Read the following case study based on Toyota and answer the questions that follow Toyota Production System Toyota Motor Corporation's vehicle production system is a way of making things that is sometimes referred to as a "lean manufacturing system," or a "Just-in-Time (JIT) system," and has come to be well known and studied worldwide. This production control system was established based on many years of continuous improvements, with the objective of making the vehicles ordered by customers in the quickest and most efficient way, in order to deliver the vehicles as swiftly as possible. The Toyota Production System (TPS) was established based on two concepts: "jidoka" (which can be loosely translated as "automation with a human touch"), as when a problem occurs, the equipment stops immediately, preventing defective products from being produced; and the "Just-in-Time" concept, in which each process produces only what is needed for the next process in a continuous flow. Based on the basic philosophies of jidoka and Just-in-Time, TPS can efficiently and quickly produce vehicles of sound quality, one at a time, that fully satisfy customer requirements. Just-in-Time Making only "what is needed, when it is needed, and in the amount needed". Producing quality products efficiently through the complete elimination of waste, inconsistencies, and unreasonable requirements on the production line (known respectively in Japanese as muda, mura, muri). In order to fulfill an order from a customer as quickly as possible, the vehicle is efficiently built within the shortest possible period of time by adhering to the following: When a vehicle order is received, production instructions must be issued to the beginning of the vehicle production line as soon as possible. The assembly line must be stocked with the required number of all necessary parts so that any kind of ordered vehicle can be assembled.  The preceding process must be stocked with small numbers of all types of parts and produce only the numbers of parts that were retrieved by an operator from the next process. Origin of the Toyota Production System A production system fine-tuned over generations. Roots of the Toyota Production System The Toyota Production System (TPS), which is based on the philosophy of the complete elimination of all waste in pursuit of the most efficient methods, has roots tracing back to Sakichi Toyoda's automatic loom. TPS has evolved through many years of trial and error to improve efficiency based. on the Just-in-Time concept developed by Kiichiro Toyoda, the founder (and second president) of Toyota Motor Corporation. Waste can manifest as excess inventory, extraneous processing steps, and defective products, among other instances. All these "waste" elements intertwine with each other to create more waste, eventually impacting the management of the corporation itself. Kiichiro Toyoda, who inherited this philosophy, set out to realize his belief that "the ideal conditions for making things are created when machines, facilities, and people work together to add value without generating any waste."  MRP is a system for planning and controlling inventory, production and scheduling by focussing on two key areas of the business - customers and resources. Customer forecasts and orders are used to create a Master Production Schedule (MSP). The MRP system converts the MSP into a detailed schedule from which accurate and timely orders for raw materials and components can be placed. MRP enables businesses to order materials or products to arrive in a timely fashion and in accurate quantities, rather than keeping large inventories, thereby improving cash flow. Companies of almost any size can benefit from an MRP system, for example by reducing human error, improving production times and reducing human input. Q.1.1. The just-in-time principle is key to the success of the Toyota Production System, in your own words, explain the concept of the just-in-time system. Q.1.2. Explain below 3 benefits and any 4 weaknesses of using the just-in-time principle in relation to Toyota. Benefits It reduce lot sizes required in production and purchasing It decreases or eliminates setup Times it reduces lead times Weakness It is sensitive to errors, especially regarding customer orders. JIT production cannot easily adapt to a sudden increase in quantity of demand due to minimum levels of inventory being held All supply chain partners are required to work in coordination .Therefore barriers of communication negatively affect the JIT System's ability to accomplish its goals. There are minimal levels of safety stock, therefore a failure may lead to idle time. Q.1.3. Durban, KwaZulu-Natal has one of the largest Toyota manufacturing plants. Considering the recent looting, floods and increased inflation, analyse the future price increases and uncertainty of supply as a roles of inventory in the supply chain in relation to Toyota.

Read the following case study based on Toyota and answer the questions that follow

Toyota Production System

Toyota Motor Corporation's vehicle production system is a way of making things that is sometimes referred to as a "lean manufacturing system," or a "Just-in-Time (JIT) system," and has come to be well known and studied worldwide.

This production control system was established based on many years of continuous improvements, with the objective of making the vehicles ordered by customers in the quickest and

most efficient way, in order to deliver the vehicles as swiftly as possible. The Toyota Production System (TPS) was established based on two concepts: "jidoka" (which can be loosely translated as "automation with a human touch"), as when a problem occurs, the equipment stops immediately, preventing defective products from being produced; and the "Just-in-Time" concept, in which each process produces only what is needed for the next process in a continuous flow.

Based on the basic philosophies of jidoka and Just-in-Time, TPS can efficiently and quickly produce vehicles of sound quality, one at a time, that fully satisfy customer requirements.

Just-in-Time
Making only "what is needed, when it is needed, and in the amount needed".
Producing quality products efficiently through the complete elimination of waste, inconsistencies, and unreasonable requirements on the production line (known respectively in Japanese as muda, mura, muri). In order to fulfill an order from a customer as quickly as possible, the vehicle is efficiently built within the shortest possible period of time by adhering to the following:

When a vehicle order is received, production instructions must be issued to the beginning of the vehicle production line as soon as possible. The assembly line must be stocked with the required number of all necessary parts so that any kind of ordered vehicle can be assembled. 

The preceding process must be stocked with small numbers of all types of parts and produce only the numbers of parts that were retrieved by an operator from the next process.
Origin of the Toyota Production System A production system fine-tuned over generations.

Roots of the Toyota Production System
The Toyota Production System (TPS), which is based on the philosophy of the complete elimination of all waste in pursuit of the most efficient methods, has roots tracing back to Sakichi Toyoda's automatic loom. TPS has evolved through many years of trial and error to improve efficiency based.

on the Just-in-Time concept developed by Kiichiro Toyoda, the founder (and second president) of Toyota Motor Corporation.

Waste can manifest as excess inventory, extraneous processing steps, and defective products, among other instances. All these "waste" elements intertwine with each other to create more waste, eventually impacting the management of the corporation itself.

Kiichiro Toyoda, who inherited this philosophy, set out to realize his belief that "the ideal conditions for making things are created when machines, facilities, and people work together to add value without generating any waste." 

MRP is a system for planning and controlling inventory, production and scheduling by focussing on two key areas of the business - customers and resources. Customer forecasts and orders are used to create a Master Production Schedule (MSP). The MRP system converts the MSP into a detailed schedule from which accurate and timely orders for raw materials and components can be placed. MRP enables businesses to order materials or products to arrive in a timely fashion and in accurate quantities, rather than keeping large inventories, thereby improving cash flow. Companies of almost any size can benefit from an MRP system, for example by reducing human error, improving production times and reducing human input.

Q.1.1. The just-in-time principle is key to the success of the Toyota Production System, in your own words, explain the concept of the just-in-time system.

Q.1.2. Explain below 3 benefits and any 4 weaknesses of using the just-in-time principle in relation to Toyota.

Benefits

1. It reduce lot sizes required in production and purchasing
2. It decreases or eliminates setup Times
3. it reduces lead times

Weakness

1. It is sensitive to errors, especially regarding customer orders.
2. JIT production cannot easily adapt to a sudden increase in quantity of demand due to minimum levels of inventory being held
3. All supply chain partners are required to work in coordination .Therefore barriers of communication negatively affect the JIT System's ability to accomplish its goals.
4. There are minimal levels of safety stock, therefore a failure may lead to idle time.

Q.1.3. Durban, KwaZulu-Natal has one of the largest Toyota manufacturing plants. Considering the recent looting, floods and increased inflation, analyse the future price increases and uncertainty of supply as a roles of inventory in the supply chain in relation to Toyota.