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MNP3701_ASSESSMENT 5_2023_SEMESTER 1 SUGGESTED SOLUTIONS (DUE DATE: 18 MAY 2023)

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Explain the difference between a value chain and a supply chain. Provide specific examples from the operations of Toyota South Africa to illustrate the difference. In your answer, you should demonstrate a critical understanding of the interrelated activities involved in each chain and how they cont...

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MNP3701 – ASSIGNMENT FIVE

COVER PAGE
STRATEGIC SOURCING

STUDENT NUMBER




DECLARATION

I (your full name and surname) ________________________________________,

student number_________________________________, I hereby declare that the assignment submitted by
me is an individual effort and has been completed in full by myself. I, therefore, declare that the work submitted
by me is original and authentic and does not violate any intellectual property rights or copyrights of any
individual or organisation. I confirm that all the sources used to complete this assessment are indicated and
acknowledged with full references. I also declare that:

1. I have not copied (partially or in full) another student(s) or third-party’s work.
2. I have not allowed another student(s) to copy my work (partially or in full).
3. I have read and understood Unisa’s policy on plagiarism and cheating, available on myUnisa
(https://www.unisa.ac.za/sites/myunisa/default/Assignments-& Examination/Assignments/Plagiarism)
4. I have not used any paraphrasing software (for example, Quillbot and Paraphraser) to assist in
paraphrasing or writing any part of this assessment.
5. If I have used AI Tools (for example, ChatGPT) I have adhered to all the requirements of using these
tools as indicated in the Assessment document.
6. I have not purchased this assessment from a ghost-writing website or any other third party.

I accept my responsibility to categorically adhere to UNISA’s assessment policy. I understand that any violation
of academic integrity may result in serious consequences, including but not limited to a failing grade for the
assignment (0%) or/and expulsion from the university.

I also declare that this is the FINAL and CORRECT version of my assessment. I acknowledge that this version
cannot be replaced once submitted and that I take full responsibility for the submission of this version.
Furthermore, I acknowledge that NO late submissions will be accepted and that should I miss the submission
date, I forfeit the marks.



__________________________ ____________________________

Signature Date

(It will be sufficient to type your initials and surname as your signature)

, Table of Contents



1.1. Explain the difference between a value chain and a supply chain. Provide
specific examples from the operations of Toyota South Africa to illustrate the
difference. In your answer, you should demonstrate a critical understanding of the
interrelated activities involved in each chain and how they contribute to the creation
and delivery of value to customers. 4

2.1. Discuss As an expert in supply chain risk management, you have been tasked
by Toyota South Africa to aid them in conducting an extensive risk assessment. Your
task: Develop a comprehensive risk management plan for Toyota South Africa. Your
plan should include a critical analysis of five potential sources of risk that may arise in
Toyota’s supply chain [5]. You should also provide recommendations for mitigating
each identified risk [5]. 5

3.1. The Hilux pickup truck is one of Toyotas’ best-selling motor vehicles. Assist the
supply chain manager of Toyota in conducting a cost analysis of their Hilux GR-Sport
Double Cab pickup truck. Use the following information to compare the cost markup
pricing model [4] with the margin pricing model [4] based on the total cost
principle. Based on your findings, suggest which pricing model would yield the highest
returns for Toyota [1]. 7

4.1. Toyota South Africa is considering the production of a new hybrid vehicle, the
Toyota EcoCar. As a consultant specialising in the automotive industry, you have been
tasked with assisting Toyota with the cost management and planning for the new
vehicle. Toyota has estimated the following costs: 8

5.1. Consider the below excerpt of a spend analysis conducted by Toyota South
Africa regarding their raw material category. Make two recommendations for
improvement to their raw materials category. 10

6.1. Toyota South Africa is currently developing a new hybrid vehicle called the
EcoCar. During this process, they have shared some design and manufacturing
information with a supplier who produces critical components such as the car’s battery
system. However, Toyota is concerned about safeguarding its investment and any

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