1. The group presented on the strategic management of Toyota Motor Corporation. They analyzed Toyota's strategic purpose, external factors, Porter's 5 forces, threshold and distinctive capabilities, and value chain. 2. The presentation identified Toyota's vision, mission, goals, and objectives as its strategic purpose. An analysis of PESTLE factors and Porter's 5 forces model examined the external environment and industry competition. 3. Toyota's threshold capabilities include talent management and an efficient distribution system. Its distinctive capabilities are its trusted brand, relationship with suppliers, and ability to produce affordable automobiles with different features. 4. The value chain analysis showed how Toyota's primary and support activities work together to create value for customers throughout inbound logistics

1. Group presentation
Presented by:
1. Jasim Uddin………… ......... 21414572
2. Sajedul Islam Chy….. …….. 21414464
3. SM Mosharaf Hossain…….. 21415382
4. Badrun Naher Chowdhury…. 21415513
5. Amimul Ahsan Tanim……… 21415352
Group email – jasin777@hotmail.co.uk
Subject Title : Strategic Management.
Subject code : BM607
Presentation On: Toyota Motor Corporation

2. Focus
 Strategic Purpose
External Factors (PESTLE)
Porter’s 5 forces
 Threshold and distinctive capabilities
 Value Chain
Presented by – Jasim Uddin
ID - 21414572

3. Strategic purpose of Toyota
Vision: Is something that company wants to achieve in future. Such as Toyota
wants to develop new forms of transportation and technology
Mission :Is associated with the company and the society. Toyota wants to Ensure
safe and sound journey
Goals: Are not time specific and measurable. Such as Toyota wants Zero casualties
from traffic accident.
Objectives: Refer to specific outcome that a company always looking for such as
Toyota wants to enhance high quality customer service and customers value for
money.
Presented by – Jasim Uddin
ID - 21414572

4. References
• Johnson, g.whittington, r. and scholes, k. (2011).Exploring strategy. (9th
ed).Essex: Pearson education limited.
• Lynch,r(2012)Srategic management.(6th ed).Essex:Pearson education limited.
• Toyota-global.com. 2014. Toyota Global Site | Our Ultimate Goal: "Zero
Casualties from Traffic Accident".
Availableat:http://www.toyotaglobal.com/innovation/intelligent_transport_syst
ems/ultimategoal/ [Accessed: 11 Apr 2014].
• Toyotayemen.com. 2014. ::.AMTC-TOYOTA.::.
[online]Availableat:http://www.toyotayemen.com/company_objective.html
[Accessed: 11 Apr 2014].
Presented by – Jasim Uddin
ID - 21414572

5. External Environment Analysis of TOYOTA
 What is PESTLE ?
Political Factors
 $2 billion loan approved by Japanese govt.
(Toyota global,2009)
Economical Factors
 Increasing tax on imported vehicles
 Economic Growth
Social Factors
 Tend of purchasing as a social status
 Environment friendly vehicle - Prius
Presented by - Sajedul Islam Chy
ID - 21414464

6. Technological Factors
 Sold 6 million hybrids between 1997-2003
(http://www.toyota.co.uk/hybrid)
 Low consumption fuel engine such as Prius
 Low-rolling resistance tires (Toyota global,2009)
Legal Factors
 Faced legal action by customers
(Los Angeles Times 12 FEB 2010 )
 Launched “Recall” programme in 2010 on hybrid vehicles
Ecological Factors
 Ecological awareness
 Reduced using of Carbon
External Environment Analysis of TOYOTA
Presented by - Sajedul Islam Chy
ID - 21414464

7. References
• Johnson, G., Whittington, R. and Scholes, K., 2011. Exploring Strategy. 9th ed.
Harlow: Prentice-Hall.
• Lynch, R., 2012. Strategic Management. 6th ed. Prentice Hall.
• Toyota-global.com, 2014. Toyota Global Site | Annual Report 2010. [online]
Available at: <http://www.toyota-
global.com/investors/ir_library/annual/pdf/2010> [Accessed 12 Apr. 2014].
• Toyota faces massive legal liability. 2010. Los Angeles Times. [online] Available at:
<http://articles.latimes.com/2010/feb/12/business/la-fi-toyota-liability12-
2010feb12> [Accessed 22 Apr. 2014].
• Toyota.co.uk, (2014). Say Hello To Hybrid | Hybrid Technology Since 1969 | Toyota
UK. [online] Available at: http://www.toyota.co.uk/hybrid [Accessed 14 Apr. 2014].
Presented by - Sajedul Islam Chy
ID - 21414464

8. Porter’s five forces analysis for Toyota
Porter’s five forces model is a framework for the industry
analysis and development of business strategy.
Threat of new entrants:
• the threat of new entrants is low.
• if new entrants would bring innovative products and
ideas to the industry.
• Toyota has established brand image and reputation
Bargaining power of buyers:
• the bargaining power of the buyers is moderately high
in Automotive Industry
• The buyers have low switching cost.
Presented by – SM Mosharaf Hossain
ID - 21415382

9. Porter’s five forces analysis for Toyota
Bargaining power of supplier:
• The bargaining power of suppliers is low
• the suppliers do not own the power to change the price
Threat of substitute:
• Threat from two-wheelers
• Alternative types of transportation almost always cost less and
sometimes are more environment friendly
Rivalry among existing competitors
• Competition between existing players is likely be high
• There is not much differentiation between players and their products
Presented by – SM Mosharaf Hossain
ID - 21415382

10. • Johnson, G., Whittington, R. and Scholes, K., 2011. Exploring Strategy. 9th ed. Harlow:
Prentice-Hall.
• Lynch, R., 2012. Strategic Management. 6th ed. Prentice Hall.
• Yahoo!. 2011. An Evaluation of Toyota Motor Company (TMC) Information Systems.
[ONLINE] Available at:http://voices.yahoo.com/an-evaluation-toyota-motor-company-
tmc-information-354371.html?cat=27. [Accessed 20 April 14].
• studymode. 2012. Porter's Five Force Model of Toyota. [ONLINE] Available
at:http://www.studymode.com/essays/Porter's-Five-Force-Model-Of-Toyota-
901339.html. [Accessed 22 April 14].
References
Presented by – SM Mosharaf Hossain
ID - 21415382

11. Threshold and distinctive capabilities
Threshold capabilities are those necessary primary
requirements to compete in a given market and
achieve parity with competitors in that market.
Distinctive capabilities are those unique
capabilities and superior performances that other
competitors will find difficulty to imitate or obtain
Presented by - Badrun Naher Chowdhury
ID- 21415513

12. Threshold capabilities for Toyota :
Talent management
Skilled and knowledgeable employees and experts of
organization
Toyota have efficient distribution system
Importance of contribution
Selecting and inducting talent
Flexible work practices
Enterprise agreement
Organizational culture
Presented by - Badrun Naher Chowdhury
ID- 21415513

13. Distinctive capabilities for Toyota :
Well known and trusted brand
Good reputation and creative workforce
A close relationship with suppliers and good distribution
channels assist controlling costs.
The competence of Toyota is producing automobiles at
reasonable prices.
Toyota has a wide portfolio of cars with different product
features and price ranges .
Toyota is doing better than competitors with a hybrid segment.
Presented by - Badrun Naher Chowdhury
ID- 21415513

14. References
• Johnson, G., Whittington, R. and Scholes, K., 2011. Exploring Strategy. 9th ed.
Harlow: Prentice-Hall.
• Lynch, R., 2012. Strategic Management. 6th ed. Prentice Hall.
• Ibisworld.com, 2014. Global Car & Automobile Manufacturing Market Research |
IBISWorld. [online] Available at:
<http://www.ibisworld.com/industry/global/global-car-automobile-
manufacturing.html> [Accessed 10 Apr. 2014].
Presented by - Badrun Naher Chowdhury
ID- 21415513

15. Presented by - Amimul Ahsan Tanim
ID - 21415352
Value Chain Analysis is a useful tool for
working out how you can create the
greatest possible value for your customers
In business.
Importance of Value Chain

16. Support
Activities
Primary Activities
Technological Development
Human Resource Management
Firm Infrastructure
Procurement
Inbound
Logistics
Operations
Outbound
Logistics
Marketing
&Sales
Service
Value Chain Analysis Of Toyota
Identifying Resources and Capabilities That Can Add Value
Presented by - Amimul Ahsan
Tanim
ID - 21415352

17. Presented by - Amimul Ahsan Tanim
ID - 21415352
HOW VALUE CHAIN WORK IN TOYOTA
Inbound logistics Operation Outbound logistics
Marketing and
sales
Service
Call off to suppliers
Collect parts and raw
Warehousing
•TPS
•Assembly
•Packaging and conversion
•Maintenance
•Warehousing
•Order processing
•Picking
•Shipment & delivery
•Installation
•Repair
•Training
Channels to market
Product,pricing
, promotion,advertising,distributio
n and communication with
customer
Seles force effectiveness
Human resources
Technological
development
ProcurementInfrastructure
•Finance
•Accounting & It
•General Management
•Recruiting
,training, developing and
compensating all personal
•Process new design
•product design
•R&D
•Fair business practice
•Quality item at a low price
•Purchasing raw material
, fixed assets
Support Activities
Primary Activities

18. References
• Johnson, G.,Whittington, r. and scholes, k. (2011).Exploring strategy.
(9th ed).Essex: Pearson education limited.
• Lynch,r(2012)Srategic management.(6th ed).Essex:Pearsoneducation limited.
•Porter, M. E. (1985), Competitive Advantage: Creating and Sustaining
Superior Performance, New York: Free Press
•Liker, J. (2004). The Toyota way. 1st ed. New York: McGraw-Hill.
Presented by - Amimul Ahsan Tanim
ID - 21415352