Toyota case Analysis

SUBMITTED BY: ZAIN UL FARID

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ASSIGNED BY: SIR MASROOR ALI
 Toyota Case Analysis:

Relevant Facts: Japanese owned company, Toyota have had drawn remarkable attention in auto
mobile industry and have served as a vast testing ground for operation management (OM) research
(Taylor and Taylor, 2008) for a long time. They have lean production system. Toyota create competitors
in terms of quality, productivity and profitability. Toyota generate attractiveness towards audience
through their production system, and play with Just in Time technique and Jidok. Jidoka (also called
automation) means that, “in Toyota, machines are equipped with various devices that can detect the
defects and be automatically stopped. “

4p model analysis: By evaluating their 4p model, I evaluated that Toyota management believe on the
long term philosophy, long term suitability actions and improvements. They are actually the Risks and
challenges acceptor and having nature not to compromise on progress, quality and trust of stake
holders. Moreover, they have also nature of continuous learning. Learning through environmental
factors or with internal team ideas.

Western Approaches: In this case I also went through different types or departmental approaches of
western setting, which applicable in an organization. Those were Scientific approach, Systematic
Approach, Human Relation Approach and in last Contingency Approach. In Scientific approach all the
actions take place in specific controlled setting in a systematic way, while in systematic approach
companies are more focused towards their strategy fit, that whether their companies environment and
culture goes aligned with their departmental strategies or not. In human relation approach, companies
put deep focus on their teams and employees mental health. They evaluate their different motivation
and satisfaction levels through different psychological studies. Finally the contingent approach, it’s
actually the detailed and extensive version of systematic approach where companies focus on research
methods before applying any strategic model into departments.

Linking of western and Japanese thoughts with Toyota practices: Starting with first stage of
philosophy, Toyota is engaged with the long term philosophy (as I discussed above).

Second stage is Process, where Toyota use the classical approach. Through this they make continues
improvement in their manufacturing system and evolutionary output of any action during process.
Moreover, they inculcate innovation and eliminate waste (Waste of time and efforts) and
inconsistencies through this. So means Toyota have connection with the both school of thoughts
western and Japanese.

In third category of people, Human Relation approach used. That shows that Toyota is more people or
employee oriented not just task oriented. They sets all those standers and work place environment
which goes in favor of employees to work calmly, like “Installing machines that are compatible with
workers, continues training, lifetime employment security, improving the working conditions
surrounding workers. This includes eliminating dangerous, noisy, dirty, hot or smelly conditions and
avoiding work strain imposed on workers etc.”
That process and people stage comes, where they use system approach, in which they give equal
importance to the people as well as technological aspects in organization. While their selection or
recruiting criteria of employees in organization are systematic base and further those people are able to
minimize risks, solve problems and maintain standards.

Problem solving stage comes next. Here company use two different unique approaches. First is Genchi
genbutsu and consensus (find the root cause of problem through detailed sight investigation, and
believe on the verified data which personally they have) and second one is Kaizen and organizational
learning.

Toyota Way of model Approach: The contingency approach is used by Toyota, when they are
dealing with non-manufacturing industry.