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Difference Between Ford And Toyota

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In light of the above discussion on Ford, we can analyse Toyota across the dimensions of Leadership, Culture, Power/Politics and Structure. This will help us better understand whether Toyota, the second largest automobile manufacturer in the world, took a different management approach from Ford. As mentioned earlier, it is evident that both were fighting entirely different battles, albeit repercussions of which were similar. Ford was trying to keep its head above water as GM and Chrysler submerged in the subprime crisis’ fallout. On the other hand, Toyota was trying to ensure that the impact of this crisis, now affecting the larger automotive industry especially in terms of falling profit margins and sales volumes, could be limited at its doorstep …show more content…

Despite their status, they are not the dominant source of power since the company’ culture does not allow concentration of power in a single source. However, they have been a guiding force in times of crisis, especially when Aido Toyoda was at the helm and he helped Toyota become the largest automotive manufacturer by developing a focussed regional approach commercially. He exhibited an ability to ‘retool’ when he showed flexibility in directing a more regional approach to work in different markets as compared to implementing reliable yet universal processes in each region.

Structure:
After the famous recall of 2009, the organization structure was criticized for slow response time to address safety issues. Akio Toyoda implemented a new structure and it had three characteristics:
• Global Hierarchy
• Geographic divisions
• Product based divisions
The company was divided into eight geographic divisions and four product based divisions. In essence, the new organizational structure ensured that decision making process became faster, error-free and less

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