Corporate Social Responsibility
1. Which companies in the industry stand out in regards to their view and actions in CSR?
In the search for rankings of automotive companies in regards to the CSR, there is little to no consistency in the rankings. Some rankings have companies such as Volkswagon and Toyota at the top while some have them near the bottom. No one ranking is completely correct, as it has been said that no rankings are extremely credible. However, despite not being able to find consistent rankings, Toyota has been rated highly by most rankings because of their green technology.
Web Source
2. What are some interesting missions statements or values statements of some of the companies in your industry? What does this represent about them
Toyota has a full page dedicated to a mission statement. However, there is no single paragraph that sums up their mission. They have multiple links to separate pages such as one devoted to the environment and one devoted to their philanthropy. Their main focus seems to be on green technology though (Web Source)
Other companies such as Lexus and BMW are focused on being environmentally friendly too, but are more focused on customer service and the quality of their luxury cars.
Sunday, January 30, 2011
31 Jan, Post #2
Which companies in the industry stand out in regards to their view and actions in CSR?
Actually, most of the cars' companies are concerning about the social responsibility. Those companies have different values and beliefs about environmental duties. According to the European business network for CSR,
the financial crisis increases the need for the CSR in automotive companies to mitigate the impact of crises on people and environment. For example, Toyota's view in CSR is that the company tries to improve its cars technologically, socially, economically, and, most important, environmentally.
Another example is Infiniti. Since most of Infiniti's cars are sport or at least they have a powerful engines, Infiniti produces sport and hybrid cars at the same time. Infiniti did not want to produce cars without their distinction feature. So, they invented the "M35h" . This car fits for the environment and it has a very powerful engine. Infiniti kept their special feature and they mixed it with their CSR or their vision toward environment.
Note: after my brief research, I found that most companies are taking into their consideration that environment is the most important view or action toward their CSRs.
What are some interesting mission statements of values statements of some of the companies in your industry? What does this represent about them?
Toyota
"Based on The Toyota Way, our environmental commitment is a way of life, extending across all of our operations and through the full life cycle of our products".
In this quote, we can see that Toyota's most important concern is about environment. This quote also represents that the company is trying to achieve its goal by being friendly to environment and by inventing products that are well suited for that goal.
Infiniti
"The way of Infiniti has inspired us to achieve what others thought impossible - delivering the power of a V8 with the efficiency and fuel economy of a four-cylinder".
Infiniti achieved its plan by inventing a powerful car with four-cylinder only. This is a suited vehicle for the environment because it consumes a little amount of fuel. Now, we can ensure that Infiniti is one of the automotive companies that helped the environment and still helping it.
Mercedes Benz
"[I]t's crucial that Mercedes-Benz optimize vehicles to deliver fuel-efficient power. Currently, this effort is best seen in our growing number of Blue TEC Clean Diesel models."
Mercedes is trying to save the environment because of their special tactic in consuming fuel. They are showing us that Blue TEC Clean Diesel cars are well suited to the environment because they consume a little amount of fuel. This indicates that Mercedes is focusing on environment's needs and that Mercedes is applying these concerns on their cars.
References
http://www.csreurope.org/pages/en/focus_toyota.html
http://www.toyota.com/about/environment/
http://www.infinitiusa.com/about/future-vehicles
http://www.mbusa.com/whatdrivesus/#/story/drive-The+foresight%252bto+take+responsibility/story-Three+Roads+to+Zero_Emission+Mobility/dId-0c6d482744e71210VgnVCM1000007c184339____/sId-story_11/
Jan. 31st Post #2
Which companies in the industry stand out in regards to their view and actions in CSR?
According to the article "TNS reports: automotive companies rated highly for CSR in emerging markets": "Among the global automotive corporations, BMW, Honda, Toyota, and Volvo Trucks ranked highest for corporate social responsibility in two or more markets. BMW rated highest in Spain and Italy; Honda for US, UK, and Indonesia, Toyota for Japan, Korea, and Thailand, and Volvo Trucks for Sweden and Netherlands." All of those automotive companies are doing a great job to comply with the employment standards, ethical sourcing, marketing issues, environmental concerns, and/or community policies.
One company that stood out to me in the employment standards is BMW. Due to the lack of highly skilled workers BMW decided to set up the Mature Modern Apprenticeship (MMA) where it helped employees reach a high level of automotive understanding and gave them the skills to grow in that area of specialization. The company also invested money in two partner colleges in order to improve learning conditions, which will help BMW make more business partnerships and will put them in a good standing with the government.
What are some interesting mission statements of values statements of some of the companies in your industry? What does this represent about them?
Toyota:
Mission Statement
"To attract and attain customers with high-valued products and services and the most satisfying ownership experience in America."
Vision Statement
"To be the most successful and respected car company in America."
Toyota's Mission and Vision Statements are very straight forward and so far very true. Their products are "high valued" and very satisfying. Even though they had to recall some of their automobiles due to the issue with the gas pedal, they handled that very maturely and efficiently. They did not cover it up and pretend that it did not exist. They stood up and took full responsibility with their actions.
BMW:
The core values of BMW Financial Services are:
- Uniqueness through diversity
- Leadership
- Teamwork
- Involvement in community
- Mutual respect
- Associate growth & development
- Taking risks
- Excellence through quality & innovation
- Courteous
- FAir
- Responsive
- Efficient
I love how BMW took its time to create an acrostic that spells out ULTIMATE CARE. It is catchy and very interesting. It also makes it easy for the customer to understand what BMW is really about.
1. Which companies in the industry stand out in regards of their view and actions in CSR?
Since CSR is becoming the key issues for the business world nowadays, many of the global companies began to increase the act of CSR. As an extent, automobile companies also started to join the act of CSR in diverse ways. For example, Hyundai motors have started their CSR business by setting up a three main goals of its CSR business. They are economic responsibility, environment responsibility and social responsibility. As for an example, last year they have created a new business firm, co-operating with the Kyung-gi do (a province in S.Korea), which only focuses on producing goods for handicapped people and their profits will be all donated to the society. This was a great issue at that time since it was the first company to create a CSR company officially. Moreover, besides establishing the CSR company, the Hyundai motors are leading the CSR activities among the Korean companies by carring out some activities such as joining the white band campaign which aims to raise public awareness of global poverty.
http://csr.hyundai.com/eng/csr/CSRNewsRead.aspx?cPage=1&sKey=&sWord=&Cat=0&Seq=217
http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=102&oid=003&aid=0003391596
2. What are some interesting mission statements or values statements of some of the companies in your industry? What does this represent about them?
For Hyundai motors, it was very impressive to see that they have different statements and values for their different businesses. For example, they have its own principle for their business clearly categorised into five steps, and it seems that they would like to run their business on trust, focus and transparency. In addition, they had their own unique visions and philosophy only related to their CSR field. Personally, this was very interesting for me since this made me to think that Hyundai motors actually viewed CSR as a different part aside from its actual business. As a result, this would enhance and improve its role for each different fields and obviously would bring a better results(profit) for its own goal.
http://csr.hyundai.com/eng/about/vision/vision.aspx
Since CSR is becoming the key issues for the business world nowadays, many of the global companies began to increase the act of CSR. As an extent, automobile companies also started to join the act of CSR in diverse ways. For example, Hyundai motors have started their CSR business by setting up a three main goals of its CSR business. They are economic responsibility, environment responsibility and social responsibility. As for an example, last year they have created a new business firm, co-operating with the Kyung-gi do (a province in S.Korea), which only focuses on producing goods for handicapped people and their profits will be all donated to the society. This was a great issue at that time since it was the first company to create a CSR company officially. Moreover, besides establishing the CSR company, the Hyundai motors are leading the CSR activities among the Korean companies by carring out some activities such as joining the white band campaign which aims to raise public awareness of global poverty.
http://csr.hyundai.com/eng/csr/CSRNewsRead.aspx?cPage=1&sKey=&sWord=&Cat=0&Seq=217
http://news.naver.com/main/read.nhn?mode=LSD&mid=sec&sid1=102&oid=003&aid=0003391596
2. What are some interesting mission statements or values statements of some of the companies in your industry? What does this represent about them?
For Hyundai motors, it was very impressive to see that they have different statements and values for their different businesses. For example, they have its own principle for their business clearly categorised into five steps, and it seems that they would like to run their business on trust, focus and transparency. In addition, they had their own unique visions and philosophy only related to their CSR field. Personally, this was very interesting for me since this made me to think that Hyundai motors actually viewed CSR as a different part aside from its actual business. As a result, this would enhance and improve its role for each different fields and obviously would bring a better results(profit) for its own goal.
http://csr.hyundai.com/eng/about/vision/vision.aspx
Corporate Social Responsibility- January 31, 2011
Which companies in the industry stand out in regards to their view and actions in CSR?
General Motors stands out in regards to their view and actions in CSR. They created "GM Family First." This helps eligible families afford certain GM vehicles. They also have a retiree program which provides certain products at great prices for retired people. There are so many clubs and programs with benefits for many people. GM also has an "Environmental Commitment." GM is committed to the environment, recycling and educating people about what we can do to make the earth more green. They are making many of their cars environmentally friendly. GM is partnered USCAP (United States Climate Action Partnership), U.S. Department of Energy Climate VISION, Suppliers Partnership for the Environment (SP), and many other organizations that promote a greener planet. Every decision about how this company makes their products affects the environment and the health and safety of others. They must make their automobiles both environmentally friendly and safe. GM takes countless steps to promote CSR.
What are some interesting mission statements or values statements of some of the companies in your industry? What does this represent about them?
The mission statement of General Motors is as follows: "G.M. is a multinational corporation engaged in socially responsible operations, worldwide. It is dedicated to provide products and services of such quality that our customers will receive superior value while our employees and business partners will share in our success and our stock-holders will receive a sustained superior return on their investment." GM's mission statement reveals that their company values their customers and the work of their employees. It is inferred that they value excellence within the workplace and they strive to achieve above and beyond. It is interesting that GM mentions their stock-holders. They truly value the people that invest in them and want to give them the best products possible.
Sources:
Monday, January 24, 2011
Blog 1 -Jan 24th, 2011
1. What are key ethical issues this industry faces?
In this field, there are a lot of examples and experiences that happened along with several auto companies. Many lawsuits occur because a mistake in this industry is really expensive. For example, there are seven insurances companies that sued Toyota for their cars' acceleration problems. Many cars from Toyota had a problem with their accelerations and that cars go up to 100 miles and more easily. In Los Angeles, the County Superior Court announced that many accidents that happen in the city were because of Toyota cars.
One of the issues that automobiles industries face is the weight of the vehicle. Most of the auto companies are trying to reduce their cars' weights in order to work efficiently. The reason behind trimming the weight is to save more fuel. When a heavy car runs, it consumes more fuel than a non heavy car. The engines in those heavy cars require a high level of power to operate well. This power comes from consuming a lot of fuel. Nowadays, companies are trying to replace some steel parts of cars with a carbon fiber parts. And this would create more environmental cars that consume less fuel. But the problem is with the high price of carbon fiber. However, researchers team in "Oak Ridge National Laboratory" in Tennessee found that they can reduce the costs of carbon fiber by adding special chemical substances and through a process that is called knitting yarn. By then, the carbon fiber would be called carbon fiber fabric.
Another challenge for the automobile industry is that the shortage in batteries. This happens in both electric and regular cars. This issue might be noticed while trying to operate a car and it does not work. There is a new device that can solve that issue. It is called the ultracapacitor. This device generates electricity in a different way than regular batteries (chemical) do because it depends on electrolyte and carbon-coated metal plates. In addition, it absorbs a lot of electricity and it releases it so fast when needed. Also. this device proved that it can work under any weather condition in cold or hot times. The problem with this device is that a little bit expensive than regular batteries.
2. What are some examples of ethics challenges that industry players have experienced?
The U.S. Department of Transportation has been checking all of Toyota's cars, especially for acceleration issues and also electronic parts. As a result, Toyota recalled more than eight million cars globally about the acceleration issue and others related to electronic problems. However, Toyota denied these claims from the insurance companies. These companies are trying to receive a minimum compensation of 230, 000 million dollars from Toyota.
Sources:
1- http://online.wsj.com/article/SB10001424052748704405704576064091264764416.html?KEYWORDS=automotive+industry
2- http://online.wsj.com/article/SB10001424052748704723104576061832001057852.html?KEYWORDS=automobiles+problems
Sunday, January 23, 2011
Jan. 24th Post
1. What are key ethical issues this industry faces?
One big and ongoing ethical issue that many auto companies face is the dilemma of creating a safe vehicle versus a cost efficient vehicle. There are many different technologies out there, that are already developed, that can make cars even safer to operate. Unfortunately many car companies refrain themselves from using those technologies in order to cut down on production cost. If a given car is too expensive it will not be as popular among the general population. If the car doesn't sell then the auto makers will not produce it.
2. What are some examples of ethics challenges that industry players have experienced?
One big and ongoing ethical issue that many auto companies face is the dilemma of creating a safe vehicle versus a cost efficient vehicle. There are many different technologies out there, that are already developed, that can make cars even safer to operate. Unfortunately many car companies refrain themselves from using those technologies in order to cut down on production cost. If a given car is too expensive it will not be as popular among the general population. If the car doesn't sell then the auto makers will not produce it.
Another problem that we are facing todays is the growing demand for fuel efficient cars. Those cars are usually smaller in order to get good fuel mileage. A smaller car is can be more dangerous during a car accident. Auto companies have to choose between making small fuel efficient and potentially deadly models or making big and safer car models. Unfortunately most companies choose profit over safety.
2. What are some examples of ethics challenges that industry players have experienced?
In an article "Toyota Tries to Break Reliance on China" the author Mike Ramsey writes: "Toyota is striving to develop a new type of electric motor to escape a simmering trade conflict involving China's grip on rare earth metals." The hybrid model cars are already expensive as it is. If China decides to increase the cost of the needed earth metals, they will increase the costs of hybrid automobiles too. By trying to find a new and cheaper way to power engines Toyota is making the right ethical choice in order to keep the prices of the hybrid automobiles lower. They could have chosen to continue on buying China's earth metal, but instead chose to find a new way to produce hybrid engines and to keep customers satisfied too.
Sourses:
Jan 24th
What are key ethical issues this industry faces?
The key ethical issues in automobile industry are the quality of the parts used to manufacture the automobile. The automobile companies say that it is "more safer" to survive
in a car accident when the parts of the car is actually more crushed. However,
there is a criticism saying that the automobile companies are intentionally using the
light-weighted and fragile materials when manufacturing a car since they can sell
more parts afterwards since the parts will be broken apart easily.
Also, when manufacturing a brand new car, the companies might use the old
parts or materials and cover them up and disguise it as a new one. To prevent these
kind of unethical behaviours, companies should operate their business in a transparent way.
What are some examples of ethics challenges that industry players have experienced?
Last year, Kia motors have launced a new model K7 in Korea. Many people loved its design and function, however some of the results have been reported that Kia motors have used some rusted materials on making an exhaust pipe. Moreover, there is a report saying that Hyundai motors have also made a recall for 25,316 vehicles for the model 'Sonata' for unknown reasons. Hyundai motors are refusing to say any comments about this recall matters, and actually trying to cover the situation quietly.
Vehicles are one of the vital machinery nowadays, and since it is directly related to drivers safety, any small problems should not be neglected and be taken care of immediately and publically.
http://www.vop.co.kr/A00000286932.html
(since I am from S.Korea and there are many automobile companies, such as Hyundai, Kia, Daewoo, I would like to get the Korean source and post it in the blog if that is okay for all of you. However, the related news scripts will be in Korean so I am not sure whether I can keep continue to do this in this way or not)
The key ethical issues in automobile industry are the quality of the parts used to manufacture the automobile. The automobile companies say that it is "more safer" to survive
in a car accident when the parts of the car is actually more crushed. However,
there is a criticism saying that the automobile companies are intentionally using the
light-weighted and fragile materials when manufacturing a car since they can sell
more parts afterwards since the parts will be broken apart easily.
Also, when manufacturing a brand new car, the companies might use the old
parts or materials and cover them up and disguise it as a new one. To prevent these
kind of unethical behaviours, companies should operate their business in a transparent way.
What are some examples of ethics challenges that industry players have experienced?
Last year, Kia motors have launced a new model K7 in Korea. Many people loved its design and function, however some of the results have been reported that Kia motors have used some rusted materials on making an exhaust pipe. Moreover, there is a report saying that Hyundai motors have also made a recall for 25,316 vehicles for the model 'Sonata' for unknown reasons. Hyundai motors are refusing to say any comments about this recall matters, and actually trying to cover the situation quietly.
Vehicles are one of the vital machinery nowadays, and since it is directly related to drivers safety, any small problems should not be neglected and be taken care of immediately and publically.
http://www.vop.co.kr/A00000286932.html
(since I am from S.Korea and there are many automobile companies, such as Hyundai, Kia, Daewoo, I would like to get the Korean source and post it in the blog if that is okay for all of you. However, the related news scripts will be in Korean so I am not sure whether I can keep continue to do this in this way or not)
Blog 1: January 24, 2011
What are key ethical issues this industry faces?
The auto industry faces some key issues. Although the government bailed out some of its companies going into bankruptcy and many of these companies have reached stability, this industry has yet to see a rise in sales. Another issue within the auto industry is the sustainability of their products and how they affect our planet. The auto industry faces environmental issues. Essentially when cars burn off gasoline the smoke that comes out of the exhaust pipe is a fossil fuel. Fossil fuels break down the ozone layer which in turn creates global warming. In order to protect the environment auto companies need to make more cars that are environmentally friendly.
What are some examples of ethics challenges that industry players have experienced?
A significant example of an ethics challenge this industry's players has faced was the recent auto bailout. GM, Ford and Chrysler car companies were producing and spending more than they could afford. They weren't increasing in sales and profit. When the recent recession nailed the country these car companies took a hard hit and looked to the government for help and money so that they wouldn't have gone bankrupt. If the government had not bailed these auto companies out the bankruptcy would have taken a toll on very many people; many people would have lost their jobs and many of the companies that manufacture parts for these cars would have lost money.
Web Sources:
http://money.usnews.com/money/blogs/flowchart/2008/9/24/a-25-billion-lifeline-for-gm-ford-and-chrysler
January 24th Questions- Josh Schwartz
1. What are key ethical issues this industry faces?
Key ethical issues that face this industry include the manufacturing cars that are safe, but at the same time do not work forever so that people are forced to buy new cars. Also, companies face ethical issues with their manufacturing process. Do they outsource to other countries for cheaper labor, or do you pay American workers and ensure the product is being made correctly?
Aside from the manufacturing process, the automotive industry faces ethical issues with the pricing of their cars. They must make their product affordable for their consumers without making it dangerously cheap and continue to make a profit.
2. What are some examples of ethics challenges that industry players have experienced?
An example of ethical challenges the automotive industry must face happened fairly recently. In February of last year, Toyota faced a massive recall for their faulty rug mats. The problem was the acceleration pedal would get stuck on the floor mat while people were driving. This problem was caused by the fact that Toyota outsourced the installation and manufacturing of these mats to a company called CTS in Indiana. These mats were not made properly (most likely because Toyota was trying to get the mats made cheap) and caused accidents for the drivers.
Web Source
Key ethical issues that face this industry include the manufacturing cars that are safe, but at the same time do not work forever so that people are forced to buy new cars. Also, companies face ethical issues with their manufacturing process. Do they outsource to other countries for cheaper labor, or do you pay American workers and ensure the product is being made correctly?
Aside from the manufacturing process, the automotive industry faces ethical issues with the pricing of their cars. They must make their product affordable for their consumers without making it dangerously cheap and continue to make a profit.
2. What are some examples of ethics challenges that industry players have experienced?
An example of ethical challenges the automotive industry must face happened fairly recently. In February of last year, Toyota faced a massive recall for their faulty rug mats. The problem was the acceleration pedal would get stuck on the floor mat while people were driving. This problem was caused by the fact that Toyota outsourced the installation and manufacturing of these mats to a company called CTS in Indiana. These mats were not made properly (most likely because Toyota was trying to get the mats made cheap) and caused accidents for the drivers.
Web Source
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