Abstract

This case discusses the changes in the Information Systems (IS) at Japanese multinational automotive manufacturer Toyota Motor Corporation (TMC) in its key operations, through the years. Based on the changes sweeping through the industry, TMC integrated new information processing technologies in processes such as new product development, production, general operations, sales, and customer service. The IS at TMC not only helped the company gain valuable business insights to improve its processes and produce innovative cars, but also assisted it in complying with global environmental standards and changes in the Japanese and global economy. TMC was open to innovative technology and by adopting it in its IS, it tried to outdo others in the highly competitive and dynamic global automobile industry. Akio Toyoda, President and CEO of TMC, was confident that the IS capabilities of TMC would enable it to process and analyze data in such a way that it could be used to develop vehicles of the future.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Understand the significance of accessibility of information to an organization and how its functioning can be transformed through installation of appropriate IS.
• Examine the components of IS.
• Determine the stages in the growth of IS in an organization through the years.
• Scrutinize the impact of IS on business, functions, and levels of management.
• Analyze the role played by IS in strengthening a company’s processes such as production, sales, and customer service.

Keywords

‘Information Systems’; ‘Initiation, Expansion, and Control of Information Systems’; ‘Management Information Systems’; ‘Advancements in Information Systems’; ‘IS Impact on Business, Functions, and Levels of Management’; ‘Components of Information Systems’; ‘Stages of New Information Technology Growth’; and ‘IS to Achieve Competitive Advantage’; ‘Growth of IS’; ‘Enterprise Resource Planning (ERP) Systems’; ‘Collaboration Tools’; ‘Customer Relationship Management (CRM)’; ‘Sales Life Cycle’; ‘Production Processes’; ‘Nolan Stage Model’