The "Toyota Way"

Executive Summary:

The Toyota Motor Corporation’s “The Toyota Way” is directly Related to its Success

In response to an assignment given by Dr. Stringham, a Fayetteville State University professor and Hackley Endowed Chair for the Study of Capitalism and Free Enterprise, I conducted research to attempt to confirm that the climb of Toyota from the trenches to the pent house is positively correlated with their philosophy that has become to be called today “The Toyota Way”.

Research: “The Toyota Way”

Before Toyota was one of the world’s largest auto manufactures in the world, Toyota focused on the textile industry creating looms. For over a hundred years Toyota is has be ruled by a set of rules that is known as “The Toyota Way”. Many believe this philosophy which is more than just a method, it is culture, is what catapulted Toyota to the top. Continuous improvement and respect for people is preached from day one to the employees. They are taught that their input is very valuable to the company and are encouraged to speak. Learn from your mistakes and the mistakes of others and become better from it, a manager says to an employee. Many companies try to duplicate “The Toyota Way”. Although many have been successful known has been as successful as Toyota. This is because this philosophy is more than a method to be instituted to an assembly line. At Toyota this is culture. Toyota is not without its faults. Most recently, Toyota issued a recall on over 8 million vehicles that tarnished the company name. With the foundation set there is no obstacle Toyota can’t overcome. This is why Toyota will remain on top of the auto manufacture industry.

The Good

Toyota’s management philosophy, the Toyota Way, has led them from being a small automaker manufacture to one of the world’s largest. By utilizing this philosophy Toyota has become the number one automaker in the “world doubling the earnings of every other carmaker with only a 15% market share” (Taylor III). Toyota’s rise...