Management Honda 131022142207 Phpapp02

8/10/2019 Management Honda 131022142207 Phpapp02

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Principles of Management Section 410

The Power of Dreams


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Introduction

to Honda

Honda is a Japanese multinational corporation primarily known as a

manufacturer of automobiles and motorcycles.

Honda was founded on 24th September 1948 by Soichiro Honda andTakeo Fujisawa.


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Management involves coordinating & overseeing the work activities of

others so that organizational goals can be accomplished efficiently and

effectively.

Management of Honda

Planning

Hondas management has established the following goal for its organization.

Maintaining a global viewpoint, we are dedicated to supplying products of the

highest quality, yet at a reasonable price for worldwide customer satisfaction.

Honda develops flexible plans, where they anticipate possible problems and solutions

to those problems. Honda involves its staff in different types of planning.

1. Product Planning2. Business Planning

Honda develops many plans and then carries out extensive

brainstorming sessions where they first set objectives and

discuss ways to achieve those objectives.


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Management of Honda

Organizing

Organizing is a crucial function to facilitate completion of any plans. Honda placed ateam of specialists for various centers across the world, who were assigned specific

tasks to accomplish goals.

Leading

Initially Soichiro Honda & Takeo Fujisawaused forceful personal leadership but later

Mr. Takeo introduced team leadership

where the boardroom system was used.

ControllingHonda uses the soft approach where workers are put

in complete control of machines. Human control is

necessary where humans monitor what machines do.


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Strategic Management

Step 1: Identifying Hondas current mission, goals and strategies

Maintaining a global viewpoint, we are dedicated to supplying products of the

highest quality, yet at a reasonable price for worldwide customer satisfaction.

Accelerate our effort to strengthen the core characteristics that make Honda

unique to accomplish further growth part of speech by Hondas president.

Another goal is to reduce total hydrocarbon emissions by developing green vehicle

Hondas current global strategy is to put cost-effective

plants in areas that best meet the needs of local customers.

Hondas mission statement

Hondas current goals

Hondas strategy


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Step 2: Doing an external and internal analysis of Honda (SWOT)

Strengths

Innovation

Market share leadership

Strong brand equity

Unique products

Weakness

Opportuni t ies Threats

High cost structure

They depend on profits

coming in internationallyrather than domestic profits

Emerging marketsExpansion abroad

Demand for green cars

Economic slowdown

External changes

(government, politics, taxes)

Lower imports


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Step 3: Formulate, implement strategies and evaluate results

Honda creates its plan, for instance Honda recently revealed the 2010 Hybrid

Insight Honda and it plans to sell million hybrid vehicles by 2012.

Honda is now implementing this plan by advertising & marketing all over the globe

to increase sales of the new car.

In 2012 Honda will evaluate its results by comparing

the desired state with the current situation.


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Step 3: Formulate, implement strategies and evaluate results

Hondas Annual

performance cycle helps

them to formulateimplement strategies and

evaluate results.


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Human resource Management

HRM means employing people, developing their resources, utilizing, maintaining

and compensating their services in tune with the job and organizationalrequirement.

Honda company employs 181876 workers. Soichiro Honda had the

clear aim and created a trustworthy atmosphere in the company.

His employees soon came to understand that poor

performance would not be tolerated. Due to his anger the

employees called him Mr. Thunder, but they loved him.

The Human Resource Managing Department at Honda

is given specific instructions on how to employ the best

possible workers.


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Human resource Management

The objective of managers is to build relationships in which workers would see

themselves working with the manager, rather than working for a manager.

Human resource management assume that if employees

are happier at work the production would increase. The

owners treat others as equal and often work in aworkshop with employees.


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Employees an asset of the organization


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Motivating Employees

Motivation can be defined as the process of arousing, directing, and maintaining

behavior toward a goal.

Soichiro Honda placed human initiative and attention

to all workers on the first place. He tried to create a

better environment for his employees, attract

specialists and motivate them to do their work in the

best possible way.

Motivating the employees was one of the main

objective of the human resource management at

Honda.


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Mr. Honda understood that encouraging his

workers personal development, their wish for

self-actualization will bring him success inbusiness. He instilled in his employees the drive t

learn without fear of failure, having built the roa

to success.

Motivating Employees

Mr. Honda paid much attention to experimental work and did not accept attempts to

control him or his corporation via the traditional caste system.


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Managing Operations

Taking an innovative approach to develop new efficiencies in managing our

operations through their services said Mike Wallace, manager of Hondas MROpurchasing.

An example of the way Honda manages operations is

when they use tracking software to monitor when

motors and other machinery go into service. This has

brought significant cost savings to Honda, making

Honda very efficient.

Assembly Lines


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In todays competitive market, you must keep up with the latest technology, butmore importantly you must take care of your customers." stated Hondas managing

director

Honda is keeping up with technology like creating green

cars, and wants to maintain profits but however its main

focus is to provide excellent customer service.

Managing change & innovation


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Hondas current situation

According to this article, Honda ranked #1 on ACEEEs

greenest vehicles of 2010

ACEEE is the American council for an Energy Efficient

Economy.

Honda Civic GX natural gas car earns the top spot for

the seventh year straight.

This shows that Honda is doing its best to keep up

with the current social trends, one of which is being

environmentally friendly

Honda is going green inorder to satisfy the needs of

those customers who are trying to reduce their carbon

footprint on this earth.

By producing such cars Honda is able to prove that it is a

thoughtful organization.


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The American Honda Motor Co., Inc reports that the

sales of the American Honda was up by 15.6 %

This is a decline of 19.5% compared to 2008 results.

The top three best-selling cars were Accord, Civic and

CRV

As John Mendel, the executive vice president of

American Honda says the good news is that the

market appears to be stabilizing and we have more

reasons for optimism in 2010.

Hondas current sales have declined but not as

drastically as other car companies, who were badly

affected by the economic recession.

Honda hopes & predicts that its sales will increase in 2010.


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Honda has recently donated $300,000 to Haiti

Honda is working with the Red Cross inorderto supply water pumps and generators to Haiti

The major advantage for Honda in this

situation is that they are getting good

advertisement and can reestablish Hondacompanys name as a thoughtfulorganization.

Honda is also offering special gifts for their

customers and any cash earned on those giftswill go to the Haiti relief fund

We are all aware of the catastrophic earthquake

in Haiti


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Recommendations

In order to increase motivation among employees they should

provide incentives such as badges for employee of the month.

To reduce employee turnover Honda should have a strong

organizational culture. They can enforce this by holding annual

seminars for employees.

In order to maintain a strong customer relationship and getconstructive feedback they should create online questionnaires

and chat rooms.

The rules that had been set by Mr. Honda and Mr. Fujisawa need to be modifiedaccording to the changing times as Honda is becoming more globalized.

They should be able to adapt to

different styles of management as eachcountry has its own management styles.


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ReferencesFollowing are the resources which helped us in analyzing and obtaining information:

Google search engine helped to surf for information about Honda

The Principles of Management textbook enabled us tounderstand various management terms and concepts.

The Honda Book of Management provided information aboutthe companysmanagementstructure

Articles from Bangkok Post enabled us to analyzethe current situation of Honda

The Honda companys websitecontributed informationaboutcompanys background and recent activities


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Management Honda 131022142207 Phpapp02