Toyota Motors v/s Ford Motors

Ford v/sToyota

TQM Practices of Ford and Toyota + their Comparison

Fatima TafakharMBA-12-05

Bahauddin Zakariya University Multan,Sub Campus ,Sahiwal

Outlineo Leadershipo Customer Satisfactiono Employee Involvemento Continuous Improvemento Supplier Relationso Tools and Techniques

Toyota Motor Corporation

IntroductionoHeadquartered in Aichi, Japano Founded in August 28, 1937o Annual sales of $210 billiono Produces 10 million vehicle per yearo Consisted of 400,000 employees

worldwideo Produces vehicles under 5 brands

History of TQMo First to implement Quality Controlo Toyota Way

i. Continuous Improvementii. Respect for People

Leadershipo Importance of Leadershipo Leaders responsibilitieso Leadership Structure

Customer Satisfactiono Quality Assurance Activitieso Customer Relation Activities

Employee InvolvementToyota’s Core Principles:o Total Participationo Employee Engagement

Employee Involvemento Utilizing the knowledge of lower-

level employees o Human Resource Developmento Respect for Diversityo Job Placement Program for Over-

sixtieso Increasing Employment

Opportunities for Disabled Peopleo Expanding Education Programs at

the R&D Learning Centre into Mid-level Engineering

Continuous process Improvement

Toyota Production System

o Lean Manufacturing

o Kaizen o Continuous

Improvemento Just In Timeo Jidoka

Suppliers Relationshipso Collaboration with Suppliers

i. Issueii. Relationshipsiii. Great East Japan Earthquake

o Global Suppliers Convention

o Supporting Social Contribution Activities of Suppliers

i. CSR study meetings held focusing on risk management

ii. Promoting the spread of CSR among suppliers through AIAG activities

ISO 9001 Certification (Quality Management System)

o Just-In-Time Philosophyi. Smoothing the work flowii. Reducing inventoriesiii. Lowering production cost

o Implementation of Environmental Management

o Audits To Designo Saleo Production

ISO 14001 Certification(Environmental Management

System)

Ford Motor Company

Founder of Company

“HENRY FORD” (June 16,1903)

Sales of Ford Companyo Company sell automobile and commercial vehicles under

o Most luxury cars under

Ford Motors Ancient Models

Ford Motors Recent Models

Market Share of Ford Motorso 21% Stakes in (Japan)o 15% Stakes in (United Kingdom)o 49% Stakes in (China)Joint Ventures

o 2 in China o 1 in Thailando 1 in turkeyo 1 in Russia

LEADERSHIPo Communication and inspiring visiono Live ito Win-Wino Positive “Can Do” Attitudeo New business leader program

Employee InvolvementEmployees at Ford are Capable of

o Improve qualityoReduced Costo Provide Full EffortoContribute New Ideas

Customer Satisfactiono Six Sigmao Training of Six Sigma employees o Criteria for SelectionThe Ford DMAIC Cycle follows:

i. Defineii. Measureiii. Analyseiv. Improvev. Control

Continuous Improvemento Standardization: The key to

Continuous ImprovementoProduct and Process

Improvement:– Objectives– Dependencies

The Ford Production System

Supplier Relationshipso Global product-creation processo Process and part stabilityo Real-time performance data o Access to senior Ford managerso Improving order fulfilmento Engaging suppliers in discussions

Engaging Strategic Suppliers through Aligned Business Framework

o To increase mutual profitabilityo To improve qualityo To drive innovationo Encourage shared commitment to

sustainability goals

ISO Certification

Swot Analysiso Strengthso Weaknesseso Opportunitieso Threats

ConclusionToyota Motors v/s Ford Motors

Questions