International Human Resource Management

Group 4

Nguyen Thu HangVu Le Hoang

To Duc Anh

Toyota Motor Corporation

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I. Toyota Motor Corp1. Introduction2. Globalization

II. National and Corporate Culture1. Japanese Culture2. Toyota Culture

III. Toyota Business1. Business Strategies2. Strategic IHRM

Table of Content

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I. Toyota Motor Corp1. Introduction

Toyota was born in a rural area near Nagoya, Japan in 1867 by Sakichi Toyoda

The first product made by the effort of Sakichi and his son was an automatic loom in 1924

In 1929, with the notion that the auto industry is growing he sold his patent to Platt Brothers company take the fund to invest in the manufacturing and automotive manufacturing

August 28,1937, Toyota Motor Corporation officially launched 3

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Reasons for Toyota’s decision to become globalized ?1. Expand the market to the world

2. Take great advantages of locations, technologies and cheap labor forces from other countries

3. Create the high competitiveness and opportunities in domestic market

4. Building a learning culture for continuous improvement

I. Toyota Motor Corp2. Globalization

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1. Recruitment employees bases on typical style of Japanese: intelligent, hardworking, team player, careful but conservative, stubborn.

2. Equally divided workload for both employees and machines (heijuka)

3. Standardized tasks are the foundation for continuous improvement and encouraging staffs

4. Only use reliable technologies which are thoroughly tested to meet the staffs and processes

5. Training leaders to become who are able to understand the life and philosophy of staffs

Impacts on IHRM of Toyota’s employees ?

I. Toyota Motor Corp2. Globalization

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II. National & Corporate Culture

Japanese culture Toyota culture

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Hofstede

Theory

Power distance

Uncertainly

avoidance

Individual-

Collectivism

Masculinity-

Femininity

Time Orientat

ion

II. National & Corporate Culture1. Japanese Culture

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Power

Dista

nce

Indi

vidu

alism

Mas

culin

ity 

Uncer

tain

ty A

void

ance

Tim

e Orie

ntat

ion

54 46

95 92 80

Hofstede's Japanese cultural dimensions

II. National & Corporate Culture1. Japanese Culture

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Power distance -> Japan is a mildly hierarchical society

Individualism-Collectivism -> Collectivism

Masculinity-Femininity -> Masculinity

Uncertainty avoidance ->one of the most uncertainty avoiding countries

Long term orientation -> long term oriented societies

II. National & Corporate Culture1. Japanese Culture

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Toyota Way

Continuous Improvement

Challenge

Kaizen

Genchi Genbutsu

Respect For People

Respect

Teamwork

The Toyota Way is supported by two main pillars:

1. Continuous Improvement2. Respect For People

II. National & Corporate Culture2. Toyota Culture

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Continuous Improvement1. Challenge - forming a long term vision, meeting challenges with

courage and creativity to realize dreams;2. Kaizen - improving business operations continuously, always driving

for innovation and evolution3. Genchi Genbutsu - going to the source to find the facts to make

correct decisions, build consensus and achieve goals.

Respect For People1. Respect - respecting others, make every effort to understand each

other, take responsibility and do best to build mutual trust2. Teamwork - stimulating personal and professional growth, share the

opportunities of development and maximize individual and team performance.

II. National & Corporate Culture2. Toyota Culture

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Geocentric approach Regiocentric approach

Standardization More adapted approach to be more close to consumers expectation

“Think globally, act locally”

What type of business strategy has Toyota pursued in its international business?

III. Toyota Business1. Business Strategies

“In-house grooming”The main field of the recruitment: engineering, HR,

marketing and IT

Recruitment method

Advertisements

Internet recruiting

Executive search firms

Public employment agency

2. Strategic IHRMThe Toyota way of recruitment

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Screening processBackground checkCandidate test

Aptitude test Achievement test

InterviewsReaching the selecting decision

The Toyota human resources policies will not allow to select any candidate who does not match with the Toyota culture and identify the enterprise value.

2. Strategic IHRMThe Toyota way of Selection

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PCNs from Toyota HCNs and TCNs• Firstly, the internal selection can also guarantee the deep understanding of Toyota spirits.• Secondly, the position promotion will be a convention for the expatriate when he comes back .• Thirdly, Toyota encourages the expatriate together with his family members and supply the financial support.

• Communicative: HCN and TCN shall have the strong intention to express and exchange own ideas with the Japanese colleague, learning the enterprise spirits of Toyota actively.

2. Strategic IHRMUsing PCNs and HCNs

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TRAINING DEVELOPMENT

• Employees are involved directly in running the Toyota Production System.• Responsibility for the quality of their own role in the production process.• Passing on only good work on the line which they see as their “customer”

• Structured development path with clearly identified courses to develop employees’ skills and provide a path way to the next level within the company.

2. Strategic IHRMTraining and Development

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Planning process Regular discussion

of objectives Appraisal stage

Maintain and enhance the

productivity of employees

2. Strategic IHRMPerformance management

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