Two Companies Essay Example | Topics and Well Written Essays - 2000 words

Two Companies - Essay Example Toyota is also facing legal problems like Harrison Keys, in suits against them for faulty car parts. The Company has responded to the crisis that has necessitated recall of its vehicles by promptly hiring new engineers, hiring 979 engineers within the span of 2005 as compared to merely 310 in 2001. The company also carried out plans to hire 850 engineers in 2007. Moreover, the Company has also deviated from its corporate tradition of only hiring engineers who will stay and grow with the Company, focusing on hiring engineers in mid career. The Company has also issued numerous apologies and immediately recalled defective cars in order to avoid potential lawsuits, capitalizing on the good for the Company in the public eye. There are hectic efforts underfoot within the organizational framework of the Company to look into the quality issues and to make the necessary corrections. The Company has also created two additional managerial positions that are dedicated to maintaining quality control. These measures appear to have worked in the interim to help the Company maintain its sales figures. The fact that the Company is focusing on addressing the quality concerns and taking steps to redress the problems, appear to have reassured the public, which is used to the high quality of Toyota vehicles. The latest quarter sales figures showed that the Company is weathering the economic uncertainties and rising fuel prices in the global market and net profits rose to nearly $4 billion in the last quarter. (Fackler, 2007). This further appears to indicate that customers are willing to reply upon Toyota’s long term reputation for quality and forgive the recent aberration which has taken place. The Ford Company has also experienced problems similar to the scenario presented in the Harrison keys issues case, where disruptions such as selling off non core assets and discontinuing models