Great timing on this posting - I am here writing a paper for my MBA program on the NY Times article that you reference. I am glad there is someone else out there that sees through the blame game going on here. This is not simply a training issue or the fault of poor workers.

Toyota has grown too fast and have not put the proper systems and programs in place to teach and instill their core values and principles across their growing global organization.

One principle in lean, derived from the TPS is that people don't cause mistakes and poor quality - processes do. Toyota needs to a take a good took at their current quality, improvement and training processes outside of Japan and make some fundamental improvments.

Thanks for your insight!

There are a number of globalization hurdles Toyota has to overcome. Obviously, it should make no different where Toyota vehicles are made from quality perspective, however the Japanese cooperation of manufacturers, suppliers, distributors and banks in closely-knit groups (keiretsu) and big firm shushin koyo makes Japan unique as a nation. Nevertheless, despite record sales, Toyota's quality reputation has been hit by a series of recalls that you could blame on its rush to cut costs. Here in the UK we are not bad at making cars: Toyota's plant in Derbyshire and the Nissan plant in Sunderland are among the most efficient in Europe - although Nissan did report a 23% slump in profits yesterday for the last quarter of 2006, blaming the poor results on rising commodity costs, fierce competition and stagnant sales. Part of the problem Toyota may face in the US could stem from strict house agreements with unions and employee costs, eg healthcare, has risen faster than inflation for many years.

Rob

www.rob-thompson.net
www.63buckets.co.uk (lean)
www.qualityhero.co.uk (six sigma)

Good point Rob.

Toyota has done a remarkable job of becoming what Peter Senge calls a "learning organization" where values and processes for transferring these values persist.

Now they are struggling, but these times will test their mettle. If Toyota can rapidly teach the majority of their people how to work within a learning organization, they will be truly a great firm.

Is it Toyota blaming the foreign workforce (including managers) or realizing that the process needs improving, partly through additional training?

Good question Mark. From the article:

“If Toyota can’t infuse its philosophy into its workers, these quality problems will keep happening,” said Hirofumi Yokoi, a former Toyota accountant who is now an auto analyst at CSM Worldwide in Tokyo. “The institute was founded because Toyota is afraid of growing too fast and losing control. It’s still too early to know if it will work.”

and

In the last decade, as Toyota has expanded into a vast international group, it has often exported its manufacturing and management methods to 200,000 workers at 27 plants overseas without always taking the time to explain the ideas behind them, analysts and executives say.

and

Worse, some executives like Mr. Konishi complain of managers at Toyota factories who have not adhered to some of the company’s most basic creeds, like allowing workers to stop factory lines when they spot defects.

Sounds a bit blamey, but they are doing something about it.

As with the issue of recalls, the real question is "Why did Toyota get itself into this situation?" In other words, what is the root cause?

The lack of understanding of the Toyota Way is a symptom. The lack of a formal training in Toyota Way is another symptom. What is the misconception in the minds of Toyota leadership that led to this?

"What is the misconception in the minds of Toyota leadership that led to this?"

Because they are human.

Can't kaizen that. As the Toyota people would say, "You have not understood the current condition deeply enough. Please try harder."

Through kaizen everyone moves towards excellence. where new innovations comes out for strengthening the organisations as well as nations.