Automotive companies have always been interesting due to many different innovations implemented in their products. Some would argue that this worldwide competition started when Ford became producing the best vehicles of its time. In the last couple of decades, the market looked much more diverse due to many companies from all over the world than in the beginning.
Surely, Japanese vehicles have a pretty special place in the world of cars. Every car lover in the world will say that firms like Suzuki, Toyota, Nissan, and Mitsubishi have some exceptional vehicles to offer to the consumers. However, it should be said that Honda is definitely the one that managed to surpass them all in the last couple of years. The recent success of this company is closely tied to the highly successful products that they’ve managed to launch in the last couple of decades and their smart marketing.
Not only that, it surely became one of the most reputable companies in the industry. We have recently seen that the question of globalization in the world’s automotive industry was posted in the community. The reason is that many huge corporations simply fail to achieve significant results on a worldwide scale, different from the company’s performance within its native country.
This is where Honda managed to stand out from the crowd and become one of the most important companies at the moment. If you are interested to take a look at some of the newest products of this famous Japanese company, click here. Anyway, let us take a look at some of the most important approaches this organization has implemented and who provided it with the opportunity to become one of the most important ones of its time.
Focus on Local Market
Source: guardian.ng
What separates Honda from other huge Japanese automotive companies is that instead of focusing on a world market, the board members have chosen to focus on the local market. This means that the whole marketing strategy and the products they’ve released were focused only on Japan. Also, they’ve declined to create vehicles that were products of collaboration between companies from different countries.
So, all of the parts for their vehicles have been produced in their native country. In the end, it should be said that the whole process was performed in the country. We can see that a lot of different companies have started outsourcing some of their work to sub-companies in other countries, where the price of labor is much cheaper.
Engineers in Prime Spots
Source: hondanews.eu
From the beginning of the company in the late 1940s, all CEOs and other important board members were mostly engineers. This presented the company with a unique opportunity to have a pretty unique perspective, different from many others. Also, all the research and production were done within the company, outsourcing only the smallest percentage of work to other organizations.
The same cannot be said about other companies from this country due to their decision to have mainly marketers in these positions. That doesn’t mean that this was not a good decision. But generally, we can see that Honda has managed to find a pretty unique perspective, which helped it to become highly successful among competitors like Toyota and Suzuki.
Flexibility in Production Process
Source: youtube.com
One more thing that Honda handled much differently from other companies from Japan is that it made its production process much more flexible. It should be said that this is a pretty important feature that could have a massively important element of every organization. For the most part, this means that Honda can shift its priorities when it comes to production in a matter of days. At the same time, when we take a look at its rivals, they would need at least a couple of months in order to perform this.
Some would argue that this a trait that Honda doesn’t really need, due its production is solely focused on the needs of the local population and there are no other requirements from other markets in the world. However, we can see that the organization has accomplished the level of flexibility that can provide a crucial advantage in some of the future moves on the market. For example, when the company actually decided to move abroad.
There are no Robots
Source: youtube.com
We can see that some of the largest business organizations in Asia have already implemented the approach of introducing robots to the production process. So, it wouldn’t be any surprise to see that Honda has done the same, right? Well, it should be said that this company decided not to implement this element into production. Instead, it remained faithful to the traditional way of production, by employing people who are experts in their field of work.
According to some of the reports, Honda’s factories have been recognized as one of the best ones in the industry. Not only that, but they have been recognized as the most intensive ones when it comes to actual work. There are small amounts of robots that are actually implemented this the company’s modus operandi. But Honda has decided to remain authentic to its background.
The Structure of the Company
Source: asia.nikkei.com
Last but not least, the thing that separates Honda from other companies is its structure and day-to-day activities performed by the staff. Honda organizes small meetings called “waigaya”, where all the members of the team have the opportunity to provide their opinion about a particular topic. These meetings have the task of improving the products of this world-renowned corporation.
Not only that this is an actual intention behind them, but the staff finds them highly useful due to the results and ideas that have come out from these. That doesn’t mean that other companies don’t have something similar to this. But this organization managed to brand their meetings by giving them an actual name and promoting them as useful.
In Conclusion
We’ve presented you will all the main elements behind Honda’s success in the last couple of decades. Truly, we are talking about a company that has the tendency to become one of the most innovative in its own industry. We are pretty sure that the results will match everyone’s expectations.
