History And Planning Function Of Honda

2133 words - 9 pages

Soichiro Honda founded the Honda Motor Co. at Hamamatsu, near the southern coast of Japan between Tokyo and Nagoya. That was in 1948. For the first fifteen years, Honda was a motorcycle producer, selling its products in Japan and over the world. In 1989, Soichiro Honda became the first Japanese to be honored in Detroit's prestigious 'Automotive Industry Hall of Fame' (Mair, p38). In 1962, the Honda Motor Co., a Japanese motorcycle manufacturer founded fourteen years previously, made its first automobile. Entering the four-wheeler business had been a hurried affair, rushed along because it looked as if the Japanese Ministry of Trade and Industry would try to prevent new firms from joining Japan's small automobile industry. The current President of Honda Motor Company is Mr. Hiroyoko Yoshino. The planning function means defining an organization's goals, establishing an overall strategy for achieving these goals, and developing a comprehensive hierarchy of plans to integrate and coordinate activities (Robbins, De Cenzo, p9). Japanese discovered a way which is captured in the phrase 'right first time'. If the manufacturer can ensure that the components and their process are of superior quality in the first place, then they can actually reduce costs, because there is less wastage, less machine downtime with inferior parts getting caught up in machines, less demand for special quality control workers. Not only that, but customers will be more satisfies because there is less chance of defective products reaching them. The nature of its organization structures is a culturally root mentality ties Japanese employees to each other and to the firms like serfs were tied to masters. The leading firms play their part in the bargain by offering lifetime 4 employment in exchange for loyalty. It was that the kinds of employees that Japanese firms might want group oriented employees who could be trusted to work for the good of the company without leaving after receiving substantial training. Japan, Honda is frequently seen as a different firm that has adopted a rather un-Japanese style of management. This is because Honda stresses decentralized management, individualism, youth, and lack of class and status barriers. Decentralization means continually pushing decision-making as low as it will go. Decisions are made best when closed to the ground, because they will be made better by peoples in the thick of the action. Individualism means that individual comes before the group, that people should do what they want to do, should enjoy their work, and if not, should be doing something else. Each person should therefore find a spot within the company, in which they perform the best. Emphasis on youth means always pushing responsibilities to younger people. The older, experienced managers and engineers can do the job of course, and perhaps...

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