Toyota Culture

Dr. Ulrich goes on to support the need for HR in today’s business world. He feels that there are 5 critical challenges that businesses face: Globalization, profitability through growth, technology, intellectual capital, and change (Ulrich 126). Conversely, these things do not matter on a competitive scale. All businesses need these things to survive, but they can be attained and copied. The only competitive weapon left is organization (Ulrich 127). That is where Ulrich believes HR plays its most vital role. The differences between the leading businesses in their respective markets is their organization. Top-tier businesses are run efficiently with good HR relations. For businesses to take the next step towards maximizing their operations, they must change the culture surrounding HR and train their HR teams to become sufficient in promoting higher employee morale. Ulrich is convinced that senior operating managers must value the “soft” matters, define and hold HR accountable for its results, invest in innovative practices, and upgrade HR professionals (Ulrich

Prior to Toyota’s Production System, the company was efficient, yet could not compete with large American competitors such as General Motors and Ford. Therefore, management realized that if the company was to be successful not only in Japan, but globally it would need to improve its manufacturing process. Consequently, the company developed Toyota’s lean manufacturing process, which is still used today. The LMP was used to eliminate waste in the entire production process to become more responsive to market demand and produce high quality products economically. In order to provide superior products, Toyota implemented many revolutionary strategies. For example, the company started, or invented, the Just-in-Time Manufacturing process. The JIT process, according to our text, is used to reduce inventory costs by scheduling supplies to arrive just in time to enter the production process or as inventory stock is depleted (Hill et al., 2015). Toyota used the just-in-time system to improve its supply chain management, which drastically decreased costs and increased the company’s production facilities output as compared to its competitors. In addition to JIT, the company introduced a concept known as Kanban that was included within the new JIT system. The Kanban system was developed by Ohno and was used to arrange for components and/or assemblies manufactured at Toyota to be delivered to the assembly floor only when needed, not before (Hill et al., 2015). Essentially the Kanban

Toyota has always been one of the largest automobile manufacturers in the world since its inception in 1937. It was Sakichi Toyoda’s personality traits that Toyota remains as the most admired company in the world. Sakichi Toyoda possessed a risk taking personality, because of which the current Toyota, which we see today has made its birth. Toyota’s legendary business model, management principles and business philosophy changed the way in which business in done by automobile industry. Concepts like “Just in Time” production, Genchi genbutsu (go and see to understand) made Toyota different from its competitors.

Toyota initially establish in Japan by Sakichi Toyoda. However in 1933 Toyoda company enhance into many field and one of them is automobile industry where it was named as Toyota (Toyotauk, 2013). Today, Toyota able to cross many boundaries and develop their business from plain filed to massive production firms. Toyota currently the global number 1 position after beating General Motors and Volkswagen Group on vehicle sales for 2013 (Gibbs, 2014). According to Gibbs (2014) Japanese firm recorded $9.98 million of sales in 2013. Whereas they have estimated to hit the $10 million mark in 2014. The company operates with approximately 339000 employees in 2014 (The Statistics Portal, 2014). Toyota Motors well known for their innovative

The entire culture of the Toyota Company revolves around the “Toyota Way”. In operating the “Toyota Way” one of the key elements is respect for people: Employees, Customers & Suppliers. There are 14 principles that constitute the Toyota Way. The principles are organized in four broad categories: 1) Long-Term Philosophy, is a number one. By joining the Internet marketplace, Toyota would go against its own number one principle and against its “Toyota Way”.

1. Define the clearly value in the organization for product or service from the non-value activities

This paper analyzes the case – spanning the globe, which helps understand the various HR issues faced by Mr. Eric Christopher who is the Associate Director for Global HR Development at Tex-Mark. Tex-Mark is a computer input and output manufacturing firm with its head office in San Antonio. After its establishment in the 1970s, they have over 5 production facilities, 3 research and new product development facilities over the world. Additionally, they have 7 international sales, distribution and customer service centers universally but mainly concentrated in Asia. Below is a brief company and employee history to aid with the case study analysis.

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.

Toyota orders the raw materials from all over the world and in the interest of maximizing their availability of raw materials; they maintain good relationships with their suppliers. Toyota uses Just-in-Time system to manage the supply of raw materials as well as optimizing the supply and production processes.

Just in time manufacturing, also known as just in time production or the Toyota production system is a methodology aimed primarily at reducing flow times within production as well as response times from suppliers and to customers.

The management and the employees implemented and executed the “The Toyota Way” into the company’s culture. The section three of the “Toyota Way” explains as to why Toyota has been succeeding in managing its people to improve its corporate brand. Toyota believes in nurturing their leaders from within the company walls as they know the routine business and at the same time advocate they are aware of the company’s ideologies. On using the resource-based view, these teachings define the distinctive capabilities which uses its resources (people) to refine its competitive advantage

Since Toyota is the founder of lean operations, and the beginner of operating just in time method for its manufacturing process, Toyota has become successful in turning out to be delivering the high quality, effective products among other automobile brands. Based on lean operations, just in time concepts takes place a major role in performing effectively. JIT simply means that improving the productivity and excellence by using time and resources effectively to produce the required quantity while waste elimination. So Toyota has got the maximum befit of than its competitors and they are known as “the master and pioneer” of just in time.

Toyota today is one of the leading lean example in today’s manufacturing market. Starting back in the 1930’s with the idea of Just-in-Time to cut down cost in waste from overstocked storage rooms to a better efficient assembly lines who produced what was needed at a certain time. The Kanban system is one of the most used methods that the Japanese found during the 1950’s during a trip to United States in a super market.

The Toyota Production System (TPS) is a lean production Operations Management technique, steeped in the philosophy of operational efficiency, operational sustainability, operational effectiveness, and quality, with focus on waste elimination, innovation and human rights (Toyota Motor Corporation, 2015a; Toyota Motor Manufacturing, 2015). At its foundation, TPS utilizes the guiding ideologies of “Just-In-Time” production, or efficient resource management, and “Jidoka,” or quality assurance (Toyota Motor Manufacturing, 2015).

The culture of the Toyota Motor Corporation is one that has been imitated and duplicated by many other organizations. When Kilchiro Toyoda invented the company he understood that the success of the organization would ultimately be produced by the employees that provide the service. This is the reason why Toyota’s manufacturing operations are considered extremely lean. When the automobiles enter the market, they are introduced on time and on a budget that is passed on to the customers. The culture atmosphere within the organization of Toyota exudes a strong team spirit. The team spirit atmosphere allows employees from every rank to introduce changes or suggestions. The diversified approach also introduces new ideas that catapults the organization as the frontier in the automotive industry. The organization also is known to recruit and hire the smartest and brightest employees. The