Leadership, Management, and Operational Strategies: Toyota Report

This report examines leadership and management practices within Toyota, a prominent car manufacturer. It differentiates between the roles and characteristics of leaders and managers, highlighting their importance in achieving organizational goals. The report analyzes how these roles apply in different situational contexts, such as urgent production demands or quality control issues. Furthermore, it explores various leadership theories and models, including situational leadership, system leadership, and contingency approaches, and their application within Toyota's operational framework. Key approaches to operations management are discussed, along with the specific roles that leaders and managers play in planning, organizing, directing, and controlling operational functions. Finally, the report assesses the impact of the business environment on operational management and provides recommendations for future improvements, such as training and enhanced quality standards.

Management &
Operation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P 1. Different roles and characteristics of a leader and a manager.............................................1
TASK 2............................................................................................................................................3
P 2 Examine examples of how the role of a leader and the function of a manager apply in
different situational contexts........................................................................................................3
P 3 Different theories and models of approach, including situational leadership, System
leadership and contingency..........................................................................................................4
TASK 3 ...........................................................................................................................................5
P 4 Key approaches to operations management and the role that leaders and managers play ...5
P 5. Importance of operation management .................................................................................6
TASK 4............................................................................................................................................6
P. 6 Assess the factors within the business environment that impact upon operational
management ................................................................................................................................6
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Management and operation are the important functions of a corporation. It provide help
to manage and control the work so that efficiency and effectiveness can be maximize and
company can achieve its targets smoothly. In this report, chosen organisation is Toyota which is
a Japanese car manufacturer. In this report, there are various topics are covered In the present
report various topics are discussed such as difference between role of a leader and functions of a
manager, different theories and models of approach, key approaches to operations management
and role that leaders and managers play. Apart from this, it also discuss about factors within the
business environment that impact upon operational management and decision making by leaders
and managers.
TASK 1
P 1. Different roles and characteristics of a leader and a manager.
Toyota has starts its operations in the year 1937 and it is a car manufacturing company
which establish its business in Japan. As on March 31 2018, it has approx 369124 workers and it
has around 600 subsidiaries around the nations. The main business activities are sales and motor
vehicle production. Organisation follows the vertical management structure because it has more
number of staffs. In this type of structure top authority takes the decisions and chain of command
has follow from top to bottom.
For the success of an organisation, managers and leaders plays a very important role and
it provide help to Toyota so that it can achieve its objectives and goals.
Leader : An individual who encourage and leads the group members of its team so that
targets can be accomplish more effectively (Leader. 2018).
Role of leader :
 Leader of Toyota guide its team members so that they can work according to the
requirement of company and support them so that they feel positive and comfortable.
 The role of leader is to motivate its team mates so that they can achieve the targets of
corporation as a result organisation can sustain in the market for long run and generates
more revenue for its business (Pundi and et. al., 2015).
Characteristic of leader :

 It has focused approach and optimistic attitude towards its work as a result goals can be
accomplish according to the desire of corporation.
 Leader has capability to motivates the group members of team so that they can work
effectively for the benefit of organisation.
Manager : The person who manage and control the corporation and the work of staffs as
a result work can be done in effective manner.
Role of manager :
 The manager of Toyota plays the role of planning, organising and controlling which
provides help the company to achieve its goals effectively.
 To manage and control the operational activities in the corporation so that workers can
perform its roles as the requirement of it.
Characteristic of manager :
 To ensure the time management which help the organisation to accomplish its targets
within stipulated time duration.
 To communicate relevant information to all staffs and all departments as a result work
can be perform as per the desire of Toyota (Punyateera and et. al., 2014).
So leader and manager provide help the company so that business can be grow and
market share has to be improve which leads the higher profitability. In Toyota both of the
persons perform its roles and duties as per the need of organisation.
Difference between roles and characteristic of leader and manager are as follows :
Basis Leader Manager
Meaning Leader has an ability to
motivates the team mates to
perform better.
Manager has the power to
manage and control the
employees in the corporation.
Risk It encourage the team mates to
take risk so that they can learn
new things and gain
knowledge. Leader of Toyota
motivates the group members
Manager of organisation
always guide the employees to
follow the set procedures so
that risk can be reduce and
efficiency can be improve. It

to achieve the task as per the
requirements of company.
provide help to achieve the
targets of corporation.
Power Leader has power to motivates
the group members as a result
they able to do their task in
effective manner.
It has power to control and
mange the whole organisation
and operational activities.
TASK 2
P 2 Examine examples of how the role of a leader and the function of a manager apply in
different situational contexts
Role of a leader and function of a manager can be apply in various examples and
different situational contexts. Leader motivates the team mates so that they can perform better
and achieve organisational goal where as manager manage and control the business activities of
the corporation. So both of them work for the benefit of Toyota as a result it can gain sustainable
growth and success in the market. Function of manager and role of a leader in distinct situations
are as follows :
 If there is a situation has arise that Toyota has to manufacture 500 cars in three week so
that it can fulfil the requirement of an urgent order. In such a case manager takes the
decision that all employees have to work 1 hour extra so that target can be achieve. In
that case leader can motivates the workers to perform their best so that work can be done
as per the desire of company.
 There is a situation has arise that consumers are not satisfy with quality which is provided
by the Toyota. In such as case manager can set quality standards and leader support the
manager to give instructions to their group members that they have to maintain quality
while manufacturing the cars so that demands of consumers can be satisfy.
 In the organisation there is a continent situation has appeared that Toyota have to meet
the urgent order and it does not have sufficient raw material due to the transportation
strike. In that case manager and leader take decision that they can but raw material from
the local suppliers so that urgent need of clients can be fulfilled.

So leader and manager provide help the corporation to achieve its goals and objectives
and generates more profits and sustain for a long run in the market.
P 3 Different theories and models of approach, including situational leadership, System
leadership and contingency.
To instruct and guide the employees it is essential that company use effective leadership
style which can motivates the workers to perform better and enhance the efficiency and
productivity. So that organisation can achieve its objectives effectively. Toyota can use different
theories and models which provide help the corporation to accomplish its targets. Leadership
theories and models are mentioned below :
Situational leadership : In this type of style leadership has changes according to the
need of situation arises (Jacobs and Lummus, 2014).It can be occur any time because future
cannot be predicted so it is essential that leader should know how to tackle the various situations
which exist at workplace. For example, in Toyota there is a situation appear that it have to
manufacture 200 cars within 15 days which is beyond its normal capacity. In such case leader
can encourage its group members to work 1.5 hours extra in a single day so that target can be
achieve. In return workers get the incentives which is more than normal incentive they get. So
leader is responsible to take important decisions for the benefit of organisation.
Strength : Provide help the leaders to take relevant decisions on the basis of situations so that
targets can be fulfilled.
Weakness : It is not easy the take effective decisions in the adverse situations as a result
company can not achieve its objectives.
System leadership approach : Under this particular approach leader treat the
corporation as a system which is related with man made or natural components. The essential
feature of this approach is to provide an opportunity to understand, analyse and think about
organisation. Leader has a capacity to transform various functions of corporation into system. An
organisation is known as set of distinct element which includes employees, machinery,
information, assets and resources. Overall, it helps to create positive environment which ensures
completion of all business activities in effective manner. With the help of this approach leader of
Toyota can utilise all available resources and can provide an effective result to the organisation.
Strength : It provide help the corporation to introduce effective system which bring the
efficiency.

Weakness : To analyse the need of appropriate system does not analyse properly than
productivity can be affected.
Contingency approach : Under this type of approach leader takes the decision which is based
upon contingent situation. As an example, in Toyota there is contingency has arise that it does
not have enough raw material due to transportation strike so its manufacturing units get affected.
In such case leader of corporation can purchase the raw material at more price from the local
suppliers so that immediate orders be placed. For an organisation it is essential to satisfy the
needs of its clients so that they can become loyal with the company. It provide help the
corporation to increase the revenue (Hugos, 2018).
Strength : Manager and leader can take decisions as per the contingencies has arises in the
work place as a result objectives can be accomplish.
Weakness : If leader does not able to take effective decisions as per the continences than Toyota
can not fulfil its targets.
Conclusion : If Toyota follows the leadership theories and approaches than effective
decisions can be taken in the complex situations and conditions. So that effective decisions can
be taken which support the organisation to achieve its objectives. Leader and manager take
effective decisions as per need of company and put its maximum efforts to accomplish the
targets. It provide help to control and manage the company as well as works.
Future recommendation and improvements
Training should be given to the workers as per the requirement.
Plans and policies are predetermined and put maximum efforts to achieve the objectives.
Leader and manager should able to analyse the situations which provide help to accomplish the
targets.
Quality standards can be improve as a result goodwill can be enhanced.

TASK 3
P 4 Key approaches to operations management and the role that leaders and managers play
Key functions such as planning, organising, directing and controlling.
Role and responsibility of manager in context to key operational functions:
Planning : Manager is responsible to make plans and policies so that objectives can be fulfilled.
Organizing : The role of Toyota manager is to organise the human and non humans resources so
that task can be accomplish effectively.
Directing :The role of manager is to direct the workers so that they can perform their task as per
need of company.
Controlling : Manager of Toyota is responsible to control the manage and operations so that
company can achieve its targets.
Operation management is the administration of business practice which provide help to
enhance the efficiency and minimize the cost. There are various approaches of it which are as
follows :
Total quality management : To approach has been used to enhance the quality so that
better products can be produce. Manager of Toyota can set the quality standards and instruct the
leader that quality should be maintained as per the set standards so that employees emphasis
towards the quality management while manufacturing the car (Marchington and et. al., 2016).
Six sigma : This approach has emphasis to minimize the defects from the production
process. Manager of Toyota can organize training session for all staffs so that they can perform
better as per the need of company. It is the responsibility and role of a leader to provide training
to its team mates as per the task given by him so that efficiency can be enhanced and errors in
manufacturing can be minimize.
Lean production : As per this approach wastage from the manufacturing process can be
eliminate so that unnecessary expenditures can be minimize and quality of products can be
enhance. By organising training session for employees can maximize the efficiency of staffs as a
result wastage can be reduce. Leader of Toyota should monitor and control the working activities
of its team members so that they work as per the requirement of organisation which leads to
minimize the errors from the production process of cars (Haimes, 2015).

Just in time : According to this approach, it is important for the organisation to
manufacture the products as per the needs and demand of persons so that products can be
available when consumers want. Manager of Toyota can use this model so that products can be
produce within specified time frame and consumers can be satisfy. Leader can encourage their
group members to follow this concept so that unnecessary waste can be reduce.
So these are the various approaches which can be use by organisation, leader and
manager plays a vital role in it which provide help the company to satisfy the needs of
consumers by providing quality products.
P 5. Importance and value of operation management
For the growth and success of an organisation operation management plays a vital role.
Manager of Toyota is responsible to manage the operations in the company so that goals and
objectives can be accomplish. Importance of operation management are discussed below :
Reduce wastage of resources : With the help of six sigma and lean manufacturing
process wastage can be reduce and quality can be enhanced. As a result Toyota can achieve its
objectives by producing quality products and satisfying the needs of consumers. It provide help
to maximize the revenue by controlling the unnecessary wastage (Grahn and McKelvey, 2014).
Satisfaction of customers wants : Operation management provide help to satisfy the
needs of customers by providing quality products and services. So that market share of Toyota
can be increase and it can earn more profits. It provide help the corporation to achieve its
organisation goal which is to satisfy demands of consumers and generates more revenue.
Inventory management : In an organisation stock can be manage by following the just
in time approach of operational management. It is helpful to control and manage the inventory of
Toyota so that unnecessary cost of warehouse can be reduce. As a result company can achieve its
objectives which is to minimize the wastage and earn higher profits.
Support to corporation strategy : Operation management is helpful to support the
organisational strategies as a result planning, organising and controlling can be done in effective
manner. It provide help the employees to perform their roles and duties as per the needs of
corporation so that objectives can be accomplish which is to perform the roles as per the desire
of company so that it can earn higher revenue.

TASK 4
P.6 Assess the factors within the business environment that impact upon operational
management
PESTEL analysis provide help to identify the environmental factors and its influences on
business. PESTEL analysis includes the political, environmental, social, technological,
environmental and legal factors (Cordray and et. al., 2015).
Political factors: -
This factor is influenced by the political issues or any political step which is good as well
as bad for the company. This factor identifies that how government policies and activities effect
the Toyota's business.. Political stability is the most important factor which affect the
organisation and it is an opportunity for Toyota's business art for the company's managers to
make strategies according to the stable political environment. Another factor also effect the
organisation such as free trade policy and support from government regarding ecofriendly
products. Both are the opportunities for the company and leaders have to take advantage of this
factor.
Economics factors: -
This analysis helps to determine the changes on business and what are the effects of
economic condition on organisation. In case of Toyota company, there are many opportunities
available such as weaker currency of Yen in comparison to U.S Dollar. Continuous growth of
U.S economy which provides the opportunities for the business. Managers and leaders of the
company will regularly keep their eyes on these changes and build strategies according to it. It is
a huge market area to expand their business in developing countries and it create demand of
Toyota products (Christopher, 2016).
Social factor –
Every companies wants to satisfy their customer and maximise profits. It will be possible
when Toyota involves in education level, lifestyles, cultural trends, wants and preferences
relating to customers. The management of Toyota experience the effects of social cultural
factors. With the help of PESTLE analysis, manager focus on the produce products and decide to
manufacture products according to customer needs. The leader has to play role in decision
making and help to manager for market activities. The leader provides information such as

increasing interest in hybrid cars, widening wealth gap and increasing interest in electric cars.
There is some factor is consider as opportunity and some is threats. Toyota has opportunity
Technological factor -
Technology impact the operations of business of Toyota. The manager and leader of
Toyota mainly focus on technology because it is technology based business. The concept of the
PESTLE analysis provides those factors that are impact on technology trends. In present time
company has many external factors that are consider as opportunity and threats. These are Rising
use of e-commerce and mobile technology trend as opportunities and cyber crime as threats. The
PESTLE analysis provide help to manager and leader to improve e-commerce service providers.
Toyota has opportunity to apply market trends in business and maximise of profit.
Environmental Factor:
Toyota, being one of the biggest automotive manufacturer globally, is responsible for
adhering to legislations and standards regarding pollution, emission and particulate matters. It is
very important for managers and leaders to make sure that these standards are met as per the
international standards and national legislations in which it operates. This can be achieved by
harnessing the growing opportunities in electrical cars. Inclusion of environmental friendly
products such as aluminium, electrical equipments that produce less of air pollution as well as
emit less particulate matter can help the management achieve this goal. This will not only help in
preservation of non-renewable sources such as oil reserves as well as reduce the emission of
greenhouse gases in the environment that are responsible for phenomenons such as climate
change and ozone depletion (Balasubramaniam and et. al., 2016).
Legal factor : Business activities of an corporation can be influenced by the legal factor
which includes costumer rights, health and safety law, protection law. Manager and leader of
Toyota should properly analyse the legal factor and take important decisions for the benefit of
the company so that it can perform its business operations effectively. For example, If Toyota
wants to expand its business in other country and does not aware about the contribution of CSR
in that case penalty can be impose by the government. So it is important for the manager to take
effective decision that how much percentage of profits should be spent towards the CSR policy.
Operational efficiency can be improved due to following approaches such as :

Management approach : According to this approach manager has to manage and
control the operational activities effectively and makes plans which support the management to
achieve its objectives.
Situational leadership approach : As per this approach leader should be able to take
decisions as per the situations occurs at the workplace. So that better decisions can be taken
which is helpful to achieve the objectives which leads the operational efficiency.
Conclusion : Manager can analyse environmental factors efficiently so that its business does not
get influenced. Operation management provide help to bring efficiency.
Future improvements
For future manager of Toyota can use six sigma and total quality management approach
which is helpful to deduct errors and produce superior quality products.
CONCLUSION
As from the above report, it has been concluded that operation management provide help
the organisation to achieve its objectives. For the growth and success of company, leader plays a
vital role and manager perform various functions which provide help the corporation to fulfil its
targets. Theories and approaches of leadership can be use to encourage the workers so that they
can work as per the requirement of company. With the help of PESTEL analysis impact of
external environment can be analysed so that organisation can protect its business from the
negative impact of it.

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