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Comparative Analysis of Toyota and Gm

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Comparative Analysis of Toyota and Gm
General Motors and Toyota
Comparative Organization Analysis

Organizational Theory
Week 3
May 2013

Table of Contents Introduction 3 Organizations and Industry Context 3 Firm Structures 6 Strengths, Weaknesses, Opportunities and Threats 9 Insights from the Structural Frame 14 Conclusion 15 Illustrations 18 Works Cited 21

Introduction General Motors (GM) and Toyota are both well-known companies in the automotive industry. They offer quality products to their customers and try to maintain the high standards of each of the companies. General Motors and Toyota offer vehicles of different models but are used for most of the same purposes. Throughout this discussion, the following topics will be covered to address the similarities and differences between the two companies: their company goals and ambitions, environmental technology, and safety technology enhancements
Organizations and Industry Context
History of General Motors General Motors was founded in September 1908 by William C. Durant (Associated 2008). "At its inception GM held only the Buick Motor Company, but in a matter of years would acquire more than 20 companies including Oldsmobile, Cadillac, and Oakland, today known as Pontiac" (History 2013). By 1909 General Motors had sold 25,000 vehicles and went on to found the popular automotive company, Chevrolet, in 1916 (Associated 2013). Today, the company operates in about 160 countries and is one of the largest vehicle manufacturers and operates in four automotive segments: GM North America (GMNA), GM Europe (GME), GM International Operations (GMIO) and GM South America (GMSA) (Strategic 2013). General Motors' vision and ambition is to design, build, and sell the world's best vehicles. By doing so they have enabled a business model (Figure 1) that creates a self-sustaining cycle of reinvestment that will drive continuous improvement in vehicle design, manufacturing discipline, brand strength, pricing and margins



Cited: Alcock, Timothy. Central Contracts. 2010. A History of the Toyota Motor Corporation. Retrieved on May 20, 2013, from: http://www.centralcontracts.com/news/a-history-of-the-toyota-motor-corporation-3355. Associated Press. 2008. A Brief History of General Motors Corp. Retrieved on May 17, 2013, from: http://www.mlive.com/business/index.ssf/2008/09/a_brief_history_of_general_mot.html. Bloomberg. 2013. Toyota Announces New Organizational Structure and Executive Chan. Retrieved on May 23, 2013, from: http://www.bloomberg.com/article/2013-03-06/aAdLV7iTfAas.html. Duncan, Geoff. Digital Trends. 2011. Toyota to make Private Social Network for Drivers. Retrieved on May 20, 2013, from: http://www.digitaltrends.com/social-media/toyota-to-make-private-social-network-for-drivers-and-their-cars/. General Motors. 2013. Carbon Footprint Reduction. Retrieved on May 23, 2013, from: http://www.gm.com/vision/environment1/our_commitment.html. General Motors. 2013. History & Heritage. Retrieved on May 17, 2013, from: http://www.gm.com/company/historyAndHeritage/creation.html. General Motors. 2013. GM Sustainability. Retrieved on May 17, 2013, from: http://www.gm.com/company/aboutGM/gm_sustainability.html. Higgins, Tim. Bloomberg. 2013. GM Plans About $16 Billion in Investments in U.S. by 2016. Retrieved on May 17, 2013, from: http://www.bloomberg.com/news/2013-05-06/gm-plans-to-invest-about-16-billon-in-u-s-by-2016.html. Linton, Ian. 2013. Houston Chronicle. Strategies to Overcome Marketing Threats. Retrieved on May 23, 2013, from: http://smallbusiness.chron.com/strategies-overcome-marketing-threats-38186.html. Luft, Alex Rhizomicon. 2010. Monday morning Quarterbacking Toyota 's Safety. Retrieved on May 23, 2013, from: http://vox.rhizomicon.com/2010/04/monday-morning-quarterbacking-toyotas.html. Strategic Management Insight. 2013. SWOT Analysis of General Motors. Retrieved on May 22, 2013, from: http://www.strategicmanagementinsight.com/swot-analyses/general-motors-swot-analysis.html. Strategic Management Insight. 2013. SWOT Analysis of Toyota. Retrieved on May 22, 2013, from: http://www.strategicmanagementinsight.com/swot-analyses/toyota-swot-analysis.html. The Japan Times. 2013. Toyota President Looking to Reorganize Corporate Structure. Retrieved on May 24, 2013, from: http://www.japantimes.co.jp/news/2013/04/03/business/toyota-president-looking-to-reorganize-corporate-structure/. The New York Times. 2013. Toyota Motor Corporation. Retrieved on May 20, 2013, from: http://topics.nytimes.com/top/news/business/companies/toyota_motor_corporation/index.html. Toyota. 2013. Toyota Global Vision. Retrieved on May 23, 2013, from: http://www.toyota-global.com/company/vision_philosophy/toyota_global_vision_2020.html. Vitez, Osmond. Houston Chronicle. 2013. What Are the Benefits of Organizational Structure. Retrieved on May 23, 2013, from: http://smallbusiness.chron.com/benefits-organizational-structure-2776.html.

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