Toyota experiences growing pains as expansion continues
04-25-07, 10:18 AM
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Toyota experiences growing pains as expansion continues
http://www.leftlanenews.com/toyota-e...continues.html
Toyota's rapid growth is wearing managers and engineers thin here in America, a new report says. And the same people it needs to continue its march of towards becoming the world's largest automaker are quiting in alarming numbers.
According to Automotive News, Toyota will begin to decentralize its management and engineering command and will expand its project management staff. Complaints from the staff include excessive overtime, excessive travel, lack of authority, breakdowns in communications between the field and command as well as a lack of balance between work and family.
Toyota has also seen an increase in highly publicized recalls. Most of these have been resolved, but complaints continue to roll in about V6 engine sludging, and decreasing interior quality — including cheaper materials and less solid construction.
According to Automotive News, Toyota will begin to decentralize its management and engineering command and will expand its project management staff. Complaints from the staff include excessive overtime, excessive travel, lack of authority, breakdowns in communications between the field and command as well as a lack of balance between work and family.
Toyota has also seen an increase in highly publicized recalls. Most of these have been resolved, but complaints continue to roll in about V6 engine sludging, and decreasing interior quality — including cheaper materials and less solid construction.
04-25-07, 10:27 AM
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I think it's important to see both sides of the coin. It's great that Toyota has done so well, but it would be even better if they can maintain the pace without burning out its employees, or reducing the quality of its cars. From everything I've heard and seen, it appears that they've fallen in both categories, though.
04-25-07, 10:28 AM
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The complaints from staff is limited only to North America, where executives must travel great distances. This problem does not really exist in Asia or Europe (Asia and Europe also have lots of regional Toyota centres). Toyota will be adding more local regional centres all over North America to decrease travel and workload for managers, as well as hiring a few more managers to balance the increasing workload amongst more people.
04-25-07, 10:29 AM
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I think it's important to see both sides of the coin. It's great that Toyota has done so well, but it would be even better if they can maintain the pace without burning out its employees, or reducing the quality of its cars. From everything I've heard and seen, it appears that they've fallen in both categories, though.
04-25-07, 10:36 AM
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I have to assume that Toyota's methods of getting to the top were planned. I doubt the build/material quality issues and worker burnout happened by accident. You don't get to the point Toyota is at now by being generous; you find ways to stretch budgets, cut corners, and increase workloads.
04-25-07, 10:42 AM
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I think it's important to see both sides of the coin. It's great that Toyota has done so well, but it would be even better if they can maintain the pace without burning out its employees, or reducing the quality of its cars. From everything I've heard and seen, it appears that they've fallen in both categories, though.
Even Toyota is afraid of this massive expansion, and they have been very careful about not being #1 for a long time now.
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04-25-07, 10:49 AM
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EV ftw!!!
I have to assume that Toyota's methods of getting to the top were planned. I doubt the build/material quality issues and worker burnout happened by accident. You don't get to the point Toyota is at now by being generous; you find ways to stretch budgets, cut corners, and increase workloads.
Toyota is selling all the cars they are making - their sales numbers speak for themselves. Are you saying that Toyota planned to get to the top whether or not they can sell all the cars they are making?
They have had to increase production capacity to meet increased demand - it's that simple.
Obviously quality has fallen, and that needs to be remedied. However saying that "Toyota has deliberately planned to burn out their employees by stretching budgets, cutting corners and increasing workloads" is stretching the facts a tad.
04-25-07, 10:49 AM
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I have to assume that Toyota's methods of getting to the top were planned. I doubt the build/material quality issues and worker burnout happened by accident. You don't get to the point Toyota is at now by being generous; you find ways to stretch budgets, cut corners, and increase workloads.
Worker burnout is less of a Toyota-specific problem, and more of a problem related to Japanese culture as a whole. The Japanese are very hard working people, with longer work weeks than we have in North America, so naturally they are more at risk of burning out.
Toyota did focus a lot on growth in the past few years, but now they've slowed down a bit to intensify on quality. Their focus on growth was due to their motivation to increase their competitiveness globally. It's a function of their corporate culture, just like quality and efficiency are functions of their corporate culture.
Like I said, nobody is perfect.
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