Archive for the ‘Crisis Management’ Category

The Toyota Crisis—Is the Toyota Brand Sustainable Now that’s It’s Gone Global?

May 9th, 2011 4 Comments

By January 23, 2010, Toyota, the world’s biggest automaker had recalled a total of 9.0 million vehicles after defects came to light, resulting in sudden unintended acceleration (SUA) of Toyota vehicles, allegedly causing 37 deaths. Three major recalls of Toyota vehicles were triggered by (1) accelerator pedals trapped by floor mats, (2) accelerator pedals with poor design problems causing them to stick, and (3) Prius brake problems. [1] The recalls spread throughout the United States, Europe, and even to China. 

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Risk-taking and the “Freedom to Fail”

January 5th, 2011 1 Comment

“Take calculated risks–that is quite different from being rash.” General George S. Patton Especially in high-tech, progress is made only by taking risks. Taking a risk implies the possibility of partial or complete failure. So how can we decide what risks to take, and how can we encourage the identification of those risks and the willingness to go forward with them, i.e., institute a culture of risk-taking? One of the most important factors in encouraging risk-taking is the “freedom to

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Baseball and BP

June 13th, 2010 No Comments

Newsweek editor-in-chief Jon Meacham asks: why can’t the Gulf of Mexico oil spill be handled more like the missed-call (non) perfect game in Detroit? The umpire admitted he blew the call, the pitcher who had his perfect game taken away shook the ump’s hand, the fans cheered, eyes grew damp. Good sportsmanship, apologies, “be honest, admit mistakes, and keep moving.” My reaction was: why wasn’t the non-perfect game handled more like the oil spill? Why didn’t the pitcher sue the

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Toyota – Communication with Employees During Crisis

June 2nd, 2010 1 Comment

During a crisis, communication becomes an even more important factor than during normal times. To encourage their teams to be successful during periods of high stress, effective managers strive to provide as much accurate information to their work groups as possible. They hold regular communication meetings even if there is no new information to convey. It is very important that information be delivered timely; as much as you know and have the liberty to share. It is okay to say

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