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Toyota's new TNGA platform could boost Prius to 58 mpg

First, let's put the necessary context around the phrase, "Toyota New Global Architecture platform." The platform is important, but it is just one flowering bud sprouting from the real action, which is the production processes that will create it. It is crucial to understand that TNGA is fundamentally about a revolution in how Toyota designs and builds its cars - it even includes an overhaul of management and human resources - with one of the benefits being the new platform that the 2016 Prius will ride on. The Daily Kanban goes in depth about the changes, but integrated development for powertrain and platforms serves to reduces costs through more parts-sharing at the same time as it creates more cohesive platforms that are lighter, more compact, and have more efficient layouts. Regarding hybrids, Toyota says the new drive unit layout along with small components could raise hybrid efficiency "by more than 15 percent." That might enable the 2016 Prius to return 57.5-mpg combined - almost 59 in the city, 55 on the highway. Plus, the higher rigidity, lower center of gravity, and better suspension of the new platform will provide a better driving experience. All of these changes will be reflected in platforms for large and rear-wheel-drive vehicles, too. It is factory and build-process refinement that allows the development advances to be fully exploited. Toyota is making its lines more flexible, partly by having actual assembly lines that can easily be shortened, lengthened, or trucked somewhere else, and partly by introducing machines that can build parts for many different vehicles on the same line as needed, without using molds. The flexibility extends to capital investment, too, with much less money needed in order to switch to a new product build. Toyota says it is doing this to "improve core vehicle performance and product appeal," the overhaul making it simpler to produce new designs and features. Factory workers benefit from the flexibility as well; being able to build more types of cars means they aren't hamstrung by the sales fortunes of a small number of models. You'll find plenty of specifics in the press release below. Making Ever-better Cars: A Progress Report "Sudden and drastic changes in the business environment mean that conventional ways of thinking and doing business can no longer help us grow sustainably.

Toyota donates engineers, not money, to country's largest anti-hunger charity

Key to production of any kind is efficiency - the ability to achieve maximum productivity with minimal effort or waste. Toyota has become a master of efficiency, with streamlined manufacturing operations around the world. In fact, the Japanese brand has become so well known for efficient operations that it now offers consulting services for organizations and companies outside the auto industry.
It also offers the same consulting for non-profits, free of charge. The New York Times took an in-depth look at the transformative impact that Toyota's engineers had on the city's charities, including The Food Bank, the country's largest anti-hunger charity. The auto manufacturer helped revolutionize the way these organizations served the community, showing that there's more to corporate philanthropy than just donating money.
Head on over to the Times' website and give the story a read.

Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.