TOYOTA

From Mankin, D. (2009), Human Resource Development, OUP (p.103-104) Toyota, valued at US 188 billion or 98 billion, is the worlds second biggest car maker, just behind General Motors of the US, but is expected to claim the top spot in 2009.The potential key competitors of the future are likely to be from South Korea, China, and India where companies such as Hyundai, Kia, and Tata are making cheap cars of a good quality. Toyota has been able to combine product quality and reliability with low pricing, fuel efficiency, and good design. It has been successful at aligning its operational activities with strategic goals. The company is driven by what it terms the Toyota Way rather than by cost reduction (which characterizes many Asian and Far East manufacturing companies). The Toyota Way has been evolving since the company was originally founded in 1926. It is all about the culture of the company and emphasizes mutual trust and respect for everyone involved in and with the business Toyota is regarded as one of the most efficient companies in the world because of the Toyota Production System (TPS) based on lean production and kaizen (continuous improvement) principles. These are at the heart of its approach to business strategy. The approach adopted by Toyota has resulted in the institutionalization of lean manufacturing skills and kaizen. Over 20 million suggestions in 40 years have been generated by the companys suggestion system which is only one aspect of its approach to continuous improvement. The company places great emphasis on teamwork that reflects a culture characterized by collaboration, cooperation, and trust. The company believes that teams are better at solving problems, and that people learn from each other. In terms of its approach to HRD the principal emphasis is on training. The HR function itself is viewed as playing a key leadership approach in the companys improvement processes and has a coordination role when it comes to training. The