An In-Depth Analysis of Toyota's Quality Management Practices

This report provides a comprehensive analysis of Toyota's quality management practices. It begins by defining quality from customer, product, and value-based perspectives, emphasizing the importance of customer satisfaction. The report then traces the historical development of quality management processes, from inspection to total quality management, and outlines the different quality management approaches Toyota employs, including Total Quality Management. It discusses customer satisfaction, continuous improvement, and the benefits of effective quality management for Toyota. The report also examines the use of user and non-user surveys, consultation methods, and complaints procedures in determining and meeting customer needs. Finally, it explores the role of self-assessment, communication, and record-keeping in maintaining and improving quality at Toyota, and proposes potential system modifications for enhanced service quality. The report highlights the evolution of quality management and its critical role in Toyota's success.

By submitting this form and signing below, I declare that:
 I am the author of this assignment and that any assistance I received in its preparation is
fully disclosed and acknowledged in this assignment
 I also certify that this assignment was prepared by me specifically for this course
 I certify that I have taken all reasonable precautions to make sure that my work has not
been copied by other students
TABLE OF CONTENTS
INTRODUCTION................................................................................................................................4
TASK 1.................................................................................................................................................4
1.1 Discussing definitions of quality in terms of business and services from three perspectives...4
1.2 Explaining and illustrate the development of quality management processes of inspection and
assurance..........................................................................................................................................5
1.3 Discussing the range of quality management approaches which Toyota adopts in its quality
management.....................................................................................................................................7
1.4 Explaining the similarities and differences in different methods..............................................8
TASK 2.................................................................................................................................................9
2.1 Discussing what is meant by customer satisfaction in the context of Toyota............................9
2.2 Explaining the meaning of continues improvement with references to Toyota.......................10
2.3 Illustrating the types of added values and benefits Toyota would gain from implementing
effective quality management........................................................................................................11
2.4 Describing the types of information made available to customers and the importance given to
effective marketing........................................................................................................................12
TASK 3...............................................................................................................................................12
3.1 Explaining with examples how quality management can be measured by Toyota..................12
3.2 Evaluating the benefits of user and non-user surveys in determining Toyota’s customer needs
.......................................................................................................................................................13
3.3 List the methods of consultation employed by Toyota in one quality scheme to encourage
participation by under- represented groups....................................................................................13
1

3.4 Identifying the value of complaints procedures and analyse how they may be used to improve
quality by Toyota...........................................................................................................................14
TASK 4...............................................................................................................................................14
4.1 Report on the role of self-assessment in order to determine Toyota’s current ‘state of health’
as regards to quality.......................................................................................................................14
4.2 Evaluating the importance of communication and record keeping at Toyota.........................14
4.3 Explaining how quality schemes at Toyota can be effectively implemented by following
guidelines on the stages of staff consultation................................................................................15
4.4 Propose new systems or modifications to Toyota’s existing systems that could improve
service quality................................................................................................................................15
CONCLUSION..................................................................................................................................15
REFERENCES...................................................................................................................................17
2

LIST OF FIGURES
Figure 1 System of Toyota satisfy its customer by applying end user feedback..................................9
3

INTRODUCTION
Quality management make sure about quality of services and products in terms of reliability,
performance and their durability. In the business, quality is considering as an important or can say
crucial parameter to differentiate the goods of an organization from its rivals. With the help of this,
it becomes easy for the companies to ensure about the changes in processes and systems to attain
the superior quality of commodities (Importance of Quality Management, 2017). In the present era,
there are wide ranges of quality management tools available for the enterprises to maintain quality
of the products and services such as Total Quality Management, Six Sigma etc. The present report is
based on quality management in business and to understand the importance of its, Toyota case study
is taking into the consideration. It is the world of the best and most successful organization in the
area of production of cars and trucks (Why Quality Management Is Important, 2017). The company
has produced automobile products in 26 nations and sale them more than 160 markets at
international level. In 2013, the worldwide production volume was 10.12 million. Under the current
study, different objectives will cover such as range of quality management approaches, meaning of
customer satisfaction within the respect of Toyota, benefits of users and non-users surveys in
finding the customers’ needs and quality schemes use by cited firm at the workplace.
4

TASK 1
AC 1.1 Discussing definitions of quality in terms of business and services from three perspectives
Definition of quality (Customer based): As per the user based definition, quality is matter to
an individual and products, that greatest satisfy their preferences are with highest quality. It refers to
the measuring of excellence and defects of goods and services. High quality products usually attract
large number of people. Further, Toyota produce high quality of products related to car in order to
provide proper comfort to their customer. Te organization attract large number of people through
producing luxurious goods and services according to market demand and provide proper
satisfaction to them.
Key strengths: Quality of the end products have highly preferred by the consumers. It is the best
way of satisfy the preferences of the end users.
Limitations: Preferences of customers have varied widely which has created difficulty for the
organizations to produce the goods according to that. It has become harder to determine all needs
and requirements of customers and manufacture the products and services (Five Ways of Looking at
Quality Definitions, 2017).
Definition of quality (Product based): According to product based quality definition, it is
viewed as measurable and quantifiable attributes. It can be easily measured in terms of reliability
and durability of the goods. Along with this, quality can be identified objectively.
Key strengths: Quality of the products easily measure in the form of reliability and its durability. It
can be benchmarked to bring the improvement in process to attain quality standards.
Limitations: Quality is based on preference and taste of users then measuring quality of goods by
benchmarking may create misleading situation for the organization (Sallis, 2014).
Definition of quality (Value based): Under this, quality can be defined in terms of prices
and costs along with number of additional attributes. So, purchase decision of the customers have
based on quality of the goods at the affordable prices.
Key strength: Quality of products and services easily measures on value offered by items to
its users.
Limitation: Buying decisions of the service users based on quality at the acceptable prices
(Slack, 2015).
Definition of quality on value based is the most important from above stated three
definitions. The reason of this is in the present time, many of the companies such as Toyota etc are
developing their products and service by considering the willingness to pay for the goods of the end
users. They have focused over quality of commodities rather than pricing of them.
5

For Toyota, quality has an important for the success of business. To deliver the automobiles
goods to the customers, company has used different quality management tools. This has helped in
producing high quality of products and it has delivered a good satisfaction level to the service users
(Bienia and Li, 2011). It ensures high quality products by reducing defects and improving the
system. This thing turns lead to loyal and satisfied service users. Along with this, quality has
important for Toyota to design and create auto mobile goods that can able to meet actual desires and
wants of the end users.
AC 1.2 Explaining and illustrate the development of quality management
processes of inspection and assurance
Historical account how the concept of quality has evolved over time
Development of quality concept can be traced in the Middle Ages time. In this context, the
history of quality management has gone through the number of stages including changes which is as
follows:
1920s: It was the time duration when Quality Management System taking the shape where it
was focused over the end products. This was the first time when statistical theory in goods quality
control applied. In this era, quality of commodities were identified via inspection process such as
measuring, testing of the items by examine, compare the expected and actual quality parameter etc.
During this, most of the companies begun to face difficulties to adopt quality control standards and
it was created a need of change and development of quality management (HISTORY OF TOTAL
QUALITY MANAGEMENT (TQM), 2017).
1940s: In this time phase, different industries leaders such as Deming, Dodge, Juran and
Roming were brought modifications in quality management approach. This was evolved the
concept of Total Quality Management practice. At the time of production of the goods, inspection
process was carried by employees of operation department. They were simply inspecting the
finished goods with the aim of detection of defects and errors at early stage of production line.
1960s: In 1969, the first international quality management conference was taken place on
Total Quality Management. During this phase, terminology Ishikawa was evolved which was
adopted by all organizations at different level with the aim of maintain the quality of goods.
1970s: This was time frame where the success of Japan’s companies came to notice by the
world. This was only possible because of Total Quality Management aspect. After this, many of the
nations such as UK, US etc were developed guidelines and standards to quality management for all
kind of industries (The History of Quality Management, 2017).
Process of evolving of quality through different stages
6

There are 4 levels in the evolution of Total Quality Management and explanations of these
stages are as follows:
Inspection: This was the first stage of development that took place in the 1910s. At the time
of rolled off the production line of “T” Model by Ford Motor, company started to employ a tram of
inspection. It compared and tests the end products against the set standards. This process was
imposed at all stages i.e. from planning of goods to deliver of it. The aim of cited firm behind
adopting the inspection concept was separating poor quality products from acceptable quality items
to minimize rework and scrapped work (Slack,Chambers and Johnston, 2010).
Quality Control: The second stage was responsible bring the advancement and development
of TQM. During this phase, Shewhart introduced an idea related to quality control. This was helped
in distinguish and separate two types of process variation where first one is differences due to
random causes and second is dissimilarity because of special causes. For this, control chart designed
by him to monitor the changes in process.
Quality Assurance: Under this phase, different quality monitoring process was developed
such as quality manuals, process control, quality audit systems etc. These all emphasised on
changes in quality of the goods from defection activities (Gutiérrez, Torres and Molina, 2010). If
the right plans are put into place and then execute in a timely manner then it becomes easy to ensure
about the quality of the goods that is expected by the organizations to attain it.
Total Quality Management: It has fourth stage of evolving of quality which has applied at
every level, every stage and all departments of the organizations. This has ensured about the overall
effectiveness of the system to attain the quality of the end products. It has integrated all
organizational functions with each other by focusing towards meeting customers’ needs as well as
company objective. This has maintained continuous improvement in whole quality management
system and makes the products as per the set quality standards.
ISO 9000 and British Standards
BS5750 is the British Standards on quality system and it similar to European Standards is
EN29000 as well as International Standards Organisation ISO9000. This standard has promoted in
the UK in parallel with its EN29000 and ISO9000. It has used to ensure the quality of the goods and
services. On the other hand, ISO 9000 is a standard of family of quality management systems. It has
designed to assist the organizations to make sure that they are meeting the requirements of
customers and stakeholders at the time of offering them products.
7

1.3 Discussing the range of quality management approaches which Toyota adopts in its quality
management
The Americans: Toyota has adopted Total Quality Management approach in its workplace.
This concept was developed from Total Quality Control concept that was derived by Armand
Feigenbaum. With the help of this, it has become easy for the organization to describe a long term
success via attaining customer satisfaction. Entire workforce of firm has participated in improving
procedures, services, products and the culture of the workplace. It has based on 8 principles:
consumer focused, total employee involvement; process centred, integrated system, strategic and
systematic approach, continual improvement, fact based decision making and communication (Al-
Dhaafri, Yusoff and Al-Swidi, 2013). Armand Feigenbaum Quality Guru has stated that total quality
control has an effective system to integrate the quality development, quality improvement and
quality maintenance efforts of the various groups in a company. This has enabled it to produce the
services and the goods at the most essential levels that can able to deliver complete satisfaction to
the users.
The Japanese: Shigeo Shingo has considered as the world’ leading expert in the area of
manufacturing practices and Toyota Production System. He had written his study in Toyota
Production System which was focused over the many fundamental concepts of this approach such
as pull production system, Just In Time, Lean production etc (Al-Mamun and Zainuddin, 2013).
Along with this, Shigeo Shingo had developed Poka Yoke in the context of quality management.
This is a mechanism in a lean manufacturing process which assists the organizations to reduce the
mistakes in the production of the goods. The purpose behind invention of this is to eliminate defects
in goods by preventing, correcting and bringing attention to human errors as they raise. In this
context, Shigeo Shingo developed three types of Poka Yoke so that mistakes during mass
manufacturing process can be prevented in easier manner. These techniques are the contact method,
the fixed value method and motion step method
The Europeans: Phillip Crosby came with the idea on zero defects for assembly line. Under
this, he was focused over the manufacturing process that has zero defects management for the
employees that needed to be followed by them. Toyota has adopted this concept which has brought
the reduction in waste of resources and time spent in producing automobiles that customers do not
8

want to use (Blank and Naveh, 2014). According to him, zero defects have originated from
assembly lines and this has needed to be overcome by developing quality standards and
improvements in the process. Along with this, employees should be followed those principles and
this can easily bring a drastic decrease in wasted resources at the time of manufacturing of goods
and services.
1.4 Explaining the similarities and differences in different methods
Differences in different Quality Gurus quality related methods are as follows:
Parameters Deming Juran Crosby
Definition of
quality
A predictable degree of
uniformity and
dependability at low costs
as well as suitable to the
market
Purpose for use Conformance to
requirement
Management
commitment
Management through 14
points
All management level
should have commitment
Management through
14 points
Quality process 14 points The Juran Trilogy The quality vaccine
Strategy Prepare top management
structure using 14 points
for managers
Steering council by using
10 steps to quality
improvement
Develop quality
improvement team of
14 steps
Organization Focus on stay in business,
increase participation of
employees in decision
making
Focus on different areas
of organization by using
quality team and circle
approach
Focus on whole
company by adopting
quality team concept
for quality
improvement
Cause Accept of low quality
where management
accountable for more than
90% quality issues
Accept of low quality
where management
accountable for 80%
quality issues
Management
responsible for quality
issues
Result Loss of competitiveness Loss of competitiveness Lose of customers
Solution Use of Deming Cycles and
statistics to assess
performance of all areas
Use quality trilogy Use zero defects
Training Statistical techniques Management practices Develop new culture
9

and problem solving
methods
Quality
measurement
Statistical analysis Cost of quality or un-
quality
By prevention
Reward/
recognition
Intrinsic method that can
destroy teamwork
Quality oriented Intrinsic method
Continuous
improvement
Ongoing improvements By creating management
vision
By setting of goals
Similarities of different Quality Gurus quality related methods are as follows:
 Needed strong higher level management commitment
 States that quality management practices save cost of rework on defective products
 Focus that quality improvement is a never ending process
 Require training and education to train the employees
 Emphasize that personnel should involve in quality improvement initiatives
The definition of Deming on quality is based on, it is the function which is helpful in continuous
improvement. According to Juran quality is an mission of individual which they have to achieve it.
On the other hand, Genishi describe quality, it is an product quality which is provided to the
customer. However, Juran believes that Management are largemly responsible for quality hence its
trilogy of quality planning.
Juran “fitness for ourpose”, “Crosby “Control of variation” and Deming “Control of variation”
although they arrive at the same fact which is for organisation to attain quality, their methodology
employed is so different that “the common cause” of quality treated is independent and complex.
TASK 2
2.1 Discussing what is meant by customer satisfaction in the context of Toyota
Customer satisfaction
Customer satisfaction is a method to assess how the responses and demands are work
together and deliver expectation to the customers. This shows the overall impression by the
consumers for the organization. This perception helps the end users to select the best one product
that can able to deliver value of money to them (Cabrerizo, Morente-Molinera and et.al., 2015).
How Toyota satisfy its customer
By producing quality goods and services, Toyota tries to satisfy its customers. In this
context, company has used “the consumer always comes first” policy (Relations with customers.
10

2017). This thing has made the company to give huge efforts in the direction of build relations with
its service users. For Toyota, customers’ evaluations and opinions are showing their expectations
towards the organization. Firm has always tries to give response towards the requirement of end
users and communicate that information to all departments. This has very helpful in product
planning; improve quality of cars and boost-up firm activities (Toyota Production System, 2017).
The below figure shows how Toyota applies customer feedback to the creation of better products
and services and satisfy its end users (Relations with Customers, 2017).
Figure 1 System of Toyota satisfy its customer by applying end user feedback
(Source: Customer First and Quality First Measures, 2014)
Need for improving services and product quality to increase customer satisfaction
Toyota needs to improve quality of its services and quality in order to attain customer
satisfaction. The first reason in this context has minimized error in the work so that cost associated
with rework on defective item can be easily reduced. Second cause is increasing adaptability which
has lead to continuous quality improvement in offer products and other related services. Along with
this, need of improving services and product quality has enhanced productivity of Toyota
(Dabestani, Taghavi and Saljoughian, 2014.).
2.2 Explaining the meaning of continues improvement with references to Toyota
Concept of continuous quality improvement
Continuous quality improvement is an approach to quality management that develops open
traditional quality assurance techniques by focusing over the organization and its quality related
system. With the help of this, it becomes easy for the company to improve many of the things with
the time. Core concepts of continuous quality improvement are as follows:
11

 Quality defines as attaining and exceeding the expectations of the end users.
 Reducing the length of time need to process request of customers
 Minimize the volume of generated scrape during the operations Solve the issues of the consumers and business partners by maintaining high quality goods
(Dale, 2015).
How Toyota ensure a continuous quality improvement
To ensure about the continuous quality improvement, Toyota has used Kaizen concept. It has
added core values in the services offer by the organization to its customers. Under this, entire
workforces of the firm have continuously looked for methods to improve operations. For this, all
level of personnel has given support in this process. To make sure about the success of continuous
quality improvement, Toyota Production System (TPS) invites its team members to think on process
so that a timely decision can be made to run the production in smooth manner (Kaizen, 2017). This
has lead to bring the improvement in quality of automobile products to the customers.
2.3 Illustrating the types of added values and benefits Toyota would gain from implementing
effective quality management
Identify and explain types of added values
An amount added to the value of a service or a product equivalent to the difference between
its costing and the amount received at the time of selling and it is called added values. In another
words, it can be stated that value added is an extra feature of a product that go beyond the standards
expectations of the customers and provide them something more. There are four types of added
values which are important for every organization for effective quality management. Explanations
of these are as follows:
Quality added value: This is related to add additional characterises that are important or valued by
customers. For example, with Lean Product and process development (LPPD), Toyota has
continuously innovating to find a new and better way to deliver new value to the customers. This
has brought the significant improvement in vehicle ride and handling characteristics. It has
improved stiffness from between 30% to 60% and this has increase cycle times of assembly
process.
Environmental added value: It focuses over the protection of environment because organizations
are using those methods that do not harm the surrounding environment from the operations. For
instance, to reduce the weight of cars, Toyota has increased fuel efficiency. Due to this, company
has replaced multiple parts and sub-assemblies so that vehicle weight can be minimized. These all
have boost up fuel efficiency and decrease the amount of CO2 in environment during operating.
12

Cause related added value: This can be considering as social marketing strategy where companies
donate some amount of revenue to causes from business operations. For example, Toyota has
organized some because related marketing activities in the context of social welfare by
understanding their social responsibilities. There have different categories of CSR activities of citef
firm such as labour and human rights, health and safety, recycling and water consumption, reduce
CO2 emissions etc. These all have created a strategic position of the company that has linked brand
to related social causes for mutual advantages.
Culture added value: Under this, there are some techniques uses by organizations that include
culture aspects or meet the requirements of diverse culture groups (Eben-Chaime, 2013). The
mission of Toyota is fostering a culture at the workplace where employees can enjoy a creative and
rewarding lifestyle. Along with this, the developed culture of the organization has assisted in
listening to the customers’ requirements and meets those expectations with outstanding services and
products.
Benefits of types of added values to Toyota
The above stated different types of added values have delivered various benefits to Toyota. It
has assisted the organization to determine what the customers expect or wants from the company
automobile services. This has focused over the continuous optimization of different resource. By
using various types of added values, cited firm has able to take competitive advantages and meet the
demand gap of the marketplace.
2.4 Describing the types of information made available to customers and the importance given to
effective marketing
Toyota has to provide the various quality related information to the customers. The first type
of information in this context has features of products with its durability and reliability. The second
information has value added in terms of benefits to the customers. These both dat and Con of Non-
user surveys: a have helped Toyota to develop the effective marketing of the products and services
in the market. With the help of this, firm has focused over the areas in marketing which has highly
gained the attention of the end users and has influence them to buy the products (Floridi and Illari,
2014). For example, the collected information from the customers review has assisted Toyota to
analyze their views and perspective towards the offer services. This has highlighted those areas
where company has required improvements. Along with this, by using the gather data from end
users side, it has allowed the firm to develop effective marketing to increase the footfall of service
users. So, from the use of customer information, it has become easy for Toyota to make an
appropriate advertising.
13

Various information which is provide by the Toyota to their customer are as aligned below:
 Aware people about prices of product which offered by organization in international
market.
 Promote goods among people and define how to them in order to properly enjoy
product.
 Provide full description of product features through which customer can easily get
information related to goods.
 Also specify benefits of them which attract large number of people.
 Toyota charitable work with community. This is Toyota promoting is good deed and
letting society know that they are giving back to the community whenever they can.

TASK 3
3.1 Explaining with examples how quality management can be measured by Toyota
There are three approaches use by Toyota to measure the quality of the products. These are
Kaizen and Just in Time. In the case of Kaizen, it is the heart of Toyota Production System. Under
this, organization has effectively defined both human and mechanical resources to make sure about
maximum quality, eliminate waste and improve efficiency (Goetsch and Davis, 2014). Employees
of the company have worked closely with standardised work guidelines to look continual
improvement. On the other hand, in Just in Time quality management technique, Toyota entire
production process has regulated by the natural laws of supply and demand. At the time of
production of automobiles, demands of customers have taken into the consideration. The result of
this is the right parts and materials have manufactured and provided to the end users in the exact
amount needed. From the above discussion, it can be said that both of quality management systems
have helped Toyota to measure the quality of the products (Groene, Botje, and et.al., 2013).
Quality measurement is done with the help of some methods and factors. Methods such as
six sigma and statistical quality control in the context of Toyota. Six sigma approach is used for
removing defects from the process and improve their performance. By removing error it can
improve perfection. Development in the process and perfection in the quality is the main advantage
of this method. Further, quality of goods and services are monitor by method which is known as
statistical quality control. The quality of product which is produced or deliver by Toyota company
are must be monitor with the help of this tool.
14

Quality measure is the tool which is help organization to identify quality of performance.
They can measure quality with the help of this method. It needs is good quality of leadership which
helpful for them. For the successful quality measurement people can use various types of methods.
Such as statistical quality control and six sigma. Statistical quality control stands for statistical
methods which help them to monitor quality of goods and services. Six sigma is a method which is
used to eliminate defects and errors. Toyota company opted these methods for improving quality of
their products.
15

3.2 Evaluating the benefits of user and non-user surveys in determining Toyota’s customer needs
User and non-user surveys, both have delivered the wide range of benefit to Toyota in
determining the customer’s needs. These have helped the organization to find the strengths and
weaknesses of the business. By asking relevant questions about the company goods and services, it
has becomes easy for the firm to get proper feedback from the users. Along with this, both user and
non-user surveys have facilitated Toyota to carry out the market research. With the help of this,
enterprise has known what are the reasons that influence the customers to use or not to use the
services of cited firm? (Hangartner and Svaton, 2013). On the basis of this, it has become easy for
the company to take several courses of actions to satisfy the consumers. In the summarized form, it
can be said that user and non-user surveys have needed more time and efforts of Toyota to find out
the needs of the services users. User survey has assisted the firm to identify whether they are doing
good business or not. While non-user survey has allowed determining whether company is able to
meet the customers’ needs or not (Hasler, Smart and et.al., 2014).
User survey is the method which is opted by Toyota company for collecting information
regarding quality of their goods and services in order to identify that products are able to meet
people's expectation or not. On the other hand, non user surveys are opted by Toyota for gathering
information from those groups or individuals who are not using products of the company. These
surveys are beneficial for organization to meet their long as well as short term goals.
Advantages of using these surveys are as aligned below:
 Toyota organization can able to get information related to current market
needs and demand of their customers
 They can identify their weakness and strength and try to improve them in
order to improve performance of company in international market.
 With the help of these surveys organization can collect information related to
current demand and their customer’s opinion regarding goods and services
which firm should deliver in market.
Disadvantages of using these surveys are as define below:
 These are the time consuming process.
 Toyota spent huge amount of money on these surveys.
 These takes extra efforts of employees which reduce their work quality.
 Company is not abl;e to get exact information or data which they require the
most.
16

The above mentioned table can help organizations to identify their performance. This is a user and
non user user survey which help to evaluate current market demand of customers.
3.3 List the methods of consultation employed by Toyota in one quality scheme to encourage
participation by under- represented groups
Under-represented groups refers people who hold few percentage with in important
subgroups. Under-represented groups are totally depends on subgroups. In STEM (science,
technology, engineering and mathematics) field under-represented groups are included women and
some minorities. Women up to 50% are educated college workers but only up to around 27%
workers are from science and engineering in the state of united state. Person who are consider in
that group are totally depends on subgroups. There are several methods follow by Toyota in one
quality scheme to encourage participation by under-represented groups. Explanations of some
selected techniques with the respect of organization are as follows:
Form surveys: With the help of the following method, Toyota has quickly got the reply from under-
represented groups. This has assisted in determining the nature of the responses and on the basis of
this, management can easily encourage the participation of under-represented groups through this
survey (Hazen and et.al., 2014).
Telephone survey: This has helped Toyota to determine the expectations, issues and needs of under-
represented groups. The way to response by the users have guided the employees to find out
whether the end users have satisfied with the services or not.
Group interviews: This is another effective method to increase the participation of under-
represented groups by Toyota. It has allowed the management to analyze the situations and find the
solutions of the issues (Hohenberger, Merkel and Hermanek, 2013).
17

Mail survey: Here, Toyota has selected some people from under-represented groups and has
received the responses of them from pre-paid envelop. It has contained some questions where
respondents have to give short answers.
3.4 Identifying the value of complaints procedures and analyse how they may be used to improve
quality by Toyota
Complaints procedures “is to ensure that all complaints are resolved quickly and efficiently in
order to improve customer service quality. The information gained from complaints should be used
to inform and improved practice within the company and it can help in organisation strategy
setting” (Evans and Lindsay, 2008).
To solve the issues of customers, Toyota has adopted a systematic complaints procedure. Under this,
the consumer have shared their problems with the customers complain management department
either by phone, mail or face to face meeting. The generated information from this complaints
process, it has used by the organization to bring the improvement in quality of the offered goods
and additional services. For example, company has found from the complaints that their products
have low quality points. By using this information, some modifications in quality planning and its
management practices have made. Complaints are usually consider the negative impact on
performance of company but actually they becomes advantage for them. Through receiving
complaints companies can able to identify their weaknesses and try to improve their performance in
international market. After this, the faults or weak points have determined by Toyota and improve
them (J. Pronovost and A. Marsteller, 2014).
Some steps of complaint handling procedure are as aligned below:
 Firstly, Toyota company have receive feedback from their customer whether they are
positive or negative.
 Identify the problem and best possible solution.
 Offer those solution to their customer which they analyse.
 After this, organization needs to execute these solution for improve its performance.
 At last, they have to follow them and provide to their customers.
Receiving complaints from customer are beneficial for companies whether they are positive or
negative. With the help of positive feedbacks companies are maintain and try to improve them in
order to attract large number of people. On the other hand, through negative feedback Toyota is able
to identify their weaknesses and try to improve them in timely and effective manner. So that, with
the help of these complaints quality of Toyota is improve and attract large number of people. After
18

weaknesses, managers and leaders are responsible to manage operation in order to improve them
and try to increase the standard of quality of their performance.
TASK 4
4.1 Report on the role of self-assessment in order to determine Toyota’s current ‘state of health’ as
regards to quality
With the application of self-assessment, Toyota can easily determine current ‘state of health’
as regards to quality. Under this, company has used different quality management practices to attain
its objectives. For this, as assessment report has developed to identify that organization quality
management practices have worked in effective manner. On the basis of this, new standards and
system have designed. So, with the help of self assessment process, Toyota has found the current
‘state of health’ as regards to quality (Jafari and Rodchua, 2014).
Self assessment is an consistently review functions of Toyota company and also identify
performance of the company in order to analyse needs of improvement in the management of the
company. Leaders and managers are responsible to identify activities which needs for improvement.
The main advantage of this tool is company can easily identity its weaknesses and activities which
need improvements.
Methods of self assessment:
Benchmarking- It is the method through which compare different processes and performance of
the company on the basis of cost, time etc.
Internal self assessment- It is a method of internal audit which help Toyota company to identify
their performance.
External agencies- These agencies include customers, suppliers, finance provider which are
directly interact with the Toyota organization.
Peer review- It is the evaluation of work by the on or more members of producers of work which
are known as peer.
4.2 Evaluating the importance of communication and record keeping at Toyota
Communication and record keeping, both are important aspect of every organization. The
same thing has applied on Toyota because these have the integral part of quality management
system. At the time of managing the quality, organization has communicated the information within
and outside the firm. For this, a proper communication process and method has used by the
business. By maintaining effective communication within and outside the workplace, the quality
19

related information has effectively communicated to customers and employees. Along with this, it
has assisted in keep the record of all information so that quality standards can be easily attained.
With the help of record data, Toyota has compared the past and current results to determine that
whether the offer services by organization has able to meet the quality standards and attain the
customer satisfaction or not (Karyotakis and Moustakis, 2014). In addition to this, recording
keeping and communication has helped the cited company to improve the quality of products and
services.
Various types of methods and approaches are used by the Toyota organization which help
them to meet their expectation and demand. Company needs to communicate with their customers
in order to improve quality of their performance and also increase profit margin as well. The
company conducting seminar in order to introduce their goods and services in international market
and try to receive feedback from customers through face to face communication. Through this step
firm can able to solve people's problem by providing best possible solution to them.
4.3 Explaining how quality schemes at Toyota can be effectively implemented by following
guidelines on the stages of staff consultation
)a For the growth and development of Toyota, employees have needed to exchange their ideas
and viewpoints with each other. In the case of the cited firm, communication and
consultation with personnel have considered as the lifeline of success. This has helped in
implement strategic quality plans together with quality schemes (Kneese, 2013). Within this
context, communication and consultation of employees have promoted by the firm all
organizational level. Top management has included the lower and middle level staffs in the
decision making and discussion process. Due to this, the ground levels of workers have
given huge efforts in the direction of converting the ideas of top level into the reality.
Therefore, the above stated process explains that quality schemes at Toyota has effectively
implemented by following guidelines on the stages of staff consultation (Mok, Sparks and
Kadampully2013).
Staff consultation play an important role in business organization through which companies are
improve their quality and performance as well. Managers and leaders are responsible to interact
with the subordinates in order to identify their development needs. Leaders have to motivate their
subordinates for improve their work quality and improve their performance as well. Also they needs
to frame plans and strategies and implement them when it is necessary for increase quality standard
of Toyota company.
20

4.4 Propose new systems or modifications to Toyota’s existing systems that could improve service
quality
Toyota has known for its Toyota Production System where different quality systems such as
Just-in-Time, Kaizen etc methods have used. The quality systems use by the organization has more
effective in terms of maintain the quality of the goods and services. In this context, there have
modifications have needed in Toyota’s existing systems that can improve service quality. For this,
company has to listen the needs and requirements of customers. The information gain from this will
help in find the issues in quality of the goods. By using this, firm has to focus on the improvement
areas so that problems and its causes can be resolved in an effective manner. Along with this, by
giving empowering employees and team approach, quality of services can be improved by cited
firm (Oakland, 2014). Different types of chnages which Toyota needs to done in order to improve
quality of company such development needs are as follows:
 Leaders and managers must ensure that continous improvement is compulsary in
company for improve work quality of it and meet the expectation theur customers.
 Use specific methods and factors which identify comparison between current work
quality and needs of development.
 Service improvement should need new innovative techniques and inventions which
are able to meet current market demand and provide proper satisfaction.
Investment in training for employees- Toyota needs to conduct best training session for their
employees in order to improve their performance and work quality. With the help of theses training
workers are able to enhance their knowledge and boost up their confidence as well.
Response to customer complaint- Toyota have to provide response to their customer on their
complaints. Organization needs to provide best possible solution to them in oredr to satiosfy their
needs and offering ful satisfaction to them.
CONCLUSION
From the above report, it has been concluded that Customers have become more
sophisticated and more demanding, requiring superior performance from goods or services and
quicker responses from suppliers. In this context, quality management has become an operational
priority to ensure end users satisfaction. Expectations of the consumers have varied from value for
money, reliability, durability, performance and serviceability. Quality assurance has helped to
guarantee that goods and services are fit for purpose driven by what customers want and willing to
pay for. It has also been seen as a competitive advantage for organisations and has served as a tool
21

for branding and improving corporate image.
22

REFERENCES
Books and Journals
Al-Dhaafri, H.S., Yusoff, R.Z.B. and Al-Swidi, A.K., 2013. The effect of total quality management,
enterprise resource planning and the entrepreneurial orientation on the organizational
performance: The mediating role of the organizational excellence---A proposed research
framework. International Journal of Business Administration, 4(1), p.66.
Al-Mamun, A. and Zainuddin, Z., 2013. Sustainable river water quality management in Malaysia.
IIUM Engineering Journal, 14(1).
Bienia, C. and Li, K. 2011. Benchmarking modern multiprocessors. USA: Princeton University.
Blank, T.H. and Naveh, E., 2014. Do quality and innovation compete against or complement each
other? The moderating role of an information exchange climate. The Quality Management
Journal, 21(2), p.6.
Cabrerizo, F.J., Morente-Molinera, J.A and et.al., 2015. A decision support system to develop a
quality management in academic digital libraries. Information Sciences, 323, pp.48-58.
Dabestani, R., Taghavi, A. and Saljoughian, M., 2014. The relationship between Total Quality
Management critical success factors and knowledge sharing in a service industry.
Management and Labour Studies, 39(1), pp.81-101.
Dale, B., 2015. Total quality management. John Wiley & Sons, Ltd.
Eben-Chaime, M., 2013. A note on: the economic effects of quality improvements. Total Quality
Management & Business Excellence, 24(3-4), pp.374-377.
Floridi, L. and Illari, P. eds., 2014. The philosophy of information quality (Vol. 358). Cham:
Springer.
Goetsch, D.L. and Davis, S.B., 2014. Quality management for organizational excellence. Upper
Saddle River, NJ: pearson.
Groene, O., Botje, D. and et.al., 2013. A systematic review of instruments that assess the
implementation of hospital quality management systems. International journal for quality in
health care, 25(5), pp.525-541.
Gutiérrez, L. J. G., Torres, I. T. and Molina, V. B., 2010. Quality management initiatives in Europe:
An empirical analysis according to their structural elements. Total Quality
Management, 21(6), pp.577-601.
Hangartner, J. and Svaton, C.J., 2013. From autonomy to quality management: NPM impacts on
school governance in Switzerland. Journal of Educational Administration and History,
45(4), pp.354-369.
23

Hasler, B., Smart, J.C.R. and et.al., 2014. Hydro-economic modelling of cost-effective
transboundary water quality management in the Baltic Sea. Water Resources and Economics,
5, pp.1-23.
Hazen, B.T. and et.al., 2014. Data quality for data science, predictive analytics, and big data in
supply chain management: An introduction to the problem and suggestions for research and
applications. International Journal of Production Economics, 154, pp.72-80.
Hohenberger, W., Merkel, S. and Hermanek, P., 2013. Volume and outcome in rectal cancer surgery:
the importance of quality management. International journal of colorectal disease, 28(2),
pp.197-206.
J. Pronovost, P. and A. Marsteller, J., 2014. Creating a fractal-based quality management
infrastructure. Journal of health organization and management, 28(4), pp.576-586.
Jafari, A. and Rodchua, S., 2014. Survey research on quality costs and problems in the construction
environment. Total Quality Management & Business Excellence, 25(3-4), pp.222-234.
Karyotakis, K.M. and Moustakis, V.S., 2014. Reinvention of the public sector: Total quality
management and change management. Singidunum Journal of Applied Sciences, 11(2),
pp.30-44.
Kneese, A.V., 2013. The economics of regional water quality management (Vol. 7). Routledge.
Mok, C., Sparks, B. and Kadampully, J., 2013. Service quality management in hospitality, tourism,
and leisure. Routledge.
Oakland, J.S., 2014. Total quality management and operational excellence: text with cases.
Routledge.
Sallis, E., 2014. Total quality management in education. Routledge.
Slack, N., 2015. Operations strategy. John Wiley & Sons, Ltd.
Slack, N., Chambers, S. and Johnston, R., 2010. Operations management. Pearson Education
Online
Customer First and Quality First Measures. 2014. [Online]. Available through <http://www.toyota-
global.com/sustainability/report/archive/sr14/pdf/sr14_05_e.pdfl>. [Accessed on 14th
February 2017].
Five Ways of Looking at Quality Definitions. 2017. [Online]. Available through :<
http://www.kfmaas.de/qualidef.html>. [Accessed on 14th February 2017].
HISTORY OF TOTAL QUALITY MANAGEMENT (TQM). 2017. [Online]. Available through :<
http://asq.org/learn-about-quality/total-quality-management/overview/tqm-history.html>.
[Accessed on 14th February 2017].
Importance of Quality Management. 2017. [Online]. Available through :<
24

http://www.managementstudyguide.com/importance-of-quality-management.html>.
[Accessed on 14th February 2017].
Kaizen. 2017. [Online]. Available through <http://www.toyota-forklifts.co.uk/EN/company/Toyota-
Production-System/Kaizen/Pages/default.aspx>. [Accessed on 14th February 2017].
Relations with customers. 2017. [Online]. Available through
<https://www.toyota.co.jp/en/environmental_rep/03/kakawari.html>. [Accessed on 14th
February 2017].
Relations with Customers. 2017. [Online]. Available through
<http://www.toyota-global.com/sustainability/report/sr/05/pdf/so_01.pdf>. [Accessed on 14th
February 2017].
The History of Quality Management. 2017. [Online]. Available through
<http://qualitymanagementsystem.com/total-quality-management/the-history-of-quality-
management/>. [Accessed on 14th February 2017].
Total Quality Management. 2009. [Online]. Available through
:<http://business.simplicable.com/business/new/7-definitions-of-quality>. [Accessed on 14th
February 2017].
Toyota Production System. 2017. [Online]. Available through
<http://www.toyota.com.au/toyota/company/operations/toyota-production-system>.
[Accessed on 14th February 2017].
Why Quality Management Is Important. 2017. [Online]. Available through :<
http://www.sixsigmaonline.org/six-sigma-training-certification-information/why-quality-
management-is-important/>. [Accessed on 14th February 2017].
25