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HONDA‘THE POWER OF DREAMS’POLCPREPARED FOR:NORSANIAH BINTI MOHD NOH(MGT400 – INTRODUCTION TO MANAGEMENT)PREPARED BY:INTAN NUR AIDA BT MOHD ABD LATIF (2019207074)IM2462STSUBMISSION DATE:5 TH JUNE 20201 INTRODUCTIONHonda is a Japanese automotive company mainly recognized as a maker of cars and motorcy...

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HONDA ‘THE POWER OF DREAMS’ POLC PREPARED FOR: NORSANIAH BINTI MOHD NOH (MGT400 – INTRODUCTION TO MANAGEMENT)

PREPARED BY: INTAN NUR AIDA BT MOHD ABD LATIF (2019207074) IM2462ST3

SUBMISSION DATE: 5TH JUNE 2020

1.0 INTRODUCTION

Honda is a Japanese automotive company mainly recognized as a maker of cars and motorcycles. Honda was established on 24 September 1948 by Soichiro Honda and Takeo Fujisawa. Honda simply means source field or foundation field in Japanese. Mr. Soichiro has worked as a mechanic in the Japanese tuning market, Art Shokai, since he was 18. Instead, as a self-taught designer, he designed his first version of piston and sold it to Toyota, but it was rejected. Owing to the shortage of fuel during the Second World War, he was unable to build a motorcycle. After that, the Honda Technological Research Institution developed a small engine for 2 bicycles in Japan and his first bicycle was Honda Cub; the first vehicle was a T360 mini pick-up van.

1.1 Automobile Honda's automotive line-up consists of Fit, Civic, Accord, Honda, CR-V and Odyssey. Honda's early supporter of designing vehicles that appeal to various demands and markets around the world differs by country and can include vehicles that are unique to that region. In addition, for the first time in the 1964 season, Honda entered Formula One as a manufacturer at the German Grand Prix with Ronnie Bucknum at the wheel.

1.2 Motorcycles Being the largest motorcycle manufacturer in Japan, Honda started its production in 1955. Honda reached its peak in 1892 for manufacturing almost 3 million motorcycles annually. By 2006, this number had fallen to about 550,000, but was still higher than its three domestic rivals. In 1982, Honda has participated in Motorsports renamed Honda Racing Corporation (HRC). The company combines participation in motorcycle racing around the world with the development of high potential racing machines. The racing events are an important inspiration for the development of state-of-the-art technology used in the manufacture of Honda motorcycles. HRC also contributes to the promotion of motorcycle sports through a variety of events, including purchases of quality motorcycle racing, sponsorship for satellite teams and educational programs for riders.

1.3 Power product & Engine The company started engine production in 1953 with H-type. Honda power equipments reached record sales in 2007 with 6.4 million units. Its quality completes line of generators for commercial and consumer applications. All Honda Generators meet or exceed EPA (Environmental Protection Agency) emission standards. Honda is now the world's largest maker of engines and has gained a reputation for unsurpassed efficiency, durability and reliability. The aim of the engines was produced is to meet or exceed the requirements of customers by means of advanced engine technologies, quality components and state-of-the-art manufacturing facilities worldwide.

1.4 Robots ASIMO is a robot built under Honda's Robotics Research & Development program. It is the eleventh in a string of consecutive constructions, beginning in 1986, with Honda E0 going along the subsequent Honda E series and the Honda P series. Honda has also introduced advanced technologies in its HA-420 HondaJet, which allows higher levels of decreased drag, improved aerodynamics and fuel efficiency to improve operating cost.

Example of HONDA products

2.0 Performance of the company.

When we heard about Honda, people will know how great this company actually. Honda is such a big name, well-known all around the world. There are many performances, risks and strategies that had been taken by the company in order to satisfy the world’s demand.

2.1 Honda’s current missions and goals Since we know that the vision and mission statements provide a focal point that helps to align everyone with the organization, thus ensuring that everyone is working towards a single purpose. This helps to improve the productivity and profitability of the company. Honda will always stand by their vision and mission to achieve their goal. Honda mission statement is “maintaining a global viewpoint, we are dedicated to supplying products of the highest quality, yet at a reasonable price for worldwide customer satisfaction.” The statement shows that the value of the products that the company supplies top the list of its priorities. Honda vision statement is “to serve people worldwide with the joy of expanding their life’s potential – Lead the advancement of mobility and enable people everywhere in the world to improve their daily lives.” The company has been pioneering designs that improve mobility not only in driving and riding but also in flying and walking. Thus, Honda already have the 2030 vision statement which is “serve people worldwide with the joy of expanding their life’s potential.” For Honda to continue to be a company society wants to exist even in the year 2050, when Honda will be more than 100 years old, they envisioned what they want Honda to look like in such a future. And based on that, they determined what they want to look like in the year 2030, and they summarized that as their 2030 Vision.

2.2 Human Resource Management and Motivating Employees

Human Resources Management (HRM) is a way of hiring employees, creating their tools, using, managing and compensating their services in accordance with function and organizational requirements. According to stats, Honda's company had 219722 employees in 2019. Soichiro Honda has a strong vision and built a trustworthy culture in the sector.

The Human Resource Managing Department at Honda is given specific instruction on how to employ the best possible workers. Thus, they also assume, that if employees are happier at work, production would increase. The employer views others as fair and also works in a workshop of workers. That's why people often say the workers are the assets of the company.

In the first place, Mr. Soichiro put human effort and concern on all staff. He wanted to create a healthier atmosphere for his staff, recruit experts and inspire them to do their work in the best possible way. His employees have always understood that poor performance would not be tolerated. Because of his anger, his colleagues call him Mr. Thunder, but they still love him.

2.3 Formulate, implement strategies and evaluate results

Honda annual’s performance cycle helps them to formulate implement strategies and evaluate the results.

2.4 Managing change and innovation

Honda’s managing director stated that, “In today’s competitive market, you must keep up with the latest technology, but more importantly you must take care of your customers.” Honda is keeping up with technologies such as the creation of 'green' cars and wants to keep profits going, but the main focus is on providing excellent customer service. Based on their goal, ‘Delivering new joy and excitement to customers around the world ’, Honda is making continuous progress in the research and development of cutting-edge technologies and next-generation mobility. The latest one is Honda has on the one hand been developing fuel cell vehicles (FCVs), and on the other, has pursued its own research and development of hydrogen stations that efficiently generate hydrogen from renewable energy, as a low-carbon technology to "generate" hydrogen for "use" by FCVs.

Other than that, Honda come out with the idea of electrification which along with the mission “Toward a clean and safe/secure society.” Honda will accelerate initiatives for a zero emission society by actively promoting the effective use of renewable energy, realizing Zero Emission Vehicles (ZEV) and promoting electrification in working to also achieve a zero-emission society.

2.5 Profit margin

Honda Financial Statements 2005-2020

3.0 SUGGESTION AND RECOMMENDATION

3.1 Planning

Planning is the first step in management and is essential as it facilitates control, valuable in decision making and in the avoidance of business ruin. Planning is a logical way of thinking through objectives and making a decision as to what needs to be done in order to achieve the objectives of the organizations. Managers use this method to prepare for the future, and as a blueprint to predict challenges, to agree on measures to prevent challenging situations and to resolve competition.

So, this part's hero is the manager. Managers can look at the critical issues facing the organization instead of waiting for them to blow up in their faces. Allowing confusion, high risk, and skepticism to rule within an organisation is rarely a good idea. They need to always planning and come out with a plan that is aimed at accomplishing some organizational goal such as increasing sales or improving customer service. Since Honda associates to serve 23 million customers worldwide annually, they need to keep up with fresh concepts and innovative innovations in order to please and bestow on their customers. Other than that, Honda also needs to always develop strategies to achieve the company's objectives and make better sales, as competitors like Mazda, Yamaha and others are also struggling to be the best among the rest. They can take initiatives such as banner advertising, showroom displays, newspapers, billboards, pamphlets and TV commercials, do sales promotions such as awards and free gifts and, last but not least, do some events such as sponsoring an event and giving young people a test ride.

3.2 Organizing

Organization is a matter of appointing individuals to assignments or responsibilities that combine to develop a single goal, to achieve the objectives. Honda must know its subordinates and what they can do to organize the most valuable resources the company has, its employees. This is achieved through the management of the working division, the establishment of training for employees, the acquisition of resources and the organization of the working group into a productive team. The manager must then go over the plans with the team, break the assignments into units that one person can complete, link the related tasks together in an understandable well-organized style and appoint the jobs to individuals.

3.3 Leading

As organizations grow, they develop complex structures with an increasing need for coordination and control. In order to deal with and handle these circumstances, leadership is required to motivate people to work together for a shared purpose and to establish a situation of mutual reaction. Leading involves directing, influencing and motivating employees to perform essential tasks. It also includes social and informal sources of influence to inspire others. Effective managers lead subordinates through motivation to progressively achieve organizational objectives. In order to increase the motivation of employees, Honda should provide incentives for employees of the month, such as badges. As we know, Honda is an innovative leader with a culture of experimentation. Mr. Soichiro injects passion and energy to write the people around him and they helped him to achieve great things. Soichiro Honda was a transformational leader and the workers need to make him as an inspiration in leadership so that the name of the company will be on the top of others competitors in the world.

3.4 Controlling

Controlling involves measuring performance against objectives and plans and helping to correct deviations from standards. As a matter of fact, control facilitates the implementation of plans by ensuring that performance does not deviate from standards. As a result, control consists of five steps of the process to achieve the organizational objectives. So, Honda need to keep use these five steps in order to make sure that their company is in a good condition. The first step they need to take is to define the main places for regulation. Managers are typically based on their corporate purpose, goals and priorities established through the planning process. The second step is that they need to set performance goals and expectations. The next step is that they always need to measure the actual performance. Measurements must be accurate enough to detect any deviations or variances between what actually occurs and what is most desired. Honda managers can measure the outputs of workers' behaviour, or they can measure their own behaviour. The fourth step is to measure the current results to the selected expectations and the final step is for Honda to take corrective steps as necessary. They will thoroughly determine the reason for taking disciplinary measures, such as the need for extra preparation or supplies for staff.

4.0 CONCLUSION

To conclude, Honda is a well-run company from top to bottom. They have a lot of resources that allow them to do things that other companies can not do. They are very good with consumer service and the ability to be innovative. Honda's got a bright future ahead of them. Honda has the backing and reputation to be able to create a line of smaller, fuel efficient cars and implement these around Europe and they already has their 'foot in the door', however their reputation of being an over 60's car company in countries such as the UK must be countered by producing young fashionable 'smarter' cars so, if they want to keep being the best, they need to make some improvements; using POLC as the guide is the great way for them to stay on the line.

5.0 REFERENCES

Williams, C. (2016, November 13). Honda looks to rebound on backs of best-selling civic, CRV. (May 2020) . Retrieved

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