ABSTRACT
The measure of entropy or the reversibility of a process determines the best that can be done in converting energy. An example of irreversibility in Toyota Production System is when there is friction between labor and management. Toyota’s approach to screen for certain worker traits bears questioning on the types of worker characteristics needed to keep TPS alive. Toyota’s human resource management practices have been widely benchmarked and studied and are contributed as the primary factors for successfully achieving the TPS. Toyota’s wholly owned transplant companies, such as Toyota Motor Manufacturing Kentucky, have been a point of study in human resource mainly because they have remained nonunion despite several attempts by the United Automotive Workers. Toyota’s compensation program reflects a monopolistic view similar to that of unions mainly because of how the organization values its work-force. Toyota’s approach to high wages, while holding some similarities to Ford, is much more focused on recruiting a certain type of worker.
