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Global Automotive Industry & TOYOTA - SCM
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Global Automotive Industry
Global Automotive Industry
Global Automotive Industry
Global Automotive Industry
Global Automotive Industry ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Beer Game Rules ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Beer Game Rules ,[object Object],[object Object],[object Object],[object Object],[object Object],? R 8 W 8 D 8 F 8 4 4 4 4 4 4 T T T T T T ? ? ? ? ? orders orders orders Cases of Beer Information / Orders 4 4 Beer Production Demand ? ? Orders 4 ?
The Beer Game Rules ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Beer Game Rules ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
TOYOTA
Vision & Philosophy
Vision & Philosophy
Guiding Principles ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Five Main Principles of Toyoda ,[object Object],[object Object],[object Object],[object Object],[object Object]
Vision & Philosophy
CSR Policy: Contribution towards sustainable Development ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Vision & Philosophy
3 Sustainable Concepts
Vision & Philosophy
TPS - T oyota  P roduction  S ystem -Quality must be built in during the manufacturing process!- If a defective part or equipment malfunction is discovered, the machine concerned automatically stops, and operators stop work and correct the problem. For the Just-in-Time system to function, all of the parts that are made and supplied must meet predetermined quality standards. This is achieved through jidoka. Making only "what is needed, when it is needed, and in the amount needed!" Producing quality products efficiently through the complete elimination of waste, inconsistencies, and unreasonable requirements on the production line. In order to deliver a vehicle ordered by a customer as quickly as possible, the vehicle is efficiently built within the shortest possible period by adhering to the following:
Jidoka Jidoka means that a machine safely stops when the normal processing is completed. It also means that, should a quality or equipment problem arise, the machine detects the problem on its own and stop, preventing defective products from being produced. As a result, only products satisfying the quality standards will be passed on to the next processes on the production line.  Since a machine automatically stops when processing is completed or when a problem arises and is communicated via the  "andon (problem display board),"  operators can confidently continue performing work at another machine, as well as easily identify the problem cause and prevent its recurrence. This means that each operator can be in charge of many machines, resulting in higher productivity, while the continuous improvements lead to greater processing capacity.
Jidoka
J ust- I n- T ime ,[object Object],[object Object],[object Object],[object Object]
JIT – Kanban System
Four Rules of TPS
TPS
Toyota Production System
The Three TPS Pioneers Built-In-Quality Sakichi Toyoda Just-in-Time Kiichiro Toyoda Pull Systems Taiichi Ohno
Comments – Kiichiro Toyoda ,[object Object],[object Object],[object Object]
Comments – Taiichi Ohno ,[object Object],[object Object]
Hard Times Led to TPS Don’t manufacture defective parts.  Get rid of them on the spot. ,[object Object],[object Object],[object Object],[object Object],[object Object],Don’t buy any unnecessary materials and don’t deliver them.  Don’t produce products  without any order.  Sell  products as soon as production is completed Non-Debt Management ,[object Object],[object Object],Toyota Production System
Hard Times led to TPS ,[object Object],[object Object],[object Object],[object Object]
Product Order Information
Timely Production
Replacement of Parts Used
Production of Parts Retrieved
JIT http://www2.toyota.co.jp/en/vision/production_system/video.html
Vision & Philosophy
Globalizing & Localizing Manufacturing ,[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Introduction ,[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Toyota Learning Principles and the v4L framework ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
v4L Principles ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Comprehensive Overview of Supply Chain ,[object Object],[object Object],[object Object],[object Object]
Comprehensive Overview of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Comprehensive Overview of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Comprehensive Overview of Supply Chain ,[object Object]
Comprehensive View of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Mix Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Mix Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Mix Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Mix Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Mix Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Mix Planning – Sample Exercise
Mix Planning – Sample Exercise
Mix Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Comprehensive View of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sales And Operation Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sales and Operation Planning Mix Planning SNOP Production Scheduling
Sales and Operation Planning ,[object Object],Regional offices Toyota Dealer Monthly  Allocation  Process Monthly  Vehicle Order Production  Plan Top Down Approach OEMs Dealer Monthly  Vehicle Order/Sales Bottom Up Approach Sales Office
Sales and Operation Planning SNOP Annual Planning Monthly Order Internal Capacity Planning Supplier Capacity Planning Production Planning Process Global/Regional Allocation Final Sales Order Preparation
Sales and Operation Planning ,[object Object],[object Object],[object Object],Annual Planning Monthly Ordering ,[object Object],[object Object],[object Object]
Annual Planning Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],PUSH-PULL Momentum
Annual Planning Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Monthly Order Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sales and Operation Planning Stock Dealer Stock Pipeline Stock In-Transit Sk (or Plant Sk) ‏ Allocated Stock (To be Produced) ‏
Production Calendar
Mix Planning to SNOP Transformation - Exercise
Mix Planning to SNOP Transformation - Exercise
Reflection Points ,[object Object],[object Object],[object Object],[object Object],[object Object],How Does Toyota's S&OP Compare to Yours?
Comprehensive View of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Production Scheduling ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Understanding of Assembly Plant Operations
Production Scheduling ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Production Scheduling ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Why is Heijunka Important? To Ensure that its own assembly plants are operating in an  efficient & effective manner while at the same time extending  stability throughout the supply chain Cost of Sales = Total Cost of  Operating the Supply Chain, not  just Toyota Internal Production costs. EXAMPLE-Supplier to Dealer Example of How Heijunka can positively impact all elements of Supply Chain (Suppliers, IL, Assy Opns, OL, Dealers) Used to create a smooth flow of parts from supplier to plant & smooth flow of vehicles from plant to dealers
Production Scheduling ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Production Scheduling ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Why is Production Sequence Important? Becoz the assembly plant operations need to be well balanced to ensure that there are no bottlenecks within the production process or overburden on selected teams. Guarantee Smooth Operations thruout the assembly process.  To estimate the Line-off Time of each vehicle to be used by Sales to calculate the ETA,  to Dealers to Customers Also, to estimate to time of Part Ordering & Shipping from the Supplier so that Parts reach JIT at Workstation.
Production Scheduling ,[object Object],[object Object],[object Object]
Sample Production Plan
Sample Production Plan
Sample Production Plan
Reflection Points ,[object Object],[object Object],[object Object],[object Object],[object Object],How Does Toyota's Scheduling Process Compare to  Yours?  Heijunka Run Production Schedule Vs  MPS, FAS & MRP Run Production Schedule.
Comprehensive View of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Parts Ordering ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Parts Ordering ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Parts Ordering ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Parts Ordering ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Parts Ordering ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Plan Vs Adjustment Exercise
Rundown Exercise
Reflection Points ,[object Object],[object Object],[object Object],[object Object]
Comprehensive View of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Suppliers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Comprehensive View of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Logistics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Logistics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
S1 S2 S3 C1 S3 S4 S5 C2 Cross Dock  CD 1 Cross Dock  CD 2 Plant  P1 Plant  P2 T1 T3 T4 T6 T5 Full Containers Empty Containers Parts Order & Schedule- Heijunka Pick-Up Schedule- Heijunka T2 Logistics Network
Logistics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Logistics ,[object Object],[object Object],[object Object],[object Object],Plant  Supplier EDI Order & Kanban Bar code label Advanced Shipping Notice ASN no. T1 Scan Kanban CD T2 Scan Kanban
Logistics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Outbound Logistics ,[object Object],[object Object],[object Object],Vehicle Distribution
Marshaling Yard Operations ,[object Object],Weekly Forecast “ Bi” & “Tri” Level Coaches
Marshalling Yard Flow ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Key Point:  a) Vehicle Design has a negative or positive impact on the supply chain operations and costs    “Bi” or “Tri” Selection b) Logistics Mangers are imperative to consider the impact on downstream operations when they are establishing or modifying processes
Logistics ,[object Object],[object Object],[object Object],[object Object],[object Object]
Comprehensive View of Supply Chain ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Dealer and Demand Fulfillment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Dealer and Demand Fulfillment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Dealer and Demand Fulfillment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Dealer and Demand Fulfillment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Dealer and Demand Fulfillment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Dealer and Demand Fulfillment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Dealer and Demand Fulfillment ,[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Planning Processes ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Planning Processes ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Beer Game – Toyota Method ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Appendix ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],THANK YOU

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