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Toyota's Safety Problems

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5. Think about Toyota's highly publicized safety problems. One observer said that a goal of efficiency had taken precedent over a goal of quality within Toyota. Do you think managers can improve both efficiency end effectiveness simultaneously? Discuss. How do you think Toyota's leaders should respond to the safety situation?


[During the last decade, Toyota expanded its production and made advances in order to satisfy the needs of worldwide customers buying Toyota vehicles. (2010, March 30).] Their safety problems became a big issue because the company did not attain their goals in an efficient and effective manner. Toyota became more efficient through expanding its production. However, Toyota showed not to be innovatively effective through customer demands when their safety problems became an issue worldwide. In order for an organization to be both efficient and effective they need management that can perform these skills simultaneously. A successful manager can perform efficiently and effectively at the same time if resources are used accordingly. Such functions would involve planning, organizing, leading, and controlling.

If top management used the functions stated simultaneously both effectively and efficiently their problem may not have been such as issue.

Planning is the beginning function that involves setting objectives and determining a course of action for achieving these objectives. This is where I believe Toyota's problem began. [Their problems involved floor mats, accelerator pedals, and anti-lock breaking system (ABS). (2010, March 30).] Planning requires that managers be aware of environmental conditions facing their organization and forecast future conditions. Most importantly, planners must constantly evaluate their plans and take corrective action when necessary. Corrective action was not taken when necessary and should have been immediately within design, manufacturing, sales, and service quality.

After these issues became a global problem Toyota then formed a special committee called: [Global Quality chaired by President Akio Toyota to implement a series of approaches to address a deterioration in information gathering and inconsistencies that arose in information sharing and inconsistencies that arose in information sharing practices between headquarters and the regional offices. (2010, March 30).] Their new goal is to strengthen the information and gather function.

This committee will organize the function of management that involves developing an organizational structure and allocating human resources to ensure the accomplishments of objectives. This organizing will involve deciding how best to departmentalize by function, product, geography, or customers to coordinate effort effectively. [Toyota's plans to increase the number of



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