Toyota Motor Corporation and the Company Stands Poised

 

Victor Vanov of Toyota
Victor Vanov of Toyota

FLORENCE – Despite the nation’s economic struggles, production has returned to 100 percent at Toyota Motor Corporation and the company stands poised to unveil a new group of fuel-efficient models.

“Over the past three years, we have shared sacrifices from the top to the bottom of the company,” said Victor Vanov, an external affairs specialist with Toyota. “We are prepared and ready when the economy takes off again,”

Vanov outlined the steps Toyota took to weather the worldwide economic downturn and the March 2011 tsunami in Japan at the Florence Rotary Club meeting on Monday, September 12. He also explained how the company’s managerial concepts helped the company withstand the crises and gave the Rotarians a preview of new Toyota models in the works.

“We focused more and more on the “Toyota Way”” as the challenges mounted, Vanov said. The Toyota Way is a philosophy – called kaizen in Japan – that emphasizes continuous improvement and respect for people. Applied to management and production, the “Toyota Way” centers on innovation and teamwork.

As sales and production of Toyota vehicles declined, the company elected not to lay off any team members, Vanov said. Instead, Toyota put employees to work on improving quality, safety and ergonomics.

“They were still working and doing things for the company,” Vanov explained. “For example, our plant in Alabama developed a four-cylinder engine.”

The Huntsville, Ala., plant will start production this month on four-cylinder engines for the Camry, Highlander, RAV4, Venza and Sienna. The four-cylinder RAV4 and the 2012 Camry were among the new models Vanov showed the Rotarians. The new designs include hybrid, electric and other models that will get high gasoline mileage.

The “Toyota Way” also calls for high quality investment in the community. During a household waste collection event, citizens turned in more than 200,000 pounds of refuse, Vanov observed. The company also invested $26,000 in improvements to the Scott County Courthouse in Georgetown, resulting in $155,000 in savings in five years.

“Our philosophy is to become one of the most admired companies in town,” Vanov said.

Toyota produces 12 models of vehicles in North America, including the Camry plant in Georgetown. Sales decreased from a peak of 16 million to 10.4 million in 2009. Sales improved to 11.6 million in 2010 and forecasts call for them to reach 13 million again in 2011, according to Vanov.

“The idea more and more is to design, develop, engineer and produce automobiles in North America,” he said. “We are bullish on the long-term outlook for the industry.”

For information about the weekly meetings, guest speakers, and community service opportunities of the Florence Rotary Club, contact Pat Moynahan, president at amoynahan@insightbb.com or 859-802-0242.  Visit the group’s website at www.florencerotary.org.  Florence Rotary meets weekly on Mondays at noon at the Airport Hilton Hotel in Florence.

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