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Toyota Struggles with Organizational Culture
When it comes to planning, the company needs an expansion plan. The company cannot survive if its quick growth is causing a low response time and restricts resources in the organization. Employees should take their time when manufacturing the cars, and they should run several tests to ensure that cars are fit for export. The company needs to rearrange their goals and consider quality overgrowth. The company also needs to change its centralized management structure since it will help it in responding quickly to different issues.
I believe that the organizational culture that Toyota uses is inherent in the organization’s culture. The board of directors is made up of Japanese which is a centralized structure that makes them react slowly to any external threats. The pros of the organizational structure of Toyota are that there are reduced conflicts and fast execution. The cons include a slow reaction to the external threats and recalls can only be done by the Japanese bosses and not the appointed executives.
The elements of the business that I would suggest: remain the same production of quality automobiles and their “just-in-time production principle as it prevents slack in resources. What they need to change is how they communicate and pass information. For instance, it is hard to pass any bad new up the hierarchy chain since this is a family company. Communication is very effective, and …
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