Sustainability assessment can be considered as a tool which aids in the decision-making process and creation of the policies within the Toyota motor group company, socially for the benefit of the society and also in the environmental field. The research paper is based on sustainability assessment of the Toyota motor group company, for instance, in the field of economy, implications on the financial issue which do affect the economic stability and in risk opportunities for the stakeholders.
The paper also gets into the details the impacts the assessment has on the Toyota motor group company and to the community in which the business is centred.
This applies to the activities in the financial department of the Toyota motor firm.The following economic factors are discussed below showing their impact on the economic growth and their impact on the financial department of the firm. (Schaltegger and Wagner, 2017, pg. 345). Such economic factors for the assessment include; financial implications and risk opportunities for the firm, corruption and course of actions that are taken in its reduction and legal action on the anti-competitive behaviour the firm may get involved too.
Corruption and action took
One of the suppliers of materials to the Toyota motor firms has filed a petition concerning tender allocations by the company management, He claimed that the tender was offered in the line of tribal affiliation and therefore want the firm to take into consideration the matter and tender to be issued to him.
Another case of corruption with the firms was also witnessed when a representative from the community claim that the resources issued by the firm for the welfare of the community have not been allocated since the report state so.
To such complains, the Toyota motor management set a team to investigate the validity of the issues raised and from their findings, such complaints were valid therefore resource manager was to be responsible.
Following such incidents of corruption, the Toyota motor group management has formulated a body that oversees how the allocated resources and ways of tendering are conducted. This is through regular auditing for the department team in charge to ensure proper flow of services and resources within the firm. (Epstein, 2018, pg. 234)
The company has formulated strict rule and regulations which regulates the behaviours of their staff and set disciplinary actions to the corrupt member thus reduces the incidents of corruption within the organizations. (Visser, and Tolhurst, 2017, pg. 34).thus firing or suspension of the departmental staff who involved in the transactions.
Legal actions for anti-competitive behaviours
Anti-competitive behaviour is activities against the rules and regulation of the business which Toyota motor group was involved in order to outdo each other in the competitive market. Such actions violate the policies set for the business by the government hence in case of such practices, a legal action should be taken against the firms in accordance with the business constitution. (Schmoldt, Kangas, Mendoza and Pesonen, 2013, pg. 37). the firm was sued for production of low quality good and selling them at a high price with the intentions to maximise profit which is against the business law act. Misleading adverts about their product so as to attract many customers in the market to purchase their products was also witnessed by their customer.
Legal actions which are formulated for such anti-competitive activities according to the business law act incorporate suspension of the firm from its operations for some while by confiscating their operating licence thus they cannot be allowed to operate leading to the closure of the business. They were also fined following the court order for their anti-competitive activities in the competitive market. The court orders for the arrest of the management body and the owners of the firm,(Saaty and Vargas, 2012, pg. 78).
Financial implications and Risk opportunities
The stakeholders and shareholders of the Toyota motor firm advocates for the high-profit investment which has high-risk opportunities in order to maximise the value of their shares. This impacts the financial status of the firm since in case of failure of the high-risk opportunities they invested in will lead the firm in operating at loss. (Boyle, Everett and Ramage, 2003, pg.347).
This entails environmental concerns the firm should take into consideration in their operations. For production, the firm has to apply various strategies which in return has an influence on the environment. Activities within the company like energy consumption rate, biodiversity and noncompliance to the environmental laws and policies are discussed under these subtopics.
In the manufacturing process, the firms were accused of emitting poisonous gas to the air which resulted from running production machines which only requires energy for them to work efficiently. (Kemp, 1997, pg.345).
These fumes contain some chemical element in them which are considered harmful for animal and plants as they can cause breathing problems when inhaled.
In consideration to such effects to the environment, (Elzen, Geels, and Green, 2004, pg.122), Advocated for the adoption of better energy source for the manufacturing firms which are environmentally friendly and economical which is possible through adaptation of advanced technological production machine.
Non-compliance with environment laws
Every business is required by the rule of the land to operate under some specific environmental laws. Toyota motor firm has been accused by the environmentalist as they highly contribute to pollution of the environment through the disposal of its waste and continuous air pollution by emitting poisonous gas to the air. According to the set environmental laws of the land, the firm has shown no effort in complying to such regulation and rule as they continue with their unhealthy production techniques which are harmful to living creatures around the firm, (Charles, Schmidheiny, and Watts, 2017, pg.355).
In cases of dumping waste product, the law advocates for a proper channel of dumping or doing away with the waste in an environmentally friendly way like recycling the waste for better use. The firm dumps their waste anywhere thus polluting the soil rendering it infertile since such waste contains harmful chemical contents.
When a firm doesn’t comply with the set environmental laws, it can end up being closed down following the law passed by the environmentalist. It can also affect both human and animals living around the factory as some of the waste products are very harmful to other living organisms hence following the court order, the firm may be surcharged or forced to compensate the affected individual so as they can relocate to safer areas. (Pearce, 2014, pg. 311).
Significant biodiversity impacts
According to the management body of the Toyota motor firm, they have acquired new bio methods in their production. Such comprises of using the biogas energy in their production. They argued that the new source of energy is economical hence less cost of production in the entire process. (Brueckner, Spencer, and Paull, 2018, pg. 343)
These have got a positive impact on the environment since the energy source is environmentally friendly and also it uses waste products which may have been disposed to the environment resulting in soil pollution.
This is the relation between the Toyota motor group firm and the surrounding community on the firm to get involved in societal activities. The social responsibility of such firm will be advantageous to the organization and to the society as a whole. These possible through the hiring of the workforce by the firm, operations within the firm with the community engagement.
This is the recruitment of the employees by the firm so as to facilitate the production process within the firm. The management of the firm prefers hiring the workforce from the community in which the firm is situated. This is viewed as a form of appreciation to the society, thus they are given first priority during recruitment of workers which is according to the company act of recruiting members of the staff, (Schwartz, 2017, pg.222).
In a daily basis, management body prefers recruiting the new workforce to replace the fired ones hence they can easily determine the cost of hiring staff as it is associated with replacing the workers who have left the firm, (Jansen, Grootveld, Spiegel and Vergragt, 2017.pg. 551).
Discrimination and penalties
One of the staff within the Toyota motor firm quitted the job and complain that the staff members within the department she grouped in has been discriminating her in the line of the gender as their supervisor claims that he cannot work with a lady in his team since she cannot afford to undertake some of the assigned duties.
Mr Gheen, the department leader was thereafter summoned before the disciplinary committee of the firm to answer to such allegation from his junior staff member, therefore he was found guilty. (Sachs, 2015, pg. 41).
Under the company rule s and regulations on human relations within the organization, Mr Gheen the team leader was permanently suspended by the firm board of director so as to act as an example to other staff who may behave in a similar manner (Welford, 2016, pg. 907).
This applies to the welfare of the members of the society in which the organization is set. According to the Toyota motor constitution, participation in the community for their welfare is always done regularly.
The firms organize welfare games for the youth within the community where the winning teams are always rewarded and sponsoring talented individuals in order to develop their talents in talent schools and organizations. (Ghai and Vivian, 2014, pg.332).
The company also organizes educational training programs on life skills and public relations to the youths who are unemployed so as to equip them with better entrepreneurship ideas. This impacts their life positively since they can start their own business.
Conclusion
Sustainability assessment on the above-discussed field thus economic, environment and socially, more distinct decisions can be made and progressive policies within the organization are formulated as it into detail explore such factors. Following the discussion above, sustainability assessment can be used by the management body in the Toyota motor firm as a procedure in reaching out to crucial production decisions based on the assessment category discussed in the paper.
References
Boyle, G., Everett, B. and Ramage, J. eds., 2003. Energy systems and sustainability (p. 347). Oxford: Oxford University Press.
Brueckner, M., Spencer, R. and Paull, M. eds., 2018. Disciplining the Undisciplined?: Perspectives from Business, Society and Politics on Responsible Citizenship,Corporate Social Responsibility and Sustainability. Springer.
Charles Jr, O.H., Schmidheiny, S. and Watts, P., 2017. Walking the talk: The business case for sustainable development. Routledge.
Elzen, B., Geels, F.W. and Green, K. eds., 2004. System innovation and the transition to sustainability: theory, evidence and policy. Edward Elgar Publishing.
Epstein, M.J., 2018. Making sustainability work: Best practices in managing and measuring corporate social, environmental and economic impacts. Routledge.
Ghai, D. and Vivian, J.M., 2014. Grassroots environmental action: people's participation in sustainable development. Routledge.
Kemp, R., 1997. Environmental policy and technological change. Books.
Pearce, D., 2014. Blueprint 3: Measuring sustainable development. Routledge.
Saaty, T.L. and Vargas, L.G., 2012. Models, methods, concepts & applications of the analytic hierarchy process (Vol. 175). Springer Science & Business Media.
Sachs, J.D., 2015. The age of sustainable development. Columbia University Press.
Schaltegger, S. and Wagner, M., 2017. Managing the business case for sustainability: Theintegration of social, environmental and economic performance. Routledge.
Schmoldt, D., Kangas, J., Mendoza, G.A. and Pesonen, M. eds., 2013. The analytic hierarchy process in natural resource and environmental decision making (Vol. 3). Springer Science & Business Media.
Schwartz, M.S., 2017. Corporate social responsibility. Routledge.
Visser, W. and Tolhurst, N., 2017. The world guide to CSR: A country-by-country analysis of corporate sustainability and responsibility. Routledge.
Weaver, P., Jansen, L., Van Grootveld, G., Van Spiegel, E. and Vergragt, P., 2017. Sustainable technology development. Routledge.
Welford, R., 2016. Corporate environmental management 3: Towards sustainable development. Routledge.
