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Connection between Toyota’s success and 1,400 critical parts, by global director
In a recent conversation with Leila Aridi Afas, the director of global policy at Toyota Motor North America she gave insights into the global success of the auto brand, including, crisis management strategy.
Indeed, she stressed that Toyota’s focus on 1,400 critical parts out of about 30,000 parts and getting them ready had kept the supply chain going.
According to her, the first step to solving any gigantic problem is to gather information. A team in the company worked around the clock to map out the entire supply chain—not just one supply chain for the company, but chains for nearly every single part it takes to make nearly every single one of their automobiles. The team identified about 1,400 critical parts (out of roughly 30,000 parts total) that had relatively long lead times. If any one of those 1,400 critical parts was not available, the entire production line could be forced to a halt.
“The team identified their suppliers, their suppliers’ suppliers, and their suppliers’ suppliers’ suppliers,” Leila explained. Over time, Toyota worked to increase inventory and manage lead times for these critical parts. Listening to her explain the database, you get the sense that if anyone so much as sneezes in a plant where one of those 1,400 critical parts is coming from, a red-alert button lights up. While that’s not literally the case, Leila described several ways in which Toyota worked to safeguard its supply of critical parts:
A team within the company worked to diversify its presence in multiple geographic regions while ensuring that it could procure the necessary parts to keep building vehicles if one particular region were unable to produce.
Toyota began standardizing parts across different vehicle models. Now, if one supplier shuts down for any reason, another plant is able to increase production of the standardized part to meet demand.
When standardization wasn’t an option—as is the case for the 1,400+ critical parts Leila’s team identified—Toyota increased inventory to maintain a supply in case of emergencies.
Leila identified several takeaways from Toyota’s experiences in dealing with supply chain problems.
She said, “In my view, the most important part is the trust and respect between Toyota and our suppliers, who are truly partners.”
She also emphasized the importance of staying in close and constant communication with suppliers.
Following the devastating 2011 earthquake and tsunami, Toyota created a new database called the Rescue system, which suppliers update in real time and which Toyota tracks consistently. “It’s crucial that the information is always up to date,” Leila said, adding, “You never know when a crisis will strike.”
Auto
Toyota by CFAO surprises customers with free Hilux, motorcycles, all-expense-paid trip to Seychelles
Toyota by CFAO surprises customers with free Hilux, motorcycles, all-expense-paid trip to Seychelles
Buyers of brand new Toyota vehicles in Nigeria from Toyota by CFAO at this period are up for unprecedented pleasant gifts as part of the company’s end of the year package.
Toyota by CFAO, an official distributor of Toyota vehicles in Nigeria, in a statement announced the exciting end-of-year bonanza to reward both new and existing customers.
It listed the prizes on offer as free Toyota Hilux pickups, Yamaha motorcycles, and an all-expense-paid trip to Seychelles.
The promotion, it says, is open to corporate and individual clients.
It specifically states that the End-of-Year Bonanza features four main categories of rewards: Buy 5 units of the Toyota Coaster bus and receive a free Toyota Hilux pickup; or Buy 15 units of either the Toyota Hiace Mid Roof or Toyota Hilux Prerunner and get a Toyota Hilux pickup at no additional cost.
The second category is the offer of a Free Yamaha Motorcycle, in which a buyer automatically receives a Yamaha motorcycle for free on the Purchase a Toyota Hilux, running on diesel.
For the third category, the company is sponsoring an All-Expense-Paid Trip to the Seychelles for those who purchase any of the following Toyota models: Toyota Land Cruiser Prado, Toyota Land Cruiser 300, Toyota Fortuner, or Toyota Camry.
In the last category, customers will win a return ticket to the Seychelles for the Purchase a Toyota Corolla Cross or Toyota RAV4.
To participate, it says customers simply need to visit the Toyota by CFAO website at www.toyotabycfao.ng and follow the registration process.
The company says since the promotion is valid while stocks last, it advises early participation.
It says, “All the Toyota products offered as prizes are renowned models.
“The Toyota Hilux, which is known for its strength and durability, boasts advanced chassis and bodywork, making it the ultimate choice for tough tasks, with more than 50 years of proven power.”
The Toyota Hiace is a versatile vehicle with a 2.7L engine, perfect for both cargo and passenger transport in urban and rural areas; while the Toyota Coaster which is ideal for group travel, offers a spacious cabin and reliable transport for passengers with capacities of 2.7L or 4.2L.
Toyota by CFAO says the promotion, which kicked off on November 1, 2024, provides a unique opportunity for customers to drive away with top-quality Toyota vehicles and win exclusive prizes.
Managing Director of Toyota by CFAO, Mr. Boye Ajayi, stresses the company’s dedication to providing high-quality, tropicalized Toyota vehicles and superior after-sales service.
He encourages Nigerian car buyers to take advantage of the promotion as a way to acquire vehicles designed for the country’s specific needs.
“We are proud to offer Toyota vehicles built specifically for the Nigerian market. Our range includes city cars, sedans, family vehicles, SUVs, pickups, and light commercial models.
“Toyota vehicles are recognized worldwide for their safety, fuel efficiency, and cutting-edge technology, and they come with a 3-year warranty for added peace of mind,” says Ajayi.
The company says it remains committed to offering a wide selection of vehicles designed for both urban and rural environments, backed by exceptional after-sales service.
“Toyota by CFAO is dedicated to ensuring customer satisfaction and delivering high-quality products for Nigerian drivers,” it adds.
Auto
NAJA okays December 11 for 2024 Nigeria Auto Awards
NAJA okays December 11 for 2024 Nigeria Auto Awards
The Nigerian Auto Journalists Association (NAJA) has fixed December 11, 2024 for this year’s Nigeria Auto Awards holding at the renowned Oriental Hotels, Victoria Island, Lagos.
The event starting at 6pm, with invited guests coming from across the country’s automotive industry, including manufacturers, assemblers, dealers and automobile components/parts producers as well as influencers.
The NAJA Auto Awards is a key event in Nigeria’s automotive calendar, celebrating the best vehicles, innovations, and industry figures that have shaped the current year.
The award event will honour exceptional achievements in design, technology, sustainability, and overall impact in the sector.
In a statement, NAJA highlighted that the awards are the result of months of thorough planning and collaboration with industry experts, ensuring the event remains a credible platform for recognizing leaders in Nigeria’s fast-evolving automotive landscape.
Chairman of the 2024 Auto Awards Committee, Theodore Opara, emphasized that the timing of this year’s ceremony is especially significant as the industry is experiencing a rapid transformation, particularly in the areas of electric vehicles (EVs), compressed natural gas (CNG)-powered vehicles, and eco-friendly vehicle technology.
“We’re incredibly excited to gather Nigeria’s top automotive minds and brands on December 11 to recognize the vehicles and individuals who have truly made an impact,” Opara said.
“This year’s awards will reflect the shifting dynamics of the industry, particularly with the growing importance of electric and sustainable mobility solutions. Our aim is to shine a spotlight on the innovations that are driving Nigeria’s automotive sector into the future.”
The NAJA Auto Awards will feature a variety of competitive categories, such as Car of the Year, Truck of the Year, Best New Electric Vehicle, Luxury Brand of the Year, and Best Auto Tech Innovation.
Other categories will recognize standout achievements in vehicle design, safety, and sustainability.
Opara also pointed out that the selection process for the awards would be rigorous, with a panel of expert judges, including NAJA’s network of experienced automotive journalists, evaluating each nominee across several criteria, such as performance, innovation, environmental impact, and technological advancement.
Mike Ochonma, Chairman of NAJA, emphasized the dramatic shifts occurring within the industry.
“The automotive world is changing at an unprecedented pace. From the rise of electric powertrains to CNG-powered vehicles, the 2024 awards will highlight the most forward-thinking products that are leading the change in shaping the future of mobility in Nigeria,” said Ochonma.
“We’re committed to ensuring that the awards recognize the true pioneers—those companies and vehicles pushing boundaries and setting new benchmarks.”
The event promises to be an evening of celebration, with special presentations and a showcase of some of the most notable nominees.
Auto
Nigeria to start production of CNG conversion kits soon — PCNGI
Nigeria to start production of CNG conversion kits soon — PCNGI
Nigeria is set to commence the production of components currently being imported for the conversion of vehicles to run on compressed natural gas (CNG).
Already President Bola Tinubu has approved the establishment of CNG industrial parks for this purpose.
Chief Executive Officer (CEO)/Programme Director of the Presidential Compressed Natural Gas Initiative (PCNGI), Engr. Michael Oluwagbemi, disclosed this in Lagos at a training workshop organised by the Nigeria Auto Journalists Association’s (NAJA).
He said the government would vigorously purse this project with a firm belief that the CNG revolution is a catalyst for Nigeria’s industrialisation.
Oluwagbemi who was represented at the event by Mr. Olayinka Rufai, Strategic Project Adviser at the PCNGI, in his presentation, said the government had identified manufacturers of components for CNG vehicle conversion that had indicated interest to establish their plants in Nigeria.
He said, “We do not want to replace the importation of fuel with the importation of equipment.
“In government’s ambitious mission to convert a million commercial vehicles in three years (amongst other targets) there lies an opportunity to establish local production of these conversion kits and their components.
“As such we are in advanced stages of preparation to set up industrial parks where CNG related equipment, materials, and components are produced.
“We have identified the central and well-suited Ajaokuta Steel Complex for the first of these parks. We have identified manufacturers of conversion kits, cylinders, and even tricycles who have all indicated interest in establishing facilities to assemble or produce from scratch.”
According to the PCNGI CEO, the initiative will drive down the demand for foreign exchange and boost the economy.
Indeed, he added that it would create job opportunities for the youth, skilled labour, and “eventually bring in foreign exchange as we begin to generate export capacity.”
Oluwagbemi stressed that Nigeria is more of a gas than an oil country, adding that the adoption of the CNG as a primary fuel source for vehicles would offer a tangible, immediate gain for all Nigerians.
He said, “CNG allows us to decrease our reliance on imported fuels and build a more resilient energy future.
“By using CNG, vehicle owners will see a reduction in fuel costs of up to 50%, which is especially critical for drivers who rely on their vehicles for income and transport.
“Additionally, CNG-powered vehicles are known for significantly lower maintenance costs. Unlike petrol and diesel, CNG burns cleaner, resulting in fewer engine deposits and less frequent oil changes, ultimately extending the life of vehicle engines and reducing repair expenses.”
He disclosed the FG was determined to drive the CNG vision to achieve maximum success.
He said apart from injecting $250 million in the past 12 months, the government was also collaborating with financial institutions for easy access by motorists.
He listed InfraCorp, Bank of Industry (BoI) and Development Bank of Nigeria (DBN) as some of the financial institutions the government was working with to ease the conversion costs for vehicle owners.
Oluwagbemi said the government planned to convert a million petrol and diesel powered-engine vehicles to run on CNG by 2027.
He assured Nigerians of the safety of CNG-powered vehicles either obtained from credible auto firm or converted at any government-approved centre.
He said the Standard Organization of Nigeria (SON) and the National Automotive Design and Development Council (NADDC) had been part of the safety and standard regulations for the project.
He specifically said the SON had provided over 80 standards on the CNG, while the NADDC handles the conversion centre accreditation and conversion kit certification.
“Let me be clear — CNG is not only safe but, in many ways, even safer than traditional fuels. CNG cylinders are rigorously tested to withstand high pressures, and because natural gas is lighter than air, it disperses quickly in the highly unlikely event of a leak, reducing the risk of fire,” he stated.
Oluwagbemi commended NAJA for organising the event and its consistent commitment to informing and educating the public about advances in the nation’s auto industry.
He particularly noted that the theme, ‘CNG/LPG/EV Initiative: Challenges, Sustainability, Opportunities, Alternatives to Fossil Fuels in Nigeria’ was timely, speaking not only to the nation’s energy and environmental goals but also to a larger economic vision.
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