Toyota South Africa Sustainability Report 2008 - Automotiveonline ...

Sustainability Report_14-10-2008:Layout 1 10/14/08 2:43 PM Page 5
Technical modifications alone were not sufficient to deliver the required quality, and
to ensure buy-in from employees, a unique ‘Excellence in Customer Quality Challenge’
(E-CQC) was rolled out in May 2007. The aim of E-CQC was to create a quality mindset
across the Toyota network, so that Toyota can deliver on the quality expectations of
customers in the various markets into which the new Corolla will be launched. From
a sustainability perspective, the E-CQC challenge emphasises engagement with all
stakeholders in the life-cycle of the vehicle.
Corporate Philosophy
Toyota is committed to pursuing sustainability in three specific areas:technology (including
research and development), manufacturing and social contribution. Our position in society
is entirely dependent on achieving growth that maintains a balance between corporate
activities and environmental conservation, as well as between vehicle volume and quality.
In all our activities and all our interactions, our aim is to create harmonious and
sustainable relationships with all our stakeholders, and to respect the environment in
which we operate. Recognising that our success depends on responsible social
development and the integrity of environmental systems, guidance has been developed
to articulate how we contribute to these cornerstone business requirements.
Sustainability principles have been core to Toyota’s business model and success since its
founder, Mr Sakichi Toyoda developed the Toyota Precepts, which evolved into the
Guiding Principles for the company.
PAINT LINE 3 BENEFITS ECONOMIC, SOCIAL, ENVIRONMENTAL AND QUALITY OBJECTIVES
Paint Line 3 was opened in 2006, and adopted the same advanced paint technology used in
TMC’s nine paint plants in Japan, including the use of metallic water-borne paint for the top
coat, which greatly reduces potentially harmful atmospheric emissions. Paint Line 3 is one of
only five similar plants commissioned by Toyota Motor Corporation globally.
The new paint facility represents an investment of more than R1-billion, the Black Economic
Empowerment (BEE) component of which was approximately R250-million, and is a major part
of Toyota’s 220K production programme. The full investment will total R2,4-billion.
From an environmental perspective, the transition to water-borne paint technology in Paint
Line 3 will see our current Volatile Organic Compound (VOC) emissions reduce from 80gm/m 2
to just 30gm/m 2 painted, which conforms fully with international standards. This will
contribute to a 60% reduction in air emissions from the new plant, compared to our previous
two paint plants. At full capacity, there will also be reduced electricity usage in terms of the cost
per unit. Propane, used to fire the paint shop ovens, is replaced with methane-rich natural gas
which has both environmental and economic benefits. Paint Line 3 also introduced significant
quality benefits.
The new facility created 4,000 job opportunities. Huge investment has also been made in
training the people who work in the new
paint plant. A total of 58 senior team
members spent 60 person-months in Japan
on training, at a cost of R12-million. A further
250 team members have undergone training
locally over a period of five months. Toyota
South Africa currently spends more than
R70-million a year on direct training and skills
development to support this increase in
production capacity.
Some other key sustainability results are:
• 50% of expenditure on plant, machinery,
services and civil engineering work was
with local companies.
• 60 contractors were involved in the project,
77% of whom had BEE status.
• A 60% reduction in air emissions, especially VOC emissions.
All exhaust gases from the drying ovens and all volatile solvent emissions are processed
through a Regenerative Thermal Oxidiser (RTO) where they are burnt off with the
assistance of a gas burner.
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