2. “According to some economists,
manufacturing is a wealth-producing
sector of an economy, whereas
a service sector tends to be wealth-
consuming sector.”
Agglomeration of industries engaged in
chemical, mechanical, or
physical transformation of materials,
substances,
or components into consumer or industri
al goods.
Definition of Manufacturing Sector
Introduction
Source:www.businessdictionary.com/definition/manufacturing-sector.html
3. Global Manufacturing Sector
World manufacturing
industry and type of
economy:
Capitalist economy
Collectivist economy
Modern economy
• China ranked most competitive
manufacturing nation in the world
• China exports toys, apparel &
electronic products
• Germany is the 2nd & US is 3rd most
competitive in this sector
• India & Brazil moving up to capture
2nd & 3rd slot
• The market in this sector demands
Talent-driven Innovation
• Japan has fallen down to the 10th
position in this field once a leader.
Source: http://www.cimaglobal.com/The-global-manufacturing-sector-current-issues
4. Indian Manufacturing Sector
• According to India Brand
Equity Foundation, India’s
manufacturing sector
contributes about 16% to GDP
• India was ranked the 4th most
competitive manufacturing
nation in Deloitte’s Global
Index for 38 nations
• India`s manufacturing sector
can reach US$ 1 trillion by
2025, as predicted by McKinsey
& Co.
Source: http://www.financialexpress.com/article/fe-columnist/data-drive-global-lessons-for-
indias-manufacturing/13782/
5. Transaction Process System
A transaction process system (TPS) is an information processing
system for business transactions involving the collection, modification
and retrieval of all transaction data. Characteristics of a TPS include
performance, reliability and consistency.
Functional aspects of TPS in Toyota as
• Import management system
• Stores management system
• Sales system
Source: http://www.theguardian.com/business/manufacturing-sector
6. Management Information Systems
MIS is a system which provides information support for
decision making .It provides data and information for
business and strategic planning for middle and top
management level respectively.
MIS in Manufacturing sector
• Production management
• Personnel management
• Financial management
• Material management
• Marketing management
Source: https://www.scribd.com/doc/36841939/MIS-in-Manufacturing-Sector
7. Decision Support System
• A DSS is a computer-
based information
system that supports
business or
organizational decision-
making activities.
• A DSS is a collection of
integrated software
applications and
hardware that form the
backbone of an
organization’s decision
making process and
help to make decisions,
which may be rapidly
changing and not easily
specified in advance.
Source: http://toyotaprojectteam.blogspot.in/p/information-system-used.html
8. Toyota uses Warehouse Management
System as its Decision Support System.
It is used due to the fact that knowledge
generated of it is used in decision
making process.
It primarily aims to:
• Control the movement and storage of
materials within a warehouse.
• Process the associated transactions , including
shipping, receiving, put away and picking.
Toyota Warehouse System combined with the
logistics equipment of Toyota Material Handling
Company, they are able to provide customers
with optimized logistics solutions at their
worksite.
Decision Support System in Toyota
Source: http://toyotaprojectteam.blogspot.in/p/information-system-used.html
9. Knowledge Management System
The knowledge management cycle describes the way in which
knowledge is captured , processed and distributed in an
organization.
Source: http://www.wisegeek.com/what-is-a-knowledge-management-cycle.htm
10. KMS at Boeing
Boeing defines knowledge management as- Disciplined, holistic
approach to use expertise effectively for competitive advantage.
Different knowledge management systems used at Boeing:
• Integrated defense system
• Internal wiki service
• Your Encore
• Initiatives Database
Source: http://blog.jackvinson.com/archives/2007/10/29/boeing_on_knowledge_management.html
11. • Integrated Defense System
• Integrated defense system engineering defines the pilot program
where an organization can use assessment tools to identify needs.
• They take results and use elf help translator to review likely scenarios
they’re facing and suggest solutions
• Internal Wiki Service
• For use by employees only on the
Boeing intranet
• Wikis are online collection of
information input by users
• Easy way to share knowledge and
is readily accessible to all users
• The information can be modified
by any user using their web
browser
Source: http://www.boeing.com/news/frontiers/archive/2007/october/cover.pdf
12. • Your Encore
• Helps to accelerate innovation by leveraging the expertise of retired
engineers and scientists
• They act as consultants to Boeing
• Provide expertise like: key technical support, guidance and independent
analysis, strategic and high level consultations
• Helps Boeing mitigate the potential “brain drain”
• Initiatives Database
• Provides a repository of information
for programs and functions to locate
and replicate best practices
• Senior leaders use to track and
measure their team’s progress
Source: http://www.boeing.com/news/frontiers/archive/2007/october/cover.pdf
13. STRATEGIC INFORMATION SYSTEM
SIS is an information systems used to prepare strategies that
changes the goals, processes or products to help organization
gain competitive advantage.
Two competitive strategies adopted by Dell:
Differentiation as competitive
advantage for DELL
• Dell computers best known
for distribution
• No middle men
• Customers can log on to the
site from anywhere and
provide specifications for
computer hardware they
require.
Wireless Application Protocol
Wireless Application protocol
(WAP) provides speed as a
competitive advantage for
DELL, allows people to react
immediately from virtually any
place in the world
Source: http://www.umsl.edu/~joshik/msis480/chapt09.htm
14. Major Threats faced by Toyota:
• Basic Perimeter Protection
• Scheming Malware & Spam
• Monitoring Website Access
• VPN Connectivity
Solutions:
Toyota looked into a number of security products including Checkpoint in
order to address their business challenges. However, after seeing a trial
demo of Cyberoam by Gladstone Technologies Limited, they felt that
Cyberoam was the apparent choice.
The Business benefits of using Cyberoam are as follows: -
• Access and Application Control
• Malware and Spam Free Internet
• Filtering Solution
• Uninterrupted Business Connectivity.
Source: http://www.cyberoam.com/downloads/CaseStudies/ToyotaCaseStudy.pdf
Competitive Advantage: . The system provides them with the cost and once the order the client accepted the order, it is sent to production where it is assembled. Normally wthin two weeks the machine is delivered to the client.
WAP: Speed or rapid response as a competitive advantage includes providing current products quicker, accelerating new product development or improvement, quickly adjusting production processes and making decisions quickly. The growing telecommunications infrastructure and technology, like Wireless Application Protocol (WAP), which allows access to the Internet, email and faxing through the use of a cellular phone, allows business people to react immediately from virtually any place in the world.