Toyota Motor: The Role of Line Managers in Delivering HR Practices

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Table of Contents

Background to the Study
Methodology
Literature Review
Summary
References

Background to the Study

The context of this proposal is based on the delivery of HRM within the Toyota Motors Corporation (TMC). The proposal provides an examination of the roles of line managers in delivery of human resource practices. The choice of the giant multinational is based on its exemplification of diverse HR functions.

The effectiveness of line managers in implementation of HRM responsibilities is emphasised. In addition, it analyses the structure of the company’s HRM and its role in management of a large number of employees in many different regions of the world.

The Toyota Motor Corp. is a global company with fifty manufacturing companies and over one-seventy distribution centres. It was founded in 1937 in Toyota, Japan.

According to the company’s Annual Report (2014), the multinational offers a variety of products and services such as speciality steel, automobile parts, marine vessel engines, biotechnology, real estate, financial services, electrical components, and house appliances (Liker & Hoseus 2008).

Problem of the Study

Currently, many organisations are restructuring their HR functions for better management of their employees to ease crises in the workplace, improve financial outcomes, and maintain organisational efficacy (Friedman 2007). TMC is known for its ‘just-in-time’ production model and a prolific HR development culture (Liker & Hoseus 2008).

The introduction of lean production has also ushered new responsibilities for HR personnel (Yamamoto 2014). Furthermore, the company is redesigning its HRM structure from the traditional mode of operation.

Its HR function has been structured to human accounting function rather than just management of human personnel (Annual Report 2014). A recent management crisis in one of its large branches has also resulted in a need for the reorganisation of its HR framework.

Research Questions

What are essential HR practices and policies incorporated in the organisation?
How is devolvement of HR done in the organisation?
How efficient are the line managers in implementing HR policies?

Objectives of the Proposal

The purpose of this proposal is to evaluate the delivery of HRM in TMC and the role of line managers in execution of HR responsibilities. The study will also seek to identify unique HR practices and policies in TMC with a focus on the recent improvements, structure of HRM framework, and HR development programs.

Finally, the study will identify the benefits of devolvement covering the roles played by line managers in delivery of HR functions in the organisation.

Importance of the Research

The research will analyse the delivery of HRM within the Toyota Motor Corporation. It will also evaluate the importance of devolvement and crucial responsibilities that are played by line managers.

The research will be suitable for use by both public and private organisations including employment agencies, state and local governments, and labour organisations

Methodology

Primary data will be acquired using questionnaires, behavioural observations, and face-to-face interviews. The questionnaires will be distributed questionnaires to different employees in TMC to gauge their view on HR practices in the organisation.

In addition, respondents will be required to give their perception of roles played by line managers. Observation will involve noting the behavioural patterns of employees in the workplace and their interaction with the line managers (Alfes et al. 2013).

Oral interviews will be used to evaluate how the employees view HR practices in the organisation as well as their perceptions of line managers

Literature Review

The Delivery of HRM within the Organisation

TMC maintains a high profile culture in its HR practices and policies. Its HR structure ensures achievement of the best employee outcomes through efficient engagement of its human resources. In addition, the company maintains a leadership style “TOYOTA WAY”, which is based on its values and business processes (Yamamoto 2014).

It emphasises on continuous improvement and respect for people. In line with the company’s philosophy, the organisation has maintained a highly structured HRM framework that remains a model for many firms (Liker & Hoseus 2008).

HR practices and policies in the company aim at ensuring workforce integration, commitment, flexibility, and adaptability with a view of attaining TMC’s organisational objectives (Annual Report 2014).

However, to realise flexibility and adaptability in the organisation, strategies have to be put in place to devolve responsibilities and form teams that can handle a variety of tasks (Cheng & Huang 2007). This situation will ensure that power is not concentrated to a few individuals.

In addition, multi- skilling and job rotations will become other major practices that have been institutionalised to realise flexibility (Yamamoto 2014). According to the 2014 Toyota Annual Report, providing high quality products and services is one of the major objectives of the company.

Its HR policies focus on ensuring quality assurance and improvement of product and service delivery.

HR Development programs and system in the organisation

According to Yamamoto (2014), TMC maintains a well-structured HR development system. The history of its HR programs and policies also shows a trend of improvements in the HRM framework.

With thousands of employees in twenty-six countries across the globe, TMC has instituted a robust HR development system that is based on the hierarchical structure of the Global Toyota human resource management (Annual Report 2014).

The programs comprise training lectures for the managers. In addition, TMC has found two schools for global and middle level managerial training.

Role of Line Managers in delivery of HR

Liker & Hoseus (2008) reveal that TMC deploys line managers who are in charge of various responsibilities such as allocation of resources and management of human resources within the organisation. For instance, product line managers are responsible for the financial gains and losses of products.

According to Ryu & Kim (2013), line managers play a crucial role in the implementation of HR practices in any organisation. They link HR practices to the perceived employee performance outcomes (Alfes et al. 2013).

Improved individual performance results in increased firm outcomes in terms of financial prowess and organisational efficiency (Friedman 2007). According to Novicevic & Harvey (2001), line managers have taken the role of training, orientating, and motivating individual employees and teams in the giant multinational.

McGuire & Mylona (2008) reveal that devolution of HR responsibilities is an indisputable way of improving employee performance. Line managers are in direct contact with the employees; hence, they can easily identify employee experiences in the workplace.

Nehles (2010) posits that deployment of line managers improves conflict resolution, employee retention, and eases supervision costs among other benefits.

However, some underlying limiting factors hinder their full engagement in their roles owing to issues concerning work overload, experience, ability, tendency to focus on short-term objectives, and failure to observe organisational rules (Alfes et al. 2013).

Summary

Delivery of HRM in organisations varies depending on the HR practices of the organisations. The analysis of the Toyota Motor Corporation HRM delivery and devolvement of HR to line managers provides a clear picture of human resource management functions and structure in the organisation.

It also shows how HRM can be structured to manage many employees in many regions. Concerning devolution, many companies have realised the vital roles that are played by line managers in the overall improvement of productivity. For better employee outcomes, devolvement is a necessity rather than a choice.

Therefore, organisations should deploy line managers to promote the success of crucial areas such as product development, budgeting, and management of human resources among other functions.

References

Alfes, K, Truss, C, Soane, E, Rees, C & Gatenby, M 2013, ‘The Relationship Between Line Manager Behaviour, Perceived HRM Practices, and Individual Performance: Examining the Mediating Role of Engagement’, Human Resource Management, vol. 52 no. 6, pp. 839-859.

Annual Report 2014, Toyota Motor Corporation. Web.

Cheng, C & Huang, J 2007, ‘Strategic human resource practices and innovation performance – the mediating role of knowledge management capacity. Journal of Business Research, vol. 62 no. 2009, pp. 104-114.

Friedman, B 2007, ‘Globalisation Implications for Human Resource Management Roles’, Employee Responsibilities & Rights Journal, vol. 19, no. 3, pp. 157.

Liker, J & Hoseus, M 2010, ‘Human Resource development in Toyota culture’, International Journal of Human Resources Development and Management, vol. 10 no. 1, pp. 34-50.

McGuire, D, Stoner, L & Mylona, S 2008, ‘The Role of Line Managers as Human Resource Agents in Fostering Organisational Change in Public Services’, Journal Of Change Management, vol. 8 no. 1, pp. 73-84.

Nehles, A 2010, The Line Makes The Difference: Line Managers As Effective HR Partners. Web.

Novicevic, M & Harvey, M 2001, ‘The changing role of the corporate HR function in global organisations of the twenty-first century’, International Journal of Human Resource Management, vol. 12 no. 8, pp. 1251.

Ryu, S & Kim, S 2013, ‘First-Line Managers’ HR Involvement and HR Effectiveness: The Case of South Korea’, Human Resource Management, vol. 52 no. 6, pp. 947-966.

Yamamoto, S 2014, Human Resource Management Practices among Japanese organisation- Struggling to Globalise HR. Web.

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