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The Future of Toyota Welcome to The Shingo Prize’s 2010 Annual Meeting Landie Viljoen (Steve St. Angelo, Toyota Chief Quality Officer for North America) 2010 Toyota Recall November 16, 2010
Overview
Background
What went wrong? November 2009 3.8 Million Cars Recalled December 2010 2.3 Million Cars Recalled
Damaged Reputation “Toyota ‘consistently dismissed’ the possibility that electronic flaws caused unintended acceleration.” SALES CREDIBILITY REPUTATION
What caused the problem?
The Solution A renewed reputation of a superior production system and dependable cars

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The future of toyota

  • 1. The Future of Toyota Welcome to The Shingo Prize’s 2010 Annual Meeting Landie Viljoen (Steve St. Angelo, Toyota Chief Quality Officer for North America) 2010 Toyota Recall November 16, 2010
  • 4. What went wrong? November 2009 3.8 Million Cars Recalled December 2010 2.3 Million Cars Recalled
  • 5. Damaged Reputation “Toyota ‘consistently dismissed’ the possibility that electronic flaws caused unintended acceleration.” SALES CREDIBILITY REPUTATION
  • 6. What caused the problem?
  • 7. The Solution A renewed reputation of a superior production system and dependable cars

Editor's Notes

  1. The Shingo Prize- a renowned international organization that promotes operational excellence in manufacturing and other industriesWelcome. Talk about the future of Toyota.
  2. In 2000, Toyota announced that it wanted to be the largest automobile manufacturer in the world and would do so by owning 15% of the automobile industry. From there, Toyota experienced exponential growth, greatly increasing it’s presence within the market.
  3. 9 million Toyotas recalled since last November, producing more flawed cars than in the past.There was a spike in the number of unintended-acceleration incidents in some Toyota vehicles in 2002. That was followed by the first of several investigations and recalls in 2005 and 2007. The number of accidents accumulated, and last November the company had to take back nearly 3.8 million US vehicles to address the recall (the biggest recall ever). The problem was initially blamed on a floor mat or vehicle trim that, if it came loose, could jam the accelerator pedal. Toyota thought that modifying the floor mats would fix the problem, but it didn’t. Toyota refused the idea that there was an actual mechanical problem with the floor mats. Before long, Toyota had a second recall in January where it recalled 2.3 million vehicles.Normally recalls are rare.
  4. Toyota’s reputation was ruined.
  5. Unprepared for the growth- didn’t have way of quality control, they had let go of all of their employees whose main responsibility was to ensure the quality of their productOld-fashioned senior management team that believed that since Toyota has been so profitable for years, they know what they’re doing and there’s no need to change anything & paid little attention to what was going on in their factoriesShattered reputation of Toyota due to the massive recall