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PLEASE ANSWER ONLY QUESTION 2 . ?WITH A YES OR NO ANSWER AND THEN EXPAIN WHY PLEASE. I asked this question and i got it
PLEASE ANSWER ONLY QUESTION ?WITH A YES OR NO ANSWER AND THEN EXPAIN WHY PLEASE. I asked this question and i got it depends as an answer, which does not work for my proffesor. Toyota: A Global Auto Manufacturer
Toyota Motor Corporation is Japan's top auto manufacturer and has experienced significant
growth in global sales over the past two decades. A key issue facing Toyota is the design of its
global production and distribution network. Part of Toyota's global strategy is to open factories
in every market it serves. Toyota must decide what the production capability of each of the facto
ries will be ?as this has a significant impact on the desired distribution system. At one extreme,
each plant can be equipped only for local production. At the other extreme, each plant is capable
of supplying every market. Before ?Toyota used specialized local factories for each market.
After the Asian financial crisis in ?Toyota redesigned its plants so it could also export to
markets that remain strong when the local market weakens. Toyota calls this strategy "global
complementation."
Whether to be global or local is also an issue for Toyota's parts plants and product design.
Should parts plants be built for local production or should there be a few parts plants globally
that supply multiple assembly plants? Toyota has worked hard to increase commonality in parts
used around the globe. Although this has helped the company lower costs and improve parts
availability, common parts caused significant difficulty when one of the parts had to be recalled.
In ?Toyota had to recall about ?million cars using common parts across North America,
Europe, and Asia, causing significant damage to the brand as well as to the finances.
Any global manufacturer like Toyota must address the following questions regarding the
configuration and capability of the supply chain:
Where should the plants be located, and what degree of flexibility should be built into
each? What capacity should each plant have?
Should plants be able to produce for all markets or only for specific contingency markets?
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