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What makes Toyota world's most reputable firm

June 16, 2008

Frederick W Taylor, father of scientific management, believed that the relationship is often characterized by uninformed management mistreating and misusing workers, but he allowed for the possibility that if managers are enlightened by scientific thinking, they can increase productivity and share more profit with the workers, which creates a win-win situation for employer and employee.

Regardless of their differences, all three perspectives assume the relationship is solely a matter of economic self-interest for all involved parties.

Toyota leaders maintain a very different perspective from those of the economic forefathers and presuppose that there are reasons other than financial gain that companies exist and employees come to work.

Employers and employees alike still have financial goals, certainly, but there are a variety of things that each party desires from the relationship beyond money.

Ask Toyota employees at any level in the organization what they hope to get out of their jobs, and you will get many common answers akin to those listed as employee goals in Figure 3.1.

Ask Toyota leaders what Toyota as a company wants to accomplish, and you will get answers that are similar to the company goals. What ties them together is striving for longterm mutual prosperity, but each party has goals that go far beyond making money.

Toyota is a unique blend of Japanese culture, the special conditions of Aichi prefecture where Toyota was founded, the influence of the Toyoda family and the great leaders in Toyota's history, and particular characteristics of the auto industry.

Toyota has always been a very independent company.

"Self-reliance" is one of the core values of Toyota and they started out in the farming community of Aichi prefecture far from the big city. Toyota has always done it their way. Perhaps the farming mentality led Toyota to want to be financially and technologically independent.

The origins as a company founded on innovation by great inventor Sakichi Toyoda may account for the adaptability and creativity throughout Toyota.

Image: The new Toyota Auris is at the Brussels Car Fair, Belgium. | Photograph: Mark Renders/Getty Images

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