Professor Hubert Zydorek
27 February 2017
Mikayla J Garvey
Navigating Turbulence: Integrated HRM and Toyota Motors Corp.
From the founding of Toyoda Loom Works in the 1920s, to the creation of Toyota Motor Co. in the 1940s, its leaders believed that the key to success was investment in its people (Liker, 2004). The Toyota culture has evolved since the company 's founding and is the core competence of the company. It is the reason why operations are lean, cars hit the market on time and on budget, chief engineers developing cars deeply understand the customer, company executives anticipate long-term trends and have clear strategies, and every employee (called a team member) is vigorously working on achieving the annual plan of…show more content… As soon as the HR reps from Japan and the North America headquarters management team found out about the problem, it was attacked in the standard Toyota fashion. However, because of the short-term foundation domestically within the United States, the overall delegation of addressing the problem—although simple in approach to solve—was met with some turbulence along the corporate governance structure.
When the HR representatives started to interview team members to get the facts, they were quickly told that they were not trusted and that is why nobody had come to them earlier. The HR representatives were seen as members of management, and therefore part of the problem and not the solution. Additionally, because the HR representatives were from a mixture of cultural backgrounds foreign to the atmosphere of the American plant, it was difficult to have conversations that were conducive to productivity in resolving the issues within the plant appropriately. For fear of loss of further progress, the HR management ultimately decided to hire an outside investigation team to do the interviews with paint team members and management.
Managers of multinational enterprises (MNEs) often attempt to export their organizational practices to their subsidiaries worldwide. However, they soon realize that some