Toyota Corporation has an auditor system that is used for monitoring the management. This monitoring system has its basis in a law known as the Japanese Corporation Act. The corporation’s auditor system has four external auditors whose duty is to ensure that the corporate activities are transacted in a transparent manner. Toyota has crafted an advisory board to ensure that it has a system of appropriate management.
These two – the external auditors and the advisory board – are the bodies that the Toyota corporation has put in place to act as neutral agents for evaluating the corporation’s corporate strategy and the operations management departments. The board of advisors, which operates under the name International Advisory Board (IAB), is constituted with about ten advisors who are distinguished. They are all drawn from foreign countries so that the corporation can ensure fair evaluation of these two important sectors.
These advisors have vast knowledge in various fields such as economics, politics, the environment and business as well. On issues touching on business, Toyota seeks advice from these members who are supposed to give the managers workable ideas on a universal perspective. The corporate strategic management department of Toyota Corporation undertakes drafting, implementation and evaluation
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This is done with a view to enabling the achievement of the corporation’s long – term objectives (Porter, 2004, p. 98). The corporate strategists of Toyota specify the corporation’s mission, vision as well as its objectives. It also develops plans and policies in the context of programs and projects all of which are crafted with a view to achieving the set objectives and also to help facilitate the allocation of resources towards the implementation of the laid down plans ands policies as well as programs and projects.
The corporate strategy management department of Toyota Corporation uses a scorecard in the evaluation of the company’s overall performance in the business sector. It also evaluates the company’s progress which is geared towards the achievement of its objectives. The scorecard that the Toyota Corporation’s strategic management uses is always balanced so as to make sure that there is fairness in the evaluation of all the concerned sectors.
The corporate strategy department of Toyota Corporation, just like any other major global corporations and organizations, concerns itself with the setting of goals as an activity in management. This department also assists the corporation in providing it with the most suitable tactics it should use in the area or operations management. Some departments such as production and marketing fall in the area of operations management and they are therefore the biggest beneficiaries of the overall direction provided by the corporate strategy management team of the organization.