_________________________________________________________________________________ Toyota Motor Corporation
Michael interjects : “ It ’ s also important for us to look at the technology being used at our dealerships and ensure we position our supply chain and fulfillment to meet new requirements . Toyota Service Connect , for example , delivers information via a mobile app to our customers concerning their vehicle ’ s maintenance needs using data transmission from their car . Using this data , we ’ re planning to schedule service appointments directly from customers ’ phones , which requires us to look for new ways to provide more personalized fulfilment like the on-demand parts delivery we ’ re currently trialing .”
Navigating change
Having highlighted some of the ways in which the company is tackling industrywide issues , the conversation turns to Mike ’ s predictions of the market ahead . “ Many of the post-pandemic issues we ’ ve talked about are transient . We ’ ll work through them alongside our suppliers and dealers through continued process improvements , but the real challenge comes once we ’ ve worked through those issues – where do we go from there ?
“ There ’ s so much change happening in the automotive industry right now with the rise of technology and the movement towards electrification . My focus is always looking ahead , preparing for what ’ s coming next , and we ’ re taking a very optimistic view of the future . Some automotive supply chain businesses see the rise of electric vehicles ( EVs ) as a threat , with many parts like oil filters and engine components decreasing in demand as electric increasingly replaces internal combustion engines .
“ While some predict a potential doubledigit reduction in service parts order volume , we see the future as an opportunity for strategic growth ,” Mike suggests . “ Despite the changing market , our mission is to develop strategies and new revenue opportunities that allow us to recapture any lost profit and support the overall company through this transition to a new future .
“ To plan for this , we ’ re looking at our supply chain in an entirely different way than we ever have before . It ’ s easy to consider a fulfillment business as a back-office operation , but it ’ s an outdated view that needs transforming ; we ’ re
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