"At Toyota Motor Engineering & Manufacturing North America, we believe continuous growth of our diversity program is a must and are striving to be the best in our industry. Our commitment to diversity is an integral part of our success and we know that this commitment must continue to grow.
Toyota is focused on creating and increasing relationships with minority businesses. Our vision is to develop a strong foundation of highly qualified, minority-owned suppliers that can provide us with exceptional products. Through innovative sourcing strategies, we are finding creative ways to involve Minority Business Enterprises (MBEs) in our business.
Our purchasing targets are a tangible response of Toyota's dedication to a clear business initiative. These targets are only a floor, not a ceiling. We need to set our aim high and use the resources we have available to meet our targets."
Given that we manufacture and sell vehicles for all segments of the U.S. population, our corporate philosophy is rooted in the idea of inclusion and being able to thrive in an environment defined by its variety. In fact, learning to thrive in a diverse environment is a requirement for us because Toyota Motor Engineering & Manufacturing North America is itself a collection of separate but connected enterprises spread throughout North America.
Our growth and continued acceptance by a diverse public, on whom we depend to purchase our products, is linked to our ability to understand and respect the unique qualities and different needs of people and their communities. Giving this important objective the same time and attention given to the design and manufacturing of cars and trucks is critical for Toyota Motor Engineering & Manufacturing North America’s success.
The diversification of our supplier base is a goal whose mutual benefits are characterized in Toyota Motor Engineering & Manufacturing North America's Supplier Diversity Policy Statement:
Toyota is committed to having a supplier base which more closely reflects the diversity of our customers and the diversity of our team members who build Toyota vehicles in North America.
Having a diverse supplier base enables us to contribute to the economic well-being of all segments of the North American population. Also, we recognize that partnering with suppliers who provide a diversity of ideas--in addition to delivering manufacturing support, goods and services--creates a significant competitive advantage for Toyota.
The practical application of this policy rests on a five-cornered foundation:
Pursue MBE suppliers
2. Champion the cause of supplier diversity and facilitate communication
3. Technical support to prospective MBE suppliers
4. Tier II Sourcing Program
5. Industry training sessions and workshops
In keeping with the goal of continuous improvement, we significantly raised the level of our longstanding commitment to supplier diversity in 2002. Our current target puts Toyota squarely in line with industry standards in this area, and it confirms our belief in and commitment to minority supplier development. Our vision is to achieve MBE sourcing targets of 10% for Tier I purchases.
Toyota sponsors Opportunity Exchange, our own unique annual trade fair and conference. Through this event, lasting business relationships are built between our Tier I suppliers and MBEs. Our Tier I suppliers attend Opportunity Exchange as exhibitors and come ready to do business with MBEs, who are our invited guests. There is no cost to attend--and over the years, millions of dollars worth of contracts have been awarded as a direct result of this event. Opportunity Exchange has become the largest event of its kind and a benchmark for the industry.
Our Tier II Sourcing Program was developed as a way of further emphasizing our expectations for increased MBE sourcing among our Tier I suppliers. This program promotes the inclusion of MBEs throughout our supply chain and by asking suppliers to submit semi-annual reports on their progress, establishes a systematic approach for monitoring our total effort.
Moreover, we provide services for our Tier I suppliers necessary to meet our supplier diversity goals. We have developed a system that examines each supplier's situation and works to improve their achievements.
We are dedicated to the education and development of our MBEs. As a result of our commitment to supplier diversity, we utilize an open door policy. Toyota is open to any and all suppliers, regardless of nationality, size or whether they have done business with us before. On a continuous basis we meet with MBEs to discuss their capabilities and products in an attempt to identify opportunities available within our supply chain.
Toyota recognizes MBEs that are certified by the National Minority Supplier Development Council (NMSDC) or one of its regional affiliates. We also accept participation of WBEs that are certified by the Women’s Business Enterprise National Council (WBENC).
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Development and Procurement Inquiries
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