Business and Society
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1. Specify the nature, structure, types of products or service of your chosen organization,
and two (2) key factors in the organization’s external environment that can affect its
success. Provide explanation to support the rationale.
The organization that has been chosen for analysis is Toyota Motor Corporation that is a
Japanese automotive manufacturer organization with its headquartered in Toyota, Aichi, Japan.
The nature of operation of Toyota Company is basically engaged in the design, manufacture, as
well as, sale of various Toyota model motor vehicles. These include sedans, sport-utility
vehicles, minivans, compact cars, trucks and other related spare parts and accessories throughout
the world. Apart from the above activities, Toyota also provides financing, equipment and
vehicle leasing. It also offers financial services primarily to the dealers and their customers in
order to support the sales of their vehicles and other related products manufactured by the
company (Liker, 2014).
The structure of the company has been organized as shown in the diagram one bellow. Toyota
production stem as an organized structure in which there is a general manager who is responsible
for controlling all the activities of the company. There two assistant manager at the office and at
the shop floor. The structure is built on the principles of “just-in-time” production. In the
production process, the raw materials and supplies are always delivered to the company
assembly line exactly at the time they are to be used. The system therefore, has little room for
slack resources, but emphasizes the importance of efficiency on the part of employees, while at
the same times minimizing wastage of resources.
The types of products and services provided by the Toyota Motor Corporation include
electrical technology in which the company manufactures hybrid electric vehicle. The company
also produce Toyota’s plug-in hybrid electric vehicle. It manufactures various models of the cars
that are sold under its namesake brand such as sedans, vans, trucks, coupes, hybrids and
crossovers. Most of these models are manufactures as passenger sedans. These range from the
subcompact Toyota corolla, Toyota Yaris, mid-size Camry and full-size Avalon. The Vans
include the Sienna
The two (2) key factors in the organization’s external environment
Technology: This is vital force that has shaped and modified the future of Toyota
Company. Lot of technological environment has been delivered to the company on the
technological advance thereby producing high quality products. In technological development
wing Toyota Company invested over $9.8 billion by the year2009 to produce first hybrid car
Prius. The car revolutionized the world market and the organization won the twelve engine of the
year award. Toyota corolla model that is available in the world market from 17 years was
technologically manufacture and has attracted most of consumers as its features has been
outstanding compared to other model. The cars has low gas expenditure and low maintenance
cost.
Another technology is the model diversification of the products and availability of several
colors that has endorsed most customers to implement greater options. The company, has
therefore, continued to step ahead from its other competitors, while marking prices of the
products as minimum as possible. Technological aspect of the company’s framework includes
there placement technologies, competing technology development, Innovations, research funding
and maturity of technology. The technological investments that have been made by Toyota are
huge. The company has always being pioneer in automobile technological field. The advanced
technology employed by the company has made to compete favorable with other automobile
industries (Magee, 2007).
Sociological environment: Sociological parameters of the external environment analysis
of the Toyota company includes the consumer attitude and their behavior, demographic changes,
media news, lifestyle changes, trends, diversity and ethical issues. The company works as a part
of the community as it employs millions of people from different parts of the world directly and
indirectly. Its various products of automobile have revolutionized the society all over the world
by changing trends in mobility world. Ethically Toyota motors have been considered to be one of
the strongest companies with quality car models.
2. Examine three (3) salient stakeholders of the chosen organization based on their key
roles and relationships with the company.
Relations with Customers: The organization is always in forefront in addressing
diversifying customer needs that are based on the "Customer First, Quality First" Policy. The
company has also formed the Customer Assistance Center that responds to the customers'
questions, as well as, complaints. The center also gathers various consumer opinions and also
requests that the company can integrated into its product and service planning. It also operates in
accordance with its customer perspective initiative. Another deliberate effort has also been made
in order to treat the received opinions that are potentially useful input in the organization efforts
in manufacturing safe and reliable products. The products form the company are the foundation
of its customer care. The company has also various customers' selection of the product. The
company has continued to take customer-oriented approach in product creation (Worthington &
Britton, 2006).
Relations with Employees: The Company has respecting diversity and developed human
resources. The organization has created a more diverse, as well as, vibrant workplace through
solving corporate issues that are faced by female employees. Toyota Company also promotes
measures of helping its employees balance work with their childcare. It supports employees'
career development, while reforming workplace environments, as well as, attitudes.
Relations with Business Partners and suppliers: The Company provides a sustainable
society that is achieved in collaboration with business partner. Since the establishment the
company, it has sought to work and operate closely with its suppliers in the manufacturing
process (Tokuoka & International Monetary Fund, 2012).
3. Suggest five (5) ways in which the primary stakeholders can influence the organization’s
financial performance. Provide support for the response.
The customers are the most impacting stakeholders in Toyota Company. The company
has various customers in different parts of the world. The customers influence the financial
performance in that the company has the largest number of automobile clients compared to other
automobile company. The buyers through the purchase of the company’s product, has enable the
organization to finance most of its operation. These include manufacturing process and
advancement in technology. It is the customers that have enable the company to generate more
fiancé and advance their model of the cars.
The employees in the company have fair treatment that makes them have great loyalty
and commitment to the company. The result is high output per employee that in turn generates
more fiancé to the organization.
Business partners and suppliers are also having a direct financial performance of the
organization. They provide fiancé to the company whenever they purchase the product in order
to sell them to the final consumer. The company can also provide fiancé to the suppliers in case
of need such as transportation cost of the company’s products (Worthington& Britton, 2006).
4. Specify one (1) controversial corporate social responsibility concern associated with your
selected organization.
One of the controversial corporate social responsibilities associated with the company is
reduction of environmental pollution. The company has environmental responsibility from the
organization has developed sustainable vehicles and reforestation program. It is also making
manufacturing plants that is sustainable to vehicle recycling, as well as, eco-driving educational
programs. Toyota Company is actively engaged in a wide range of programs that improve the
environment. The organization minimizes the environmental impact at every stages of vehicle
life cycle from the development stage, design, procurement process, production and logistics
process. It also promotes the sales of waste and recycling of product through various
environmental managements.
There are various efforts made by the company to preserve a favorable environment in
the area that is surrounding Toyota Plant. These include the appropriate treatment of waste water
in order to maintain the water quality of water system and also maintenance of voluntary control
standards. It also promotes the greenery activities throughout the Toyota Plant site.
5. assuming you are the leader of the most influential stakeholder group, outline a plan to
form a stakeholder coalition to force the organization to address your chosen controversial
issue. The plan should include the key steps that you would take to identify members for
your coalition group, the major reasons why you believe that the particular target group
can help you to accomplish your goal, and the method you would utilize to foster
collaboration among the various groups you target.
The most influential stake holder of the chosen controversial issue is the
community/society/ public members and the employees of the company. The plan that one would
use to identify the members for coalition include: Identification of the community and the
employees who are greatly affected by the pollution from the company. The groups are then
contacted through Face-to-face meetings, Personal letters, Phone calls, Flyers and posters, Email and Mass mailings. They can also be contacted through the public service announcements.
The next step would include providing information concerning the negative impacts of pollution
to the groups.
There are various reasons why the public is believed to be the particular target group can
help one to accomplish the goal of forcing the company to ensure reduced environmental
pollution. They are the most people who affected by the issues. These include pollution of the air
from the exhaust fumes from the company and disposal of waste product into different water
source. The employees also form the most influential group for coalition because they have a
strong workforce to make the company provide pollution free environment that is friendly to the
workers.
The method that would be utilized to foster collaboration includes:
-Communicate group expectations. It should be made clear that collaboration is the minimum
standard to all the groups. The leader should also define roles and responsibilities within the
group.
-Set team goals. The goals should be concise and measurable that are set on a quarterly basis.
The leader should get the team to focus on goals, while keeping the individual efforts aligned
with desired outcome.
-Fostering a creative atmosphere. Provide the team members opportunity to question and also
brainstorm in a non-judgmental framework.
Building cohesion through inclusion of everyone in the group in decisions making. Create the
method of communicating the current work flows in order to avoid duplication of the effort
(Sinema, 2009).
6. Assume the role as the leader of the most influential stakeholder group, and indicate
three (3) potential challenges that you may face in encouraging stakeholders to form a
coalition to help you achieve your goals. Suggest the significant steps that you would take in
order to overcome these challenges that you have identified. Justify the response.
The potential challenges that one may face in encouraging stakeholders to form a
coalition to help achieve goals include:
Poor links to the community. In which there is nonexistent relationships among
agencies of the coalition group and the community at large.
Insufficient Funding. The difficulty of getting fiancé to form coalition is an obvious
obstacle. It results into the dangers funding that tend to push the coalition in the wrong direction.
Failure to have a provision and creation of leadership within the coalition. Every
coalition needs special type of collaborative leadership.
The significant steps that would be taken in order to overcome these challenge:
The lack of leadership within coalition can be overcome by bring in an outside facilitator
to provide training in collaborative leadership. Inadequate fund can eliminate through seeking
direct government support through the ministry of environment and other non-governmental
organization that are dealing with environmental issues. Poor community linkage can also be
eliminated by providing information that is describing the negative impacts that the pollution has
on the society. In that way, the community would be encouraged to form coalition towards
achieving the goal (Sinema, 2009).
References
Liker, J. K. (2014). The Toyota way: 14 management principles from the world's greatest
manufacturer. New York: McGraw-Hill.
Magee, D. (2007). How Toyota became one leadership lessons from the world's greatest car
company. New York: Portfolio.
Sinema, K. (2009). Unite and conquer: How to build coalitions that win-- and last. San
Francisco: Berrett-Koehler Publishers.
Tokuoka, K., & International Monetary Fund. (2012). Does the business environment affect
corporate investment in India? Washington, D.C.: International Monetary Fund.
Worthington, I., & Britton, C. (2006). The business environment. Harlow: Financial Times
Prentice Hall.