Case Study 1
1. What were some of the key steps that led to Caterpillar's becoming the industry leader in earth-moving machinery?
First things first, CAT has unmatched quality and consistency; their product reliability and reputation was the key factor in their success. Caterpillar also invested a great amount of money on market research. They have and continue to innovate to meet the needs of their consumers. They also targeted and developed equipment for different industries such as agriculture and infrastucture. They invested in a factory modernizing program that improved product availability for consumers. This made the company more efficient and competitive. Caterpillar ...view middle of the document...
In my experience the most costly thing that goes into equipment is fuel. We spend a great amount on diesel. The future of the market is pointing towards fuel efficiency. The future growth for this company is successfullness in emerging markets and continued innovation and outstanding quality.
Case Study 2
1. Toyota has built a huge manufacturing company that can produce millions of cars each year for a wide variety of consumers. Why was it able to grow so much bigger than any other auto manufacturer?
Toyota was able to grow much more rapidly than its competitors because of its lean manufacturing methods. They were able to make as many as eight different models at the same time increasing productivity and market responsiveness. Toyota is a leader in innovation and encourages its employees to improve the manufacturing process. Toyota took the lead in the hybrid market by introducing the first hybrid electric-gasoline car; the prius. The key to Toyota's growth was its reputation for outstanding quality and reliability. This factor combined with its manufacturing practices created a great demand and a great supply for Toyota.
2. Has Toyota done the right thing by manufacturing a car brand for everyone? Why or why not?
Toyota has created a car for almost every target market which include popular models such as the Camry, Corolla, Scion ,Tundra, Tacoma and luxury Lexus. There is a wide range of products that Toyota Company makes. I believe Toyota Company has done the right thing by manufacturing a car brand for everyone. They manufacture a really great range of cars that have put them on top. They have researched what the customer wants and they have developed the most popular vehicles. In the market there are different people with different perceptions, in Europe luxury doesnt have the same meaning as it would in the U.S. So toyota markets its product differently depending on region. There are times Toyota designs differently depending on region to accomadate needs. Toyota has built their Manufacturing plants to do just that which is assemble a variety of vehicles. I believe that they have established an even understanding of what consumers want. They have developed vehicles for just about every price range which in turn attracts a greater amount of consumers.
3. Did Toyota grow too quickly as Toyoda suggested? What should the company do over the next year, 5yrs and 10yrs? How can growing companies avoid quality problem in the future?
Yes Toyota did grow too quickly as Toyoda suggested. The year before Toyota had surpassed General Motors becoming the worlds largest car maker. In that year 2007 they produced 1 million more vehicles than GM. This is an indicator that Toyota was growing rapidly. The demand for Toyota's put pressure on the company to expand. This put Toyota in a predicament where they pursued growth to meet the needs but their team was not properly trained. They strived away from their initial goal which was quality and...