The Beer Game and the Toyota Supply Chain
The beer game was introduced as an exercise in industrial dynamics in 1960. And what has beer to do with automobiles? The beer game is used as a fun way to illustrate some of the...
The beer game was introduced as an exercise in industrial dynamics in 1960. And what has beer to do with automobiles? The beer game is used as a fun way to illustrate some of the...
The underlying principles associated with managing variety, velocity, and variability across the supply chain—the focus of Toyota’s supply chain leadership and management process—are found in many different industrial contexts. We provide several examples from service...
The Toyota Way is made up of four major elements: long-term philosophy, right process, development of people, and continuous solving of root problems. Taken together, they are the secret recipe for continuous improvement, for creating...
Why would Toyota need to be concerned about crisis management when it has implemented processes throughout the supply chain that are synchronized and integrated to function like a fine Swiss clock? The reality is that...
Dealers use a number of different processes to fulfill retail customer demand. This chapter will explore the major ones; it will be subdivided into three areas: vehicle allocation, demand fulfillment options, and dealer operations. Vehicle...
Logistics is an extremely important component of the supply chain. It has two roles: (1) inbound logistics, which is responsible for transporting parts and materials from the tier 1 suppliers to the OEM plants; (2)...
Imagine you are a supplier to Toyota. What is your role in the Toyota supply chain? What is your expected productivity improvement over time? How would your experience as a part of Toyota’s supply chain...
Toyota adopts different planning methods depending on which types of parts are involved. Some of the planning processes are unique to Toyota and so are worth contrasting with general practice. There are many parts ordering...
Production scheduling requires close coordination between sales and plant operations. In Toyota Learning, we will explain how the production schedule is used to provide consistent and continuous flow of materials and vehicles throughout the supply...
Sales and operations planning (S&OP) is a critical component of the supply chain planning process. It is linked upstream to the mix planning process and downstream to the production scheduling process. The goal of S&OP...
Mix planning is an important process for companies that manufacture and distribute products to retailers in multiple market areas. For vehicle manufacturers, this decision is extremely important because of the complexity of a vehicle. This...
The Toyota Production System (TPS) is the benchmark used throughout the world as the foundation for “lean” thinking. At Toyota, the TPS practices and principles extend well beyond the factory walls to include the extended...
Toyota is well known for its approach to problem solving and continuous improvement. Articles by practitioners, researchers, and participants have made the tools and techniques of continuous improvement familiar to every business executive. For example,...