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Upgrading the sourcing network to a full business network

Toyo has been developing its network in Asia for sourcing and procuring chair products from local partners in various Asian areas for sale in the Japanese market. Products have included finished chairs, semi-finished chairs and various parts of chairs for assembly in Toyo’s Ibaraki High Tech Production Center.

The network has now developed into a full business network going beyond sourcing to encompass collaboration in sales and marketing between Toyo and the local partners in the partners’ respective markets, as well as export to the world market. The network now allows the various parties to exchange chair products as required.


 

 

Toyo's contribution to the network

If requested, Toyo supplies members of the network with new product designs, innovative technologies and know-how such as product development, design, quality control and mass production, on a royalty basis.

 

Concentrated production of basic parts

Toyo designs a few basic models of important chair parts and organizes concentrated production in key manufacturing centers in Asia for supply to member companies. By this arrangement, members of the network receive a supply of standardized basic parts with fewer quality problems, lower production costs and timely delivery, thanks to constant and centralized mass production. Moreover the members are relieved of development and design work for basic parts which would otherwise have been made to order, requiring development work starting from scratch. New finished models can be made to order according to market requirements, with custom design and functions for parts other than the basic standard parts. This results in much shorter development times for new models, substantially reducing development costs.

This arrangement gives members of the network a competitive edge, enabling them to achieve better quality and lower manufacturing costs, and reducing the development time and cost of new items.

 

 

Upgrading the network

The network currently covers China, Taiwan, Korea, Indonesia, Thailand and Vietnam. New partners are being sought in these and other Asian areas, while relationships between the current members are being intensified.
Toyo and its fellow members are working together to develop new products for each of the local markets, and for export to world markets.

Asia Network Image Chart

 

 

 

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