Knowledge (XXG)

1997 Aisin fire

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production system worked, and that they had "the right balance of efficiency and risk". Toyota also learned to reduce the number of variations in its parts to make production easier as well as to reduce risk. Toyota's suppliers also had the benefit of increasing efficiency in their production as well
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Aisin, along with Toyota, set up a crisis room to deal with the problem of manufacturing new P-valves. Toyota managed to get many of its suppliers to bring in additional engineers, and work overtime shifts, to help build machines to produce P-valves, as well as increase production of the components.
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system, where businesses have "interlocking" relationships with each other. The loyalty shown by Toyota's suppliers to the company showed it the value of long-term business relationships: the suppliers reportedly did not ask what they would be paid for rushing out the valves; Aisin and Toyota later
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With the factory out of production, it was estimated that Toyota would have to halt car production for weeks. The economic impact of this would have been huge for Toyota, the local economy and for Japan. It was estimated that each day Toyota production was halted would lead to a 0.1% decrease in
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The first usable valves were delivered to Toyota on the Wednesday (February 5) following the fire, allowing production of cars to resume. While observers initially predicted that Toyota would have to halt production for weeks, the incident ultimately set Toyota's production back only five days.
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However the event also provided an example of successful business relationships between Toyota and its suppliers, allowing the company to quickly manufacture replacement parts and limit the halt in production of its cars, thereby minimizing the losses from this event.
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Some of Toyota's suppliers, and their subcontractors, were persuaded to give priority to the production of P-valves. Even a sewing machine manufacturer was persuaded to help provide valves for Toyota.
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Co. producing the remaining 1%. The production of P-valves was complicated, and required specialised tools. Furthermore, different varieties of P-valves were in production.
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reimbursed them for the work, including the valves, overtime and re-tooling of their machines, as well as providing a $ 100 million bonus to the suppliers involved.
238: 73:(P-valves) which help prevent skidding by controlling the pressure on rear brakes, and are used in the braking system of all Toyota vehicles. 35:
on February 1, 1997, a Saturday. The event was notable as the factory was the main supplier of a motor part for Toyota cars. Due to the
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The fire and the subsequent production crisis held many lessons for Toyota. It showed them that their implementation of the
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The efficiency with which production was re-established also showed the value of the Japanese
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The fire started before dawn on February 1, 1997, at Aisin Seiki Co.'s Factory No. 1 in
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as learning the lessons of building redundancy into their production methods.
29: 43:, Toyota's car factories reportedly only kept four-hour stocks of the part. 114: 56: 25: 60: 21: 171:"How Toyota Recovered From A Major Fire in Less Than a Week" 199:
Toshihiro Nishiguchi and Alexandre Beaudet (Fall 1998).
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which shut down one of the production facilities of the
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99% of Toyota's P-valves were made at this plant, with
63:. The cause of the fire was reportedly unknown. 8: 143: 201:"The Toyota Group and the Aisin Fire" 175:Mirror of Wall Street Journal article 165: 163: 161: 159: 157: 155: 153: 151: 149: 147: 7: 14: 181:from the original on 14 June 2006 39:stock keeping philosophy of the 239:Industrial fires and explosions 41:Toyota Production System (TPS) 1: 205:MIT Sloan Management Review 84:Japan's industrial output. 280: 211:(1): 49–59. Archived from 259:1997 industrial disasters 133:Toyota Production System 264:1997 disasters in Japan 101:Lessons from the fire 66:The factory produced 71:proportioning valves 249:1990s fires in Asia 271: 224: 223: 221: 220: 196: 190: 189: 187: 186: 167: 279: 278: 274: 273: 272: 270: 269: 268: 229: 228: 227: 218: 216: 198: 197: 193: 184: 182: 169: 168: 145: 141: 128:Aisin Seiki Co. 124: 103: 90: 53: 33:Aisin Seiki Co. 18:1997 Aisin fire 12: 11: 5: 277: 275: 267: 266: 261: 256: 251: 246: 241: 231: 230: 226: 225: 191: 177:. 1997-05-08. 142: 140: 137: 136: 135: 130: 123: 120: 102: 99: 89: 86: 52: 49: 13: 10: 9: 6: 4: 3: 2: 276: 265: 262: 260: 257: 255: 252: 250: 247: 245: 244:1997 in Japan 242: 240: 237: 236: 234: 215:on 2006-09-01 214: 210: 206: 202: 195: 192: 180: 176: 172: 166: 164: 162: 160: 158: 156: 154: 152: 150: 148: 144: 138: 134: 131: 129: 126: 125: 121: 119: 116: 111: 108: 100: 98: 94: 87: 85: 81: 79: 74: 72: 69: 64: 62: 58: 50: 48: 44: 42: 38: 34: 31: 27: 23: 19: 217:. Retrieved 213:the original 208: 204: 194: 183:. Retrieved 174: 112: 107:Just In Time 104: 95: 91: 82: 78:Nissin Kogyo 75: 65: 54: 45: 37:just in time 17: 15: 68:brake fluid 254:1997 fires 233:Categories 219:2006-06-19 185:2006-06-19 139:References 30:subsidiary 179:Archived 122:See also 115:keiretsu 88:Recovery 51:The fire 57:Kariya 26:Toyota 20:was a 61:Japan 22:fire 16:The 235:: 209:40 207:. 203:. 173:. 146:^ 59:, 222:. 188:. 28:-

Index

fire
Toyota
subsidiary
Aisin Seiki Co.
just in time
Toyota Production System (TPS)
Kariya
Japan
brake fluid
proportioning valves
Nissin Kogyo
Just In Time
keiretsu
Aisin Seiki Co.
Toyota Production System










"How Toyota Recovered From A Major Fire in Less Than a Week"
Archived
"The Toyota Group and the Aisin Fire"
the original
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