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Toyota
Let’s Go Places
Name
Saif Azam Khan
Mohd. Aydeed Khan
Ajbinur Islam
Razi Uddin Ahmed
Mohammad Azraf Ali
Introduction
• Toyota was founded in 1937, by Kiichiro Toyoda
• Japanese multinational automotive manufacturer with its head
quarters in Toyota, Aichi
• Fifth largest company in the world
• First to promote the use of hybrid vehicles
1
Company Logistics
2
• Markets in about
170 countries
• overseas network
consists of more
than 160
importers.
• Works with part
distributors
08.30am
Product logistics Production
Part Logistics
• Just-in-Time principle
• Pull system eliminating the
waste from excess production
Distribution Values
• Toyota offers about 60 car
models, with each channel
offering only 15-25 models.
• Toyota’s sales and marketing
work is divided into four
distribution channels Toyota
(mostly high-end, large cars),
Toyopet (medium size), Toyota
Corolla (compact), and Netz
Toyota (compact).
• )• Four distribution channels
• Toyota (mostly high-end, large
cars), Toyopet (medium size),
Toyota Corolla (compact), and Netz
Toyota (compact)
• Approximately 5,000 outlets and
120,000 employees
Social Accounting Process
Sustainable advancement: Sets the environment, traffic safety,
and education as the three considerable factors according to
the social needs of each country or region, undertaking active
measures while utilizing their resources of technology and
expertise
Environment: For effective water use, Toyota introduced
reduction technologies at plants around the world along with
water saving activities. It made steady progress reducing CO2
emissions in production activities by developing and applying
new technologies
Risk Management: Appointed risk managers to prevent and
mitigate the impact of risks
Compliance: Toyota states that Toyota shall “honor the
language and spirit of the law of every nation and undertake
open and fair business activities to be a good corporate citizen
of the world.”
1
2
3
4
Environment
Risk Management
Compliance
Sustainable Advancement
3
Is The Process Effective?
4
They have several separate reports,
for example , reports on social
sustainability or environment
sustainability. They have clear
disclosure of accounts and reports to
all stakeholders, in a form that is
appropriate to their needs.
Diverse Report System
It reflects the views and accounts of
all principal stakeholders. For
example, in their report “SMILES”
they have also included how their
TOYOTA Scholarship changed the
life of a girl living in China.
Transparency
Toyota encourages the organization
to continually improve its
performance and extend the areas not
covered or accessed
Continuous Improvement
Stakeholder Management
5
Authorized common stock
MOBILE
Shareholders
1,100,000,000
325,840,640
15,788
6
Japanese corporate entities
48%
Japanese financial institute
20%
Foreign corporate entities and
others
20%
Individuals, etc.
6%
Treasury stock
5%
Japanese brokerage
1%
Distribution of Share
Issued and outstanding common stock
Number of shareholders
Possible Issues
Fat Cat Salary
• Toyota Motors’ President Akio Toyoda earned 352 million Yen ($2.84 million)
• Toyota Engines Fabricating representatives with the work title Generation Supervisor earns a
yearly salary of $127,447.
• Whereas the HR workers earn a mnimum annual salary of $45,914.
Shareholder returns
• Profit is given based on net pay. 35.9% gave the common shareholders. 10.6% save for value.
3.8% save for resource.
• Insider Trading
• Toyota is a well-known company
• They do not exchange anything unlawful.
Insider Trading
• Toyota is a well-known company
• They do not exchange anything unlawful.
7
Civil Society Collaboration
Collaboration with Civil Society
Engages With NGOs
Collaboration with CFAO
8
01
02
03
Healthcare, Instruction and the Environment
Controversy with civil society
• Few civil society groups claimed against Toyota for additional
time activists
• Toyota damaged the labor law and harmed the specialist wellbeing.
• As a result, it strengthened Japan’s work hour contention and other
factors.
Government
Control & Audit
Video Monitor
Undisclose Location
Bullet Resistance
9
Government Relationship
• Japan’s government and Toyota will collaborate
to progress the innovation key for independent driving
• Lobbying:
Total Lobbying Expenditures: $3,820,453
Controversies/Corruption
• A senior official from Toyota was caught in Japan
for abusing Out of line Competition Anticipation Law.
• Few of Toyota’s agents bribed the government to hide
inconsistencies in a plant in China
• The agent, Futaba Mechanical Co. was later suspended
and fined
Discrimination
Due Process Whistleblowing
10
Employees
Employees Discrimination
Based on Larry Lewis case :
• Terminated from his employment because of a
disability.
• Failed to provide reasonable accommodations,
unlawfully discriminated against him in terms of
compensation.
In November 2012 Muslim employee of Toyota :
• Verbally sexually harassed by a colleague
• lack of an adequate response by her supervisor to
human resources, the suit says
11
U.S. Equal Employment
Opportunity Commission :
• Pay $202,000 to two
black men from
Landover and Silver
Spring to settle a race
discrimination suit
Employees Discrimination
Overall Employees
Discrimination
• Disability
• Nation
• Race
• Sexual Harassment
11
• Ensure Mutual Trust Between Labor, Management and Company
• Stable Employment opportunities
Employee Working Condition
Employees Policy
• Protect personal information
• Only use of Personal Information
facts of:
1. Conducting Survey for research,
planning and customer
satisfaction.
2. Any provisions in any applicable
laws and regulations or follow
any government notice
Toyota use fair and good ethical
practice for protective privacy.
11
Wages
Fair wages policy for both
male and female.
Affirmative
Toyota recruit new Japanese people who
were victim of Tsunami and Earthquake
Due Process : Safety and Health Management
Source: Figure 2f from: Irimia R, Gottschling M (2016) Taxonomic revision of Rochefortia Sw. (Ehretiaceae, Boraginales).
12
Whistleblower Policy
• Support employees and stakeholder to report unethical practices conduct by company
• Toyota paid 2.5 million for disclose confidential information
13
Consumers Controversy
• Hide Information: and paid $ 1.3 billion for safety issues which
responsible for 5 deaths.
• In India : Manufacturing defect in the oil tank that the car consumes
more petrol.
• In USA: Use of substandard metal components in vehicles.
• In Canada: GPS and media system was not working properly.
15
Controversies in a Nutshell
Bribing
Hide defects
Fight against civil social groups in
japan for damaging labor laws.Employees: Discrimination
(racial, physical and verbal
harassment)
16
Shareholders
Fat cat & Frequent profit paid to shareholders
Employees
Consumer
Civil
Government
Theory of Egoism
Fat Cat, Frequent payments to
Shareholders & Bribing
Utilitarianism
Hiding Defects
Relativism
Subjective Policies regarding Labor
Laws
Feminist Ethics & Natural Rights
Discrimination
Application of Theories
Quality is the best business plan
17
Adopting Particular Theory: Absolutism
Zero Tolerance For Defects
Rules Against Bribing
Rules for Employers &
Employees
Management Rewards
18
Recommendation
01
02
03
19
Absolutism: Standard rules to be followed
regarding pressing issues globally.
Utilitarianism: Doing what’s best for
the most.
Feminist Ethics: Emphasizes on building strong relationships which
would in time build a motivated team.
“ THANKS FOR WATCHING
THIS PRESENTATION ”
20

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Social Accounting Audit and Business Ethics of Toyota

  • 1. Toyota Let’s Go Places Name Saif Azam Khan Mohd. Aydeed Khan Ajbinur Islam Razi Uddin Ahmed Mohammad Azraf Ali
  • 2. Introduction • Toyota was founded in 1937, by Kiichiro Toyoda • Japanese multinational automotive manufacturer with its head quarters in Toyota, Aichi • Fifth largest company in the world • First to promote the use of hybrid vehicles 1
  • 3. Company Logistics 2 • Markets in about 170 countries • overseas network consists of more than 160 importers. • Works with part distributors 08.30am Product logistics Production Part Logistics • Just-in-Time principle • Pull system eliminating the waste from excess production Distribution Values • Toyota offers about 60 car models, with each channel offering only 15-25 models. • Toyota’s sales and marketing work is divided into four distribution channels Toyota (mostly high-end, large cars), Toyopet (medium size), Toyota Corolla (compact), and Netz Toyota (compact). • )• Four distribution channels • Toyota (mostly high-end, large cars), Toyopet (medium size), Toyota Corolla (compact), and Netz Toyota (compact) • Approximately 5,000 outlets and 120,000 employees
  • 4. Social Accounting Process Sustainable advancement: Sets the environment, traffic safety, and education as the three considerable factors according to the social needs of each country or region, undertaking active measures while utilizing their resources of technology and expertise Environment: For effective water use, Toyota introduced reduction technologies at plants around the world along with water saving activities. It made steady progress reducing CO2 emissions in production activities by developing and applying new technologies Risk Management: Appointed risk managers to prevent and mitigate the impact of risks Compliance: Toyota states that Toyota shall “honor the language and spirit of the law of every nation and undertake open and fair business activities to be a good corporate citizen of the world.” 1 2 3 4 Environment Risk Management Compliance Sustainable Advancement 3
  • 5. Is The Process Effective? 4 They have several separate reports, for example , reports on social sustainability or environment sustainability. They have clear disclosure of accounts and reports to all stakeholders, in a form that is appropriate to their needs. Diverse Report System It reflects the views and accounts of all principal stakeholders. For example, in their report “SMILES” they have also included how their TOYOTA Scholarship changed the life of a girl living in China. Transparency Toyota encourages the organization to continually improve its performance and extend the areas not covered or accessed Continuous Improvement
  • 7. Authorized common stock MOBILE Shareholders 1,100,000,000 325,840,640 15,788 6 Japanese corporate entities 48% Japanese financial institute 20% Foreign corporate entities and others 20% Individuals, etc. 6% Treasury stock 5% Japanese brokerage 1% Distribution of Share Issued and outstanding common stock Number of shareholders
  • 8. Possible Issues Fat Cat Salary • Toyota Motors’ President Akio Toyoda earned 352 million Yen ($2.84 million) • Toyota Engines Fabricating representatives with the work title Generation Supervisor earns a yearly salary of $127,447. • Whereas the HR workers earn a mnimum annual salary of $45,914. Shareholder returns • Profit is given based on net pay. 35.9% gave the common shareholders. 10.6% save for value. 3.8% save for resource. • Insider Trading • Toyota is a well-known company • They do not exchange anything unlawful. Insider Trading • Toyota is a well-known company • They do not exchange anything unlawful. 7
  • 9. Civil Society Collaboration Collaboration with Civil Society Engages With NGOs Collaboration with CFAO 8 01 02 03 Healthcare, Instruction and the Environment Controversy with civil society • Few civil society groups claimed against Toyota for additional time activists • Toyota damaged the labor law and harmed the specialist wellbeing. • As a result, it strengthened Japan’s work hour contention and other factors.
  • 10. Government Control & Audit Video Monitor Undisclose Location Bullet Resistance 9 Government Relationship • Japan’s government and Toyota will collaborate to progress the innovation key for independent driving • Lobbying: Total Lobbying Expenditures: $3,820,453 Controversies/Corruption • A senior official from Toyota was caught in Japan for abusing Out of line Competition Anticipation Law. • Few of Toyota’s agents bribed the government to hide inconsistencies in a plant in China • The agent, Futaba Mechanical Co. was later suspended and fined
  • 12. Employees Discrimination Based on Larry Lewis case : • Terminated from his employment because of a disability. • Failed to provide reasonable accommodations, unlawfully discriminated against him in terms of compensation. In November 2012 Muslim employee of Toyota : • Verbally sexually harassed by a colleague • lack of an adequate response by her supervisor to human resources, the suit says 11 U.S. Equal Employment Opportunity Commission : • Pay $202,000 to two black men from Landover and Silver Spring to settle a race discrimination suit
  • 13. Employees Discrimination Overall Employees Discrimination • Disability • Nation • Race • Sexual Harassment 11 • Ensure Mutual Trust Between Labor, Management and Company • Stable Employment opportunities Employee Working Condition
  • 14. Employees Policy • Protect personal information • Only use of Personal Information facts of: 1. Conducting Survey for research, planning and customer satisfaction. 2. Any provisions in any applicable laws and regulations or follow any government notice Toyota use fair and good ethical practice for protective privacy. 11 Wages Fair wages policy for both male and female. Affirmative Toyota recruit new Japanese people who were victim of Tsunami and Earthquake
  • 15. Due Process : Safety and Health Management Source: Figure 2f from: Irimia R, Gottschling M (2016) Taxonomic revision of Rochefortia Sw. (Ehretiaceae, Boraginales). 12
  • 16. Whistleblower Policy • Support employees and stakeholder to report unethical practices conduct by company • Toyota paid 2.5 million for disclose confidential information 13
  • 17. Consumers Controversy • Hide Information: and paid $ 1.3 billion for safety issues which responsible for 5 deaths. • In India : Manufacturing defect in the oil tank that the car consumes more petrol. • In USA: Use of substandard metal components in vehicles. • In Canada: GPS and media system was not working properly. 15
  • 18. Controversies in a Nutshell Bribing Hide defects Fight against civil social groups in japan for damaging labor laws.Employees: Discrimination (racial, physical and verbal harassment) 16 Shareholders Fat cat & Frequent profit paid to shareholders Employees Consumer Civil Government
  • 19. Theory of Egoism Fat Cat, Frequent payments to Shareholders & Bribing Utilitarianism Hiding Defects Relativism Subjective Policies regarding Labor Laws Feminist Ethics & Natural Rights Discrimination Application of Theories Quality is the best business plan 17
  • 20. Adopting Particular Theory: Absolutism Zero Tolerance For Defects Rules Against Bribing Rules for Employers & Employees Management Rewards 18
  • 21. Recommendation 01 02 03 19 Absolutism: Standard rules to be followed regarding pressing issues globally. Utilitarianism: Doing what’s best for the most. Feminist Ethics: Emphasizes on building strong relationships which would in time build a motivated team.
  • 22. “ THANKS FOR WATCHING THIS PRESENTATION ” 20