Toyota monitoring suppliers that may have trouble boosting production to meet its needs

Article by Christian A., on August 10, 2012

Toyota Motor Corp. is monitoring fewer than 20 suppliers that have difficulty in increasing production to cope with the automaker’s requirements, according to Robert Young, Toyota’s North American purchasing chief. Toyota is aiming to break records in auto production in each of the two years that are approaching.

Young said in an interview that he is monitoring several suppliers, which are operating 6 or 7 days a week. He said that the suppliers are “struggling” and are “not sustainable.” He said that the company is looking into their ability to maintain the proper maintenance schedules.

Young explained that several of these suppliers (which supply fewer than 10 parts) reduced their capacity by so much due to the recession that they would have to make big investments to cope with increasing production schedules.

The other suppliers in this group have experienced problems with their plants’ operations and can boost productivity without having to make huge investments. Young said that Toyota has asked these suppliers to indicate the measures they will take to resolve the issue.

In addition, Toyota is sending engineers to their plants to conduct on-site inspections. Toyota hopes to set a production record and build up to 1.8 million vehicles in North America this year. Toyota also aims to set records in 2013 and 2014. He said that Toyota is giving suppliers an updated production estimate this week. [source: Automotive News - sub. required]

Topics: toyota, production

If you liked the article, share on:

Comments

Recommended

One of the executives at Volkswagen tagged in the so-called Dieselgate scandal has pleaded not guilty to a list of allegations surrounding the carmaker’s actions to cheat emissions regulations in...
by - February 27, 2017
When the Crown De Luxe saloon was first released in 1972, it was at that time the most lavish Toyota model available to British customers. Both unusual and exclusive, one...
by - February 27, 2017
The ride-sharing fleet of sharing Lyft Inc. will soon include thousands of specially fitted self-driving Chevrolet Bolt electric vehicles, courtesy of General Motors. If plans push through, Lyft’s clients would...
by - February 27, 2017
J.D. Power has officially released the 2017 Vehicle Dependability Study, an annual list of the most dependable brands in the auto industry. Once again coming on top is Lexus, the...
by - February 26, 2017
Citroen revealed that its entry to the Chinese market is moving forward with the planned release of the new generation C5. While still on sale on this part of the...
by - February 26, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries