Premium Essay

The Saylor Accident

Submitted By
Words 1016
Pages 5
Over the course of the next six months, Toyota would issue three separate recalls related to vehicle speed control that affected more than 7 million vehicles. Along the way Toyota would be accused by the media, politicians and customers of hiding information and putting lives at risk. The company’s leading reputation for quality and safety would take a massive blow in the eyes of many. It would lose its dominant market position and spend billions of dollars on recalls and incentives to lure back customers. Senior executives would be ordered in front of the congress repeatedly to make public apologies.
The Saylor Accident
The reality is that the Saylor accident was shocking news which caught the public eye. But another reality is that very few …show more content…
With the frenzy over the sticky pedals at its peak, the announcement was like pouring gasoline on a bon-fire. To the public it seemed as onother Toyota defect that could actually kill you.
Once again the facts were ignores. The reality is that the com-plaints were that the brakes did not respond immediately when breaking specifically at slow speeds on bumpy and slip-pery surfaces. This was worrying for any Toyota driver who was being bombarded at the time with a media attack on toy-ota about out of control Toyotas and sticky pedals. The fact though was that it was not a true delay of the actual breaking but the ABS (antilock breaking system) taking control over the regenerative breaking system, a switchover which took three-hundredths of a second. So there was no delay on braking abil-ity only on the feel of the …show more content…
With allegations from the media and the public that the company’s legendary quality had collapsed, and questions coming from every side whether the company was endanger-ing its customers, political action was inevitable. Several con-gressional committees scheduled hearings to question Toyota about the recalls, safety issues, disclosure and unintended ac-celerations. These kinds of hearings are called whenever a large corporation gets such negative publicity, hearings which are televised on national broadcast.

On February 23, 2010, Mr. Akio Toyoda, Toyota’s owner, was called in front of congress to be questioned. When it was his turn to testify before the House Oversight, he faced a hostile environment, but his testimonies included no evasive tactics, and he did not try to present the facts that you have just read above, but he kept an apologetic stance and the following is a part of Mr. Toyoda’s speech which gives a taste of his attitude before the Congress:

As you well know , I am the grandson of the founder
And all Toyota vehicles bear my name. For me, when
The cars are damaged, it is as though I am as

Similar Documents

Premium Essay

The Minimum Legal Drinking Age Debate

...MLDA-21 laws simply do not work, create a culture of binge-drinking, and that a policy of legalization and education would be more effective in protecting the safety of American adolescents. Elisabeth Muhlenfeld, the president of Sweet Briar College in Virginia and Amethyst Initiative signatory writes that 70 percent of the student population is underage. Teaching abstinence to students that blatantly ignore the MLDA-21 laws, or urging responsible behavior while drinking underage and breaking the law, are both hypocritical positions for the college administration to be in (Muhlenfeld 2). The Amethyst Initiative position is that current MLDA-21 laws have created a culture of heavy alcohol use by making drinking clandestine and extreme (Saylor 1). The statistics seem to back up this claim. Recent survey's of the 18-20 year old population by U.S. Department of Health and Human Services show that a full 72 percent report having used alcohol in the last year. 36% of those polled reported having “gotten completely wasted” by binge-drinking within the last month. Other polls conducted by Harvard University put this number much closer to 50%. One in five teenagers reports they have experienced “black-out” spells related to binge-drinking. (Muhlenfeld 1) These numbers are very alarming, and show that the...

Words: 2399 - Pages: 10

Premium Essay

Engl1103 Unit 2 Written Assignment

...ENGL1103 Unit 2 written assignment 1 of 5 ENGL 1103 Unit2 written assignment University of People ENGL1103 Unit 2 written assignment 2 of 5 The purpose of communication is to share the meaning, and the method to deliver meanings is to use languages (Saylor Foundation, n.d., p57). For effective communication, a speaker needs to use words that have clear meanings and avoid words difficult to understand or offensive to an audience. Saylor Foundation(n.d. p57) raised six examples where a language becomes an obstacle in communication: Cliche, Slang, Jargon, Sexiest and racist language, Euphemism and Doublespeak. Cliche is a stereotyped expression that has lost originality and impact by long overuse (Dictionary.com, n.d.). We should avoid using...

Words: 793 - Pages: 4

Premium Essay

Drinking Age

...just about everywhere. For these very reasons every day in our country the drinking age is being ignored and violated by young adults, teenagers, and even children all under the age of twenty-one. “On average ninety-five percent of those who will be alcohol consumers in their lifetime take their first drink before the age twenty one. Fifty percent of eighteen to twenty year olds consume alcohol on a regular basis” (McCardell 1). Based on these statistics we can conclude that the enforcement of the legal drinking age has fallen short. The most commonly known place where alcohol is consumed very heavily is on our college campuses. Many college students participate in binge drinking which is drinking of four or more drinks back to back.(Saylor 1) “Among college students, a decade's worth of research in the College Alcohol Study found the proportion of students engaging in frequent binge drinking had increased” (McCardell 1). Between the years of 1993 and 2001, there was a ten percent increase in college students drinking to get drunk (McCardell 1). Alcohol use...

Words: 1636 - Pages: 7

Premium Essay

Khan

...This text was adapted by The Saylor Foundation under a Creative Commons Attribution-NonCommercial-ShareAlike 3.0 License without attribution as requested by the work’s original creator or licensee. Saylor URL: http://www.saylor.org/books Saylor.org 1 Preface Competing books are focused on the academic part of HRM, which is necessary in a university or college setting. However, the goal with this book is not only to provide the necessary academic background information but also to present the material with a practitioner’s focus on both large and small businesses. While the writing style is clear and focused, we don’t feel jargon and ten-dollar words are necessary to making a good textbook. Clear and concise language makes the book interesting and understandable (not to mention more fun to read) to the future HRM professional and manager alike. It is highly likely that anyone in business will have to take on an HRM role at some point in their careers. For example, should you decide to start your own business, many of the topics discussed will apply to your business. This is the goal of this book; it is useful enough for the HRM professional, but the information presented is also applicable to managers, supervisors, and entrepreneurs. Besides these differences, other key differences include the following:   This book utilizes a technology focus and shows how HRM activities can be leveraged using technology. We have also included a chapter on communication and information...

Words: 157258 - Pages: 630

Premium Essay

The Effect on Stockholder Wealth of Product Recalls and Government Action: the Case of Toyota 's Accelerator Pedal Recall

...Embry-Riddle Aeronautical University ERAU Scholarly Commons Economics, Finance, & Information Systems Daytona Beach 2014 College of Business The Effect on Stockholder Wealth of Product Recalls and Government Action: The Case of Toyota's Accelerator Pedal Recall Jayendra Gokhale Embry-Riddle Aeronautical University - Daytona Beach, gokhalej@erau.edu Raymond M. Brooks Oregon State University Victor J. Tremblay Oregon State University Follow this and additional works at: http://commons.erau.edu/db-accounting Part of the Business Administration, Management, and Operations Commons, Finance Commons, and the Management Information Systems Commons Scholarly Commons Citation Gokhale, J., Brooks, R. M., & Tremblay, V. J. (2014). The Effect on Stockholder Wealth of Product Recalls and Government Action: The Case of Toyota's Accelerator Pedal Recall. The Quarterly Review of Economics and Finance, 54(4). http://dx.doi.org/10.1016/ j.qref.2014.06.004 This is the submitted author’s version that was accepted for publication in The Quarterly Review of Economics and Finance. Changes resulting from the publishing process, such as peer review, editing, corrections, and formatting are not reflected in this document. Changes may have been made to this work since it was submitted for publication. The published version is available at http://dx.doi.org/10.1016/j.qref.2014.06.004. This Article is brought to you for free and open access by the College of Business at ERAU Scholarly...

Words: 6827 - Pages: 28

Premium Essay

Mr Eliot Booi

...This text was adapted by The Saylor Foundation under a Creative Commons Attribution-NonCommercial-ShareAlike 3.0 License without attribution as requested by the work’s original creator or licensee. Saylor URL: http://www.saylor.org/books Saylor.org 1 Project Management in a Complex World Faster, cheaper, and better has become the mantra of not only profit-making organizations seeking to increase market share and profits but also nonprofits and governmental organizations seeking to increase their value to clients. Organizations are increasingly using projects to meet these goals. Projects are goal directed and time framed, and when managed well, projects deliver on time and within budget. This book is about how to manage projects well. All projects have common characteristics: every project has a scope, budget, and schedule. Projects also differ. Understanding how projects differ and what that difference means to the management of the project is critical to successfully managing a project. Large, complex projects need project management tools, systems, and processes that are very different from the small and less complex project. Within this text, we provide a tool for profiling a project based on the complexity of the project and describe the different project management approaches needed for the difference in project profiles. Project management is complicated. In some ways, this is a good thing because students who learn how to manage projects well...

Words: 109859 - Pages: 440

Premium Essay

Writing for Success

...This text was adapted by The Saylor Foundation under a Creative Commons Attribution-NonCommercial-ShareAlike 3.0 License without attribution as requested by the work’s original creator or licensee. Saylor URL: http://www.saylor.org/books Saylor.org 1 Preface Writing is often a challenge. If you were ever challenged to express yourself via the written word, this book is for you. Writing for Success is a text that provides instruction in steps, builds writing, reading, and critical thinking, and combines comprehensive grammar review with an introduction to paragraph writing and composition. Beginning with the sentence and its essential elements, this book addresses each concept with clear, concise, and effective examples that are immediately reinforced with exercises and opportunities to demonstrate learning. Each chapter allows students to demonstrate mastery of the principles of quality writing. With its incremental approach, this book can address a range of writing levels and abilities, helping each student prepare for the next writing or university course. Constant reinforcement is provided through examples and exercises, and the text involves students in the learning process through reading, problem solving, practicing, listening, and experiencing the writing process. Each chapter also has integrated examples that unify the discussion and form a common, easy-tounderstand basis for discussion and exploration. This will put students at ease and allow for greater...

Words: 171477 - Pages: 686

Premium Essay

What Went Wrong with Toyota

...is famous for its car models such as the Camry, Corolla, and even the Lexus. Toyota U.S.A. first got their start in October 1937 in a once was Rambler dealership in Hollywood, California. In 1958 they began selling a few different models and in 1989 began their own brand of luxury cars where the Lexus was first introduced. Unique models and satisfactory customer service put Toyota in the top three bestselling automobile companies in America. Things were looking great for Toyota with wide economic growth they had little complaints, and even in a recession sales were still booming. With things going so well for Toyota why invest in crisis prevention? Toyota was soon going to find its answer to that very question. On August 8th, 2009, Mark Saylor-an off duty patrol man and three members of his family were driving close to Santee, California in his Lexus. All of a sudden the Lexus began to accelerate exceeding 100mph, one of the occupants called 911 reporting frantically that the Lexus “had no brakes,” seconds later the car crashed and caught fire claiming the lives of everyone inside. The birth of the Toyota crisis concerning the sticky gas pedals had begun. Toyota did not have much to say on the incident, instead of immediately creating an investigation to find out exactly why this happened and addressing the issue Toyota summed it up to driver error. Following the August 8th, 2009 incident more and more issues were turning up involving Toyota models and the inability to slow down...

Words: 1234 - Pages: 5

Premium Essay

Habeas Corpus

...eighteen to twenty year-olds to drink alcohol under supervision should lower the issue of underage drinking, and it will be good for the economy too. However, there are a lot of consequences that come with drinking at a younger age, such as eighteen year-olds have lower maturity than twenty-one year olds. Therefore, eighteens year-olds are more likely to get into negative alcohol and alcohol-related outcomes. With taking all opinions into consideration, you can see why this has been an ongoing debate on whether the minimum legal drinking age should be changed back to eighteen year-olds. I believe the debate should conclude on the prevision of allowing young adults to have the ability to make their own decisions upon alcohol consumption. Drew Saylor noted the effectiveness of the minimum legal drinking age, “The current push for lowering the MLDA centers on college campuses and the argument that an age 21 limit is ineffective or even worsens the problem of college binge drinking.” (330). The minimum legal drinking age of twenty-one is powerless due to the fact the eighteen year-olds are still able to get into...

Words: 1712 - Pages: 7

Premium Essay

Paper

...need to provide customer satisfaction, improved productivity and quality of the products manufactured by Toyota. To achieve effective communication to take place, there is need to break the barriers that do exist between the top management and the departments through the provision of courses related to customer relations and leadership. There is also need to shift the suppliers as a way of ensuring the quality of the products that reach the customers. For Toyota to retain the quality standards and the best auto brand among the competitors, real customer’s relations should be attained. History and Description of the Current Situation The crisis was reported on August 28th, 2009 when Mark Saylor, a California Highway Patrol officer together with his family passed on in an accident. The accident was caused by the 2009 Lexus ES350 whose acceleration was out of control with the report from 911 saying that one of the occupants said the vehicle had no brakes (Toyota, 2012). After some investigation, the Toyota Company said that the out of control acceleration was as a result of the wrong floor mats installed on the Lexus, which later on interfered with the gas pedal (Evans, 2010). In September 2009, Toyota announced the recalling of the floor mats on about 4.2 million Lexus and Toyota vehicles...

Words: 1166 - Pages: 5

Premium Essay

Business Strategy

...Assignment 4: Products Liability Research Paper Strayer University AUGUSTINE WEEKLEY Law, Ethics & Corp. Governance March 15, 2013 1. Describe the company and the product safety issue that led to the lawsuit. Toyota Motor Corp.'s announced massive recalls for acceleration and braking problems are creating a huge legal liability for the company and Toyota owners may share in the pain. The Japanese automaker faces dozens of lawsuits over injuries and deaths attributed to safety problems, with many more suits expected. Lawyers and legal experts said the lawsuits could be particularly expensive for the automaker if plaintiffs prove that Toyota was aware of problems but failed to correct them. (Hirsch, J and Pfeifer, S. 2010) On top of that, there are at least 30 lawsuits seeking class-action status to recover damages for the reduced value of the cars and the lost use of vehicles during repairs. Legal expenses and damages resulting from the safety defects could tack billions of dollars onto the $2 billion that Toyota had said it would cost the company in repairs and lost sales. That was before the global recall of 437,000 Prius and Lexus hybrids this week. Since the fall of 2009 Toyota has issued 10 million recall notices for problems related to unintended acceleration, with about 2 million vehicles subject to more than one recall. (Hirsch, J and Pfeifer, S. 2010) A Northeastern University law professor by the name of P. Tim Howard is leading...

Words: 1884 - Pages: 8

Premium Essay

Insight to an Unethical Situation

...Insight to an Unethical Situation Week 6- Final Project Danielle Introduction Toyota’s announcement of a technical fix for its sticky gas pedals, which can lead to sudden acceleration problems, is not likely to bring a quick end to the company’s current recall nightmare. During the course of this paper, I will explain in detail the Toyota recall in 2010 having to do with the gas petal sticking. I will also explain why I believe Toyota handled this situation from the deontological perspective and what other theories apply to the unethical situation. Description Unethical Situation In 2010, Toyota was forced to issue a series of highly-publicized recalls, due to reports of cars accelerating beyond the driver's control.  The issue led to Congressional hearings, damaged the reputation of a company once known for its bulletproof reliability, and left millions of Toyota owners with questions about their own safety. Understandably, the news was worried for Toyota consumers.  It also rocked the automotive industry, as questions about Toyota's reputation for reliability surfaced during this time. It started with a single, horrifying car crash in southern California in August 2009. In the weeks following, two separate recalls covering 7.5 million vehicles, Toyota was forced to announce it was suspending the sale of eight of its best-selling vehicles, a move that cost the company and its dealers a minimum of $54 million a day in lost sales revenue. How did a company that became...

Words: 3145 - Pages: 13

Premium Essay

Toyota Paper

...Describe a major global corporation: (1) a leading manufacturer or (2) a major retail or restaurant business. Describe the type of business, market share, financials, size, and global presence. Toyota Motor Corporation was founded in 1919 by the famous Japanese inventor, Saki chi Toyoda. Its primary business is manufacturing and selling automobiles. With operations in the U.S. for the past 50 years, Toyota is one of the most well known automobile manufacturers in the world. In fact, it is the largest automobile manufacturer in the world, producing over 7 million units in the last financial year. (Liker, 2008) During this time it reported a profit of over $5 billion dollars. It is a multinational corporation with its corporate office located in Toyota City, Aichi, Japan. Toyota currently employs roughly 310,000 people around the world. (2010) The Toyota Way and the Toyota Production system are what make up Toyota’s DNA. The Toyota Way can be summarized two ways: continuous improvement and respect for people. (Liker & Hoseus, 2008) Continuous improvement is translated as Kaizen which is huge in the Toyota culture where this means challenge everything. (2008) Toyota is also responsible for the invention of the term “lean production” sometimes called the Toyota Production System or TPS. (Liker, 2005, p. 115) This invention has triggered a global transformation in just about every industry to Toyota’s manufacturing and supply chain philosophy and methods for over a decade...

Words: 1838 - Pages: 8

Premium Essay

Public Relations for Toyota Sua Recalls

...2010). This tragedy kicked off a crisis for Toyota as it had to deal with accusations that a faulty accelerator pedal is what caused the crash. The company faced negative publicity from the media, the public and the NHTSA (National Highway Transportation Safety Administration) as a result of this accident and other accidents involving sudden unattended acceleration (SUA) from a stuck accelerator pedal. In response to these incidents and the publicity, Toyota eventually recalled 7.5 million vehicles to fix the stuck accelerator problem and shut down production of its effected vehicles until the problem could be solved. In this paper, Learning Team B has evaluated the role public relations played in this case and how the company could better prepare for a similar crisis. Problem Toyota realized it had a public opinion problem after numerous reports of “runaway” cars were claimed to have been caused by an accelerator pedal that would remain pressed down after the driver released the pedal. This resulted in the California accident and various others. In addition to recalling millions of cars, Toyota was sued and reached a billion dollar settlement for the resulting accidents and recalls. Although they did not admit fault with its accelerator pedals, the company still faced a backlash from the recalls and lawsuit. After the recalls, Toyota saw a decline in sales and trust from their customer base, partially due...

Words: 5246 - Pages: 21

Premium Essay

Fiscal Decentralization Research.Guevarra

...TOYOTA, INC. A Case Study in Communicating Bad News Written by: Alex Mezey Scott Hamilton Kevin Kuwahara Courtney Sandlin Dr. Robyn Walker Faculty Advisor Center for Management Communication Prepared for: Case Study Initiative Center for Management Communication 2013 Page 1 of 12 INTRODUCTION In 2005, Lupe Lee bought a new Toyota Camry from a local Sunnyvale, California, Toyota dealership, donating her immaculate Camry bought in 1990 to a local charity. Going from an older Camry model to a newer one, it was obvious that Lupe not only liked Camry cars, but she liked Toyota and its business model. However, this was all about to change on September 9, 2011. On this day, Lupe and her daughter were on their way to Berkeley for a niece’s wedding. They planned to stop in Burlingame to pick up Lupe’s sister, Rose. They arrived at the sister’s apartment early, so Lupe and her daughter went inside. After visiting in the apartment for a time, the three of them went out to get into the Camry to continue on to Berkeley. Lupe would have to make a U-turn to head back towards the freeway. Instead, she decided to maneuver into a nearby driveway to turn around. This is when things began to go horribly wrong; as they started up the driveway, the car began accelerating. Rose exclaimed “Lupe! What are you doing!? Why are you going so fast!? Push on the brake!” Lupe had no control of the car; she was terrified. She tried desperately to press the brake, but nothing happened. She quickly...

Words: 4411 - Pages: 18