Taiichi Ohno was born in China and grew up in Japan during a very turbulent time. Born a few years after the Russo-Japanese War and two years before the First World War, his leadership helped Toyota become a world leading car manufacturer at a time when Asian brands had difficulty competing against European and American manufacturers (Grips, 2006). To make matters worse for Toyota and other Japanese companies, Japan had been severely bombed during World War II. This left Japan’s industry and workforce weakened and uncompetitive. In addition, as one of the losing axis countries, Japan had lost territory to the Soviet Union and China and was forced to pay billions of Yen (¥) in damages to the victor nations, including the United States and the Philippines (Washington Post, 2014). Although the United States initially helped Japan financially in order to keep them out of the Soviet Union’s sphere of influence, ultimately, Japan was responsible for its own reconstruction and reindustrialization. …show more content…
To make up for the lack of resources, technology, and capital goods, Toyota was forced to initiate major changes in corporate culture and their supply chain, called the Toyota Production System (TPS) (Vanguard, 2016). The plan took decades to implement company-wide. Employees were given more responsibility for the entire manufacturing process. Every individual was held accountable for the product’s quality. A sense of pride was instilled in the employees from the top down. According to Jinichiro Nakane (2002), Taiichi Ohno inspired a “quest for a superior performance culture” in Toyota. Managers and laborers were taught to take pride in their work and were given the authority to fix inefficiencies and eliminate “muda”, or waste in English, as soon as it was
The Japanese government believed that the only way to solve its economic and demographic problems was to expand into its neighbor’s territory and take over its import market, mostly pointed at China. To put an end on that the United States put economic sanctions and trade embargoes. We believed that if we cut off their resources and their source of federal income than they would have no choice but to pull back and surrender. But the
Komatsu, the largest Japanese corporation that manufactures heavy equipment, was established in 1921 as a specialized producer of mining equipment. In this case, the company had been through a lot of circumstances, some of them had raised the company status and some of them not. Initially, when the Japanese government allowed the foreign investors to roll and share the market in the region. In the other hand, before that situation happened, Komatsu was held a market share of more than 50%, despite the low quality of its equipment at that time. In my opinion, most of the changes that took place within the organizational structure and strategies of the company over the years had caused instability in the development
Had it not been for Hirohito’s decision to surrender Japan to its allies during World War II in 1945, Japan would have been given the opportunity to thrive both economically and socially as it has to this very day. Hirohito put his people as his foremost priority, and this undivided care led him to make the best decisions for Japan. His military tactics and thought process brought Japan to its success and it is thus why Japan is now one of the most recognized and distinguished countries of the modern-day.
Most American citizens remember December 7, 1941 and the significance that the incidents of that day had. The attack on Pearl Harbor was a shock to the United States of America and it engaged our country in the Second World War of that century (Pearl, 2009). Unfortunately, due to that incident, many Americans harbor many negative feelings and attitudes towards the country of Japan. While this is an understandable sentiment, it is unnecessary, because Japan is an influence on not on the United States but the entire world. Throughout this paper, we will look at the country of Japan as many have never viewed them before. Their actions of the past are just that, the past. Japan is a thriving and successful country within our environment and it is in our best interest to understand that country better. Japan, as a culture, is the
According to Toyota, they have undertaken a manufacturing revolution that has fundamentally changed established practices; all the way back to the product development and design. They have done this by integrating four areas: design, production engineering, procurement, and component supply. They have achieved higher quality at lower costs by creating standardized, multipurpose components. Also the reduction in cost has heightened the value and fortifies the competitiveness of product. To do this, Toyota has required intensive coordination with its suppliers. Another factor of their Integrated Low Cost is that Toyota steadily feeds cost improvements back into the product to raise their value along with the fact that four Toyota’s seven corporate auditors are outside corporate auditors.
As we learn from the case study, the Lincoln Electric Company is the largest global manufacturer of machines for welding, which are used in all kinds of construction projects. This means that the company has a large global presence and many employees, so its culture affects thousands of its workers. Even though it is now 2014, the company still has a large market share and very satisfied employees, so clearly the culture leaves employees satisfied and motivates them to work hard for the company.
This case depicts about the success stories of the collaboration in the automobile industry by the Japanese and US firm though they were obviously competitors. One significant success story emerging from the alliance involves Ford probe and Mazda MX-6. There were swapping of resources and capabilities between the two firms. Mazda designers design the basic platform, engine and drive train for the cars. Mazda then design the outside of the MX-6 and Ford does same for the probe. Finally both cars are assembled at a factory owned by the two firms. Ford escort was another successful offspring of the alliance where again the Mazda engineers designed the car and Ford made it. But the alliance was not without spots. Mazda Navaho one of the offspring of the alliance which was basically build upon the on of the Ford popular product Ford explorer and build by the Ford makers. Ford made an opposite step by denying to provide the Japanese partners Navaho production to continue production of its own product line. The partner Mazda in addition fell into financial distress and Ford got the effective management control of Mazda and took some bold steps which eventually went against the collaboration.
Following the unprecedented destruction of the cities of Hiroshima and Nagasaki, and the surrender of the Empire of Japan to Allied forces in September, 1945, the Japanese government came under control of Allied Occupation Forces from 1945-52, with General Douglas MacArthur serving as Supreme Commander of the Allied Powers (SCAP). Under MacArthur’s office, also known as SCAP, Japan was designated as, “the bulwark of Asia’s capitalism and democracy” (Thompson & Bordwell, 2009, p. 462), making the nation ripe for political and economic
The objective is to become a leader Toyota Motors cost leadership strategy entails minimizing selling prices and controlling costs, such as reducing cost of operations (Thompson, 2016). They accomplish this through the Toyota Production System (TPS). TPS was established based on years of continuous process improvements. The organizations overall objective was creating the ability to produce vehicles more efficiently, effectively, and
...high power status, Japan had to have a self-reliant industrial common ground and be able to move all human and material resources (S,195). Through the Shogun Revolution of 1868, the abolition of Feudalism in 1871, the activation of the national army in 1873, and the assembly of parliament in 1889, the political system of Japan became westernized (Q,3). Local Labor and commercial assistance from the United States and Europe allowed Japan’s industry to bloom into a developed, modern, industrial nation (Q,3). As a consequence production surplus, and food shortage followed (Q,3). Because of how much it relied on aid of western powers, Japan’s strategic position became especially weak. In an attempt to break off slightly from the aid of the west Japanese leaders believed that it would be essential for Japan to expand beyond its borders to obtain necessary raw materials.
Fifty years after the end of the second World War, it is easy to look back on the American occupation of Japan and see it as a mild nudge to the left rather than a new beginning for the country. We still see an emperor, even if only as a symbol. Industry, when it was rebuilt, was under much of the same leadership as before the war. Many elements of the traditional lifestyle remained–with less government support and in competition with new variants. The Japanese people remained connected to a culture which was half western and half Japanese. Nevertheless, it is irrefutable that the surrender in 1945 had a major impact on the lives of the Japanese. Political parties, elected by the populous, became a great deal more influential in the government. This changed the dynamics of Japanese industry, even if the zaibatsu were sill the foundation of the economy. Financial success took on a new character; the production of high tech goods for sale to the world’s most developed countries was now a better source of income. The affluence of the upper class was more evenly distributed. On a broader scale, for the first time, America had more influence than European powers. The prevention of the formation of a military put the focus of the government on trade, the United Nations, and the cold war rather than an empire in Asia. Simultaneously, social attitudes and lifestyle were more independent of the government and consumer led.
...und the world one of them being America. Through the hard work of the Japanese people they have created an economic system that has flourished and prospered for many years.
(5) Liker, Jeffrey K. The Toyota Way: 14 Management Principles from the World's Greatest Manufacturer. New York: McGraw-Hill, 2004. Print.
Different nations within which Toyota operates have different political, technological, social, and cultural environments. To safeguard the company’s overall image, there must be effective communication between the head office and regional quarters. This is especially important in the area of quality control, as Toyota currently grapples with safety issues facing several of its car models.
In 1950s, Toyota has developed lean thinking. The Toyota Production System aspires to minimize waste and increase efficiency while at the same time enhances its product quality. From this initiative, Toyota managed to widen its competitive edge by employed fewer employees in the car production with a small number of flaw products.