Problems faced by Toyota in previous years

Running head: PROBLEMS FACED BY TOYOTA IN PREVIOUS YEARS
Problems faced by Toyota in previous years
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PROBLEMS FACED BY TOYOTA IN PREVIOUS YEARS
Toyota Motor Company has established lean terms of production as well as management
systems in last six decades and this has appeared to be an iconic template among those high
performing organizations situated in Japan. However there had been massive crises in the
years 2009 as well as 2010 that actually distorted the brand image of Toyota that used to play
role model among the car manufacturing industries that was known to be a lean organization
(Helper and Henderson, 2014). This Company actually got deviated from proper
configuration approaches that had always maintained unique position in the systems
associated with lean management. In real situation, gearing up of several managerial
decisions to contribute towards extensive growth in business and as a result of undertaking
initiatives for establishment of globalization in the market has resulted into ultimate distortion
of several complementarities in the central or key elements of Toyota Way and ultimately
resulted in misfit of organizational strategies.
Toyota got duped in extreme dramatic crises in the history of car manufacturers in last 10
years that resulted in decline of 9 million production of cars all over the world. The problems
mostly came up to the surface when 5.3 million number of cars got banned in the market of
North America since there was high dispute in quality of products as well as in terms of
product lining up. Researchers have investigated into the crises and found that the problem
mainly lies in conceptualization of Company market and considering it as a system
comprising of organizational choices that are mostly interconnected to each other. Systematic
study usually takes into account two different assumptions that are tight complementarities
that exist within the organization’s choice of certain activities that render reinforcement in
positive format and the other one is appropriateness that exist within the system of activities
of the firm that rely with environment conditions. These two different factors can actually
interpret increase in deviation associated with Toyota from its name “lean system”. It can be
predicted that external environmental changes are not sufficient enough to be blamed due to

PROBLEMS FACED BY TOYOTA IN PREVIOUS YEARS
mis-fit in the organization, however lack of responses of senior managers to such changes as
well as over- confidence also destroys the entire configuration in the market.
Taiichi Ohno was the founder of this famous Company and he started to emphasize on the
systems associated with lean production system in the market. Lean production system is
usually defined as a particular systematic procedure that can easily be differentiated from
lean characterizing elements and several form of manifestations and superior performance of
this system usually relied on efficient HR practises. Therefore lots of technical skills had to
be possessed by the workers, they had to render quality time in order to produce quality
products. Complementarities actually suggest doing a particular thing actually gives out more
returns and landscapes that used to provide multidimensional space to the organization.
Central objective associated with lean production is to avoid high end costs on repairing after
assembling the parts. This included the practise of pulling out the Andon cord that was
actually termed as line stop system fixed in a particular position. One particular day, line
workers noticed disputes in quality of Andon cord inside the workstation and by the vehicle
moved to next arriving station and show a red signal, team leaders did not take the initiative
to solve the disputes by cancelling the stoppage through pulling off cords as they were quite
overconfident in their services. Disputed systems were neglected and this ultimately led to
damage of essential technical device.
Management Information Systems (MIS) actually help to pertain a particular subcategory that
is related to inner controls associated with organization and this actually encompasses
applications of that of individuals or technologies by accountants that would help in resolving
various business issues through adding values to commodities, business or service plans.
Toyota had been suffering certain problems with respect to disadvantage at strategic levels
and so these problems mainly helped in preparing strategic reports in the future. Since there