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January 26, 2010
A Seasoned View of Toyota

James Treece of Automotive News has observed Toyota for years and distills what he sees as the culture flaws that produced its recall crisis. They are highly pertinent for clues to weaknesses in other organizations.  

Treece lived in Japan for 22 years and was Automotive News' Asia Editor in Tokyo from 1995 to 2007. Thanks to Advertising Age for providing his insights

As Treece sees it, the context for failure was: a) every car maker falls short of perfection (and has a recall) and b)Toyota's push for growth – the hubris manifest in "We can and we will."

More specifically:

1. Toyota has a deep preference for secrecy rather than openness....which produces                                               A. Arrogance...                                                                                                                                                                 B. Complacency...                                                                                                                                                           C. Understaffing...

2. Toyota is woefully unprepared to be No. 1 in the world, including an inadequate PR department....

3. Toyota is more insular than international.... 

When traits like these are so evident to a veteran observer, the question becomes why can't the organization involved pick up on them itself? The need for a mindset that sees inside from an outside perspective has to be cultivated in all organizations. That's very difficult, but it's the way to avoid disaster – and a prime goal of effective PR.






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Doug Bedell has a background in journalism and PR and is the owner of Resource Relations LLC in Central PA, focusing on organizational and crisis communication. He’s the community manager of SimplyFair.net, a social network on fairness. On the Web, Doug’s at www.ResourceRelations.com. On Twitter, he’s @DougBeetle.
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