Toyota projects first-ever operating loss

Toyota Motor Corp. on Monday forecast its first-ever operating loss this year as the global slowdown creates "an unprecedented crisis" for the long profitable automaker.
Toyota's sharp cuts in forecasts marked a deepening of the woes plaguing the auto industry, which has seen General Motors and Chrysler, two of the US Big Three automakers, on the verge of collapse due to the global financial turmoil.
Toyota, which vies with GM for the crown of the world's largest automaker, said it was cutting back production and investment as a slump in sales and a soaring yen wreak havoc on its balance sheet.
"The company is facing an unprecedented crisis where it cannot avoid posting an operating deficit in this term," Toyota president Katsuaki Watanabe told a news conference at the company's hub in central Japan.
"We will have to build on the company's strengths to ensure profit," he said.
Toyota said it would freeze the launching of a new factory in the US state of Mississippi and scale back production in India.
"The company has decided to either delay or review almost all projects aimed at expanding production ability or building new plants," Watanabe said.
Japan's top automaker said it expected an operating loss of 150 billion yen (1.69 billion dollars) for the financial year, the first loss since it started reporting annual earnings in March 1941.
Toyota said it still expected to make a profit on a net level but cut its forecast sharply to 50 billion yen, down from a previous estimate of 550 billion yen.
The automaker has enjoyed hefty profits in recent years fuelled by demand overseas, particularly in the United States, for its eco-friendly hybrid cars.
Toyota enjoyed operating profit of 2.27 trillion yen in the previous financial year.
But demand has fallen sharply in the United States as a credit crisis at banks drags down the entire economy. The White House on Friday offered a 13.4-billion-dollar government lifeline to keep GM and Chrysler afloat.
Analysts said Toyota's revision showed the global crisis was affecting all automakers, not just Detroit's long troubled Big Three,which also includes Ford.
"It is symbolic for a company like Toyota, representing Japan, to suffer a loss," said Yasuaki Iwamoto, auto analyst at Okasan Securities.
"Not only Toyota but all the carmakers are finding it crucial to get to the bottom of this abnormal market condition," he said.
For the current year, Toyota now expects global sales worth 21.5 trillion yen, down from an earlier estimate of 23.0 trillion yen.
Toyota said group sales are expected to slump to 8.96 million vehicles for the calendar year of 2008, down four percent from a year earlier.
For the first time, Toyota did not announce a sales forecast for the next financial year.
"The markets are changing every week and even every day. Unfortunately we cannot forecast our business performance for the next year at this point," Watanabe said.
"It is extremely difficult to read the conditions of the global markets now."

SUMMARY OF FIRST HABIT (BE PROACTIVE) BY ELISHBA


IT IS AN ACCURATE SELF-MAP FROM WHICH HE BEGAN TO DEVELOP THE FIRST AND MOST BASIC HABIT OF A HIGHLY EFFECTIVE PERSON IN ANY ENVIRONMENT, THE


HABIT OF PRO ACTIVITY. WHILE THE WORD PRO ACTIVITY IS NOW FAIRLY COMMON IN MANAGEMENT LITERATURE, IT IS A WORD YOU WON'T FIND IN MOST DICTIONARIES. IT MEANS MORE THAN MERELY TAKING INITIATIVE. IT MEANS THAT AS HUMAN BEINGS, WE ARE RESPONSIBLE FOR OUR OWN LIVES. OUR BEHAVIOUR IS A FUNCTION OF OUR DECISION, NOT OUR CONDITIONS. WE CAN SUBORDINATE FEELINGS TO VALUES.


TAKING THE INITIATIVE

TAKING INITIATIVE DOES NOT MEAN BEING PUSHY, OBNOXIOUS , OR AGGRESSIVE. IT DOES MEAN RECOGNIZING OUR RESPONSIBILITY TO MAKE THINGS HAPPEN.

THE SOCIAL MIRROR


IF THE ONLY VISION WE HAVE OF OURSELVES COMES FROM THE SOCIAL MIRROR- FROM THE CURRENT SOCIAL PARADIGM AND FROM THE OPINIONS, PERCEPTIONS, AND PARADIGMS OF THE PEOPLE AROUND US- OUR VIEW OF OURSELVES IS LIKE REFLECTION IN THE CRAZY MIRROR ROOM AT THE CARNIVAL.


THERE ARE ACTUALLY THREE SOCIAL MAPS.

1. GENETIC DETERMINISM

2.PSYCHIC DETERMINISM

3.ENVIRONMENTAL DETERMINISM


LISTENING TO OUR LANGUAGE

BECAUSE OUR ATTITUDES AND BEHAVIORS FLOW OUT OF OUR PARADIGMS, IF WE USE OUR SELF-AWARENESS TO EXAMINE THEM, WE CAN OFTEN SEE IN THEM THE NATURE OF OUR UNDERLYING MAPS.OUR LANGUAGE, FOR EXAMPLE, IS VERY REAL INDICATOR OF THE DEGREE TO WHICH WE SEE OURSELVES AS PROACTIVE PEOPLE. THE LANGUAGE OF REACTIVE PEOPLE ABSOLVES THEM OF RESPONSIBILITY. THAT LANGUAGE COMES FROM A BASIC PARADIGM OF DETERMINISM.


CIRCLE OF CONCERN


ANOTHER EXCELLENT WAY TO BECOME MORE SELF-AWARE REGARDING OUR OWN DEGREE PF PRO ACTIVITY IS TO LOOK AT WHERE FOCUS OUR TIME AND ENERGY. WE EACH HAVE A WIDE RANGE OF CONCERNS- OUR HEALTH, OUR CHILDREN, PROBLEMS AT WORK, THE NATIONAL DEBT, NUCLEAR WAR. WE COULD SEPARATE THOSE FROM THINGS IN WHICH WE HAVE NO PARTICULAR MENTAL OR EMOTIONAL INVOLVEMENT BY CREATING A "CIRCLE OF CONCERN."

CIRCLE OF INFLUENCE

AS WE LOOK AT THOSE THINGS WITHIN OUR CIRCLES OF CONCERN, IT BECOMES APPARENT THAT THERE ARE SOME THINGS OVER WHICH WE HAVE NO REAL CONTROL AND OTHERS THAT WE CAN DO SOMETHING ABOUT. WE COULD IDENTIFY THOSE CONCERNS IN THE LATTER GROUP BR CIRCUMSCRIBING THEM WITHIN A SMALLER CIRCLE OF INFLUENCE. BY DETERMINING WHICH OF THESE TWO CIRCLES IS THE FOCUS OF MOST OF OUR TIME AND ENERGY, WE CAN DISCOVER MUCH ABOUT THE DEGREE OF OUR PRO ACTIVITY.

EXPANDING THE CIRCLE OF INFLUENCE

IT IS INSPIRING TO REALIZE THAT IN CHOOSING OUR RESPONSE TO CIRCUMSTANCE, WE POWERFULLY AFFECT OUR CIRCUMSTANCE. WHEN WE CHANGE ONE PART OF THE CHEMICAL FORMULA, WE CHANGE THE NATURE OF THE RESULTS.

MAKING AND KEEPING COMMITMENTS

AT THE VERY HEART OF OUR CIRCLE OF INFLUENCE IS OUR ABILITY TO MAKE AND KEEP COMMITMENTS AND PROMISES. THE COMMITMENTS WE MAKE TO OURSELVES AND TO OTHERS, AND OUR INTEGRITY TO THOSE COMMITMENTS, IS THE ESSENCE AND CLEAREST MANIFESTATION OF OUR PRO ACTIVITY. IT IS ALSO THE ESSENCE OF OUR GROWTH. THROUGH OUR HUMAN ENDOWMENTS OF SELF-AWARENESS AND CONSCIENCE, WE BECOME CONSCIOUS OF AREAS OF WEAKNESS, AREAS FOR IMPROVEMENT, AREAS OF TALENT THAT COULD BE DEVELOPED, AREAS THAT NEED TO BE CHANGED OR ELIMINATED FROM OUR LIVES. THEN, AS WE RECOGNIZE AND USE OUR IMAGINATION AND INDEPENDENT WILL TO ACT ON THAT AWARENESS - MAKING PROMISES, SETTING GOALS, AND BEING TRUE TO THEM- WE BUILD THE STRENGTH OF CHARACTER, THE BEING, THAT MAKES POSSIBLE EVERY OTHER POSITIVE THING IN OUR LIVES.

ELISHBA'S POST ON CHAPTER 6 (DECISION MAKING: THE ESSENCE OF THE MANAGER'S JOB

DECISION: THAT IS, THEY MAKE CHOICES. FOR INSTANCE, TOP-LEVEL MANAGERS MAKE DECISIONS ABOUT THEIR ORGANIZATIONS GOALS.

DECISION-MAKING PROCESS: A SET OF EIGHT STEPS THAT BEINGS WITH INDENTIFYING A PROBLEM AND DECISION CRITERIA AND ALLOCATING WEIGHTS TO THOSE CRITERIA ; TH ATS MOVES TO DEVELOPING, ANALYZING, AND SELECTING AN ALTERNATIVE THAT CAN RESOLVE THE PROBLEM; IMPLEMENTING THE ALTERNATIVES; THAT CONCLUDES WITH EVALUATING THE DECISION'S EFFECTIVENESS.

THE MANAGER AS DECISION MAKER: DECISION MAKING IS PARTICULARLY IMPORTANT INA MANAGER'S JOB. DECISION MAKING IS PART OF ALL FOUR MANAGERIAL FUNCTIONS. IN FACT, THAT'S WHY WE SAY THAT DECISION MAKING IS THE ESSENCE OF MANAGEMENT. THAT'S WHY MANAGERS- WHEN THEY PLAN, ORGANIZE, LEAD, AND CONTROL- ARE CALLED DECISION MAKERS.

MAKING DECISIONS: RATIONALITY, BOUNDED RATIONALITY, AND INTUITION

1. RATIONALITY: MANAGERS MAKE CONSISTENT VALUE-MAXIMIZING CHOICES WITHIN SPECIFIED CONSTRAINTS.

2. BOUNDED RATIONALITY: DECISION-MAKING BEHAVIOUR THAT'S RATIONAL, BUT LIMITED BY AN INDIVIDUALS, ABILITY TO PROCESS INFORMATION.

3. ROLE OF INTUITION: MAKING DECISIONS ON THE BASIS OF EXPERIENCE, FEELINGS, AND ACCUMULATED JUDGMENT.

TYPES OF PROBLEMS AND DECISIONS

• STRUCTURED PROBLEMS: WHICH ARE STRAIGHTFORWARD, FAMILIAR, AND EASILY DEFINED.



• PROGRAMMED DECISIONS: A REPETITIVE DECISION THAT CAN BE HANDLED BY A ROUTINE APPROACH.



• UNSTRUCTURED PROBLEMS: PROBLEMS THAT ARE NEW OR UNUSUAL AND FOR WHICH INFORMATION IS AMBIGUOUS OR INCOMPLETE.


• NON PROGRAMED DECISIONS: A UNIQUE DECISION THAT REQUIRES A CUSTOM-MADE SOLUTION.

DECISION-MAKING CONDITIONS

• CERTAINTY: A SITUATION IN WHICH A MANAGER CAN MAKE ACCURATE DECISIONS BECAUSE ALL OUTCOMES ARE KNOWN.


• RISK: A SITUATION IN WHICH THE DECISION MAKER IS ABLE TO ESTIMATE THE LIKELIHOOD OF CERTAIN OUTCOMES.


• UNCERTAINTY: A SITUATION IN WHICH A DECISION MAKER HAS NEITHER CERTAINTY NOT REASONABLE PROBABILITY ESTIMATES AVAILABLE.

DECISION-MAKING STYLES

• DIRECTIVE STYLE: A DECISION -MAKING STYLE CHARACTERIZED BY LOW TOLERANCE FOR AMBIGUITY AND A RATIONAL WAY OF THINKING.


• ANALYTIC STYLE: A DECISION-MAKING STYLE CHARACTERIZED BY A HIGH TOLERANCE FOR AMBIGUITY AND A RATIONAL WAY OF THINKING.


• CONCEPTUAL STYLE: A DECISION-MAKING STYLE CHARACTERIZED BY A HIGH TOLERANCE FOR AMBIGUITY AND AN INTUITIVE WAY OF THINKING.


• BEHAVIORAL STYLE: A DECISION-MAKING STYLE CHARACTERIZED BY A LOW TOLERANCE FOR AMBIGUITY AND AN INTUITIVE WAY OF THINKING.

ELISHBA'S SUMMARY ON CHAPTER 7(FOUNDATIONS OF PLANNING)

WHAT IS PLANNING?
PLANNING INVOLVES DEFINING THE ORGANIZATION'S GOALS, ESTABLISHING AN OVERALL STRATEGY AND ACHIEVING THOSE GOALS, AND DEVELOPING PLANS FOR ORGANIZATIONAL WORK ACTIVITIES.


WHY DO MANAGERS PLAN?

1.PURPOSE OF PLANNING

• PROVIDES DIRECTION
• REDUCES UNCERTAINTY
• MINIMIZES WASTE AND REDUNDANCY
• ESTABLISHES THE GOALS OR STANDARDS USED IN CONTROLLING

2.PLANNING AND PERFORMANCE

PLANNING IS ASSOCIATED WITH POSITIVE FINANCIAL RESULTS SUCH AS HIGHER PROFITS,HIGHER RETURNS ON ASSETS,AND SO FORTH.IT SEEMS THAT DOING A GOOD JOB OF PLANNING AND IMPLEMENTING THOSE PLANS THOSE PLANS PLAY A BIGGER PART IN HIGH PERFORMANCE THAN DOES THE EXTENT AND AMOUNT OF PLANNING DONE.

HOW DO MANAGERS PLAN?

PLANNING IS OFTEN CALLED THE PRIMARY MANAGEMENT FUNCTION BECAUSE IT ESTABLISHES THE BASIS FOR ALL THE OTHER THINGS THAT MANAGERS DO.WITHOUT PLANNING,MANAGERS WOULDN'T KNOW WHAT TO ORGANIZE.LEAD,OR CONTROL.MANAGERS PLAN TO WORK OUT ON THE GOALS AND PLANS THEY SET.

GOALS:

GOALS ARE THE DESIRED OUTCOMES OR OBJECTIVES FOR INDIVIDUALS,GROUPS,OR ENTIRE ORGANIZATIONS.THERE ARE TWO TYPES OF GOALS,

• REAL GOALS:THOSE GOALS THAT AN ORGANIZATION ACTUALLY PURSUES.
• STATED GOALS:OFFICIAL STATEMENTS OF WHAT AN ORGANIZATION SAYS, AND WHAT IT WANTS ITS STAKEHOLDERS TO BELIEVE, ITS GOALS ARE.

TYPES OF PLANS

• STRATEGIC PLANS: PLANS THAT APPLY TO THE ENTIRE ORGANIZATION'S OVERALL GOALS, AND SEEK TO POSITION THE ORGANIZATION IN TERMS OF ITS ENVIRONMENT.
• OPERATIONAL PLANS: PLANS THAT SPECIFY THE DETAILS OF HOW THE OVERALL GOALS ARE TO BE ACHIEVED.
• LONG-TERM PLANS: THOSE WITHIN A TIME FRAME BEYOND THREE YEARS.
• SHORT-TERM PLANS: THOSE COVERING ONE OR LESS.
• SPECIFIC PLANS: PLANS THAT ARE CLEARLY DEFINED AND THAT LEAVE NO ROOM FOR INTERPRETATION.
• DIRECTIONAL PLANS: THAT ARE FLEXIBLE AND SET OUT GENERAL GUIDELINES.
• SINGLE-USE PLANS: A ONE-TIME PLAN SPECIFICALLY DESIGNED TO MEET THE NEEDS OF UNIQUE SITUATION.
• STANDING PLANS:ARE ONGOING PLANS THAT PROVIDE GUIDANCE FOR ACTIVITIES PERFORMED REPEATEDLY.

CHARACTERISTICS OF WELL-DESIGNED GOALS:

• WRITTEN IN TERMS OF OUTCOMES RATHER THAN ACTIONS.
• MEASURE ABLE AND QUANTIFIABLE.
• CLEAR AS TO A TIME FRAME.
• CHALLENGING YET ATTAINABLE.
• WRITTEN DOWN.
• COMMUNICATED TO ALL NECESSARY ORGANIZATIONAL MEMBERS.

STEPS IN GOAL SETTING

1.REVIEW THE ORGANIZATION'S MISSION, THE PURPOSE OF AN ORGANIZATION.

2.EVALUATE AVAILABLE RESOURCES.

3.DETERMINE THE GOALS INDIVIDUALLY OR WITH INPUT FROM OTHERS.

4.WRITE DOWN THE GOALS AND COMMUNICATE THEM TO ALL WHO NEED TO KNOW.

5.REVIEW RESULTS AND WHETHER GOALS ARE BEING MET.

5 Simple Steps to Creative Thinking and Idea Generation(BRAINSTROMING)



1. Collect Raw MaterialsThis step is often skipped or only partly completed but is a key to the overall success of the process. The quality of ideas generated depends on the quality of the preparation and assimilation of the raw materials. Raw materials can include paper and magazine cuttings, photographs, advertisements, original observations.Two types of raw materials should be collected:Specific – Those relating directly to the area of interest, customer group, proposed product etc.General – Those relating to the broad subject of life events and current affairs. The more widely we spread our net for general materials, the greater our chance of generating creative ideas. This is an ongoing process on which we can build each day.It is a good idea to assemble these into some kind of order or pattern. Scrapbooks are a great way to collect general materials. Specific materials can be catalogued in some way to make retrieval easier.Do not short-cut step 1


.2. Digest the MaterialsThis step involves taking each piece of information and studying it from as many angles and in as many different ways as you can. Really try to ‘get inside’ what it is about, what it is saying, how it looks etc. Continue this process with each piece of specific and general information, looking at the facts and trying to bring them together to see how they fit. A ‘fit’ may be found for some pieces of information without too looking too deeply. As bits of ideas come to mind, write these down, no matter how wild or part-formed they are. This process will help cement them in the mind and is a precursor to generation of complete ideas.It is hard work and at some stage the mind will become tired, but keep going at this stage as you will develop a second burst of mental energy. Only when everything becomes a complete jumble with no clear solution anywhere should you stop this process

.3. Drop the SubjectA common trait in the creative process and idea generation is that these ideas come to us when we are least expecting them to, and often when we are doing something that is totally unrelated to the area in which we have been seeking to generate ideas.So, this third step is quite simple; get as far away as possible from the thinking process on our chosen area. Do something different, preferably something where you can relax and something that you really enjoy. Typically, this will be a topic or activity in which you feel most creative, such as, listening to music, reading poetry, playing a sport.This allows our subconscious to mull over the information we have input in steps one and two


.4. The Idea from NowhereAt some stage an idea will ‘appear as from nowhere’ and usually during a pretty mundane activity such as eating breakfast, having a bath or shave, going for a walk. This is the point at which you must write it down to capture it (having a pencil and notebook in the pocket at all times is a very useful exercise) and then …


5. Test the IdeaOnce ideas have been generated it may be apparent that they are not the complete picture or not as great as first thought. However, the best way to test these is to expose them to a trusted judicious few. This may seem a bit of a threat. After all, we may not feel like sharing ideas with others (hence the word ‘trusted’) and we may be afraid of them being shot down in flames (hence the word ‘trusted’).What is most interesting is that a good seed of an idea will generate more flesh from those who encounter it. So, our idea will benefit from the wisdom and experience of others and grow as they add their ideas to it. The idea expands into opportunities and possibilities that we may have overlooked.What we end up with is a creative solution, shaped and developed from an idea into a practical solution.

paulo Coelho

on November 7, 2008

By Paulo Coelho


God always offers us a second chance in life.(By the river Piedra I sat Down and Wept

bob sutton/brainstroming

visit bob sutton/brainstroming,will help you understand brainstroming!