Toyota has a quality culture that focuses on customer satisfaction through continual improvement. Key aspects of Toyota's quality culture include teamwork, continuous learning, quality focus, and treating suppliers as partners. This is different from a traditional culture which prioritizes short-term profits over customer needs and views problems as individual issues rather than looking for root causes. Toyota strives for long-term objectives, customer-focused management, and strategic problem-solving through a process of constant improvement.

1. ADS411:QUALITY MANAGEMENT
DR MARNI GHAZALI
PRESENTED BY:
DG EZURA NATASYA BINTI AG MARJOKI 2018424464
MOHAMMAD SYAFIQ BIN RAITHAUDDIN 2018663638
MOHAMAD NOR RAHIM BIN IBRAHIM 2018663894
MUHAMMAD FAKHRUL FIKRI BIN MOHD ZAILI 2018639338

2.  INTRODUCTION
 TOYOTA MOTOR COMPANY'S BACKGROUND
 QUALITY CULTURE VS TRADITIONAL CULTURE

3.  QUALITY
• Dynamic state associated with products, services, people
and environments that meets/exceeds expectations
(Goetsch & Davis, 2006)
• Quality and customer satisfaction are the same thing and
quality is a broad concept that goes beyond just product
quality to also include the quality of people,
processes, an devery other aspect of the organization
(Kaoru Ishikawa, 2011)

4.  TOTAL QUALITY
• An approach to doing business that attempts to maximize
the competitiveness of an organization through the
continual improvement of the quality of its products,
services, people, processesand environments (2006)
• The unyielding and continually improving effort by
everyone in an organization to understand, meet and
exceed the expectations of customers (P&G, quaoted by
Evans & Lindsay, 2008)

5.  TOTAL QUALITY MANAGEMENT
• Mutual cooperation of everyone in an organization and
associated business process to produce value-for-money
products and services which meet and hopefully exceed
the needs and expectations of customers (Dale et al,
2007)
• Total is covering whole, everyone must get involve in
continuos improvement and development. Quality referring
to customer satisfaction and expectation (delight
customer through quality practice). And as for
management as the people and processes to achieve the
quality goals of an organization (McDonald, 1939)

6.  QUALITY CULTURE
• Quality culture can be define as a set of group values
that guide how improvements are made to everyday working
practices and consequent outputs, explanatory context.
• A set of taken-for-granted practices that encapsulate
the ideology of the group or organization.
• Culture of an organization is the embodiment of the core
values, guiding principles, bahviors, and attitudes that
collectively contribute to its daily operations
(National Association of Country & City Health
Officials, 2013)

7. COMMON CHARACTERISTICS OF QUALITY
CULTURE IN TOYOTA COMPANY
FEATURES OF TOYOTA'S QUALITY CULTURE
 Teamwork
 Continuous Improvement Through Learning
 Quality
 Secrecy

8. • Toyota uses teams in most of its business areas.
• Synergy of teamwork leads to greater capabilities and
success.
• Emphasizes the involvement of employees in their
respective teams.
• Every Toyota employee goes through a team building
training program.

9. • Toyota's quality culture facilitates the development of
the firm as a learning organization.
• A learning organization utilizes information gained
through the activities of individual workers to develop
policies and programs for better results.
• Toyota's quality culture highlights learning as a way of
developing solutions to problems.
• With this, the company is able to continuously improve
processes and output with the support of its quality
culture.

10. • The heart of Toyota's quality culture
• Toyota's ability to provide high quality automobiles
• Principle #5 of The Toyota Way, “build a culture of
stopping to fix problems, to get quality right the first
time.”

11. • Quality culture of Toyota Motor Corporation has a
considerable degree of secrecy
• Following the reorganization, the company's quality
culture now does not emphasize secrecy as much

12. • These characteristics of quality culture from Toyota
enable the company to continue growing
• However, the secrecy feature of Toyota's organizational
culture presents possible drawbacks because it reduces
organizational flexibility in rapid problem solving

13.  Founded on August 28 937 by Kiichiro Toyoda
 Products covering in automobile sector, luxury
vehicles, commercial vehicles and engine
 Services covering in banking , financing and
leasing sector

14.  To enhance customer satisfaction by providing high
quality serviceand valu for money
 An aggressive customer satisfaction programme from show
room to parts and to workshop to foster customer
relationships
 To service the Nation and the upliftment of society
 Ethical approach towards customers and foster the need of
the customers

15.  “Create vehicles that are popular with consumers”
• Provide world-class safety to protect the lives of customers.
• Provide optimization of energy/infrastructure to local communities.
• Put high priority on safety and promote product development with the ultimate
goal of “completely eliminating traffic casualties”.
• Deliver cars that stimulate and even inspire, and earn smiles from our customers.
• Address employees’ education under “Genchi-genbutsu” philosophy, which is to
go to the source to find the facts to make correct decisions, build consensus and
achieve goals at our best speed.
• Through true mutual trust with partners, contribute to the development of new
tecnology and improved expertise.
• Contribute to economic development of local communities with R&D operations
functioning effectively in each region.

16. • “Toyota will lead the way to the future of mobility,
enriching lives around the world with the safest and most
responsible ways of moving people. Through our commitment
to quality, constant innovation and respect for the
planet, we aim to exceed expectations and be rewarded with
a smile. We will meet our challenging goals by engaging
the talent and passion of people, who believe there is
always a better way”.

17. QUALITY CULTURE
VS
TRADITIONAL CULTURE
(Goetsch et. al, 2014)
 Operating philosophy
 Supplier-elationship
 Problem-solving approach
 Management approach
 Objectives
 Performance-
improvement approach
 Attitude toward
customers

18. OPERATING PHILOSOPHY
• In an organization with a traditional culture, the primary focus is
return on investment and short-term profits
• In order to improve the organization’s bottom line on the next
quarter’s profit-and-loss statement, executives might decide to
“unload” a defective product in customers, put off critical
technology upgrades, or eliminate training programs for employees.
• In an organization with a quality culture, the core of the
operating philosophy is customer satisfaction
• Quality organizations focus on doing what is necessary to exceed
the reasonable expectations of customers. Such an approach can lower
profits in short run but is the key to long-term survival and
prosperity.

19. • Toyota's philosophy for its employees, who are supporting the
stable base of business, is institutionalized as The Toyota Way in
Human Resources Management.
• The aim of the Toyota Way in Human Resources Management is to
realize management with respect for people, that is, providing all
employees with opportunities to achieve social contribution and
self-realization through their work, and enabling them to exercise
their abilities to think, to be creative and to perform.
• This philosophy is shared by all Toyota affiliates around the
world. Based on the features of each region, it is reflected and
implemented in management and various policies.
• Toyota believes that these initiatives will not only lead to the
management with respect for people, but also to customer
satisfaction and social contribution, and thus the sustainable
growth of the company and society.

20. • Organization with traditional cultures typically
adopt short-term objectives.
• Organizations that adopt a quality culture plan
strategically
• They develop both long-and short-term objectives,
and they do so within the context of an
organizational vision
OBJECTIVES

21. • Organizations with traditional cultures tend to look inward.
• They are more concentrated about their needs than those of
customers.
• Organizations with a quality culture are customer-focused. Customer
satisfaction is the highest priority and is the primary motivation
driving continual improvement efforts.
• Toyota customer relations department, in all corners of the world
are responsible for providing assistance to clients on issues,
concerns, experiences and maintain a positive relationship,
communicating with customers, including telephone and e-mail, fax
and e-mail or in person.
MANAGEMENT APPROACH

22. • Organizations with traditional cultures tend to look
inward. They are more concentrated about their needs than
those of customers.
• Organizations with traditional cultures tend to look
inward. They are more concentrated about their needs than
those of customers.
• Toyota customers are most important to the company, and
in order to complete customer satisfaction, it is always
concern of ensuring that all customers receive the highest
level of service and easy access to the report of any
investigation.
ATTITUDE TOWARD CUSTOMERS

23. • There is a lot of finger pointing in organizations with a
traditional culture.
• Traditional organizations suffer from the “most valuable player
(MVP)” syndrome in which problem solving is viewed as an individual
undertaking wherein independent “heroes” operating all alone jump
into the breach to put things right just in the nick of time.
• When difficulties occur in organizations with a quality culture,
the focus is on identifying and isolating the root cause so that the
problem, and not just its symptoms, can be eliminated.
• Using a fundamental and strategic way to solve problems creates
consistency within an organization. When you base your results off
facts, experience and common sense, the results form in a rational
and sustainable way.
PROBLEM-SOLVING APPROACH

24. • There are 8 steps in applying Kaizen which are clarify
the problem, breaking down the problem, set the target,
analyze the root cause, develop countermeasure, implement
countermeasures, monitor results and process and last but
not least, standardize and share success.
 In the first step which is ‘Clarify the Problem’.
 Next step which is ‘Breakdown the Problem.
 Followed by the third step called ‘Set the Target’.
 Continue with the step number four which is ‘Analyze the Root
Cause’
 Step five is then applied called ‘Develop Countermeasure’
 Next is the step number six which is the ‘Implement
Countermeasures’
 Step number seven called ‘Monitor Results and Process’
 Last but not least is step number eight which is ‘Standardize
and Share Success’.

25. • In organizations with a traditional culture, suppliers
are kept at arm’s length in relationships that are often
adversarial.
• In organization with quality culture, suppliers are
viewed as partners.
• Toyota has worked closely with its suppliers in its
manufacturing.
• Toyota has globally implemented its Basic Purchasing
Policies according to the spirit of mutual benefit based
on mutual trust.
SUPPLIER RELATIONSHIPS

26. • In organizations with a traditional culture, performance
improvement is erratic, reactive undertaking that is typically
triggered by problems.
• In organizations with a quality culture, continual improvement of
processes, people, products, the working environment, and every
other factor that affects performance is at the very core of the
operating philosophy.
• Key Performance Indicators can be highly effective for exposing,
quantifying and visualizing muda (the lean term for waste).
• The essence of lean manufacturing and the central theme of the
Toyota Production System (TPS) is to eliminate waste – in other
words, to relentlessly eliminate all activities that do not add
value for the customer.
PERFORMANCE-IMPROVEMENT APPROACH