* Vehicle Taxation laws changed to be more environmentally orientated. * Imminent Government change, could lead to more changes in Laws Governing Vehicle use. * Unstable Fuel Duty Taxes.
* Country in debt, could lead to increases in tax in the future. * Reduction in VAT however could rise in the near future. * Government aid to increase purchases of new vehicles (scappage scheme) the government propping up the UK car manufacturing industry. * Governments influencing the public to be more environmentally aware (health schemes). Economic
* Fluctuating Interest rates. This affects consumer spending power. * High unemployment, gives Toyota a more easily accessible workforce. * Retail Price Index (inflation).
* Less disposable income means people will spend less on luxuries. * Exchange rates against the Japanese Yen are low, so import unit prices favour Toyota Social Factors
* Increasing consumer concern over the environment (emissions) * Social out class created with Chelsea Tractors.
* Spending behaviours have changed due to the recession.
* UK population is ageing.
* At the forefront of Hybrid technology
* Internet advances allow for customers to review and build their own Vehicles to their own specifications. * Future aim is to build fully recyclable vehicles by 2020. * Use of sophisticated
* Employment law (minimum wage, working hours etc).
* Product Recalls regarding a few in the Lexus range as well as the Toyota range. * BSA specifications need to be met.
* Increased consumer awareness of Carbon Footprint.
* Car Transporting could be considered wasteful.
* Increased awareness on climate change.
* Toyota aim to have fully recyclable cars and parts by 2020.
Section I: Long-Term Philosophy
Principle 1. Base your management decisions on a long-term philosophy, even at the expense of short-term financial goals.
■ Have a philosophical sense of purpose that supersedes any short-term decision making. Work, grow, and align the whole organization toward a common purpose that is bigger than making money. Understand your place in the history of the company and work to bring the company to the next level. Your philosophical mission is the foundation for all the other principles.
■ Generate value for the customer, society, and the economy—it is your starting point. Evaluate every function in the company in terms of its ability to achieve this.
■ Be responsible. Strive to decide your own fate. Act with self-reliance and trust in your own abilities. Accept responsibility for your conduct and maintain and improve the skills that enable you to produce added value.
Section II: The Right Process Will Produce the Right Results Principle 2. Create a continuous process flow to bring problems to the surface. ■ Redesign work processes to achieve high value-added, continuous flow. Strive to cut back to zero the amount of time that any work project is sitting idle or waiting for someone to work on it.
■ Create flow to move material and information fast as well as to link processes and people together so that problems surface right away. ■ Make flow evident throughout your organizational culture. It is the key to a true continuous improvement process and to developing people.
Principle 3. Use “pull” systems to avoid overproduction. ■ Provide your downline customers in the production process with what they want, when they want it, and in the amount they want. Material replenishment initiated by consumption is the basic principle of just-intime. ■ Minimize your work in process and warehousing of inventory by stocking small amounts of each product and frequently restocking based on what the customer actually takes away.
■ Be responsive to the day-by-day shifts in customer...
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