Toyota Case Study

2256 words 10 pages
Organizational structure and environment: case study

Toyota is one of the biggest manufacturers in the world; it is a huge global company as well. Whit the world economy climate changing, Now Toyota is in the case of a sensitive period. There are some issues and challenges that company has to confront. This assignment is a case study of Toyota. The characteristic of Toyota’s structure and environment will be explored and discussed. Issues of Toyota will be connected with company’s structure and environment. The organization theory will be used to explore what issues and how did issues happen in the Toyota. The author will use some evidences and examples to support his arguments.

Toyota was established by Sakichi Toyoda in 1937. The
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For example, Toyota is a Japanese company, the Japanese companies used to follow the centralization organization, Toyota’s management team like the parents in a family and the employees like kids in a family, the kids must follow parents’ rules and orders. They just can not say no or their own ideas to parents. (Mehri 2006 P24-27)

Specialization means employees and work units have special skill to confront some specific task. (Hatch & Cunliffe 2006 P106) Toyota is an exceptive case of specialization, the company has a system which is called Toyota Production System, this system allowed worker without any special skill working in the plant. Toyota teaches worker follow the rule in the plant and make worker understand how they step by step to do their job in the plant. This system makes Toyota become a low specialization organization. (Spear & Bowen 1999 P98-100)

Formalization means there are several rules or black and white made by organization. (Hatch & Cunliffe 2006 P106) Organizations use these materials to ensure employees can understand and follow the organization working system. This is a method that organization used to keep in a formal stage. Toyota make their employees follow the rule which is created by company,


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