Presentation on theme: "The concept of Managing Sustainability on Toyota"— Presentation transcript:
1 The concept of Managing Sustainability on Toyota YINGLE WUMAISAKYLEVASUDHAJUN LI
2 Outline Introduction Social sustainability Economic sustainability Environment sustainabilityconclusionRecommendations
3 sustainable development SustainabilityDefined as a requirement of our generation to manage the resource base such that average quality of life that we ensure ourselves can potentially be shared by all future generations(Geir,1994).sustainable developmentSeeks to take account of and integrate the economy, ecology and society in order to preserve the world‘s environmental and cultural resources for future generations while also respecting diversity and reducing social inequality (AUTOMOTIVE INDUSTRY SUSTAINABILITY REPORTS,2010).
4 Sustainability in the car industry Environmental concerns Climate changeenergy shortage：reliance on oil,Relevant termsAs a significant contributor toanthropogenic GreenhouseGas emissions, control the carexhaust，Car exhausts contain arange of toxic substances that canhave a serious impact on healthconsumer awarenessSocial corporate responsibilityimprove fuel economylower the carbon intensity oftheir product portfolio byintroducing alternativepropulsion systemslong-term challenges(Sustainability Leader Member of DJSI World.2004)Automobiles contribute to global environmental issues such as global warming, resource depletion, accumulation of wastes and atmospheric pollution. Demand for vehicle ownership in densely populated developing countries is growing rapidly; it is estimated that the number of cars on roads around the world will increase from approximately 750 million today to over 1 billion inVehicle emissions ，The increasingly strict legislation pertaining to the industry and rising consumer awareness has compelled the automobile sector to make continuous improvements to its environmental performanceIn addition to environmental issues, the auto industry also has a wide range of social and economic impacts, such as its best practices in management, processes, product development, and worker and customer relationsIndustry Driving ForcesThe main sustainability challenge for the automotive industry is climate change. As a significant contributor to anthropogenic Greenhouse Gas emissions, the industry is subject to stringent regulations in most countries. The industry's reliance on oil adds up to the challenge as governments worldwide seek to diversify their energy sources. To address these issues, carmakers need to improve fuel economy and lower the carbon intensity of their product portfolio by introducing alternative propulsion systems. As markets mature in developed economies, carmakers are aiming for global expansion. Additional long-term challenges arise from their operations in emerging markets. Carmakers need to contribute to regional development through foreign direct investment backed by social andenvironmental standards and through sustainable supply chain management. Sustainable mobility requires profitable business models to meet the fast-growing demand for mobility in an environmentally-viable and socially acceptable way.（AUTOMOTIVE INDUSTRY SUSTAINABILITY REPORTS: A COMPARISON OF BRAZILIAN AND GERMAN FACTORIES ，2010）
5 Toyota leading the motor sustainability Toyota, the world‘s largest automotive manufacturer (Samuel&Louche，2010).lead the automotive industry in corporate sustainability.it's Vision 2010 "Innovation into the future" with its long-term environmental strategyCSR POLICY: Contribution toward Sustainable DevelopmentToyota investments in hybrid technology led the way as an example of sustainableinnovation (Toyota,2007).Toyota, the world‘s largest automotive manufacturer by sales and productions，with 53 production sites around the world.Toyota continues to lead the automotive industry in corporatesustainability for the second consecutive year. On a strategiclevel the company has successfully aligned its expansionstrategy and it's Vision 2010 "Innovation into the future" with itslong-term environmental strategy - the scope of which is one ofthe broadest in the industry.charge-sustaining mode，which combine existing technology with environmentally conscious technology，toyota is contributing to sustainable motoring （and sustainable development） through creating and building a new market segment for automobiles。
7 The strategy of Toyota’s A successful strategy of managing sustainability is different from and much bigger than just “green”：we should took into account three aspects.All of these aspects are embodied in product development, production factories， social activities and the relationships around Toyota
8 Managing sustainability On Toyota Environmental aspect Social aspect Development of vehicle environmental technologiesReduction of CO2 emissions during logistics activities，at plants and dealersDesign for recycling, etc.Customers first policyRespect for diversity， development of humanresourcesVehicle safety, etc.Environmental aspectSocialaspectPayment of taxes，return to shareholders， employmentCorporate governance，etc.EconomicaspectEconomic aspect(Toyota Sustainability Report 2010)
10 development of community organizations opportunity for learning The definition of Social sustainability encompasses three components:development of community organizationsopportunity for learningBasic needs
11 The components are underpinned by 4 guiding principles: EqualityDiversitysocial interactionGood quality of life
12 1. Equality Increasing Employment Opportunities for Disabled People linking disabled people more closely with society and with workplace communitiesIncreasing Employment Opportunities for Disabled PeopleRe-employment Program for Retired Professionals in either an external or internal workplaceJob Placement Program for Over-sixties
13 2. DiversityPromoting Measures to Create a Workplace Worthy of Vigor and Enthusiasm
14 Dedicated that Toyota’s vision philosophy 3. Good Quality of lifeDedicated that Toyota’s vision philosophyThey providing clean and safe products and enhancing the quality of life everywhere through all their activitiesT O Y O TA C O D E O F C O N D U C TMarch, 2006
15 4. Social InteractionToyota actively promote and engage, both individually and with partners, in social contribution activities that help strengthen communities and contribute to the enrichment of society.
17 Global Society and Local Communities * Toyota implement their philosophy of“respect for people” by honoring the culture, customs, history and laws of each country.* they constantly search for safer, cleaner and superior technology that satisfy the evolving needs of society for sustainable mobility.
18 Initiatives toward Improving Traffic Safety Integrated Traffic Safety Measures (Integrated Three Part Initiative)(Toyota,2010)18
19 Relations with Customers No. of Calls at Toyota Customer Assistance Center(Toyota,2010)19
21 (Toyota,2010) Building Good Health Relations with Employees S u s t a i n a b i l i t y R e p o r t ｜ S o c i a l A s p e c t sIn FY2009, Toyota conducted BIP2 activities*1and efforts toimprove metabolic syndrome (a condition when a person hasabdominal obesity and abnormal status in two or more of thefollowing areas: blood sugar, blood pressure and blood lipids)with a priority on workplace activities that promote good healthpractices(Toyota,2010)21
22 Relations with Business Partners Working More Closely with Business Partners and Returning to Basics of ‘Emphasis on Quality' and ‘Customer First'22
23 Relations with Shareholders Improving technology, supply, and marketing through continued forward-looking investmentsGrowthMaintaining and improving profitability and capital efficiencyEfficiencyMaintaining a solid financial baseSafety