Marketing Audit Toyota

Executive Summary Toyota manufactures vehicles for sale worldwide. In fact, the company operates in more than 30 countries. This study explores the German auto market in view of introducing the ME.WE Customizable Concept Car. In this paper, analysis of the product and the market is covered in order to give feasible recommendations to the company.Advertising We will write a custom essay sample on Marketing Audit: Toyota specifically for you for only $16.05 $11/page Learn More Introduction Toyota Motor Corporation is among the renowned leaders in auto manufacturing globally. The company is highly innovative with the introduction of new products whenever a competitor brings another in the market. This is achieved by ensuring that there is a strategic plan that facilitates the achievement of the set goals. The company intends to introduce the ME.WE Customizable Concept Car in the market. According to the company reports, this necessitates the development of a marketing plan. The Company Overview History The founder known as Toyoda Sakichi established this corporation. In fact, Toyoda entered the automotive industry in the financial year 1920s after touring US and Europe. He invested 100,000 pounds to start up the company. In Japan, the company has more than 40 percent market share. In the fiscal 2000, it delivered its 10-millionth vehicle to Germany hence becoming the company of choice for the European countries’ customers (Toyota, 2013). Mission The company’s mission is to direct the prospect of mobility as well as to enhance lives globally through the most secure and dependable ways. Vision The company will meet the demanding goals of the clients through the engagement of the abilities and enthusiasm of individuals who trust that there is always a superior approach (Toyota Global, 2013). Main Body According to Baldwin and Laban (1987), it is important for any business company to develop and implement a strategic plan be fore its launch. The plan regards how the company will market its product and services successfully for the profitability as well as to generate returns on investment. A marketing plan that is well created and outlined is similarly imperative. Before any business is launched, every organization or entrepreneur carries out these precautions. In this respect, Toyota, which is a company with global reach, has not been left behind. The precautions have been taken since the launch of the company to-date through effective marketing of the model. By marketing the entire Toyota brand the company finds it relatively easy to market specific car models given that it has establish itself worldwide as a company of choice for most consumers not only in Japan, but also in the US and European countries specifically Germany.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More In fact, Germans are among the high est purchasers of Toyota models despite the country having globally known auto companies such as Audi, Bavaria Motor Works, Ford, Opel, Porsche and Volkswagen. Toyota is famous for introducing new models whenever they are ready. In most instances, it withholds new products until a rival company has introduced another product in the market to stay ahead of competition through disruptive innovation. Among the disruptive innovation introduced by Toyota in the recent times is the ME.WE Customizable Concept Car. The move did not come as a surprise. In January 2013, Ford sold the highest number of hybrid automobiles than the previous year. Volkswagen, Renault, Honda and other manufacturers continue to introduce hybrid vehicles to water down the dominance of Toyota’s hybrid Prius. Other companies such as Chevrolet introduced Chevy Volt that is an auto with electric technology, astonishing fuel efficiency and performance. Nissan introduced the all-electric plug-in Leaf (Tuttle, 2013) . The entire platform changed with Renault introducing the first concept car and Duster from Romania brand (Ramsey, 2013). The new concept car provoked Toyota to announce the release of its ME.WE Customizable Concept Car. Toyota’s move again did not surprise the automobile industry. By marketing the Toyota ME.WE, the company will lay the foundations for vigorous market activities and objectives that will not be difficult to accomplish (Londre, 2009). Typically, the company carries out the prevailing market position auditing. At the same time, the company develops and subsequently implements the contemporarily achievable goals. These are attainable through: The generation of product SWOT analysis Conducting customer analysis Conducting competitor and stakeholder analysis Gathering, analyzing and evaluation of data through market research Putting in place the company objectives including the market penetration model, growth and profitability Putting in place the goals of the m arket including the potential market share, and opportunities Timely and effective implementation of marketing plan Utilizing evaluations to improve marketing efforts (Turkus, 2013) Product Analysis SWOT Analysis The Toyota ME.WE Concept is an innovative automobile manufactured by Toyota. It is among the latest in the vehicle design philosophy. The vehicle is designed to operate in cities, is convertible, a 4Ãâ€"4 and a pick-up. The car is defined by the innovator named Jean-Marie Massaud as ‘anti-excess’. It utilizes innovative materials including bamboo and lightweight Polypropylene (Ross, 2013). Product Strengths The car has a tubular aluminum formation. The lightweight polypropylene panels are fitted on the formation. The materials are durable and easy to maintain. The material will act as buffers in the incidence of a collision (McManus, 2013). The car utilizes the in-wheel electric wheels resulting into the capacity to change from a 2-wheel to a 4-wheel. The who le interior can be assigned to passengers or goods.Advertising We will write a custom essay sample on Marketing Audit: Toyota specifically for you for only $16.05 $11/page Learn More The rear seat is foldable to be stowed under the front seat. It can also be completely taken away for use as a picnic bench. When the owner requires additional room, the weatherproof foldout cover can be slid in and the rear deck extended. By using bamboo for the floor, the company increases the chances for survival in the currently environmentally sensitive consumer market. Product Weaknesses On the other hand, the use of bamboo to make the floor surface presents a weakness of the product. Consumers who are material oriented may consider the fate of the car upon catching fire. That is, the bamboo can easily burn. Product Opportunities The economic statuses of many people demand that they utilize as little money as possible to perform many activities. The car can be used fo r different purposes in different terrains. This increases the chances of people purchasing the car. Additionally, there is a growing automobile market in the new and existing markets. Product Threats One of the main threats facing Toyota ME.WE car is the existence of other concept cars developed by rivals. The consumers may prefer other models to the new and innovative ME.WE car. There is also the threat of new entrants with better concept cars at lower prices. Toyota SWOT In order to analyze whether the product will be successful in the market or not, it is important to conduct a SWOT analysis of Toyota to establish if the company has the capacity to effectively market the product in the competitive market and gain competitive edge over similar concept vehicles (USDA 2009). Strength Weaknesses Strong market position and recognition Strong focus on research and development Extensive production and supply chain Product recalls Declining sales in key markets Deprived resou rce allocation Opportunities Threats Increasing global vehicle industry Growing partnership with BMW Strong global new vehicle market Extreme competition Appreciating Japanese Yen Severe environment regulations Natural disasters Strengths Strong market position and recognition The company enjoys a strong market position in key markets globally. The market share for the company in the financial year 2012 in the Japanese market was over 45 percent with the exclusion of mini vehicles. In North America, the company has over 12 percent market share and over 13 percent in Asia. The strong market position presents the company with unchallenged competitive advantage. Thus, the consumers will easily associate with the WE.ME car. Strong focus on research and development The company invests heavily in its research and development. This has helped the company to expand its product portfolio. It has improved the functionality, features, security and environmental compliance of i ts products by creating a strong brand. The concept car has been studied well by the research team considering the many features integrated to meet the needs of the user.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Extensive production and supply chain The company has over 50 manufacturing plants in twenty-seven countries with elaborate distribution channels. Once the concept car is launched, customers will easily access it for viewing and buying. Weaknesses Product recalls The company in the recent years has recalled a variety of products. As a result, this has affected the brand image (Medeiros, 2007). In fact, the potential buyers may be guarded while buying the concept car for fear that it may be defective. Thus, it may take the company several years for customers to develop enough confidence to buy the car. Declining sales In the FY2012, Toyota experienced declining sales in the leading markets in N. America, Europe and Asia. This may be due to the loss in confidence in the company products and the availability of alternative products. The same fate may befall the concept car as prospected in the marketing plan. Opportunities Increasing global vehicle industry The industry has been growin g in the recent years. The industry performance is bound to hasten thus creating a market share for the concept car. Besides, new markets are opening up in Africa, Asia and other emerging economies. Growing partnership with BMW The company signed a memorandum of understanding with BMW in 2012 as a long-term strategic technological cooperation (Marketline, 2013). This increases the chances for further advancement of the concept car. Additionally, there will be synergy in marketing the car. Threats Intense competition The industry is very competitive. This accrues from the fact that there are competitors in a variety of markets. The existence and entrance of other concept cars may threaten the sale of Toyota’s concept car. The car may be threatened by pricing that is yet to be analyzed, tagged as well as the reliability that will be determined by time. Customer Analysis Target Market The concept car will be availed in the German market. This will occur after considerations that the Germany economy is performing considerably well and the company already has a wide customer base. It has a good percentage of loyal customers. Toyota enjoys a significant market share in the German market. The collaboration with BMW will ease access to many German locations in addition to the existing Toyota outlets. Germans are popular for buying Toyota products in volumes due to the loyalty established. Competitor Analysis Existing products Currently, concept cars do not exist in the German market. In any case, few companies have managed to manufacture the cars. Benefits or features Concept cars manufactured by other companies do not have as comprehensive and advanced technology as found in the Toyota’s concept car (Desmond, 2013). They typically have partial electric supply of energy and are not extendable to pick-ups. However, ME.WE is fully electric and multipurpose (Adam, 2013). Size of competitors Competitors such as Audi and BMW are considerably big and financial ly endowed. However, the collaboration with BMW eliminates one aspect of the threat. Additionally, Audi has not indicated its intention to compete in Germany through concept cars. Market share Competitors have small market share in the German market with regard to concept cars. None of the competitors has managed to penetrate the market. Reaction to entry Companies such as Audi and Ford are likely to employ disruptive invention to regulate Toyota’s penetration with a new product. Conclusion Gaps identified In the German auto industry, older models of vehicles seemingly dominate the market. The existence of leading competitors poses a challenge for Toyota to conduct comprehensive market research. The introduction of the concept car that has not been sold anywhere else will be challenging. Overall strategic approach Toyota should develop a marketing plan that is accurate and attainable. It should then implement the plan and make appropriate reviews when necessary. The company s hould develop marketing strategies that are different from those employed in other models. Recommendations Toyota should devise a promotion plan for successful entry into the German market by building brand awareness. The existing reputation should be maintained if not enhanced. The company should further increase investment in market research to develop the correct image in the market. When pricing the concept car, competitive pricing should be given a priority to enable the company to enter successfully in the market. Since the company has a reputable brand name in the German market, it should ensure that it uses the name alongside ME.WE to ensure that customers can easily associate the concept car with the company. References Adam, B. 2013, Is Toyota’s endlessly customizable Me.We concept the car of the future?. Web. Baldwin, N. Laban, B. 1987, ‘The world guide to automobile manufacturers,’ Facts on File, vol.1 no.2, pp. 43-44. Desmond, M. 2013, ‘High-c oncept cars,’ Journal of Technology, vol. 2, no.1, pp. 81-82. Londre, L. S. 2009, Marketing, IMC, advertising, promotion, media and more, Wiley Sons Perth, Australia. Marketline 2013, ‘Toyota motor corporation’, Data monitor Business, vol. 2 no. 2, pp.1-11. McManus, W. 2013, Toyota ME.WE concept unveiled. Web. Medeiros, J. 2007, Toyota Motor Corporation: strategic analysis. Web. Ramsey, J. 2013, Renault twin Z concept revealed, twingo replacement takes shape. Web. Ross, J. 2013, Toyota Me.We concept is a multifunction Tupperware car. Web. Toyota 2013, Concept cars. Web. Toyota 2013, The history of Toyota – at a glance. Web. Toyota Global 2013, Corporate governance. Web. Turkus, B. 2013, Renault promises new concept car and Dacia Duster in Frankfurt. Web. Tuttle, B. 2013, Hybrid-car competition heats up: does the Toyota Prius finally have a worthy challenger?. Web. USDA 2009. SWOT Analysis: a tool for making better business decisions, Routledge, Perth, Aus tralia. This essay on Marketing Audit: Toyota was written and submitted by user Emery Yang to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Changing Landscape of Linear Broadcast TV Channels

Changing Landscape of Linear Broadcast TV Channels s, it has been specifically emphasized over the latest readings and latest marketing responses of the consumer. The approach has been specifically initiated to offer an upgrade research over the concerned topic. Research Question The research is a practical approach in understanding the derivative consequences of IP TV with on-demand content as a part of developmental structure of achieving broadcasting preferences. The roles of advertising strategies and marketing options are very much integral to the study process. The research has been initiated on the basis of following questions: What is the current value chain of IP TV with on-demand content? What are the basic features for the attainment of progression of IP TV with on-demand content in TV industry? How can one identify the competitive modes faced within the ranges of IP TV with on-demand content? What is the role of advertisements and commercialised persuasion of programs in the development of profit margins in this business? Research Design The research design will follow quantitative research methodology. Under this proceeding relevant modes of interviews and questionnaire distributions proceedings will be initiated. There will be two modes of collecting data. The first will be initiated through distribution of questionnaires among selected samples of consumers from different age groups. This will further get followed by some exclusive interviews from some professionals from relevant fields. The data collected from the questionnaires will be based on the speculative aspects of understanding consumer demands and their preferences regarding the technological assistances offered in the field of TV watching. F added by this mode there will be the provision for interviews too. From the relevant field of TV marketing and technology survey providers; 5 to 7 people will be selected for exclusive interviews related to the stand point of role of IP TV with on-demand content in present consumer market. These interviews will also be the base for understanding consumer demands and the modes to supply the same. The findings will be based on the collected data from the questionnaires and the interviews. The collected data will be analysed as per chi-square analysis and the status of the hypothesis will be analysed thereby. Every proceeding will be done from practical field of analysis and thus the entire data collecting mode will based on statistical derivations. There will be an expected hypothesis and through chi-square this hypothesis will be investigate to get the current mode of understanding the status of IP TV with on-demand content and the related concerns for its developments. Latest investigatory bases will be the basics for understanding the current trends and assessments related to the IP TV with on-demand content among the small selected sample in a particular region. Managing Your Dissertation The process to manage the dissertation will follow strict deadlines and very systematic persuasion of research methodology. The quantitative research methodology and the readings will be the core base for deriving practical and theioretical aspects related to the subject. Collection of data and meeting the primary sources will be initiated with proper understanding of secondary sources.

Nursing EBP Clinical Protocol & Pilot Study Essay

Nursing EBP Clinical Protocol & Pilot Study - Essay Example 2002). All but one study did show a reduction in length of stay and increased range of motion for patients that used CPM short term. A pilot study will be initiated to test the following protocol which is written based on the evidence from literature review. These results will be reported and that report will help initiate and evidence based protocol for full time use. Permission will be sought from those involved as well as senior staff and physicians. The goal of the protocol would be to use CPM for initial knee flexion but to increase PT rapidly, decreasing use of CPM as research shows that CMP only has a short term advantage and PT has a long term advantage. The aim of the pilot study is to test the protocol that is recommended at this time to assure that it works well and produces good quality results for the patient as well as a reduction in the patients length of stay. At the same time, documentation recommendations as well as pain tolerance and post op bleeding will be analyzed. The pilot study will be carried out on the orthopedic floor. This will be discussed first with the orthopedic surgeons and then with the nursing management at the hospital that is responsible for this floor (Vincent & Chapman et.al. 2000).. Once the evidence base is explained and it is cleared, patients will be permitted as needed for the pilot, assuring that they understand the new protocol. Nurses on the floor will be educated and ten patients will be chosen for the pilot. Those patients will need to be post operative knee with the need for CPM use and as few other co-morbidities as possible. For example, we do not want to include someone that is prone to infection because the likelihood is that the infection would skew the data collected. The results of the pilot will be studied to assure that there is improvement in cost, quality and length of stay. The evaluation of the pilot will include physicians, nurses, and nurse administrator. A positive result will mean permanent change of the protocol. Resources Bruun-Olsen, V., Heiberg, K. & Mengshoel, A. (2009). Continuous passive motion as an adjunct to active exercises in early rehabilitation following total knee arthroplasty. Disability and Rehabilitation. 31(4). 277-283. Retrieved from Academic Search Primer. Accession # 35702360. Davies, D., Johnston, W., Beupre, L. (2003). Effect of adjunctive range of motion therapy after primary total knee arthroplasty on the use of health services after hospital discharge.

Comments on ideology, class, structure and agency as used in media Assignment

Comments on ideology, class, structure and agency as used in media studies - Assignment Example The audience of Jeremy Kyle show is a group of people who share the same problem as those presented by the guests. The show offers relief and introduces anxiety by presenting and discussing a problem that the audiences can potentially identify as opposed to guests’ assumptions that the viewers are not familiar with the problems. In other words, specialist guests represent the voice of audience’s own commentary, which is unexpressed, creating a sense of superiority being and viewer’s ideology continually reaffirmed and articulated (Barwise & Gordon, 2002 p207). Therefore, it is evident that both the programme and its viewers share common ideological message. I feel that sponsorship and advertising of this Jeremy Kyle show undermines the programme’s message. The sponsors of this programme and its adverts claim that it helps to counsel and rehabilitate couples (guests) yet its ideological stance that is primarily violence and sex, is what is used to reaffirm its moral codes and maintain its audience. According to Kyle, failure of women to attend to their domestic duties and abstinent with a child-bearing role, and men’s failure to use sexual protection method and contraceptives is the source of their problems. Other programmes that share the same ideological message with Jeremy Kyle show include the Jerry Springer Show, Ricky Lake Show and Trisha Goddard Television talk show (Barwise & Gordon, 2002

Olympic Foods, a Processor of Frozen Foods Essay Example for Free

Olympic Foods, a Processor of Frozen Foods Essay Over time, the costs of processing go down because as organizations learn how to do things better, they become more efficient. In color film processing, for example, the cost of a 3-by-5-inch print fell from 50 cents for five-day service in 1970 to 20 cents for one-day service in 1984. The same principle applies to the processing of food. And since Olympic Foods will soon celebrate its 25th birthday, we can expect that our long experience will enable us to minimize costs and thus maximize profits. The Olympic Foods tries to convince its stockholders through its annual report that it can increase profits as it has long experience. This is supported by comparing with a color film industry in which, the cost of a 3-by-5-inch print feel from 50 cents for five-day service in 1970 to 20 cents for one-day service in 1984. This argument makes some assumptions which is not supported with evidences. The Olympic Foods wrongly compares itself with a color film processing industry. The techniques and environment applicable to the color film processing industry may not be applicable to the food processing industry. What applies to a color film may not apply to food. For example, irrespective of the company’s experience, the time taken for a food to ferment would not change significantly. Just the 25 years of experience cannot be mentioned as a reason for increased profits. Other factors such as climate, market competition would also affect the profit of a company. With all such factors taken into consideration, if it can be proved that experience helps in reducing costs and maximizing profits, the argument would be strengthened. Since the argument misses several key issues, it is not very sound. If it included the points discussed above, the argument could have been thorough and more convincing.

Online Dating Essay -- Internet Date Singles

A Brief History of Courtship "Courtship takes many forms, depending mainly on the point in history and the culture in which it exists" (Cate, 1992) Many popular love songs claim that being in love is similar to being under a magical spell. Some state that "all you need is love," and still others affirm that "love lifts us up where we belong." People dream about finding their one and only soul mate, and in this day and age, the pursuit for love and happiness is closer to home than ever before......in fact, it's only a mouse-click away. Of course, dating hasn't always been so convenient. In the early 19th Century, marriages were arranged with little emphasis on romance or love. Marriage itself was considered to be an economic union, and without a good family name and large plot of land, it was difficult for anyone to find a suitor. Colonel Fitzwilliam says it best in the 1813 novel Pride and Prejudice, stating, "there are not many in my rank of life who can afford to marry without a great deal of attention to money" (Austen, 1995). In the late 1800s, romantic love moved into the spotlight, and courtship became the norm; although, this custom was not without its rules and regulations. A great deal of etiquette was employed when arranging the details of a date, and oftentimes, this event was set to take place inside the female's home. "Parlor dates" were very popular, and by opening up one's home, the woman was able to display her homemaking skills -- an area of expertise that was highly valued by the male community. During the early 20th Century, courtship began to take place outside of the home, and although the strict formalities of the dating game were generally loosened, many new conventions were impose... ....N. (2001). Self-disclosure in computer-mediated communication: The role of self-awareness and visual anonymity. European Journal of Social Psychology, 11, 191-204. Scharlott, B.W. and Christ, W.G. (1995). Overcoming relationship-initiation barriers: The impact of a computer-dating system on sex role, shyness, and appearance inhibitions. Computer in Human Behavior, 11, 191-204. Sproull, L. and Kiesler, S. (1986). Reducing social context cues: Electronic mail in organizational communication. Management Science, 32, 1492-1512. Stanley, T. (2006). Online Dating Sites get Stood up by Consumers. Advertising Age, 77, 10. Turkle, S. (1995). Life on the Screen: Identity in the age of the Internet. London: Weidenfeld and Nicolson. Whitty, M. and Carr, A. (2006). Cyberspace Romance: The Psychology of Online Relationships. New York, New York: Palgrave MacMillan.

Organizational Justice Essay

It has been argued that if organizational decisions and managerial actions are deemed unfair or unjust, the affected employees experience feelings of anger, outrage and resentment; There is also evidence that disgruntled employees retaliate to Organizational Injustice, directly: e.g., by theft, vandalism and sabotage or indirectly by withdrawal and resistance behavior. Engaging in socially responsible behavior has been a great concern to leaders of Today’s organizations. Here again, OB specialists have sought to explain this behavior, and their efforts will be outlined in this research. As a subject of philosophical interest, the study of justice dates back to the times of Plato and Socrates (Ryan, 1993). However, research on organizational justice started with Adams’ work on equity theory (Adams, 1963, 1965) and has progressed steadily over time. Greenberg (1990b) explained organizational justice as a literature â€Å"grown around attempts to describe and explain the role of fairness as a consideration in the workplace. Adams’ work led to a research period concentrating on fairness of pay or outcomes at work place (Deutsch, 1985). In other words, the equity theory emphasized the perceived fairness of outcomes, i.e., distributive fairness. Equity theory is based on the notions of relative deprivation and social comparison. Individuals in organizations are expected to compare their own input to output ratio to the ratio of a referent who could be the self considered at another point of time or others in the past, present, or expected future to determin e the level of fairness. According to equity theory, when compared ratios are not equal, the individuals may perceive inequity and so may involve in behaviors meant to restore the cognitive perception of equality (they may modify their effort, or change their perceptions of inputs or outcomes). However, the focus of this research shifted to procedural justice: the perceived fairness of the process by which outcomes are determined /arrived at, because of inability of equity theory and distributive justice models to fully predict and explain peoples’ reactions to perceived injustice. This shift expanded the study of distributive justice, since research findings revealed that distribution of rewards was not always as important to individuals as the process by which they were allocated. Organizational justice refers to â€Å"the just and ethical treatment of individuals within an Organization† organizational justice is â€Å"the term commonly used by organizational psychologists to refer to the just and fair manner in which organizations treat their employees†. The dictionary defines the word Justice as fairness (Popular Oxford New-Age Primary School Dictionary). However, in daily life, the term justice is used to mean â€Å"oughtness† or â€Å"righteousness†. In organizational sciences research, justice is considered to be socially constructed which means that an act is considered to be just if it is perceived so by the individuals on the basis of empirical research. Corporate Social Responsibility, the forms it takes, and the nature of the relationship between responsible behavior and financial profitability. Corporate social responsibility refers to business practices that adhere to ethical values, that comply with legal requirements, and that promote the betterment of individuals and the community at large. It’s most popular forms include making charitable contributions to the community, preserving the environment, investing in a socially responsible manner, and promoting the welfare of employees. Generally, research shows that socially responsible companies tend to be more profitable than companies that are less socially responsible. This reflects the virtuous circle, the tendency for successful companies to be socially responsible because they can afford to do so, which in turn, helps their chances of being even more financially successful. Organizational Justice: Fairness Matters Suppose you received a failing grade in a course. You don’t like it, of course, but can you say that the grade is unfair? To answer this question, you would likely take several things into consideration. For example, does the grade accurately reflect how well you performed in the course? Were your scores added accurately and were they computed in an unbiased fashion? Has the professor treated you in a polite and professional fashion? Finally, has the professor communicated the grading process to you adequately? In judging how fairly you have been treated, questions such as these are likely to be raised—and your answers are likely to have a considerable impact on how you feel about your grade, the professor, and even the school as a whole. Moreover, they are likely to have a profound effect on how you respond, such as whether you quietly accept the grade, complain about it to someone, or even quit school entirely. Although this example involves you as a student, the same considerations are likely to arise in the workplace. In that context, instead of talking about grades from professors, concerns about justice may take analogous forms. Does your salary reflect your work accomplishments? How was your performance evaluation determined? Were you treated with dignity and respect by your boss? Were you given important job information in a thorough and timely manner? Matters such as these are relevant to organizational justice—the study of people’s perceptions of fairness in organizations. My discussion of organizational justice focuses on three key areas—the major forms of organizational justice, the relationships between these forms, and suggestions for promoting justice in organizations. Forms of Organizational Justice and Their Effects The idea that justice is a multifaceted concept follows from the variety of questions just raised, everything from how much you get paid to how well you are treated by your boss. Organizational justice takes the four different forms identified here. Each of these forms of justice has been found to have different effects in organizations. Distributive Justice. On the job, people are concerned with getting their â€Å"fair share† of resources. We all want to be paid fairly for the work we do and we want to be adequately recognized for our efforts and any special contributions we bring to the job. Distributive justice is the form of organizational justice that focuses on people’s beliefs that they have received fair amounts of valued work-related outcomes (e.g., pay, recognition, etc.). For example, workers consider the formal appraisals of their performance to be fair to the extent that these ratings are based on their actual level of performance (for an example, People who believe that they have been ill-treated on the job tend to experience high levels of stress and also feel dissatisfied with their jobs and the companies in which they work. Feelings of distributive justice can have a great impact on people’s motivation to perform their jobs.) A recent study provides good insight into this proces s. Researchers conducting this investigation compared two groups of workers with respect to their feelings about distributive justice: a group of local workers from Singapore and a group of foreign workers, Chinese people who worked in Singapore. In this setting, foreign workers tend not to be paid commensurate with their skills. Not surprisingly, the foreign workers expressed higher levels of distributive injustice and were less productive on their jobs. Because they received less, they did less, as distributive justice dictates. These findings are illustrative of many that demonstrate people’s keen sensitivity to their perceptions of the fairness by which resources are distributed on the job. In general, the more people believe that their rewards (e.g., pay, work assignments) are distributed in a fair manner; the more satisfied they are with them. Procedural justice – refers to people’s perceptions of the fairness of the procedures used to determine the outcomes they receive. Again, let’s consider as an example the formal appraisals of an individual’s job performance. Workers consider such ratings to be fair to the extent that certain procedure were followed, such as when raters were believed to be familiar with their work and when they believed that the standards used to judge them were applied to everyone equally. Interpersonal justice – People’s perceptions of the fairness of the manner in which they are treated by others (usually, authority figures). Imagine that you were just laid off from your job. You’re not happy about it, of course, but suppose that your boss explains this situation to you in a manner that takes some of the sting out of it. Although your boss cannot do anything about this high-level corporate decision, he or she is very sensitive to the harm this causes you and expresses concern for you in a highly sensitive and caring manner. Research has shown that people experiencing situations such as this tend to accept their layoffs as being fair and hold positive feelings about their supervisors. Importantly, such individuals are less inclined to sue their former companies on the grounds of wrongful termination than those who believe they were treated in an opposite manner—that is, an insensitive and disrespectful fashion. The type of justice demonstrated in this example is known as interpersonal justice. This refers to people’s perceptions of the fairness of the manner in which they are treated by others (typically, authority figures). Informational justice – People’s perceptions of the fairness of the information used as the basis for making a decision. Outcomes (as in the case of distributive justice), but leads them to reject the entire system as unfair. Procedural justice affects people’s tendencies to follow organizational rules: Workers are not inclined to follow an organization’s rules when they have reason to believe that its procedures are inherently unfair. And, of course, when this occurs, serious problems are likely to arise. Accordingly, everyone in an organization especially top official—would be well advised to adhere to the criteria for promoting procedural justice summarized in this research. Informational Justice – Imagine that you are a heavy smoker of cigarettes and learn that your company has just imposed a smoking ban. Although you may recognize that it’s the right thing to do, you are unhappy about it because the ruling forces you to change your behavior and break an addictive habit. Will you accept the smoking ban as fair and do your best to go along with it? Research suggests that you will do so only under certain circumstances—if you are given clear and thorough information about the need for the smoking ban (e.g., the savings to the company and improvements to the health of employees). The form of justice illustrated in this example is known as informational justice. This refers to people’s perceptions of the fairness of the information used as the basis for making a decision. Because detailed information was provided about the basis for implementing the smoking ban, informational justice was high, leading people to accept the fairness of the smoking ban. A key explanation for this phenomenon is that informational justice prompts feelings of being valued by others in an organization. This is known as the group-value explanation of organizational justice. The basic idea is that people believe they are considered an important part of the organization when an organizational official takes the time to explain thoroughly to them the rationale behind a decision. And people experiencing such feelings may be expected to believe that they are being treated in a fair manner. Relationships between Various Forms of Justice Although we have been describing the various forms of organizational justice separately, it would be misleading to assume that they are completely independent of one another. In fact, researchers have found some well-established relationships between the various forms of justice. Many different studies have reported that the relationship between outcome favorability and procedural justice takes the form summarized here. Specifically, people’s reactions to favorable outcomes are affected little by the fairness of the procedure, whereas people’s reactions to unfavorable outcomes are enhanced by the use of fair procedures. Same would apply to other outcomes as well, such as pay or recognition on the job.) Now, imagine that your grade either was the result of a simple arithmetic error (i.e., procedural justice was low) or that it was computed in an accurate, unbiased fashion (i.e., procedural justice was high). Generally speaking, you will respond more positively to the fair procedure than the unfair procedure, thinking more favorably of the professor and the school as a whole. (of course, the analogous effect also would apply in organizations.) So far, this is nothing new. Consider, however, what happens when you combine these effects, looking at the overall relationship between the favorability of outcomes together with the fairness of procedures to arrive at those outcomes. This relationship, which takes the interactive form, has been very well established among scientists studying organizational justice. The Preservative connection between Interpersonal Justice and Informational Justice In contrast to the interactive relationship between distributive justice and procedural justice, the relationship between interpersonal justice and informational justice is far simpler. Research has shown that perceptions of justice are enhanced when people explain outcomes using a lot of detail (i.e., when informational justice is high) and also when people explain outcomes in a manner that demonstrates a considerable amount of dignity and respect (i.e., when interpersonal justice is high). What happens when these effects are combined—that is, when information is presented in a manner that is both socially sensitive and highly informative? Research provides a clear answer, the effects are additive, in other words, each of these factors contributes somewhat to people’s perceptions of fairness, but together their effects are magnified. The more interpersonal justice and more informational justice is shown, the more people believe things are fair. This additive relationship between interpersonal justice and informational justice can be very valuable for supervisors to take into account when managing employees. Strategies for Promoting Organizational Justice Treating people fairly on the job surely is a noble objective. Although many people are concerned about being fair for its own sake, of course, there’s also a good practical reason for treating employees fairly. Specifically, individuals who believe they have been unfairly treated in any or all of the ways described respond quite negatively. We know for example, that people who feel unfairly treated are likely to do such things as work less hard, steal from their employers, do poor-quality work, or even quit their jobs altogether and then sue their former employers. Naturally, managers are likely to seek organizational justice to avoid these problems. In addition to minimizing such negative reactions managers also are likely to seek the positive reactions associated with being perceived as fair. For example, fairness has been associated with such desirable behaviors as helping one’s fellow workers and going along with organizational policies. Additional strategies that can be used to promote organizational justice: Promoting organizational justice can be done in several ways. First, it is important to pay workers what they deserve—the â€Å"going rate† for the work done wherever they work. Underpaying workers promotes dissatisfaction, leading to turnover. Second, workers should be given a voice—that is, some input into decisions. This may involve such strategies as holding regular meetings, conducting employee surveys, keeping an â€Å"open door policy,† and using suggestion systems. Third, follow openly fair procedures. Specifically, promote procedural fairness such as by using unbiased, accurate information and applying decision rules consistently. Managers also should openly describe the fair procedures they are using. Fourth, managers should explain decisions thoroughly in a manner demonstrating dignity and respect. Fifth, workers should be trained to be fair, such as by adhering to the principles described in this work.