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Risk Analysis Auto Company Startup in France

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Risk Analysis Auto Company Startup in France
Tim Huybrechts
01 december 2012
MACI

Risk analysis of a sustainable production plant for Toyota in France

Contents
Introduction 3
Toyota and its presence in the European market 3
Risk analysis 5 Different renewables to power the plant 5 Conclusion 13 Type of car: hybrid or fully electrical vehicle 13 Environmental risks 18 Waste risk 19 Water risk 19 Supply chain risks 20 Energy risks 21 Plant location risks 22 Financial risks 24 French employment risks 25
Conclusion 30
References 32
Picture sources 34

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Introduction

The following risk analysis was done as a result of Toyota’s recent decision to open a production plant in France. This company with Japanese roots is currently trying to change its image to be seen as a more environmental friendly enterprise. After the recent disasters in Fukushima the world is more aware than ever on the dangers of nuclear energy production and the shifting towards more sustainable production methods is inevitable. The amount of companies that use solar energy and wind power as the main sources to juice their operations is rising rapidly.
To keep up with this social trend, opening a sustainable production line in France is one of the points on the company’s agenda today.
Since it has not been done before by Toyota, there are many risks involved that have to be identified and assessed. This risk analysis will allow the company to come up with a compelling strategic plan to enter this new market and to enforce its position in Europe. The risks will be classified in different categories and will be assessed by importance and likelihood of occurrence. To goal is to minimize the overall risk in order to maximise the profitability of this undertaking in France.
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Toyota and its presence in the European market

In late 1996, Toyota began to look at the whole of western Europe for a site for its



References: “Global Supply Chain News: Toyota Taking Massive Effort to Reduce Its Supply Chain Risk in Japan” March 7 , 2012

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