The paper “ Toyota Organizational Context and Structure” is an inspiring variant of the case study on management. Provision of services by either people or information systems occurs in the context of current and potential customers; current and potential technologies; current and potential competitors; existing services or systems; existing user or application interfaces; and legal, regulatory, cultural systems and constraints (Kleindorfer, Wind and Gunther, 2009). Toyota has customers around the globe and the advent of information technology and sophisticated transport systems influences the provision of its products around the globe.
Moreover, Toyota has many competitors in the motor industry and as such, it requires a structure that can enable it to remains competitive (March 2008). Many of organizational contexts are shaped by the structure of the firm (Liker and Hoseus, 2007). Organizational structure is characterized by centralization versus decentralization; the number and types of roles played by people; the span of control for managers; and the organizational discipline and core competencies (Noe, Hollenbeck and Gerhart, 2007). Organizational contexts are important because they determine the influence and priority of stakeholder roles and individuals.
They also determine how readily change can be adopted. Moreover, organizational contexts are important because customers come from various contexts and this might shape the goals of and requirements of customers. Organizational structure refers to the formal reporting relationships, controls, procedures, authority, and decision-making processes that exist in a firm. It is usually difficult to develop an organizational structure that supports the strategy of a firm (Sanchez and Heene, 2010). When the elements of a structure are aligned properly with each other, the structure facilitates the effective implementation of the strategies of the firm.
The structure of a firm specifies the work to be done and how to do it based on the strategies of the firm (Kleindorfer, Wind and Gunther, 2009).
Dowling, P., Festing, M., and Engle, A. 2008. International Human Resource Management: Managing People in a Multinational Context, 5th Ed. London: Cengage Learning
Kleindorfer, P., Wind, Y., and Gunther, R. 2009. The Network Challenge: Strategy, Profit, and Risk in an Interlinked World. London: Pearson Prentice Hall
Kreitner, R., and Kinicki, A. 2009. Organizational Behavior, 9th Ed. London: McGraw-Hill/Irwin
Liker, J., and Hoseus, M. 2007. Toyota Culture. New York: McGraw-Hill Professional
March, J. 2008. Explorations in Organizations. Stanford: Stanford University Press
Noe, R., Hollenbeck, J., and Gerhart, B. 2007. Human Resource Management, 6th Ed. London: McGraw-Hill Publishers
Sanchez, R., and Heene, A. 2010. Enhancing Competences for Competitive Advantage. London: Emerald Group Publishing
Toyota. 2012. Home. Available at http://www.toyota.com/