In the current automobile business, a lot of competition has arisen due to innovation and technological advancement. To have a competitive edge industry players are now looking into an efficient and lean supply chain management so as to cut costs. Supply chain management is the process, within a firm, of overseeing the cash flows, information, and raw materials as they move from supplier to manufacturer to wholesaler or retailer to the final consumer. Supply chain management involves consolidating the entire process to ensure that the firm runs smoothly. Supply chain management is divided into three categories. Financial flow. Deals with the cash flow either in or out of a concern. There is also the information block. This sector ensures that there is constant communication between the firm, its suppliers, and the market. Finally, there is the resource flow CITATION Joh11 l 1033 (Mangan & Lalwani, 2011). At this division material input and output is overseen. In this paper we are going to focus on two companies Toyota and Volkswagen. Both are giants in the automobile company reporting revenue returns worth billions and having branches almost in every continent. Their supply chain management then needs to be top notch to keep the business running smoothly. With an efficient business plan Toyota has, of the two companies the leanest supply chain. Started in 1937, Toyota Corporation is a car manufacturing, assembly, designer and seller of both commercial and personal cars. It has over the years acquired a lot of brands to its name. Some of these brands include; Lexus and Hino. It is the largest manufacturer of automobiles and the eighth largest company in the world.
Free Comparison between Toyota’s and Volkswagen’s Supply Chain Essay Sample