Assessment 1: BUSINESS ANALYTICAL REPORT

NAME: VISHALI MOHANASUNDARAM

STUDENT ID:14290740
SUBJECT: CO5124 - DATA ANALYSIS AND DECISION
MODELLING
DATE:03.04.2023

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TABLE OF CONTENT PAGE NO

INTRODUCTION 2

BUSINESS OVERVIEW 2

SWOT ANALYSIS 2

RECOMMENDATIONS 3

CONCLUSION 4

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INTRODUCTION:
Toyota is a Japanese global automaker that manufactures a broad variety of vehicles
such as automobiles, trucks, and SUVs. Kiichiro Toyoda founded the business in 1937, and it
is based in Toyota City, Aichi, Japan. Toyota has a reputation for producing high-
quality,
dependable cars and for being a pioneer in hybrid and electric vehicle technology. The business
is dedicated to sustainability and has adopted several environmental measures in its operations.
Toyota has a global footprint and works in numerous nations, with manufacturing facilities in
Asia, Europe, North America, and South America. The business places a strong emphasis on
R&D and invests heavily in creating new technologies and improving current goods. Toyota’s
car lineup includes famous models such as the Camry, Corolla, RAV4, and Tacoma. Under the
Lexus brand, the business also manufactures luxury cars. Toyota is a popular and widely
recognized car manufacturer renowned for its quality, dependability, and dedication to
sustainability.

BUSINESS OVERVIEW :
Toyota obtains a large quantity of customer info through sales and support
interactions. Customers, car preferences, buy history, and support encounters are all included.
The data is
then analyzed to obtain insights into consumer behavior, preferences, and degrees of happiness.
However, the precision and completeness of data sources can influence the reliability of these
findings. Customers providing insufficient or erroneous information, for example, may result
in incorrect insights.
Toyota obtains statistics on sales patterns, client behavior, and retention rates.
This information is used to guide sales and marketing strategies, find areas for growth, and
assess
the efficacy of existing practices. However, the data gathered may not always provide a full
image of customer behavior or market trends, as it is frequently restricted to Toyota's own sales
channels and may not catch information on competitor sales or broader market trends.
Toyota collects statistics on inventory levels, provider performance, and transportation
operations. This data is used to optimize supply chain management and guarantee timely and
cost-effective product distribution. However, variables such as supply chain disruptions or data
entry mistakes can influence the data's reliability.
Toyota undertakes market research to collect information on customer requirements,
preferences, and behavior. This information is used to help with product creation and marketing
tactics. However, variables such as sample size, bias in poll design, or errors in data gathering
or processing can all influence the reliability of this data.
Toyota collects statistics on its environmental effect and initiates efforts to reduce its
carbon footprint. This information is used to track progress toward green objectives and to guide
future environmental efforts. However, variables such as the accuracy of environmental effect
estimates or data gathering errors can have an influence on the reliability of this data. In addition
to these constraints, there are worries about data privacy, data integration, data security,
and the risk of human mistake in corporate data gathering and analysis. These limitations
emphasize the significance of adopting strong data management practices and ensuring
that data is gathered, analyzed, and stored in a secure and ethical way to optimize Toyota's value
from company data.

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SWOT ANALYSIS:
STRENGHTS
• Established Data Infrastructure
• Strong Analytical Capabilities
• Data-Driven Decision making
• Investment in technology
• Continuous improvement culture
WEAKNESS
• Limited Use of Advanced Analytics
• Lack of Agility
• Limited Integration of Data Sources
• Limited integration of data
• Limited use of real-time analytics

OPPORTUNITIES
• Predictive Analytics
• Personalization
• Sustainability
• Supply chain optimization
• Autonomous vehicles
THREATS
• Data Privacy and Security
• Increasing Competition
• Technological advancements
• Changing customer behavior

STRENGHTS
• Toyota has a well-established data infrastructure in place that gathers and saves
significant amounts of company data. This lays a solid framework for adopting business
analytics and getting insights that can be used to inform decision-making across the
organization.
• Strong Analytical Capabilities: Toyota has a strong logical team capable of extracting
insights from big and complicated databases. This enables the firm to spot trends,
patterns, and abnormalities in business data that can be used to guide strategic decision-
making.
• Toyota has a data-driven culture that values data-driven decision-making, with
analytics used to educate and optimize various parts of the company. This helps
to
guarantee that business choices are made based on soundproof and insights, rather
than intuition or guesswork.
• Investment in Technology: has made significant investments in technology, which
enables the company to collect, process, and analyses large amounts of data efficiently.
• Continuous Improvement has a culture of continuous improvement, which means that
the company is always looking for ways to optimize its operations and use analytics to
identify areas for improvement.

WEAKNESS:

• Limited Data Source Integration: While Toyota gathers data from a variety of sources,
there are constraints to how well these sources are combined. This can make gaining a
comprehensive picture of the company challenging and restrict the efficacy of analytics
efforts.
• While Toyota has strong analytical skills, there may be chances to use more
sophisticated analytics methods, such as machine learning, to derive deeper insights
and find more complicated trends in business data.
• Lack of Agility: Because of Toyota's scale and established processes, it can be difficult
to react rapidly to market changes or try with new analytics methods. This can restrict

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 the company's ability to respond to new challenges or possibilities by adapting and
innovating.
• Limited Integration of Data: While Toyota has a strong data management system, there
are still challenges in integrating data from various sources to gain a complete picture
of the business.
• While Toyota collects a large amount of data, there may be opportunities to use real-
time analytics to gain insights and make decisions in real-time.

OPPORTUNITIES:

• Toyota can use predictive analytics to anticipate future patterns and behaviors, which
can then be used to influence the creation of products, advertising,
and supply chain strategies.
• Real-Time Analytics: Real-time analytics can provide timely insights that can guide
decision-making and assist Toyota in responding swiftly to market changes.
• Data Monetization: Toyota can use its massive amounts of data to create new income
streams, such as by selling data insights or developing data-driven services.
• Personalization: By analyzing customer data, Toyota can personalize its marketing and
customer service efforts, which can improve customer satisfaction and loyalty.
• Supply Chain Optimization: By using analytics to optimize the supply chain, Toyota
can reduce costs and improve delivery times.

THREATS:
• Data Privacy and Security: Because Toyota collects and stores large quantities of
customer data, the company is susceptible to data leaks or cyber-attacks, which can
harm the company's image and undermine customer confidence.
• Increasing Competition: As the car industry becomes more competitive, businesses that
can successfully use business analytics will gain an edge. To stay competitive, Toyota
will need to continue to invest in analytics skills.
• Changing regulation: Changes in data protection and security laws may influence
Toyota's collection, storage, and use of company data. The business must remain
current on regulatory changes and adjust its analytics methods appropriately.
• Advancements: With the pace of technological change accelerating, Toyota needs to
ensure that it continues to invest in technology and analytics to remain competitive.
• Changing Customer Behavior: As customer behavior and preferences change,
Toyota needs to use analytics to identify these changes and adapt its strategies
accordingly to remain relevant and meet evolving customer needs.

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RECOMMENDATION:
• Improve Data Integration: Toyota should prioritize the integration of its various data
sources to produce a more complete picture of the company. This can be accomplished by
adopting a master data management system capable of harmonizing data from
various sources. This will provide the business with a more accurate and comprehensive
grasp of
its customers, processes, and market patterns.
• Increase the Use of Advanced Analytics: While Toyota has strong analytical skills,
it should consider utilizing more advanced analytics methods such as machine learning to
find more complicated trends and insights in its data. This will allow the firm to improve
various parts of its operations, such as product development and supply chain
management.
• Create Agile Analytics Processes: Toyota should strive to create more agile analytics
processes that can react rapidly to market changes or new possibilities. This can be
accomplished by putting in place a data-driven decision-making structure that prioritizes
rapid testing and revision. This will allow the business to adapt and develop faster.
• Improve Data Privacy and Security: Toyota should emphasize data privacy and security by
putting in place strong safeguards to secure its customers' data. This can be accomplished
by adopting security procedures, performing regular security assessments, and investing in
staff cybersecurity training.
• Implement the Use of Predictive Analytics: Toyota should make use of predictive analytics
to anticipate future patterns and behaviors. This allows the business to maximize its product.
creation and marketing strategies, as well as predict shifts in product demand.
• Monetize Data: Toyota should investigate methods to monetize its massive amounts of data,
such as creating data-driven services or offering data insights to third-party
businesses. This can help the business generate new income sources and offset the
expenses of its analytics efforts. The recommendations address various aspects of the
SWOT
analysis, such as data integration, extending the use of advanced analytics, creating
flexible analytics processes, enhancing data privacy and security, utilizing predictive
analytics, and
selling data. Toyota can better leverage its data assets to generate value for the company
and stay competitive in the automotive market by implementing these suggestions.

CONCLUSION:
Toyota has a strong foundation for leveraging business analytics to provide insights and
create value for the business. The company has an established data infrastructure, strong
analytical capabilities, and a data-driven culture. However, there are areas where Toyota can
improve its use of analytics, such as improving data integration, expanding the use of advanced
analytics, and developing more agile analytics processes. Additionally, the company should
prioritize data privacy and security, leverage predictive analytics, and explore ways to monetize
its data. By implementing these recommendations, Toyota can continue to optimize various
aspects of the business and remain competitive in the ever-evolving automotive industry.

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REFERENCES:

• • Toyota (2021). Toyota Annual Report 2021. Retrieved from

https://global.toyota/en/ir/library/annual_report/.
• Coastal, M. (2016). Toyota Motors Case Study: An Analysis of Toyota's Strategic Capabilities and
Performance. Ivey Publishing.
• De Sousa, M. (2018). Data Analytics in the Automotive Industry: 5 Use Cases. Dataflow. Retrieved from
https://datafloq.com/read/data-analytics-in-the-automotive- industry-5-use-cases/4337.
• Davenport, T. H. (2018). Data Monetization: Unlocking the Value of Data. Harvard Business Review.
Retrieved from https://hbr.org/2018/05/data-monetization- unlocking-the-value-of-data.
• Collier, K. (2012). Agile Analytics: A Value-Driven Approach to Business Intelligence and Data
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• "How Toyota Uses Data Analytics for Product Innovation and Quality Improvement" - Harvard Business
Review - https://hbr.org/2018/11/how-toyota-uses-data-analytics- for-product-innovation-and-quality-
improvement
• "Toyota Uses Analytics to Improve Performance and Quality" - SAS -
https://www.sas.com/en_us/customers/toyota.html.
• "The Impact of Big Data Analytics on the Automotive Industry" - Journal of Business Research -
https://www.sciencedirect.com/science/article/pii/S0148296319301041
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data-to-drive-efficiency/?sh=4f4e26ab2b70