Many may talk about Toyota's production system as the sole reason to the company's long success. Perhaps, there may another reason: labour practices. In a newspaper article, "System under stress at Toyota" penned by Yuri Kageyama, AP wire, published in "The Japan Times" English news daily here in Japan, Kageyama notes that the Nagoya-based company may be working its employees to death. The Japanese call it 'karoshi' (death from overwork) and the government has permitted beneficiaries to sue companies where a loved one was worked literally to death.
In the article, Kenichi Uchino died of overwork. He had worked over 100 hours of OT a month. Think about it. He worked 25 extra hours a week. That is a lot of OT. If Uchino-San never set foot in the office at the weekends, he worked 5 extra hours per day or work shift. I work 3-4 hours extra per day and I am at my breaking point. While I hope I do not die from OT, the thought does cross my mind from time to time.
The frightening aspects of the news article is that Toyota may be experiencing some cracks in their vaulted production system. It is sad because I have a great deal of respect for the company. I have never worked for Toyota nor have I worked for any of its corporate affiliates. I sure hope the founding family members who still have some input into how the company is being run (especially by an outsider) do care enough to 'correct' the problems before the company goes the way of the dinosaurs.
I hope HBS updates their business school case study to reflect the perils of the 'global production system'. Business school students should be aware of the dangers of trying to replicate the Toyota Way.
One hundred hours of overtime a month. This is f'ing unbelievable. No way. No how. Never.
Recent Comments