A Discussion on Toyota’s Team Based Approach

A Discussion on Toyota’s Team Based Approach

  A team-based approach supported by a strong productive team collaboration is the key to success for any business organization that is operating either nationally or internationally. In this respect, it should be taken into account that team based approach is not only the present but the future of business success as it is a means for achieving competitive advantage. To increase productivity and to reduce cost and to make the business more cost effective it is an imperative for a business organization to adopt the team based approach in a thorough manner. In this respect, the paper is going to discuss about Toyota Motor Corporation, a Company that has exemplified itself as a leader in bringing and amalgamating innovation and implementing the team based approach in its different international sectors for ensuring cost effectiveness of its products and overall enhancement of the team members’ productivity. Toyota Motor Corporation (Toyota) has an organizational structure that relies largely on a team based approach to make sure that the Company is sustaining its success rate in all the markets in which it operates. Being the global leader in the automobile industry, Toyota is known for its innovative nature and for the implementation of newer ideologies that could bring about the best and extract the maximum productivity from the employees. At the initial stages, Toyota was known to be a Company strictly adhering to a hierarchical pattern where the chain of operation was from top to bottom. In that particular era, even though Toyota was earning revenues, it was not getting the opportunity to surpass its rivals and attain the competitive advantage. But after 2013, the Company revived its organizational and operational structure (Meyer, 2017). Among the changes brought was an affinity towards decentralization of the management policy the relied thoroughly on the team-based approach (Meyer, 2017). The top management of Toyota understood the need of diversity management so that it can penetrate into newer markets and sustain its hold in the markets where it is already leading as a automobile industry. The basic success theory of Toyota is based upon three major pillars, viz. teamwork, continuous improvement through learning, and quality (Meyer, 2017). Hence, it can be seen that the Company’s top management, though having its hold in the Japan headquarters is quite ready to align its flow of success with the effective and successful implementation of the team work or team based work policy (Meyer, 2017). In this regard, one has to take into account the fact that Toyota is now known for using its team based approaches in most of its business sectors (Meyer, 2017). Synergy of teamwork is the pivotal ideology and philosophy of Toyota and this has led to greater potentials of attaining success in emerging economies (Meyer, 2017). Toyota believes that the team based approach is both useful for the company and for the employees as it enhances teams’ productivity and the productivity of each and every team member. This policy also helps employees to get involved in exchange of ideas (between peers belonging to different cultures) in order to reach a decision that could be beneficial in terms of expanding the Company’s business further. Moreover, Toyota is a company that has shown to its industrial rivals a newer and innovative team based approach that is essential to survive the hostile market rivalry in the era of globalization and economic liberalization. In this respect, it becomes noteworthy that providing training to new and existing employees about how to contribute to the synergy and cohesion of team has been one of the primary keys behind the Company’s overall growth and expansion strategy (Meyer, 2017). Toyota’s top management is very much dependent on the policy of enhancing teamwork and synergy in team works. For example, the top management of Toyota believes that together everyone can achieve more than what a single individual can accomplish (snlprsd09, 2014). The team based philosophy and approach of Toyota has led to the formation of teams that believes in cooperative effort and in acting together in the interest of a common cause (snlprsd09, 2014). Moreover, adhering to the benchmark and standardized team work policies, Toyota’s top management has been able to motivate its employees to get themselves trained to become good team workers and team members. In this regard on must take into account the fact that Toyota believes in the industry standardization and benchmarking of ushering productivity by employing different teams and not individuals in the task of problem solving (Takeuchi, Osono & Shimuzu, 2008). By pooling their collective ideas together, Toyota’s team members, for long have showed the efficacy of the team based approach in mitigating critical problems and in overcoming challenges, both internal and external. Another secret behind Toyota’s success is its adherence to the benchmark policies of organizational communication. The Company, adhering to the benchmark principles of communication has made it mandatory for each and every employee in some phase of his/her career path to undergo team participating and team work. This is because; the top management of Toyota believes that teamwork promotes conversation and intercultural communication that paves the way for flow of different ideas and their accumulation resulting in the innovation of solutions that could address many organizational problems (snlprsd09, 2014). Hence, it can be said that adhering to the benchmarks and industrial standards of establishing strong business hold in different kinds of economies and markets, Toyota has relied largely on the team based approach that allows the employees to work in synergy and bring about cooperation and cohesion binding different departments and providing opportunities to the departments for collaborative success in both the short- and long-term. 


Meyer, P. (2017). Toyota’s Organizational Culture Characteristics: An Analysis. Retrieved March 5, 2020, from http://panmore.com/toyota-organizational-culture-characteristics- analysis

snlprsd09. (2014). Toyota’s team culture. Retrieved March 5, 2020, from https://www.slideshare.net/snlprsd09/toyotas-team-culture

Takeuchi, H., Osono, E. & Shimuzu, N. (2008). The Contradictions That Drive Toyota’s Success. Retrieved March 5, 2020, from https://hbr.org/2008/06/the-contradictions-that-drive-toyotas-success