How is buying an Auris Car like buying Nike

Trainers?

LESSON OBJECTIVESAnalyse Business Stock Control

situations and identify key advantages and disadvantages of Just in Time (Lean Manufacturing) at Toyota (Grade C+/B)

Evaluate the advantages/disadvantages of stock control and highlight problems in the Supply Chain for global businesses. (Grade A/B)

AURIS TOYOTA CAR PRODUCTION BURNASTON, DERBY

Press Shophttp://www.youtube.com/watch?v=hPlcs4o_ibALinehttp://www.youtube.com/watch?v=zxCQzzDScHU

Toyota Factory at Burnaston, Derby on A38 and A50 Junction

Auris Built at Burnaston Derby

Headlights from Japan

Engines Built at Deeside, North Wales

Auris Seats – Johnson Controls in Burton on Trent

Michelin Tyres made at

Dundee, UK

Steel Coil Warehouse in USABurnaston uses 6.5 of these coils every day weighing 300 Tonnes of

Steel.

Futaba Dove Valley Foston

Derbyshire

Toyota Inchcape Car Showroom Derby

Fuel Tank Made in Japan

Steering Wheels from France

Radio and Air

Conditioner Units made

in Japan

Toyota Factory at Burnaston, Derby on A38 and A50 Junction

Two Models of CarsAvensis sold all over the world including Japan &

Auris sold in Europe 750 Cars

manufactured a day 1 car every 66

seconds

260 parts from UK & 500 European

Suppliers

Each Car is Made for a Customer’s

Order

Supply Chain from Raw Materials to Finished CarLean Manufacturing using Just in Time

JIT is where raw materials and components, parts etc arrive at the factory JIT for assembly usually within a 2

hour window of being needed on the assembly line.

IN GROUPS Look at the information and

scenarios to determine the advantages and disadvantages of Just in Time Production on Toyota and the concept of holding Buffer Stocks in the Supply Chain.

For each Scenario make notes on the positives/negative impacts on Toyota

15 mins

POSITIVES + MINUSES - & INTERESTING IEveryone complete a PMI sheet on the Positives (advantages) of using Just in

Time, different scenarios etc for ToyotaMinuses (disadvantages) or concerns from

external factors, or changes etc for Toyota

Interesting – “It depends” concepts from issues raised in your discussions, or any other information you think Toyota might need to made decisions on Stock Control.

Earthquake and Tsunami in Japan 2011

Natural Disaster

Toyota Part Factory Destroyed

Effects on Orders, Profits, Sales, Employees ………..

SCENARIO 1

ICELAND VOLCANO ASH CLOUD

DELAYS ALL FLIGHTS IN EUROPE

SCENARIO 2

Economic Down turn continues throughout UK and Europe

SCENARIO 3

CHINA FOOD SHORTAGES CAUSES FACTORY WORKERS TO RETURN TO AGRICULTURE

SCENARIO 4

ICY WEATHER BRINGS UK TO A STANDSTILL

SCENARIO 5

TOYOTA CONSIDER INVESTING IN A WAREHOUSE FOR BUFFER STOCKS

Costs, Employees, Benefits, What ifs?

SCENARIO 6

TOYOTA RECALL 800,000 CARS WITH FAULTY AIRBAGS

SCENARIO 7

MICHELIN TYRE MANUFACTURES DESIGN A NEW LOW EMMISSION TYRE FOR AURIS CARS

(Scientific Research)

SCENARIO 8

Research & Development at Toyota introduce new colour ranges for Auris cars for paint, interiors and seats.

SCENARIO 9