ASSIGNMENT 2

Qualification BTEC Level 4 HND Diploma in Business

Unit number and title Unit 4: Management and Operations (488)

Submission date 19 September 2021 Date received (1st submission)

Re-submission date Date received (2nd submission)

Student name Nguyen Minh Khang Student ID GBD201827

Class GBD0903 Assessor name Pham Uyen Phuong Thao

Student declaration

I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand that making a
false declaration is a form of malpractice.

Student’s signature: Date: 19 September 2021

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P4 P5 P6 M3 M4 D2

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Table of Contents
I. INTRODUCTION ................................................................................................................................................................ 1
II. THEORIES AND APPROACHES .......................................................................................................................................... 1
1. THEORIES ........................................................................................................................................................................ 1
1.1. SIX SIGMA ............................................................................................................................................................. 1
1.2. LEAN PRODUCTION............................................................................................................................................... 2
1.3. QUEUING.............................................................................................................................................................. 2
2. APPROACHES............................................................................................................................................................... 3
2.1. SMART .................................................................................................................................................................. 3
2.2. KAIZEN.................................................................................................................................................................. 4
2.3. MBO ..................................................................................................................................................................... 4
2.4. TQM ..................................................................................................................................................................... 5
2.5. JIT PRODUCTION ................................................................................................................................................... 5
3. APPLICATION ............................................................................................................................................................... 5
3.1. TQM ..................................................................................................................................................................... 5
3.2. SMART .................................................................................................................................................................. 6
3.3. EVALUATION......................................................................................................................................................... 7
III. IMPORTANCE AND VALUE .............................................................................................................................................. 8
1. FUNCTIONS ................................................................................................................................................................. 8
1.1. PRODUCT AND PROCESS DESIGN .......................................................................................................................... 8
1.2. SCHEDULING......................................................................................................................................................... 9
1.3. TRANSFORMATION PROCESS ................................................................................................................................ 9
1.4. CONTROL AND DISTRIBUTION SYSTEMS ................................................................................................................ 9
1.5. LOGISTIC AND INVENTORY MANAGEMENT ......................................................................................................... 10
1.6. CAPACITY MANAGEMENT ................................................................................................................................... 10
2. PRACTICAL EVIDENCE ................................................................................................................................................ 11
3. OPERATIONAL FUNCTIONS IN ACHIEVING SMART GOAL ............................................................................................ 12
4. EVALUATION ............................................................................................................................................................. 13
IV. BUSINESS ENVIRONMENT FACTORS ............................................................................................................................. 13
1. IMPACTS OF COVID-19 .............................................................................................................................................. 13

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 2. CONTEMPORARY MANAGEMENT ISSUE .................................................................................................................... 14
V. CONCLUSION ................................................................................................................................................................ 16
VI. REFERENCES................................................................................................................................................................. 16

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I. INTRODUCTION
Toyota is one of the leading manufacturers in the world with more than 360,000 people and distribution network
reaches over 170 countries and regions. Toyota founded in 1937 by Kiichiro Toyoda and has it’s headquarter in
Aichi, Japan. The firm manufactures, assembles and distributes cars, minivans, trucks, recreational SUVs and
associated component and accessories.

COVID-19 is said to have a profound impact on the global economy, far greater than the impact of the global
financial crisis in 2008 and comparable to the Great Depression in the 1930s. Toyota Industries also has been
heavily affected by the pandemic (Toyota Industries Corporation, 2020). In the position of the head of Operations
Management Department, the researcher has been assigned by the managing director to carry out evaluation on
the current operational activities and the roles of leadership and management in various contexts. In order to
achieve the goal, the research includes three main parts: Theories and Approaches, Importance and Value and
Business Environment Factors.

II. THEORIES AND APPROACHES

1. THEORIES

1.1. SIX SIGMA

Six sigma is a philosophy that employs a well-structured continuous improvement methodology to reduce
process variability and drive out waste within the business processes using statistical tools and techniques
(Bañuelas & Antony, 2004). The main focus of six sigma is to identify, remove the causes of defects and
minimize variability from processes and products by using either a continuous improvement methodology or a
design/redesign approach. According to Bañuelas & Antony (2004), two approaches follow two project
methodologies:

- DMADV (Define-Measure-Analyze-Design-Verify) or also known as DFSS (Design for Six Sigma) is used for
projects aimed at creating new product or process designs.

- DMAIC (Define-Measure-Analyze-Improve-Control) is used for projects aimed at improving an existing business

process.

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Both approaches aim to fix, improve and bring the system as close to the non-error level as possible. Only when
a process doesn’t occur more than 3.4 defects per one million products that reachs the final stage of Six Sigma.

1.2. LEAN PRODUCTION

According to Warnecke & Hüser (1995), lean production is a system of measures and methods which can
eliminate waste within the manufacturing system. It takes into account the waste generated from uneven
workloads and overburden and then reduces them in order to increase value and reduce costs. In the book Lean
Thinking (2003), the author identified eight types of waste: Stock, Overproduction, Defective product, Time,
Movement, Processing and Underutilized workers.

Lean production consists of five principles: “Precisely specify value by specific product, identify the value stream
for each product, make value flow without interruptions, let customer pull value from the producer, and pursue
perfection” (Womack & Jones, 2003).

1.3. QUEUING

A queue is a waiting line and queuing theory is the mathematical study of the congestion and delay of waiting in
line. In the words of Nosek and Wilson (2001), queuing system can be characterized by four main elements: the
arrival, the queue discipline, the service mechanism, and the cost structure. Queuing theory utilizes mathematical
models and performance measures to assess and improve the flow of customers through a queuing system.

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Queuing theory has many applications such as staff schedules, working environment, productivity, customer
waiting time, and customer waiting environment. By applying in working process, queuing theory can help inform
business decisions on how to build more efficient and cost-effective workflow systems.

2. APPROACHES
2.1. SMART
Goals are part of every aspect of life and provide a sense of direction, motivation, a clear focus, and clarify
importance. By setting goals, people are providing themselves with a target to aim for. A SMART goal is used to
help guide goal setting. The term SMART represents for Specific, Measurable, Achievable, Realistic, and Timely.
In the words of Doran (1981), below is detail:

-Specific. Target a specific area for improvement.

-Measurable. Quantify or at least suggest an indicator of progress.

-Achievable. Attainable and not impossible to achieve.

-Realistic. Within reach, realistic, and relevant.

-Timely. With a clearly defined timeline, including a starting date and a target date.

The suggested acronym doesn’t mean that every objective written will have all five criteria. However, in the words
of Doran (1981), “the closer we get to the smart criteria as guideline, the smarter our objective will be.” The
establishment of objectives and the development of action plans are the most critical steps in management
process.

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2.2. KAIZEN

Kaizen is a Japanese term meaning "change for the better" or "continuous improvement". According to Manos
(2007), Kaizen is a Japanese business philosophy regarding the processes that continuously improve
operations and involve all employees. Kaizen refers to subtle, gradual improvements that are made over time.
The small changes used in kaizen can involve quality control, just-in-time delivery, standardized work, the use of
efficient equipment, and the elimination of waste. By carefully applying in working process, Kaizen can make small
changes over a period of time and create huge impacts in the future (Manos, 2007).

2.3. MBO

According to Rodgers & Hunter (1992), management by objectives (MBO) is a management system that aims to
improve organizational performance by clearly defining objectives that are agreed to by both management and
employees. Management by objectives incorporates the features of three processes that are known to constitute

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good management practice: participation in decision making, goal setting, and objective feedback. According to
the statistic in the research of Rodgers and Hunter (1992), 68 out of 70 studies showed productivity gains when
implementing MBO program. MBO can improve employee motivation and commitment, allow for better
communication between management and employees and create goals that lead to the success of the company.

2.4. TQM
According to Hellsten and Klefsjo (2000), total quality management (TQM) is the continual process of detecting
and reducing or eliminating errors. TQM’s objective is “do the right things, right at the first time, every time”, by
that it can streamline supply chain, improve the customer satisfaction, and ensure that employees are trained. In
the point of view of Ciampa (1992), TQM focuses on satisfying customer’s requirement and aiming to improve
the quality of an organization's outputs, including goods and services. Total quality management holds all parties
involved in the production process accountable for the overall quality of the final product or service. By respective
implementing TQM, “dramatic reductions can become commonplace in the time it takes to get a product to the
customer, in the cost of making and distributing the product, and the complexity needed to design and product”.

2.5. JIT PRODUCTION

According to Akbar, et al. (2013), Just-In-Time (JIT) manufacturing also known as the Toyota Production
System (TPS) is a Japanese management philosophy applied in manufacturing which involves the principle “having
the right items of the right quality and quantity in the right place and at the right time”. JIT production systems
cut inventory costs because manufacturers receive materials and parts as they are needed for production and so
do not have to pay storage costs. Manufacturers are also not left with unwanted inventory if an order is canceled
or not fulfilled. As the result, the proper use of JIT manufacturing can increase in quality, productivity and
efficiency, improve communication and decrease in costs and wastes (Akbar, et al., 2013).

3. APPLICATION
3.1. TQM
Toyota’s Production System (TPS) have led the organization to higher quality of products and work, and
improvement in all aspects of the organization, from individuals to services. TPS plays an essential role in the
development of Toyota and TQM is one of core concepts of the management system.

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The implementation of TQM in Toyota refers to improve the overall performance and operations of company and
it involves to all elements, all branches and all levels of the business. According to IvyPanda (2021), implementing
TQM, Toyota navigates the whole process by the idea “Customer First” and “Quality First”. In practice, the
company extended the management responsibility past the instantaneous services and products, after-sales
experience of customer always one of the concerns of Toyota. They also examined how consumers applied the
products generated and this enabled the company to develop and the improve its commodities. To ameliorate
production process, Toyota has applied effectively lean production methods, minimized insubstantial impacts on
the procedures and focused on Kaizen to ensure that all procedures are measurable, repeatable, and visible.
Furthermore, according to TBP (Toyota Business Practice), there are frame of detail steps for solving problem in
management quality and at last, all methods, procedures will be standardized for the whole system that
eliminates reoccur potentials.

3.2. SMART
SPECIFIC Recover and promote the global product capacity of Toyota’s plants by
returning employee back to work and innovate production process but still
adapts to new normal and Covid-19 condition.
MEASURABLE From the data in 19th August 2021, Toyota has slashed production by 40%
(compare with 8.820.000 units produced in 2020) due to Covid-19, supply
issues (Kageyama, 2021). And the aim is 130% output (approximately
11.500.000 units)
ACHIEVABLE Safety, medical caring and employee support in working environment has
been improved significantly to ensure the return of workforce. In another
side, automate technology has been prioritized to develop and applied in
many aspects which minimizes close contact but still improve working
output.
RELEVANT By recover product capacity, Toyota can support their employees to have
job as well as satisfy customer’s demand. According to the article of Sugiura
(2021) on Nikkei Asia, customer’s demand has recovered strongly recently,
especially in China and North America. In order to satisfy that huge
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 purchasing ability, the recovery of Toyota’s product lines plays an essential
role.
TIMEBOUND - Guarantee safety standard and totally standardize safety methods in the
whole organization (global-level) at 31th December 2021.
- Gradually put workers to work by 80% and recover 100% output capacity
in the end of 2022 fiscal year (31th March, 2022).
- Completely put 100% workers to work and promote output capacity to
130% at 30th June, 2022.

3.3. EVALUATION
JIT Production Kaizen TQM
In just-in-time production method, Kaizen contributed greatly to TQM focuses on continuous
the production lead time can be Toyota competitive success, the improvement across all branches
greatly reduced with due respect to gradually, consistently and levels of an organization. Being
maintain the conformity to changes improvement involves everyone part of Toyota, the concept defines
by making sure that all processes from managers to workers can be the way in which the organization
are producing only the necessary called as Kaizen culture in the can create value for its customers
parts at the necessary time and organization. Kaizen is a system of and other stakeholders, which
have only minimum stock in order continuous improvement in every eventually leads to operation
to hold all the processes together. aspect, quality, technology, efficiencies. These efficiencies have
Apply JIT thoroughly process helps processes, company culture, been achieved by continuous
Toyota “fulfilling customer demand productivity, safety and leadership correction of deficiencies identified
efficiently and promptly by linking and involves all employees. in the process. As the result,
all production activities to real Employees are people directly integrating the workforce
marketplace demand” (Alshehri, participate in the working process, suggestions while eliminating
2016). Moreover, Just-in-time by observing and evaluating overproduction and manufacturing
offers Toyota a smooth, results, they can propose wastes, TQM can build and

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 continuous, and optimized improvements or solutions to promote chain value of Toyota,
workflow, with carefully planned problems. In Toyota, there is Kaizen helps the company to respect all
and measured work-cycle times competition in all level (local, area, the stakeholders and give clients
and on-demand movement of global) and all aspects which has first priority.
goods, reduces the cost of wasted pointed out lots of innovation that
time, materials and capacity that optimize transformation process,
increase the competitive reduce waste, satisfy customer and
advantage of the Toyota Company. so on. Kaizen culture brings Toyota
uncountable value in competitive
advantage.

III. IMPORTANCE AND VALUE

1. FUNCTIONS
In an organization, the operation is responsible for the transformation of raw materials or inputs into finished
goods or outputs. Operations management can then be defined by the management of all processes related to
the production of items. In the words of Porter (2011), the field of operations management is vast and complex,
but it has some key functions to implement into business.

1.1. PRODUCT AND PROCESS DESIGN

According to Slack, et al. (2010), design is the process of shaping or configuring products, services and processes
and to “design” is to conceive the looks, arrangements and workings of somethings before it is created. In one
hand, process design can help business meet the needs of customers through achieving appropriate level of
quality, speed, dependability, flexibility and cost. In another hand, new product designs can provide a competitive
edge by bringing new ideas to the market quickly, doing a better job or being easier to manufacture, use and
repair (Porter, 2011). Design activity is more likely to be successful if the complementery actvities of product or
service design and service design are coordinated (Slack, et al., 2010).

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1.2. SCHEDULING
In the words of William (2012), scheduling pertains to establishing the timing of the use of specific resources of
organization. It relates to the use of equipment, facilities, and human activities. There are three types of
scheduling (Demand, Workforce and Operations) and according to Reid & Sanders (2011), there are priority rules,
such as FCFS (first come, first serve), LCFS (last come, first serve), EDD (earliest due date), SPT (shortest processing
time) and so on, applied flexibility depends on type of business. Effective scheduling can yield cost savings,
increases in productivity, and other benefits (William, 2012).

1.3. TRANSFORMATION PROCESS

Figure 1 Input-Transformation-Output Process (Reid & Sanders, 2011)

According to the figure above, operations produce products and services by changing inputs into outputs using
a transformation process. Transformation processes take in a set of input resources which are used to transform
something, or are transformed themselves, into outputs of products and services. And although all operations
conform to the transformation process model, they differ in the nature of their specific inputs and outputs.
Operations management has responsibility to add value during the transformation process and make it become
efficient that performs activities well and at the lowest possible cost.

1.4. CONTROL AND DISTRIBUTION SYSTEMS

- According to John (2017), business control systems consist of procedures and processes, which help an
organization achieve its mission and objectives. After business owners and managers implement standards,
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commands, control function will track and monitor performance. Control activities ensure that the operation’s
processes run effectively and efficiently and produce products and services as required by customers.

- In the words of Porter (2011), distribution refers to the movement of materials through the supply chain to the
customer. Distribution management refers to supervise the movement of goods from supplier or manufacturer
to point of sale. It refers to numerous activities and processes such as packaging, inventory, warehousing, supply
chain, and logistics.

1.5. LOGISTIC AND INVENTORY MANAGEMENT

- Logistics is the management of the flow of things between the point of origin and the point of consumption to
meet the requirements of customers or corporations. It involves with the forward and reverse flow of goods,
services, cash, and information (William, 2012). Depends on the activities, logistic can be divided into inbound
(brings supplies or materials into a business) and outbound (moving goods and products out to customers).

- Inventory is the stock of items kept by an organization to meet internal or external demand. Inventory
management refers to the process of ordering, storing, using, and selling a company's inventory (Porter, 2011).
There are lots of methods can be flexibility applied for inventory management such as JIT (Just-in-time), MRP
(Material requirement planning) and so on. By applied in a proper way, inventory management tries to efficiently
streamline inventories fulfill incoming or open orders and raises profits.

1.6. CAPACITY MANAGEMENT

In the words of Reid & Sanders (2011), capacity can be defined as the maximum output rate that can be achieved.
Capacity comprises the resources to serve customers, process information or make products and is a mix of the
people, systems, equipment and facilities needed to meet services or products involved (Porter, 2011). The
capacity management procedure concerns performance, memory, and physical space, and should cover both the
operational and development environment. By that, capacity management refers to the act of ensuring a business
maximizes its potential activities and production output under all conditions.

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 2. PRACTICAL EVIDENCE

Figure 2 Value Creation Process (Toyota Industries Corporation, 2021)

Depend on figure above, in transformation process, the material to flow through production assembly line and
to be managed through TPS (Toyota production system) and become final production. Toyota uses lean
manufacturing, which is also embodied in TPS. The company emphasizes waste minimization to maximize process
efficiency and capacity utilization. As the vale “Customer First” and “Quality First”, Toyota uses different strategies
and procedures in collecting information, which includes examination how customer applies their product in daily
life, focus on after-sales experience and so on, to improve process as well as develop new products. During
transformation process, various operations management methods have been applied such as Kaizen, Kanban, JIT
and TQM to track process management (Alshehri, 2016).

Toyota follows lean manufacturing principles in its scheduling. The company’s goal for this strategic decision area
of operations management is to minimize operating costs. Cost-minimization is maintained through HR and
resource scheduling that changes according to market conditions. Mix planning (with sales and plant operations)
and Heijunka process, which is a technique to avoid supply chain congestion, workload imbalance, inventory
batching, etc. are used effectively that Toyota can smooth capacity requirements and balance use of resources
(ineak, 2009).
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JIT has been thoroughly applied by Toyota in inventory management since 1970s and it took more than 15 years
to perfect its process. The aim is to minimize inventory size and its corresponding cost. This inventory
management approach is covered in the Toyota Production System. All incoming parts orders and deliveries are
synchronized to the production rate and the deviations are immediately noticeable. Detecting deviations, plants
will immediately slow down or halt production to identify the root cause and implement both short-term and
long-term countermeasures (ineak, 2009).

3. OPERATIONAL FUNCTIONS IN ACHIEVING SMART GOAL

Scheduling function has responsible for providing flexible work schedules, changing the working location,
organize proper time shift and so on. Minimize close contact, infection risk but ensure operations continue to run
as smoothly and effectively as possible. In current situation, to keep safety distance in working, only around 40-
50% of employee can return to work, by suitable scheduling, the firm can gradually return all employee to work
and recover output capacity.

- Transformation process: Develop and apply automate technologies more effectively in transformation process,
limit the number of quality check in close distance by improving precision and implementing remote quality
control. Apply Kaizen culture and encourage innovate ideas among whole process. Besides return employee to
work, the transformation process also has to improve operational efficiency which allows the firm reach 130%
output capacity.

- Distribution: A part of automate vehicles has been used to support government against Covid-19 (in logistic,
trading goods as well as medical purpose) and a part used for physical distribution. In sales aspect, Genchi
Genbutsu (Go-and-See-for-Yourself) philosophy of Toyota has to be changed and adapted with situation. High
demand of customer but they also avoid directly coming to showrooms so the distribution has focused on e-
commerce, online marketing and online shopping aspects to reach customer, gather information and satisfy
demand.

Proper scheduling, changes and develops in transformation process as well as effective distribution plans can
helps to return employees to work, ensure safety standard and promote output capacity which leads the
organization to achieve goal.

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4. EVALUATION
In the whole operations management, transformation process can be seen as the most important function.
Transformation process is the heart of business’s activity of an organization. In this function, inputs (which
includes human capital, intellectual capital, capability, finance, relationship…) go through a transformation
process (which considers and affected by the organization’s value, strategy, objective as well as social
responsibilities and so on) to be added value and change to output which brings values and joys for stakeholders.
Adding value through transformation process is the key of gaining outcomes in any organization. Every functions
of operations management are important, but, they can be seen as sub-unit that serves and develops around
transformation process as center.

IV. BUSINESS ENVIRONMENT FACTORS

1. IMPACTS OF COVID-19
Toyota Industries also has been heavily affected by the pandemic and disrupted supply chain has affected
organization value. Toyota had more than 50 overseas operations in 27 countries and regions as of March 31,
2021 and they purchase parts, components, raw materials, equipment and other supplies from multiple
competing suppliers located around the world and the organization tends to work closely with its suppliers to
pursue optimal procurement. As a result, the distribution network has become increasingly complex in
multinational and strongly disrupted by Covid-19 (Toyota Motor Corporation, 2021). Combination of disrupted
supply chain and the situation that many production plants placed on Covid-19 infected zone has forced Toyota
minimize its production ability or even close some plants. In detail, Toyota said 27 product lines in Japan will be
impacted and 14 plants across the country has been suspended output (Davis & Trudell, 2021).

On the production and sales fronts, lots of Toyota’s plants around the world suspended operations and some are
still manufacturing at a reduced volume. For sales and after-sales service activities, customer visits have been
restricted in some countries and regions. For back-office employees and engineers, Toyota has cancelled large
meetings and events and encouraged working from home and teleconferencing to reduce the risk of infection.
Using this opportunity, Toyota have been streamlining operations by examining how we hold meetings and
revising and eliminating certain business processes (Toyota Industries Corporation, 2020).

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During this time, the customer’s demand for Toyota’s product isn’t priority, COVID-19 has brought suffering to
people everywhere. National and local governments are working without rest to repel the Covid and recover
economic. Toyota’s business partners also have had a harsh time that requires activities to open procurement
and seek co-existence and co-prosperity for both sides.

Solving the impact of Covid-19, Toyota Industries has established a COVID-19 Response Headquarters and has
been collaborating with health centers and other public agencies to counter the pandemic. The department has
responsibility for internal problems as well as supporting strategies for community to repel the Covid. All methods,
prevention activities and plans relevant will go through the department, through lots of round of evaluation and
they will be standardized for the whole organization to apply. As a lesson from this period, Toyota develops and
promotes annual action policies that integrate measures to prevent and control risks related to quality, safety,
the environment, personnel, export transactions, disasters and information security. They have also formulated
the Risk Response Manual, which defines initial response to an emergency not just for Covid but also other
natural disaster and more.

2. CONTEMPORARY MANAGEMENT ISSUE

According to Shepardson’s article in Reuter, the subject vehicles are equipped with a fuel pump which may stop
operating. If this were to occur, warning lights and messages may be displayed on the instrument panel, and the
engine may run rough. This can result in a vehicle stall, and the vehicle may be unable to be restarted. If a vehicle
stall occurs while driving at higher speeds, this could increase the risk of a crash.

Recalling issue is no longer unfamiliar with Toyota since the organization has suffered this lots of time, especially
Recalling Crisis in 2009 which required Toyota recalled more than 10 million vehicles. However, in any situation,
recall is a serious issue that can tarnish a company's reputation and can lead to multi-billion dollars in losses. The
crisis appeared due to the recall of millions of vehicles necessitated Toyota to address the concerns of their
employees. The company incorporated all employees in addressing issues of quality regardless of their rank. The
employees helped in addressing quality concerns of the company’s products. The loss in reputation and profit not
just affects Toyota but also its suppliers. A carmaker like Toyota often designs the general layout and the structure
while lots of details before assembling come from lots of suppliers. A recall affects not only Toyota but other
supplier in car making chain, responsibility issue is very complicated in Toyota’s supply chain. Customer’s safety

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is priority of government, through consumer protection laws they require manufacturers and suppliers to bear
the costs of all product recalls and any associated costs for their people’s sake. Public confidence has a major
influence on consumerism. If consumers can't trust the companies they buy from, they won't pay for their
products in the future. Lost reputation, shareholders lose confident, there can be greater long-term effects such
as plummeting stock prices.

Solving the problem, Toyota recalled 5.84 million vehicles and replaced the involved fuel pump with an improved
one at no cost to customers. Customer’s safety and product’s quality are top concern of Toyota, all models
relevant to the issue that sold will be recall while other (both on the product line and waiting for sale) will be
suspended for fixing later.

Applying Kaizen, for the recall’s lesson, Toyota has applied lots of small changes as well as encourage employees
to suggest innovates to fix the problem. They even have lots of idea competition in many level (local competition,
area competition, global competition) to maximize creativity of employee. They aim to minimize the chance of
reappear of recall as well as minimize the consequence (reduce the loss) if the recall appears again.

One of the innovates from competition to minimize the loss from recall is in inventory warehouse.

Picture 3 Shelf innovation (Le, 2020)

When recall, affected cars will be ranged from the oldest series of the error detail. According to the picture, before
change, when assembling, worker will use details lying on the edge while old ones remain in the corner. By

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changing the shelf, no any details will be remained too long in the shelf which can help to limit a notable number
of affected cars for recalling. Small change made huge impact; this is one of lots of changes that gradually apply
to solving the contemporary issue of Toyota.

For long-term strategy, Toyota developed the Collaborative Safety Research Center (CSRC). CSRC helped in
improving the safety of cars and reducing the number of fatalities on North American roads. SRC has partnerships
with various leading academic and research institutions. These partnerships help in developing projects that can
improve the safety of Toyota’s customers and greatly improve the confidence that customers have in Toyota’s
products.

V. CONCLUSION
The research has talked about theories and approaches in operations management as well as an evaluation
showing different applications and its benefit in Toyota. Besides that, the research also focused on the importance
and the value that operation management bring about through its functions, application in practice as well as
assisting in achieving goals. Last but not least, environment factors can made huge impact on operations
management that researcher has evaluate and analyze the impact as well as the response of Toyota Corporation
in various context.

VI. REFERENCES
1. Akbar, J. K., Babu, K. N. & Hamidreza, F. T., 2013. Just-in-Time Manufacturing System: From Introduction
to Implement. International Journal of Economics, Business and Finance, 1(2), pp. 07-25.

2. Alshehri, O., 2016. Toyota Process Flow Analysis. Global Journal of Management and Business Research:
Administration and Management, 16(5), pp. 9-11.

3. Bañuelas, R. & Antony, J., 2004. Six sigma or design for six sigma?. The TQM Magazine, 16(4), pp. 250-263.

4. Ciampa, D., 1992. Total quality : a user's guide for implementation. s.l.:Reading, Mass. : Addison-Wesley.

5. Davis, R. & Trudell, C., 2021. Toyota cuts show how COVID-19 is ravaging even the best supply planners.
[Online]
Available at: https://www.japantimes.co.jp/news/2021/08/20/business/corporate-business/toyota-

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 supply-chain-cut/
[Accessed 15 September 2021].

6. Doran, G. T., 1981. There's a S.M.A.R.T. way to write management's goals and objectives. Management
Review, 70(11), pp. 35-36.

7. ineak, 2009. Toyota Logistics Operation. [Online]

Available at: https://www.ineak.com/toyota-logistics-operation/
[Accessed 16 September 2021].

8. ineak, 2009. Toyota Production Scheduling and Operations. [Online]

Available at: https://www.ineak.com/toyota-production-scheduling-and-operations/
[Accessed 16 September 2021].

9. IvyPanda, 2021. Total Quality Management (TQM) Implementation: Toyota.. [Online]

Available at: https://ivypanda.com/essays/total-quality-management-tqm-implementation-toyota/#ivy-
csf-section
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