Corporate Social Responsibility of Toyota

0CORPORATE SOCIAL RESPONSIBILITY OF TOYOTA
Corporate Social Responsibility of Toyota
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1CORPORATE SOCIAL RESPONSIBILITY OF TOYOTA
Toyota Motor Corporation or Toyota is a Japanese worldwide enterprise of automotive
manufacturing (TOYOTA MOTOR CORPORATION GLOBAL WEBSITE. 2018)). Toyota is
headquartered in Toyota, which is a city in Aichi, Japan. Toyota Motor Corporation is the sixth
largest enterprise in the world in terms of revenue earned by companies. Toyota has been
adjudged as the second largest automotive manufacturer in the world.
Corporate Social Responsibility or CSR is an explicit structure that helps to understand the
relationship of business and society (Ahamad Nalband & Al-Amri 2013). There are two aspects
of Corporate Social Responsibility in Japan, which are protection and improvement of society.
Protection involves avoiding negative impacts to the society by the company. The welfare of the
society involves creating positive benefits to the society. Japan has become well aware of the
importance of the corporate social responsibility. Japan, the country with most number of
companies, published their report complying with the guidelines of GRI, which is the most
comprehensive reporting system of CSR performance (Carroll 2015). Japan emphasized on the
relationship between CSR management and corporate governance. Japan have conceived a
philosophy of “Sampo Yoshi”, for the implementation of CSR in business. This philosophy deals
with triple satisfaction that includes satisfaction of seller, buyer and the society .This is also the
strategy of Japan for corporate longevity. The Japan Business Federation gives stress on the CSR
reporting and environment reporting with the aim of linking consumers and investors in markets
with corporation (Magdalena Krukowska 2014).The Ministry of Environment, Ministry of
Health, Ministry economy Trade and Industry have their guidelines to disclose reports on CSR.
Japan strives to link CSR with business opportunities by promoting BOP and social business.
They also contribute by constructing disclosure infrastructure and international rules. The Japan

2CORPORATE SOCIAL RESPONSIBILITY OF TOYOTA
government encourages CSR in social business by rebuilding and revitalizing regional economy
and solving social issues. They also aim to create new employment.
Toyota Motor Corporation or Toyota well aware of the Corporate Social Responsibility in
business and they have engaged a CSR committee to carry out policies pertaining to CSR .The
policies includes and deals with the following:
 Social welfare – They provide goods to charity bazaars, feed the homeless and needy and
it includes other activities.
 Youth Development – It provides support to youth invention clubs and provides donation
to organizations supporting youth development.
 Environmental Protection – Toyota undertakes several initiatives for forest protection,
involves in tree planting activities encouraging reforestation and provides support to
government led environment programs.
 Other activities – The other activities of Toyota involves organizing charity concert and
blood donation drives.
Toyota develops and manufactures cars, which are environment friendly and are of hybrid
model. The rationale of the CSR policy of Toyota includes Sustainable Development .The
objective of Toyota is to gain admiration and trust and to implement the CSR policy. The
Corporate Responsibility management committee of Toyota has set goals and developed Toyota
Visionary Management indices, which has been identified as the Key Performance Indicators
(KPI) in order to assess the process and achieve the goals (Doyle 2016) .The objectives of CSR
management of Toyota are as follows :