Toyota s Culture
DID TOYOTA’S CULTURE CAUSE ITS PROBLEM?
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Table of Contents
I. Issues that the managers in the case are confronting 3
II. Management concepts and theories 4
III. Critical review about the management strategies 6
IV. Reccomendations 7
Toyota Motor Corporation is an automotive manufacture stationed in Toyota, Aichi, Japan. It was established in 1937 by Kiichiro Toyoda as a spin-off from Toyota Industries, his father’s company, to create automobiles. It has grown from just a dream to the world’s largest automobile manufacturer by 2012. Toyota made history when it became the first automobile manufacturer to produce 10 million vehicles in just one year. It has so far produced more than 200 million vehicles. The company produces vehicles under the brands of Lexus, Scion, Toyota, Hino, and Ranz. The company has, however, faced challenges because it has failed to perform the corporate structure, cooperate with regulator better, and pay adequate attention to the complaints of their consumers.
I. Issues that the managers in the case are confronting
The managers of Toyota are currently facing various issues. By 2012 they had to recall more than nine million cars since there were strong claims that they had defects. Recalling this huge number of cars would results in huge losses. First, there would be the cost of repairing these vehicles so that they can be roadworthy. Then there is the amount of time spent focusing on the repair or damage control due to the defective vehicles that could be used in other productive activities. Meanwhile, as they are busy recalling the vehicles, their competitors are focusing on production and this could mean increase in their sales. The management has to work double and strategize on how to manage this mishap so that it does not result in unnecessary huge company losses. The managers’ methods of handling this crisis will
by Student’s Name
Code + Course Name
Professor’s Name
University Name
City, State
Date
Table of Contents
I. Issues that the managers in the case are confronting 3
II. Management concepts and theories 4
III. Critical review about the management strategies 6
IV. Reccomendations 7
Toyota Motor Corporation is an automotive manufacture stationed in Toyota, Aichi, Japan. It was established in 1937 by Kiichiro Toyoda as a spin-off from Toyota Industries, his father’s company, to create automobiles. It has grown from just a dream to the world’s largest automobile manufacturer by 2012. Toyota made history when it became the first automobile manufacturer to produce 10 million vehicles in just one year. It has so far produced more than 200 million vehicles. The company produces vehicles under the brands of Lexus, Scion, Toyota, Hino, and Ranz. The company has, however, faced challenges because it has failed to perform the corporate structure, cooperate with regulator better, and pay adequate attention to the complaints of their consumers.
I. Issues that the managers in the case are confronting
The managers of Toyota are currently facing various issues. By 2012 they had to recall more than nine million cars since there were strong claims that they had defects. Recalling this huge number of cars would results in huge losses. First, there would be the cost of repairing these vehicles so that they can be roadworthy. Then there is the amount of time spent focusing on the repair or damage control due to the defective vehicles that could be used in other productive activities. Meanwhile, as they are busy recalling the vehicles, their competitors are focusing on production and this could mean increase in their sales. The management has to work double and strategize on how to manage this mishap so that it does not result in unnecessary huge company losses. The managers’ methods of handling this crisis will
References: Adler, N. & Gundersen, A. 2008. International Dimensions of Organisational Behaviour 5th edn, Thompson Higher Education, Ohio, USA Aguinis, Herman (2008). Performance Management, 2nd Edition, Pearson Prentice Hall, New York Clegg, S., Kornberger, M., & Pitsis, T. 2011, Managing & Organisations: An Introduction to Theory and Practice, London, Sage. Nankervis, A. R., Compton, R. L. & Baird, M. 2010, Human Resource Management: Strategies and Processes, 7th edn, Southbank, Thomson. Rudman, R. 1999, Human Resource Management in New Zealand. 3rd edn, Auckland: Addison Wesley Longman, New Zealand Limited. Waddell, D, Jones, G & George, J. 2011, Contemporary Management. 2nd edn. McGraw-Hill, North Ryde.