Value chain of Toyota (porter)

1. Primary activities

Inbound logistics
Receiving, storing, and disseminating inputs. E.g., warehousing, inventory

- toyota in obtaining raw materials, they do not process their own, or

create your own, they use a third party, they handed the small parts,
such as leather seats, steering wheel, tire, to local companies, but to the
nature of strategic importance, like a machine, they import from Japan
(center), it's all to maintain the quality standard that was created toyota,

- Toyota put on the assembly system in the process, it has led to toyota
raw material supply for its assembly,, need a place to store supplies, or
warehouse, to avoid piling up too many assets, Toyota to forecast
demand,
Operations
Transforming inputs into the final product form, in assembly and manufacturing
(its production) Toyoto use various systems to be efficient and effective, we
could also call it, TPS is the Toyota Production System, the following
explanation,

The concept of Lean Thinking from Toyota Production System. So, if you want to
apply it, it must know what the Toyota Production System.
As the picture above, the concept of the Toyota Production System can be
described as a complete building which consists of various components are
integrated. The building was also called a The House of Toyota.

The roof is the result of the efforts below. The results were the best quality,
lowest cost, shortest time, by eliminating the things that are not value-added
(waste) whether it be time or activity.

- The left pole is Just in Time (JIT), which produces something that
prompted a number of necessary and when required by the consumer.

JIT supporting components:

1. Takt Time: The maximum time allowed customers to produce a

single product in order to meet customer demand.

2. One piece flow: Producing and moving one item at a time (or a
small and consistent) through a series of process steps as far as
possible uninterrupted, with every step of the process only
makes what is required by the process berikutny.
 3. Pull system: the work of raw material is pulled into the
workplace only if needed. Opponents of the system is push-pull
system, which encourages the work of raw materials to the
workplace regardless of whether in the workplace are available
resources to do

- Jidoka means “automation with a human touch”

1. Jidoka, in the production context means not allowing defective parts

to go from one work station to the next. It specifically refers to
machines or the production line itself being able to stop
automatically in abnormal conditions (for example, when a machine
breaks down or when defective parts are produced). This
Automation allows machines to run autonomously, as they will stop
when a problem occurs.

2. Jidoka is also used when individual people encounter a problem at

their work station. They are responsible for correcting the problem -
if they cannot, they should stop the line rather than let the defective
part do.

- The base is the Operational Stability. Section on it will not

function properly if the bottom is not working. The base consists
of:

1. Heijunka: smoothing. Meaning: wherever possible evenly

distributed workload made at any time. Without this, Just in time
can not be applied, because it will happen stacking and queuing at
peak load.
2. Standard work: At each stage of the work there is a clear indication
of the order and how to do the job.
3. Total Productive Maintenance (TPM): a comprehensive equipment
maintenance process so that the tools are always in good condition
to wear to work.
4. Value Chain: It is a series of value-added processes. There are
continuous efforts to reduce "non-value added waste" so that what
remains is just something that has added value in the production
process. Discussion of "non-value added waste" includes the
activities of 5S
- Outbound Logistics
Collecting, storing and distributing the product to buyers

output of the production process at the plant, is the finished product,, a

car, the car is directly sent to the toyota dealer,, it's for local, or a region
(not crossing the sea in distribusianya, if sending more distant or
export,, its delivery using container.

- Marketing and Sales

Providing a means and incentive which allow buyers to purchase
the product

1. Application of Indirect Channels Distrubusi TOYOTA CORPORATE

Toyota Motor Company was founded in 1937 by the Toyoda family.
Business was relatively successful until Eiji Toyoda introduce lean
production methods after studying Ford's Rouge plant in Detroit in
1950. Lean production methods became known as the Toyota
Production System.

In the application of the Toyota Company or its product distribution

channels to use indirect distribution networks which use the
Company Toyota dealer or distributor.

2. PT. Toyota Motor Manufacturing Indonesia

Headquarters
Jl. Yos Sudarso, Sunter II, Jakarta 14330, Phone: (021) 6515551

established
April 2, 1971

shareholder
Toyota Motor Corporation (95%)
PT. Astra International Tbk (5%)

Production Facilities
Sunter area: Casting Plant, Stamping Plant
Engine Plant, Assembly Plant
Falkirk Plant: Stamping Plant, Assembly Plant.
Service
Providing service to enhance or maintain the value of the product

Toyota managed to outperform its competitors from the automotive industry in

customer satisfaction. This is demonstrated by the results of a survey conducted
by JD Power Asia Pacific to its customers in Indonesia

The Best Total Ownership Experience 'is a principle that is always carried by
Toyota at each line, starting from the central office to the Toyota dealership on
every spread in Indonesia. Their concept is the customer number one, so that
makes them always trying to meet customer needs and continuously improve
services.

J.D. Power in the survey parameters set 6 pieces, among others: the quality of
service, type of problem, the service is user friendly, service advisor, service
initiation, service delivery and in-service experience

Toyota recorded occupies the top position with 764 points, 757 points, followed
by Nissan, Honda and Hyundai as well as 755 points. Overall average score is
758, making the Toyota as the only company that is above average.

Three main points

. The service is reliable, is one of the main factors

. Reliable Service Every car owner must want to stay fast and reliable service
. People Qualified workforce, is one of Toyota's superior

In essence, what makes Toyota excels is consistency in upholding the principle of

'The Best Total Ownership Experience "that makes customers get the best from
their early experiences have a product until a satisfactory after-sales service. The
combination of devices, services and skilled workforce makes the Toyota excels
in customer satisfaction auto industry.
2. Support Activities
Firm infrastructure

- infrastructure owned by Toyota factory is very modern and

sophisticated, is a robotic system with humans as the operator,, all the
production support until the sale is available with either situation, the
factory to the dealer,,
-
HUMAN RESOURCE MANAGEMENT

Toyota to this day has approximately 300,000 employees worldwide, and nearly
a third are in Indonesia, in penenmpattanya or acceptance of an employee, the
company held a test salalu continued with the training, according to its
disciplines and expertise,

TECHNOLOGY DEVELOPMENT OF TOYOTA

Torrance (DP) - As one of the world's largest manufacturers, Toyota is very

concerned with the safety of its customers. That is why Toyota did not stop
doing research and development of safety technology.

Currently, Toyota has several safety technologies being developed. In fact,

Toyota, now, focus on developing technologies that protect older drivers and
pedestrians.

It is responding to accident statistics in Japan, where more than half the deaths
on the road are people aged over 65 years and pedestrians.

Build safer cars into the center of Toyota's global vision. Learning from data in
the real world, Toyota continues to improve testing, products and services, by
establishing a Collaborative Safety Research Center in the USA.

Collaborative Safety Research Center in collaboration with a number of North

American universities, hospitals, and research organizations.
Here are four technology from Toyota:

. Pre-Crash Safety (PCS) with collision-avoidance assists

PCS became an important element in the work of Toyota to develop cars that
can avoid collisions. Currently the system can predict when a collision will occur
and trigger action to reduce damage and injury risk

. Pop-up Bonnet
Toyota has developed the design of car body structures in such a way as to
reduce the risk of injury to pedestrians and other road users. In Toyota
developed using data obtained from conventional dolls and THUMS (Total
Human Model for Safety).

. Adaptive Driving Beam

Two years ago Toyota introduced the function of automatic headlights
(automatic high beam) in some cars. This feature allows the headlights is
reduced when an attached camera that detects taillights or headlights in front of
the car from the opposite direction. The main headlights bounce back when the
road ahead is clear.

. Emergency response technology

Finally, Toyota has developed a technology that monitors the cardio-vascular
function through the driver to grip the steering wheel and risk detection.
Procurement

At Toyota Industries Corporation our procurement activities are based on fair

business practices in order to realize amicable relationships and mutual benefit.

Toyota Industries Corporation is involved in a wide range of business fields and

procures the parts, materials, and equipment for these many different
businesses from suppliers all over the world. Along with requiring our suppliers
to provide quality items at a low price and in a timely manner, we cooperate
with them to promote environmental preservation and meet the other demands
of society. In addition we take a long term view toward our relationships with
suppliers with an aim to realize an amicable relationship of mutual benefit based
on fair business practices.