0
U-LEVs produced that meet 2005 low emissions vehicle standards

SU-LEVs produced that meet 2005 low emissions vehicle standards
27.3
VOC emissions/m2 in Toyota body painting processes

(average for all production lines)
Operating income (Operating income ratio: %)
Total assets
Social contribution
Total expenses for social contribution activities (consolidated basis*2) Billion yen
12.1
13.9
14.4
Net assets
28,000
33,500
26,000
ROE
No. of visitors
Toyota Environmental Activities Grant Programs
No. of programs
(cumulative)
No. of parts suppliers (worldwide total)

No. of parts suppliers (overseas total)
Companies
No. of dealers (worldwide total excluding Japan)

No. of countries sold to
8,131
8,247
8,485
Countries
170
173
176
5
54.0
Ratio of non-Japanese CEOs/COOs in major overseas subsidiaries
Female
29,818.1
30,650.9
10,930.4
10,920.0
11,066.4
2.1
3.9
2.7
Yen
45
50
50
579.0
642.3
706.7
725.3
730.3
779.8
6,809
7,169
7,435
15
15
15
11
11
11
25
24
23
North America
29
30
31
32
32
32
106
106
111
87
95
111
(14)
(82)
2,519
Dealerships
Persons
30,349.2
2,401
No. of employees using the flexible working hours system

(unconsolidated)
Male
10,550.2
2,375
52.1
Female
10,332.3
214
2,056
Male
283.5
10,359.7
193
1,056
Persons
160.1
408.1
175
1,022
No. of employees taking childcare leave (unconsolidated)
108.8
115.5
209.4
Capital expenditures
1,975
256.7
1,226
Employment ratio of people with disabilities (unconsolidated)

Figures in brackets include Loops*3
Employment of people with disabilities (unconsolidated)
Figures in brackets include Loops*3
313.0
10,447
1,029
203.6
1,054
49.7
Project manager or higher
17.7
Asia
11,926
Assistant manager or higher
13.1
1,546
Persons
Ratio of female managers

(unconsolidated)
-33.0
11,420
Ratio of local employees comprising management at overseas affiliates
No. of foreign executives at Toyota Motor Corporation
186.4
Europe
Dividend per share
1,943
No. of non-Japanese parts suppliers
-207.0
339.5
Shareholders equity
No. of visitors to the Forest of Toyota
-362.4
85.4
No. of Why/What Lecture participants
-225.2
North America
Net income
No. of violations of environmental laws and regulations (unconsolidated) No. of violations

No. of Toyota Community Concert participants
R&D expenses
Vehicle production
Global Expansion
No. of plants and Japan

manufacturing
North America
companies
Europe
Asia and the Middle East
No. of
distributors
Europe
41
52
46
1.97
2.23
2.44
Asia and the Middle East
0.6
0.7
0.7
1.877
1.986 (2.067)
1.952 (2.045)
970
995 (1,039)
1,021 (1,075)
359
403
419
21
20
354
382
399
509
593
748
11
24
500
582
724
Billion yen
Japan
Environmental management
Employees
25.2
Female
Engineer
9,310
0.06
24.7
Million tons
Airbag
Mutually beneficial relationships

with dealers/distributors and
suppliers
Years
Female
2,071
Vehicles
82.9
Average service years
FY2011
0.09
Toyota CO2 emissions in logistics
Recycling/recovery rate
Water consumption per vehicle sold (vehicle assembly plants) m3/vehicle

(consolidated basis*2)
60
Female
FY2010
0.10
Toyota waste volume

Water consumption (vehicle assembly plants) (consolidated basis )
Stable base of
business
Years old
FY2009
North America
*2
Initiatives for environmental

protection and establishing a
society in harmony with nature
1,913
Male
2,162
Female
No. of re-employed retirees
*1
Total CO2 emissions (from energy sources) (consolidated basis*2)
Persons
Average age
7,590
Global average fuel efficiency (Japan, US, Europe)

Annual HV Sales (worldwide)
Male
FY2011
10
Thousand
vehicles
No. of vehicles registered

as G-BOOK users
(Japan, cumulative)
FY2010
Models
No. of shipped vehicles

fitted with VICS (cumulative)
No. of vehicles with units

capable of providing and
gathering traffic information
Cumulative CO2 reduction with HV (worldwide; number for

FY2011 includes April 2012)
Initiatives for establishing a

a recycling-based society
No. of full-time employees
Data List (fiscal year-end)
Always better cars
Excessive BMI rate (unconsolidated)
CSR activity results for the past three years are listed in the table below.
Area
Unit
Frequency rate of lost workday cases (unconsolidated)
*2
*3
*4
Billion yen
Thousand units
Plants and
manufacturing
companies
Distributors
Governance
No. of consultations made to the Compliance Hotline (unconsolidated) Consultations
CSR evaluation
FTSE4Good Index (listed)

Global 100 Most Sustainable Corporations in the World (listed)
*1
Billion yen
(ranking)
(21)
No. of hybrid vehicles sold is number of vehicles sold each year, not each fiscal year.
Toyota and consolidated subsidiaries in Japan and overseas (consolidated base differs by item)
No. of people with disabilities employed and their employment ratio are as of June each year.
The employee satisfaction survey is conducted every second year on administrative/engineering and shop floor employees.
Results for shop floor employees are from surveys conducted in 2009 and 2011, and those for administrative/engineering employees from the 2010 survey.
61
ISO26000 Comparison
Third-party Opinion
Eiichiro Adachi
Toyota participated in the developing of international standards regarding CSRISO26000: Guidance on social responsibilitysince its review
stage as a member of the Japan committee representing the business sector.
We organized specific actions described in the report according to seven core subjects stated in the standards and made the ISO26000
Comparison for your reference. We hope this will make the report more useful and easier for readers to understand.
Toyota works continually to enhance its CSR initiatives. Thank you for your understanding.
Core Subjects and Issues in ISO26000

Organizational Governance
1
Organizational governance
Due diligence
Human rights risk situations
Avoidance of complicity
Resolving grievances
Discrimination and vulnerable groups
Civil and political rights
Economic, social and cultural rights
Fundamental principles and rights at work
Page
3, 5, 47
CSR POLICY: Contribution towards Sustainable Development
42, 44, 45
Employment and employment relationships
11
Conditions of work and social protection
12
Social dialogue
13
Health and safety at work
14
Human development and training in the workplace
Prevention of pollution
16
Sustainable resource use
17
Climate change mitigation and adaptation
18
Protection of the environment, biodiversity and

restoration of natural habitats
Anti-corruption
20
Responsible political involvement
21
Fair competition
22
Promoting social responsibility in the value chain
23
Respect for property rights
54, 55
51
50, 51
Based on our philosophy of Customer First, we develop and provide innovative, safe and outstanding
high quality products and services that meet a wide variety of customers demands to enrich the lives of
people around the world. (Guiding Principles 3 and 4)
25, 27
29, 30
We will endeavor to protect the personal information of customers and everyone else we are engaged in
business with, in accordance with the letter and spirit of each country's privacy laws. (Guiding Principles 1)
24, 28
Employees
We respect our employees and believe that the success of our business is led by each individuals creativity
and good teamwork. We stimulate personal growth for our employees. (Guiding Principles 5)
14
We support equal employment opportunities, diversity and inclusion for our employees and do not
discriminate against them. (Guiding Principles 5)
5, 6, 10
We strive to provide fair working conditions and to maintain a safe and healthy working environment for
all our employees. (Guiding Principles 5)
11, 13
We respect and honor the human rights of people involved in our business and, in particular, do not use
or tolerate any form of forced or child labor. (Guiding Principles 5)
3, 4, 9
Through communication and dialogue with our employees, we build and share the value Mutual Trust
and Mutual Responsibility and work together for the success of our employees and the company. We
recognize our employees' right to freely associate, or not to associate, in compliance with the laws of
the countries in which we operate. (Guiding Principles 5)
5, 7
8, 12
Management of each company takes a leadership role in fostering a corporate culture and implementing
policies, that promote ethical behavior. (Guiding Principles 1 and 5)
19, 20
51, 56
52
48, 49, 53
2631
57
40, 41
42, 57
Consumer Issues
24
Fair marketing, factual and unbiased information

and fair contractual practices
25
Protecting consumers health and safety
26
Sustainable consumption
27
Consumer service, support, and complaint and

dispute resolution
28
Consumer data protection and privacy
29
Access to essential services
30
Education and awareness
40, 41
12, 13
14, 15
16, 17
Business Partners
We respect our business partners such as suppliers and dealers and work with them through long-term
relationships to realize mutual growth based on mutual trust. (Guiding Principles 7)
21
Whenever we seek a new business partner, we are open to any and all candidates, regardless of nationality
or size, and evaluate them based on their overall strengths. (Guiding Principles 7)
37
We maintain fair and free competition in accordance with the letter and spirit of each countrys competition
laws. (Guiding Principles 1 and 7)
21
Shareholders
We strive to enhance corporate value while achieving a stable and long-term growth for the benefit of our
shareholders. (Guiding Principles 6)
We provide our shareholders and investors with timely and fair disclosure of our operating results and
financial condition. (Guiding Principles 1 and 6)
62
Community involvement
32
Environment
We aim for growth that is in harmony with the environment by seeking to minimize the
environmental impact of our business operations, such as by working to reduce the effect
of our vehicles and operations on climate change and biodiversity. We strive to develop,
establish and promote technologies enabling the environment and economy to coexist
harmoniously, and to build close and cooperative relationships with a wide spectrum of
individuals and organizations involved in environmental preservation. (Guiding Principles 3)
15, 16
17, 18
Community
We implement our philosophy of respect for people by honoring the culture, customs,
history and laws of each country. (Guiding Principles 2)
2, 7, 8
We constantly search for safer, cleaner and superior technology that satisfy the evolving
needs of society for sustainable mobility. (Guiding Principles 3 and 4)
26, 34
We do not tolerate bribery of or by any business partner, government agency or public

authority and maintain honest and fair relationships with government agencies and public
authorities. (Guiding Principles 1)
19, 20
Wherever we do business, we actively promote and engage, both individually and with
partners, in social contribution activities that help strengthen communities and contribute
to the enrichment of society. (Guiding Principles 2)
31, 32
33, 35
36, 37
25, 36
Education and culture
33
Employment creation and skills development
34
Technology development and access
35
Wealth and income creation
36
Health
37
Social investment
3439, 43
37, 38
10, 11
32, 33, 59
38
1825
I have been granted the opportunity to read through Toyota

Motor Corporations Sustainability Report for the second year
in a row. The presidents message at the beginning says that,
I believe the new cars we launched in the fiscal year 2011
show the direction we are headed in. I have similarly noticed a
number of changes to the information disclosure in this report.
The Toyota Global Vision formulated in March 2011 included
the heading, Rewarded with a smile by exceeding your expectations. In my Third-party Opinion last year, I highlighted the
fact that Toyota has declared reference points for its corporate
conduct to include not just the law, its corporate philosophy,
internal rules, and industry customsbut also, its stakeholders
expectations. This time, as a reader of the new report, my
greatest interest was to find out the extent to which this focus on
stakeholders expectations has been put into practice.
The first thing that stands out is the CSR Achievement Data
on pages 60 to 61. In the report it is stated that, Based on the
KPI Strategic Focuswhich were newly-established after
a process extending over two yearsour CSR activities have
been further enhanced from FY2012. I feel that Toyotas bold
decision to formulate and disclose these KPI Strategic Focus
represents a breakthrough. I think there is room here to expand
on that subject and I hope that, going forward, Toyota will
continue to use the KPI Strategic Focus in its management.
Next, the many specific matters raised in the sections
titled VOICE from people within and outside Toyota have
greatly changed my impressions. Also, I feel that the examples
presented of initiatives taken overseas have increased dramatically. Furthermore, I have noticed a basic recognition of the
need to raise awareness of the environment and to minimize
the problems of traffic accidents and congestion, which are
issues that are raised by stakeholders from time to time. In the
future, I would like the specific examples featured in the VOICE
sections to include matters that may not necessarily be sweet

music to the Toyota Group, together with the communication of
measures to be introduced for dealing with them.
Thirdly, I feel that there is also clearer transmission of
information about the Toyota Group in this report, as seen in the
article The smart grid envisioned by Toyota! Going forward,
I would like Toyota to expand in a similar way regarding its
messaging for always better cars, safer vehicles and a rich
life in an aging society.
Fourthly, I have noticed that the matter of respect for
human rights has been dealt with as a separate issue. These
days, while concern about human rights violations has become
central within global policies, it is also a matter that should be
considered among people affected by business activities, such
as customers. As the Toyota Group's business has expanded
to more than 150 countries with over 300,000 employees
worldwide, in the future I would like to see further measures
to protect human rights, based on the contents of the United
Nations Guiding Principles for Business and Human Rights.
In my Third-party Opinion in last years report, I proposed
that there should be stronger messages and reporting on topics
that form the core of the Toyota Groups CSR and I have noticed
the messages and feature articles contained in this report
have succeeded in providing a greater variety of information
disclosure.
I think that changes in the information disclosure in this
report show a trend towards greater depth in the discussion of
global CSR, and are also consistent with the aims of Toyotas
new Global Vision. I am looking forward to reading a report next
year that will also exceed expectations.
Response to the Third-party Opinion
Global Society/Local Communities
Community Involvement and Development

31
1
2
4
22
23
24
Customers
Fair Operating Practices

19
Adachi is responsible for providing financial institutions with corporate information for
socially responsible investment (SRI). He specializes in industrial research and corporate
assessment from the viewpoints of environmental management and CSR.
ISO26000
Ref. No.
57
The Environment
15
We, TOYOTA MOTOR CORPORATION and our subsidiaries, take initiative to contribute to harmonious and
sustainable development of society and the earth through all business activities that we carry out in each
country and region, based on our Guiding Principles. We comply with local, national and international
laws and regulations as well as the spirit thereof and we conduct our business operations with honesty
and integrity. In order to contribute to sustainable development, we believe that management interacting
with its stakeholders as described below is of considerable importance, and we will endeavor to build and
maintain sound relationships with our stakeholders through open and fair communication. We expect our
business partners to support this initiative and act in accordance with it.
Currently the head of JRIs ESG Research Center, he previously served in the Corporate
Strategy Research Department and Technology Research Department in JRI.
From March 2005 until May 2009, he was one of the experts in the Japanese delegation
to the ISO/Social Responsibility Standards (ISO26000) Working Group.
Preamble
Labor Practices
10
Biography
CSR POLICY Comparison
Human Rights
2
Counselor, The Japan Research Institute (JRI)
Social
contribution
Riki Inuzuka
Managing Officer
General Manager
Corporate Planning Div.
Thank you very much for your valuable opinion on the report. The composition of this years
report has been rearranged to reflect the three elements of the Toyota Global Vision. The
report includes Toyotas concepts of these elements and the special features and initiatives
which show them in concrete form. The contents also reflect Toyotas consciousness of the
impact that we have on the society around us.
Next year, with your opinion as a reference, and after gaining further understanding of our
stakeholders expectations, we would like to expand the reporting in relation to KPI Strategic
Focus management and communication within and outside the company. In addition, we will
push ahead with our management based on the Toyota Global Vision, with the aim of becoming
a company that exceeds expectations from society.
63

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Sustainability Report 2012

Toyota has participated in activities of the WBCSD (World Business Council

Toyota is a supporter of Education for Sustainable Development (ESD).

Published by Corporate Planning Div., Toyota Motor Corporation

Web version URL

Sustainability Report 2012

Message from the President

Toyota Global Vision

Disclosure of CSR Information

Toyotas CSR Initiatives

0607 Special Feature

Always Better Cars

Sustainability Report 2012 Full Version (Website)

Aqua from Tohoku

1011 Special Feature

Sustainability Report 2012

(15 countries and regions)

(Printed version and website)

Sustainability Report 2012

Initiatives for Improving Traffic Safety

Initiatives to Improve Quality

To Be Rewarded with the Smiles

(Printed version and website)

Always Better Cars

Enriching Lives of Communities

Enriching Lives of Communities

Contributing to the Realization

2023 Special Feature

A Linked Mobility Society

Contribution to the Environment

Overseas affiliates reports

Stable Base of Business

Mutually Beneficial Relationships with

Respect for Human Rights

Stable Base of Business

4849 Special Feature

CSR Achievement Data

Toyota Global Vision

By delivering always better cars to customers

Backdrop and Progress

Rewarded with a Smile

In the backdrop of this vision, there is our fall

Sustainability Report 2012

Toyota Visionary Management

Always better cars

Enriching lives of communities

Trunk Stable base of business

The Toyoda Precepts

Toyotas CSR Initiatives

Positioning of the CSR Policy

Guiding Principles at Toyota

Toyota Way 2001

Sustainabilit y Repor t 2012

The Toyota Code of Conduct

CSR Policy: Contribution towards Sustainable Development

The CSR Department is responsible for drafting CSR policies,

Secretariat: CSR Department,

KPI to Realize the Global Vision for Those We Serve

Need for disclosure varies according to country and region. It would be

Global Vision for Those We Serve

For more details, please refer to the following web page.

Toyotas CSR Structure

* Toyota Stakeholder Dialogue

Toyota has been promoting educational opportunities to enable