1. Toyota New Zealand Thames Vehicle Operations 2007 edition

2. Toyota Motor Corporation (TMC) Toyota New Zealand (TNZ) Thames Vehicle Operations (TVO) Management Structure Budgets, Key Performance Indicators (KPIs), Reports ,Markets Certification Process Corporate Philosophy Our Mission - Believe Toyota Way Toyota Production System (TPS) Total Quality Management (TQM) TVO Improvement Structure Staff Improvement System (SIS) 5 WHYs Standardisation International Organization for Standardization ISO

3. TMC Head Office Nakamura-ku Nagoya Aichi-ken Japan 247m High 40 floors

4. TOYOTA GLOBAL VISION Toyota will lead the way to the future of mobility, enriching lives around the world with the safest and most responsible ways of moving people. Through our commitment to quality, constant innovation and respect for the planet, we aim to exceed expectations and be rewarded with a smile. We will meet challenging goals by engaging the talent and passion of people, who believe there is always a better way.

5. Statistics TMC Japan Employees Domestic 67,650 Globally 299,394 Date establishedAugust 28, 1937 Total Sales $2.3 Trillion Yen Vehicle Production 8.9 million 【 Consolidated operating income】 147.5 billion yen

6. Toyota Group and Suppliers Toyoda Industries CorporationManufacture and sales of spinning and weaving machines, industrial vehicles and automobiles Toyofuji Ships Transportation Service Toyota Tsusho Corporation Import, export and trading of raw materials and products Aisin Seiki Co., Ltd. Manufacture and sales of auto parts, household appliances and die- cast parts Denso Corporation Manufacture and sales of electric auto components and household appliances Towa Real Estate Co., Ltd. Real estate development, management and rental Toyota Marine Marine Products and innovations Fuji Heavy industries Stake holder of Subaru automobile manufacturing as well as aerospace,. industrial product and eco-technology, trains, and housing Isuzu Motors Diesel engine technology Hino Motors Truck and Bus manufacturing Daihatsu Motors Vehicle manufacturing

7. Toyota New Zealand Limited Toyota New Zealand Limited

8. Toyota New Zealand Operations TFS Auckland Year Started Staff Palmerston North National Customer Centre 1989 52 Year Started Staff - Direct - Indirect 1977 46 98 Thames – Vehicle Operations Year Started Staff 1999 66 TNZ Auckland Year Started Staff - Direct Sales - MTR & Akl wharf 1986 4 7 Wellington Christchurch

9. Labour Breakdown

12. Direct Labour Hours

13. Overtime Hours

14. TVO Overheads actual vs. Budget

15. Certification / POE Recovery

16. General factory Expenses actual vs. Budgets

17. Outwork Trends

18. Production Quality Audit

19. SIS Activity

20. DPU by Department

21. Goodwill Analysis

22. Personnel report

24. Signature / SBT Certification Standards

25. ISO 9001 : 2000 Business safety, Environmental & Business Systems Manual

26. ISO 14001 Environmental Management system

27. Improvement Structure

28. Purchasing Policy / JDE

29. Admin / Invoice verification ./ JDE

30. NCC TVO Monthly Accounts

31. Pay Global wage System

32. License / Permits Register

33. Receipt Process

34. Stevedore tallies

35. Survey reports

36. VBats

37. Car Haulaways Freight TSIP

38. Electric fences/video/access

39. Monthly rolling/quarterly total stock

40. Monthly Stock Valuations

41. Monthly FRO/FRNZ reconciliation

42. Vehicle volume

43. Vehicle quality

44. Plant Purchasing

45. Invoice Verification

46. Direct / Indirect Staff Payroll ( non Salary )

47. Factory Licenses / Permits

48. Tally checks ( AKL POE )

49. Surveys

50. Storage security

51. Stores / stock control

52. Vehicle stock takes

53. Vehicle tracking systems

55. Certification Cost Per unit

56. Certification Recovery Report

57. Production Results

58. Labour Hours per Unit

59. Daily Management Report

60. General Ledger Monthly Accounts JDE

61. Plant Labour Utilisation Report –Actual

62. Personnel Reports – weekly – Monthly

63. Purchased or Terminated But not Receipted

64. Plant Pre wholesale Priority Vehicles Report

65. Local Supply List NV ( LSL )Budget Reports Expense Overheads Budget Used / New Vehicle Standards Cost Recovery Used / New Vehicles

67. Dealer network – Target – Overall performance – Dealer Stock

68. Vehicle Stock – In process – In Transit Japan – Processed stock

69. Quarterly Review – Strategies

70. Plant Performance – CPU – Labour costs– Overheads – Recoveries - Capex

71. New & Used vehicles - Production – Logistics – Operational Reports

72. Quality – Warranty Stats – Goodwill Costs

73. Projects - Site Services

74. Health & Safety – Training – HR -

77. TNZ FRO Toyota market share 5.6% for Jan. 4.5% YTD

78. Dealer to Public and P – P CoO both up on Jan

79. YTD FRO arrivals not matching registrations

81. Ship Receipt Waiting allocation Wash Bay Quality Assurance Mechanical Paint & Assessment Final Inspection Final Compliance CERTIFICATION PROCESS Service !st Stage Compliance Re-Assembly Mechanical & PIO Finessing Panelbeat Paint Prime Prep Paint Prep Prime

83. Meet the needs of customers in partnership with TFNZ and an independently owned dealer network

84. Focus on putting the customer at the centre of the business

85. Conduct operations with innovation, efficiency and integrity

87. To provide products and services of Superior Quality and Best Overall Value

88. To play a leading role in New Zealand’s vehicle market

89. To generate Prosperity for the Company’s shareholders, staff and dealersAttachment 3A

90. The Toyota Way Respect for People Continuous Improvement Challenge Kaizen GenchiGenbutsu Respect Teamwork

91. Thames Vehicle Operation Systems

92. Rework Motion Inventory Waiting MUDA Material Movement Processing Over- Production "OUR MISSION" "To Develop the full potential of all Staff to enable them to gain maximum job satisfaction and contribute to theirs and the companies long term security, using the principles of the Total Quality Management and the Toyota Production System"

93. Our promise… We must never stand still. Where others might rest, Toyota will move forward and seek out the opportunity to do even better. Toyota products and services will represent the finest in quality and value, to improve life for our customers, while respecting the earth's limited resources. Our efforts will be guided by two principals: Continuous Improvement and Respect for People. This simply means that : We honour our customers as welcome guests and serve them in the manner they desire. We respect the time and priorities of our customers and colleagues. We practice the belief that "there is no best, only better." Together, we will bring this commitment to life at every opportunity, for every customer Promise TOYOTA

94. The Toyota Way and Believe

95. Prime Prep Department We believe: "In our department we consistently carry out our work to meet the required quality standards to satisfy our customer at the next processes." Believe TOYOTA

97. The internal / external customer relationship.

98. The next process is the Customer.

99. The Customer always comes first.

101. TOTAL QUALITY MANAGEMENT T.Q.M ( Total Quality Management ) is an operating philosophy that is totally committed to quality and focuses on achieving this through the continuous improvement of every process and system EVERYTHING A PROCESS IMPROVE THE PROCESS UNIVERSAL PARTICIPATION TEAM AS WELL AS INDIVIDUAL EVERYONE EVERYWHERE CONTINUOUS PROCESS IMPROVEMENT CUSTOMER STATISFACTION

102. QUALITY IS “BUILT IN” AT EVERY PROCESS Customer First The Next Process is the Customer Never Pass on Defects Quality Must be Built in Do it right First Time

103. Staff Improvement System

104. ISO 43 STAFF IMPROVEMENT SYSTEM The Staff Improvement System is designed to assist staff eliminate suffering problems in their working environment. It enables them to put forward ideas for improvement in any area of employment activity. It also allows staff to identify problems with or without a Countermeasure or Improvement idea. It follows the Plan,Do,Check, Action cycle and the procedure is as follows. 1. Staff member/s get an Improvement idea/or identify a problem. 2.They can discuss/brainstorm solutions and countermeasures. 3. Fill out details on a SIS form. Sample attached. 4. Hand the SIS form to their Team Captain/Supervisor. 5.Team Captain Actions or refers to relevant Improvement Group. 6. Improvement is adopted or modified 7. Improvement is implemented or trialed 8. Improvement is monitored and confirmed or further modified. 9. Originator to be informed on completion of S.I.S

106. Environmental (Better for the Environment)

107. Health and Safety (Staff)

108. ISO 9001:2000 ( Product Quality)

109. ISO 14001 (Environmental)

110. Micro Paint System (MPS)

111. Environmentally

112. Cost Reduction

114. Cost Reduction

115. Health & Safety

117. Health & Safety

120. STANDARDISATION STANDARDISATION IS THE FIRST STEP TOWARDS IMPROVEMENT WE must know EXACTLY what the process involves in order to be able to improve it

121. TOYOTA NEW ZEALAND LTD - THAMES VEHICLE OPERATIONS PLANT R R R S S Q STANDARD OPERATION CHART (VEHICLE SAFETY) Ref. No. T / 7-6 Process Description : Replace Front Shock Absorber Insulator (3) Date : 29/09/05 Department / Station : Mechanical Date: L.T.S.A. Plant : Date: Approval No. KEY POINTS OPERATION STEP 21. Replace and support shock assembly in vehicle. 22. Replace 3 upper support nuts. Replace stiffener plate if fitted. 23. Replace 2 bottom bolts and nuts. 24. Replace brake hose. Replace ABS sensor wire if fitted. 25. Tighten and torque bottom nuts. See TMC Repair Manual for torque settings. 26. Replace road wheel. 27. Lower hoist. Observe safety procedures. 28. Tighten and torque top nuts. See TMC Repair Manual for torque settings. 29. Replace upper support cap. Use designated 4s bins to dispose of old parts and waste for recycling. First Aid Nos 6905-7/14. Emergency No 6899.

122. International Organization for Standardization March 2004 Thames awarded ISO 9001 – 2000 Quality Management System November 2005 - Thames awarded ISO 14001Environmental Management System

123. ISO 9001-2000 Accreditation ISO, the International Organization for Standardization is a worldwide federation of national standards bodies Internationally recognised benchmark TNZ Thames Vehicle Operation is the first in the world in this type of operation with ISO Customer Focus. Leadership. Involvement of people. Process Approach. System Approach to Management. Continual Improvement. Factual Decision making. Mutually beneficial supplier relations.

124. PLANT TOUR Ship Receipt Waiting allocation Wash Bay Quality Assurance Mechanical Paint & Assessment Final Inspection Final Compliance CERTIFICATION PROCESS Service !st Stage Compliance Re-Assembly Mechanical & PIO Finessing Panelbeat Paint Prime Prep Paint Prep Prime