Toyota as One of the Legends in the Space of Automobiles

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The journey to success was not this easy for Toyota but still, it has been able to stand tall in the competitive market because of a variety of reasons that includes the quality of deliverables and higher emphasis on reducing the cost by reducing the inventory and best utilizing the efficiency of the workers with the help of management practices discovered at Toyota itself. Toyota has taught efficient management practices to the managers across the globe and given multiple management terms like ‘Kanban’ (based on reducing inventory by visual card system) and ‘Kaizen’ (the process of continuous improvement).At Toyota, the leadership decisions are not only taken at the top rung of organizational hierarchy but also nurtured and practised at the lowest level as well. Workers are imbibed with the feeling of seeking continuous improvement at the workplace by improving efficiency and come up with more practical solutions to improving efficiency than relying too much on the technology. The welfare of the employees is at the top of the agenda list for Toyota and employees realize this by delivering to their maximum capacity.New investment by Toyota in factories in the US and China saw 2005 profits rise, against the worldwide motor industry trend. Net profits rose 0.8% to 1.17 trillion yen ($11bn. £5.85bn), while sales were 7.3% higher at 18.55 trillion yen. Commentators argue that this is because the company has the right mix of products for the markets that it serves. This is an example of much-focused segmentation, targeting and positioning in a number of countries.In 2003 Toyota knocked its rivals Ford into third spot, to become the Worlds second largest carmaker with 6.78 million units. The company is still behind rivals General Motors with 8.59 million units in the same period. Its strong industry position is based upon a number of factors including a diversified product range, highly targeted marketing and a commitment to lean manufacturing and quality.