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Toyota Product Recall

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Case No.

1- TOYOTA RECALLS 700,000 VEHICLES IN USA AMID SAFETY CONCERNS

1. What is the role of Operations on the reputation of Toyota in the article?

Toyota has built the reputation of being reliable and safe and it is due to their
operations management.

The operations is responsible for providing the best quality, lowest cost and
shortest lead time through elimination of waste which may take in the form of excess
inventory, extraneous processing steps, and defective products. This means that
operations is involve in scrutinizing the quality of products and its manufacturing
process. Operations makes sure the most advance techniques in manufacturing are used
in order to maintain the uniformity of the quality of output, the procedures are simplified
and the cost are reduced. Operation is also responsible for the management of resources
as well as distribution of products in an efficient manner. This was achieved by Toyota
through the use of Just in Time which means building what is needed when it is needed.
The operations is also involved in Research and Development which ensures advanced
features in its products.

2. What areas in Operations should Toyota focus on to regain its global competitiveness?

I believe that prevention is better than cure and for Toyota to regain its global
competitiveness, it must avoid producing defective items in order to not further destroy its
already tainted reputation.

Toyota should invest more in its Research and Development. The cause of the
series of product recall could be due to faulty design of parts and this can only be resolved
by further research and development. In order to achieve the most appropriate design for
the desired performance, ample resources must be poured in the Research and
Development phase of the product.

Quality control is also another area that should be revisited by Toyota. Quality
control ensures that product quality is maintained or improved. This is done by training
personnel, creating standards for product quality, and testing products to check
for substantial variations. These controls provides standards to which employees must
adhere to. By specifying which production activities are to be performed by a particular
personnel reduces the possibility that employees will be performing tasks which they are
not adequately trained for. Intensifying quality control reduces the risk of producing
defective parts.

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