ENTERPRISE RISK MANAGEMENT OF TOYOTA

Running head: ENTERPRISE RISK MANAGEMENT OF TOYOTA
ENTERPRISE RISK MANAGEMENT OF TOYOTA
Name of the Student
Name of the University
Author Note:

ENTERPRISE RISK MANAGEMENT OF TOYOTA1
Table of Contents
Aim of the Organization:.................................................................................................................1
Risk Threshold:................................................................................................................................2
Enterprise Risk Management:..........................................................................................................2
Conclusion:....................................................................................................................................10
Reference:......................................................................................................................................12

ENTERPRISE RISK MANAGEMENT OF TOYOTA2
Aim of the Organization:
Toyota is one of the largest automotive brands across the world which is popularly
known for its best-offered services. The company is primarily is a Japan-based company that is
now ruling the world with its functionalities. After analyzing the operational activities of Toyota
is it noticed that the primary objective of this organization is to offer the best product with high
sustainability, high reliability as well as high-quality products to make sure that they are
improving the economic growth (Hatani 2017). Followed by this identification while analyzing
the mission and vision of this organization it is observed that the organization is very much
interested in improving traditional technologies with the purpose to offer an eco-friendly product
to its customers. Along with this while analyzing the mission statement of Toyota it is noticed
that its mission is to satisfy its customers (Zhou 2019).
Considering the above identifications it is determined that to address the mission and
vision statement of this organization, the company has always focused on the development of an
innovative product that is competitively better than other products and services. The primary
objective of this company is to accomplish long term, stable development synchronization with
the environment, community as well as with the global economy. Apart from the objective of the
organization, it is identified that the objectives of Toyota’s management team are to subsidize
advance development by inventing the best quality product and services (Roberts and Kuofie
2020).
Considering these aspects it can be stated that innovation and sustainability is the primary
objective of this organization.

ENTERPRISE RISK MANAGEMENT OF TOYOTA3
Risk Threshold:
Impact
Probability
Trivia(1) Minor(2) Moderate(3) Major(4) Extreme(5)
Rare
(1)
Unlikely
(2) 3
Moderate
(3) 4,5
Likely
(4) 2 1
Very
Likely (5)
Low Medium High
Enterprise Risk Management:
After analyzing the operational activities of Toyota it identified that apart from the
offered benefits by the organization, Toyota has several operational limitations too which
influences the work effectiveness of the organization. Making allowance to this concern in the
below section the significant risk present in the organization is described with effective
mitigation approaches that will help to eliminate the impact of those identified risk.