Performance Management System: Toyota Company

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Performance Management System: Toyota Company STAKEHOLDERS’ UNDERSTANDING OF COMPANY’S BUSINESS STRATEGY All stakeholders in the company understand the company’s strategy when it is put in the clear goals and visions in the company. The company has outlined its goals and visions, making it easy for all stakeholders to access and understand the company’s business strategy and their role in achieving such goals and visions. The company has an induction process of new employee recruits to help them understand its culture, values, and mode of operations before embarking on their roles in this company. This process ensures that every employee understands the company operations. Other stakeholders such as business partners, shareholders and…show more content…
The company’s human resource management strategy focuses on ways that enhance leadership, build teamwork culture and establishment of improved stakeholder relationships. According to Liker (7), the Toyota Way and the Toyota Production System define the company’s management style and the uniqueness that differentiates the giant automaker from competitors. The human resource management framework at Toyota revolves around integration of employees with the organizational values and goals at all levels. The integration strategy involves creation of semi-permanent working teams dedicated to the achievement of the organization’s specific goals. The human resource management believes in careful induction of all workers with the organization’s culture regardless of their location or area of operations. The management strategy also focuses on the welfare of employees through provision of residential apartments and establishment of a reward system. The concept of flexibility and adaptability in the company’s operations is strongly emphasized to ensure that employees are not affected by global changes in the working environment (Liker…show more content…
The suppliers have enjoyed easy marketability of the company brands owing to its reputation over the years. Nevertheless, suppliers are now faced by the biggest challenge of tainted brand in the global market owing to media negative publicity on the quality of its cars following previous recalls attributed to mechanical defects. The company risks losing its suppliers to other vehicle manufacturers in the market due to the decline in confidence in the safety of the Toyota brand. The negative impacts on the company’s reputation in market also poses significant threats to the company’s shareholders as its profitability may be undermined by the poor brand image (Feng
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