Toyota Motor Corporation has several core competencies that have made it a leader in the automotive industry, including providing high quality vehicles at low prices through innovative production practices like its Toyota Production System. This system, which includes Just-in-Time production and continuous improvement techniques, gives Toyota a distinctive competency and is difficult for competitors to imitate. An analysis of Toyota's strengths, weaknesses, opportunities, and threats found its main strengths are its strong market position and focus on research and development, though it faces threats from intense competition and changing currency exchange rates.

1. Benchmarking
- A Case Study of Toyota
Motor Corporation
Rajkumar Kansagra FP17005
Presented By,

2. Core Competency
▰ Great Quality at Best Price
▰ Value for Money
▰ Innovative Production Practices
▰ Cost Leadership Strategy

3. Distinctive Competency
▰ Toyota Production System
▰ Includes Just in Time, Kaizen & 6σ
▰ One of a Kind in the Industry
▰ Brand Name and Market Leader
Position

4. SWOT Analysis
Strength
▰ Strong Market Position
▰ Strong Focus on R&D
▰ Extensive Production & Distribution
Network
Threat
▰ Intense Competition
▰ Appreciating Japanese Yen a major
concern
▰ Natural Disasters
Weakness
▰ Product Recalls
▰ Declining Sales in Key Geographic
Segments
▰ Poor Allocation of Resources
Opportunity
▰ Growing Global Automotive Industry
▰ Growing Partnership with BMW
▰ Strong Outlook for the global new
car segment

5. BCG Matrix
CASH
COW
DOG
QUESTIONSTAR
Relative Market Share
High Low
MarketGrowth
High
Lexus – Luxury Sedans
Prius Hybrid
Land Cruiser SUV
Scion
Camry / Corolla as Hybrids
Alternate Fuel Vehicles
Small Cars
Low
Camry & Corolla Sedans
Innova & Venza – MPV
Daihatsu – Small Cars
Celia
Tundra
Crown, Cressida, Corona,
Quails
Declining European Markets

6. VRIO Framework
▰ Valuable: Yes, because of TPS.
▰ Rare: Yes, apart from Just in Time Toyota
has very rare and unique techniques.
▰ Inimitable: Yes, many companies have tried
but cannot be as efficient as Toyota.
▰ Organization: Yes, using the same system
since 1960’s with first in sector for latest
updating.

7. Percentage of Materials Usage
Materials Prius 1 Prius 3 Insight Avg. Car
Aluminum 11 12 10 10
Plastics 10 11 12 12
Ferrous 62 60 64 62
Other 17 17 14 16
Benchmarking w.r.t. Percentage of
Material Usage

8. Benchmarking w.r.t. Average
Revenue

9. Benchmarking w.r.t. Market
Capatalization

10. References
▰ https://scholar.harvard.edu/files/tnkomo/fil
es/analysis_of_toyota.pdf
▰ http://wardsauto.com/news-
analysis/benchmarking-shows-toyota-
honda-follow-different-paths-hybridization
▰ https://www.marketwatch.com/story/teslas
-market-value-zooms-past-another-car-
maker-2017-06-09

11. Thank You…