Analysis of Toyota's Work Culture: Management Theories Application

Verified

Added on  2020/02/05

|10
|4264
|58
Essay
AI Summary
This essay provides an in-depth analysis of Toyota's work culture, exploring the application of various management theories to its organizational structure and employee management. It examines the significance of Fayol's six functions of management, including forecasting, planning, organizing, commanding, coordinating, and controlling, and how these functions contribute to conflict resolution and goal accomplishment within the company. The essay also delves into Henri Fayol's principles of management, such as division of work, authority, discipline, and unity of command, highlighting their importance in fostering an effective work environment. Furthermore, it explores the principles of F.W. Taylor's management theory, focusing on the development of work, scientific selection, employee training, and the combination of various factors to enhance productivity and achieve business success. The essay emphasizes the importance of employee motivation, fair remuneration, effective communication, and a positive work environment in driving organizational performance and sustainability. It concludes by underscoring the role of these management theories in shaping Toyota's success and providing insights into effective people and organizational management practices.
Document Page
Managing People and
Organisations
1
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
In order to have better success, it is necessary for management of business organisation to focus
on effective management of people. In other aspect, the current scenario demands proper management
of people or workforce in the organisation so that they provide quality services. In order to understand
the concept of managing people and organisation the present essay will focus on work culture of
Toyota (Barcham, 2011). In this respect, the number of theories regarding management working will be
considered as a critical factor.
Fayol's six functions of management
In order to manage people and organisational working, it is necessary for management of
Toyota to focus on Fayol's six functions of management. Classification of key functions can be as
forecasting, planning, organising, commanding, coordinating and controlling. In current market
scenario, the business organisations are focusing on these Fayol's six functions of management for
effective management of people. With an assistance of this, the business firm can easily overcome
issue because it provides number of ways to resolve conflict (Cunill, 2010). It is necessary for
management of Toyota to ensure that the all employees are participating in planning for better
accomplishment of goals. For effective management of organisational activities it is also significant to
make sure that the planning activities are properly coordinated with different levels. In modern era the
business organisations are considering planning as an activity that provides blue print of organisational
activities so that goals can be accomplished in appropriate manner (Fu, 2011).
Moreover, with an assistance of organising the business organisations are focusing on effective
management of work and employees. It helps management of Toyota to manage staff in appropriate
manner so that operational activities can be accomplished in smooth manner. Organising is one of most
significant function that helps management to organize activities and professionals in most suitable
manner (Saunders, 2014). Other than this, commanding is considered as a work instruction that helps
in accomplishment of task. In current market scenario the business organisations are also considering it
as significant aspect because it provides command and guideline to the employees. It also provides an
opportunity to communicate with members in appropriate manner so that activities can be performed
and lead business to impressive level of success (Kaissi, 2015).
In the support of this, coordinating is factor that needs to be consider as critical aspect because
it provides number of advantages. Toyota is also focusing on effective coordination among all
departments and activities so that organisation can functioning in most suitable manner. Coordination
is also beneficial for promotion of motivation and discipline. It is also one of reason that the business
organisations are optimistically focusing on development of communication system and leadership
style (Nicholson, 2013). There are number of ways that can be adopted by organisation to have
2
Document Page
continuous improvement in communication system. Other than this, controlling is also one of
significant factor that can improve work culture. With an assistance of better controlling system the
business organisation can easily manage operational activities as well as workforce. In this respect, the
management of Toyota has established performance standards according to consideration of
organisational goals (Karp, 2013). Number of measures and reports on actual performance has also
been referred by the organisation for effective controlling. Business firm also focuses on activities that
provides comparison of results with performance and standards. It also facilitates auto-mobile
company in taking corrective measures for sustainable development.
In addition to this, the business organisations are having effective application of Fayol's six
functions of management in order to have better sustainability. For example, the management of
Toyota implements number of training and development programs for its employees so that their
performance and work can be managed in appropriate manner. In this, respect, management considers
planning, organising, commanding, coordinating and controlling as significant aspects (Akhilesh,
2012). Company also forecast business activities according to consideration of past results and planned
activities. It is also considered as an evidence that in current scenario the organizations are continued
with application and use of these theories. Moreover, the each of these steps is about solving problems
in a creative manner and leads business to impressive level of success. It also creates positive
environment within organisation for sustainable growth.
Henri Fayol principles of management
As per the structured study, the management of Toyota can focus on Henri Fayol principles of
management in order to manage work conditions. In other aspect, the management must ensure that the
principles are considered in appropriate manner to meet organisational objectives. Classification of
factors can be as division of work, authority, discipline, unity of command, unity of direction,
subordination of individual, remuneration, centralization, scalar chain, order, equity, stability of tenure
of personnel, initiative and esprit de corps (Blacker and McConnell, 2015). In addition to this, the
management of Toyota can have effective division of work. It is necessary for management to perform
number of activities that can ensure that the employees are well specialized. It is beneficial for
advancement in output and leads business to impressive level of success. With an improved level of
skills the tasks can be accomplished in desired time period (Keller, 2011).
In addition to this, the management also needs to ensure that the authorities' classification is in
appropriate manner so that decisions can be taken in most suitable way. Managers of Toyota must have
the authority to take decisions and publish orders (Stein, 2010). During the decision making process
the managers of Toyota needs to make sure that they will be accountable for any outcome in respect to
3
Document Page
the decision. Discipline aspects also needs to be maintained in appropriate manner so that work
activities can be accomplished in appropriate manner. Number of methods can be used to ensure about
decisions standards and lead to effective management of activities. Proper coordination must be there
within environment so that diverse issues can be overcome in appropriate manner. Workers must have
direct communication with the supervisor so that activities can be performed in appropriate manner
(Taylor and Woodhams, 2012). For example, the employees are facing various issues in regard to work
management but they are not allowed to communicate with supervisor then it will influence their work
performance in negative manner. Improved level of communication between employees and supervisor
is beneficial for the organisation because it allows workers to discuss diverse issues with supervisor.
Guidance of supervisor will provide great assistance to overcome issues in appropriate manner. All
members must have proper communication with each other so that miscommunication issues can be
resolved in optimistic way (Thomson, Arney and Thomson, 2015). Teams with the same objective
should be working under the direction of one manager, using one plan. It will provide better strength to
the operational activities and ensure that organisational goals are achieved in desired time period.
Any kind of partiality and unethical aspects also impacts the business of Toyota in negative
manner so management needs to ensure about it. Interest of one employee must not be considered as a
significant factor because it may influence the morale of other workers. It is necessary for management
to ensure that the activities are designed in such manner that all employees can perform in equalised
manner. Work allocation must be according to needs of employees and their capabilities because it
helps in enhancing effectiveness of system (Andersen, 2015). Fair remuneration must be provided to
all workforce in order to lead business to impressive level of success. In addition to this, with an
improvement in motivation level of employees the business organisation can attain better success. It is
necessary for management to ensure that employees are feeling motivated to accomplish task in
appropriate manner so that their satisfaction level can also be enhanced (Aubry and et. al., 2012). The
managers of Toyota can also provide monetary reward to employees for advancement in their
motivation level.
Other than this, it is also necessary for business organisation to ensure that the centralization
aspects also well maintained within organisation so that goals can be accomplished in appropriate
manner. It is a principle that reflects the involvement of employees within decision making process. It
is essential for management to maintain balance between all aspects. In other aspect, it can be asserted
that the management of Toyota must allow its employees to take part in decision making process. It
will provide an opportunity to maintain standards and overcome issues in most suitable manner
(Biloslavo, Bagnoli and Figelj, 2013). For example, the management of Toyota has allowed its
employees to take participation in organising and managerial activities then it will increase the morale
4
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
of employees. Improvement in morale of employees is beneficial for organisation because it also
assists in effective management of activities. Further, it provides base to business in performing better
where knowledge along with skills of staff members can be applied in improvement of products along
with services. Employees satisfaction can enhance by creating positive work environment (Edmonds,
2011). In this respect, management needs to make sure about factors that attracts employees towards
work culture.
In scalar chain the management of Toyota and employees needs to make sure that all members
are well known about organisational hierarchy so that work activities can be managed in optimistic
way. It will also provide a proper chain of command to the employees so that goals can be
accomplished in desired time period. Basic facilities must be provided to employees in order to ensure
that the professional are having better satisfaction level (Jerbrant, 2013). Everything within
organisation must be managed in appropriate manner so that business can have impressive level of
success. Managers should be fair to staff at all times, both maintaining discipline as necessary and
acting with kindness where appropriate. It will also create a better opportunity for the human resource
management of Toyota. This is because it renders an equality factor and helps in creating better
positive environment (Kamoche and et. al., 2015). Moreover, the managers also needs to focus on
activities that can minimize the employee turnover ratio. It helps in effective management of work
activities as well as workforce. It has been spotted that the employees turnover ratio can influence the
operational activities in negative manner. For example, the management of Toyota is not capable to
manage turnover ratio then it will influence employees perception in negative manner. Negative impact
on employees' perception may also reduce employee satisfaction level so it is essential for organization
to ensure that they are managing employee turnover ratio in appropriate manner (Knight and Harvey,
2015).
Other than this, it has also been spotted that in order to manage professionals effectively the
management of Toyota needs to take various initiatives. It is necessary for promote flexible and
friendly environment so that goals can be accomplished in appropriate manner and leads business to
impressive level of success. Team work also needs to be promote within organisation so that the morale
of employees can be boosted. Improvement in collective work style is also advantageous for
organisation because it helps in managing work activities (Kusumasari, 2012). In other aspect, the
management of auto-mobile firm needs to strive on improvement of team spirit.
F W Taylor theories
In addition to this, it can be said that the management of Toyota can also focus on management
theory of F W Taylor in order to manage work and leads business to impressive level of success. There
5
Document Page
are few key principles of taylor that can improve organisational working. Classification of principles
can be as development of work, scientific selection of activities, provide training to employees and
combination of various factors. Development of work is an activity that can enhance work productivity
and leads business to impressive level of success (Barcham, 2011). It is essential for management of
Toyota to develop activities in such way that all organisational factors can manage in significant
aspect. In this respect, it is also essential to ensure that the employees needs are properly identified
because any kind of avoidance may lead business to great failure (Cunill, 2010). For example, the
management of Toyota has designed activities without consideration of employees needs and issues an
order to work 18 hours in a day. Employees has dined to accept changes which may create issues for
the organisation. This clearly indicates that the unethical behaviour with employees may lead business
to failure.
Other than this, it is also significant for management of Toyota to ensure that the activities
designed according to consideration of scientific aspects so that goals can be accomplished in
appropriate manner. There are number of principles that need to be consider in appropriate manner so
that goals can be accomplished in desired time period. Employee engagement is considered as the
workplace approach which leads to favourable conditions for all the members present within the
enterprise (Kaissi, 2015). Further, it totally relies on trust, integrity and communication which take
place when business and its staff members. It is also necessary for management to make sure that the
employees are having proper communication with each other so that experience can be shared for
sustainable developments. Activities must be designed according to needs of employees so that work
can be managed in appropriate manner. In the addition to this, management also needs to ensure that
the training and development program needs to designed as per nature of business (Karp, 2013). In
other aspect, it can be said that the improper design of training activities may create negative impact
overall performance of organisation. Furthermore, the combination of various organisational factors is
also significant for the organisation because it leads business to impressive level of success.
Integrated work, team work, coordination, information sharing, etc are significant aspect that
provides various developments. In the support of this, it can be said that the business organisations are
currently focusing on further developments with an assistance of these factors. Business organisations
percept that the sustainable development can be attained by assistance of key managerial principles
(Akhilesh, 2012). Companies are considering it as significant aspect during the business expansion
activities because it creates positive aspects within environment. It allows company to gain competitive
advantage and also act as development tool for the entire business. Boosting satisfaction level of
workforce is one of the main objectives of every business and this can be only accomplished if their
importance is shown within the workplace (Keller, 2011).
6
Document Page
As per the above statements, it can be concluded that there are number of managerial theories
that can adopted by business organisations to manage work and its employees. In the support of this, it
can be said that the F W Taylor theories and fayol's principles are beneficial for the Toyota because it
helps in effective management of activities and workforce (Taylor and Woodhams, 2012). It has also
been identified that the business organisations that consider its employees as machine can not manage
work and their needs in satisfied way. It means it is essential for organisations to ensure that they are
providing proper values and satisfaction to the organisation. It has also been identified that in modern
era the business organisations are considering F W Taylor theories and fayol's principles as critical
aspect in order to manage work and accomplish organisational goals.
7
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
REFERENCES
Books and Journals
Akhilesh, K., 2012. Emerging team practices in global product development. Strategic HR Review.
11(3). pp.143 – 149.
Andersen, A. J., 2015. How organisation theory supports corporate governance scholarship. Corporate
Governance. 15(4). pp.530 – 545.
Aubry, M. and et. al., 2012. Organisational project management as a function within the organisation.
International Journal of Managing Projects in Business. 5(2). pp.180 – 194.
Barcham, L., 2011. Personal development for learning disability workers. SAGE
Biloslavo, R., Bagnoli, C. and Figelj, R. R., 2013. Managing dualities for efficiency and effectiveness
of organisations. Industrial Management & Data Systems. 113(3). pp.423 – 442.
Blacker, K. and McConnell, P., 2015. People Risk Management: A Practical Approach to Managing
the Human Factors That Could Harm Your Business. Kogan Page Publishers.
Cunill, O. M., 2010.The growth strategies of hotel chains: Best business practices by leading
companies. Routledge.
Edmonds, J., 2011. Managing successful change. Industrial and Commercial Training. 43(6). pp.349 –
353.
Fu, S., 2011. Corporate Culture vs. National Culture-The role of Human Resource in Managing
Cultural Differences in International Hotel Companies. Master’s Thesis. pp. 20-40.
Jerbrant, A., 2013. Organising project‐based companies: Management, control and execution of
project‐based industrial operations. International Journal of Managing Projects in Business.
6(2). pp.365 – 378.
Kaissi, A., 2015. Manager-physician relationships: an organizational theory perspective. The health
care manager.24 (2).pp. 165-176.
Kamoche, K. and et. al., 2015. The dynamics of managing people in the diverse cultural and
institutional context of Africa. Personnel Review. 44(3). pp.330 – 345.
Karp, T., 2013. Developing oneself as a leader. Journal of Management Development. 32(1). pp.127 –
140.
Keller, A., 2011. What is Effective Leadership? - Managing People in Organisations. GRIN Verlag.
Knight, E. and Harvey, W., 2015. Managing exploration and exploitation paradoxes in creative
organisations. Management Decision. 53(4). pp.809 – 827.
Kusumasari, B., 2012. Network organisation in supporting post‐disaster management in Indonesia.
International Journal of Emergency Services. 1(1). pp.71 – 85.
8
Document Page
Nicholson, N., 2013. How to motivate your problem people, Harvard Business Review. 81 (1). pp. 57-
64.
Saunders, C. S., 2014. Managing and using information systems: A strategic approach. Hoboken, NJ:
Wiley.
Stein, G., 2010. Managing People and Organizations: Peter Drucker's Legacy. Emerald Group
Publishing.
Taylor, S. and Woodhams, C., 2012. Managing People and Organisations. Chartered Institute of
Personnel and Development.
Thomson, R., Arney, E. and Thomson, A., 2015. Managing People: A Practical Guide for Front-line
Managers. Routledge.
Online
Effective Workflow for Collaborative Decision Making. 2009. [Online]. Available through:
<http://makeitrational.com/features>. [Accessed on 17th March 2016].
Heathfield, M. S., 2015. What Is Human Resource Management?. [Online] Available through:
<http://humanresources.about.com/od/glossaryh/f/hr_management.htm> [Accessed on 17th
March 2016].
9
Document Page
Page | 10
chevron_up_icon
1 out of 10
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]