Toyota Takata
Toyota Takata
Toyota Takata
“Sir, this not just another car, but a car from the veterans, who know
the art and science of car making from the beginning”, the enthusiastic
salesman was trying to impress Mr. Airavata and his wife, who were
closely examining a Toyota car, the recently released Etios model.
“Would you mind telling us the safety features?” Airavata looked into
the eyes of the salesman.
“Yes Sir, the car has all the standard safety features like braking
systems, indicator for not wearing the seat belt, high speed warning
indicator, and most importantly, the airbags which protect the lives of
the occupants in case of a collision. In this car both the front and the
rear seat passengers are provided with the protection of the airbags”.
“Yes, Sir, but the issue has been resolved now, and you can count on
the equipment provided in the car for the safety of the passengers”,
the salesman replied.
“I don’t think so”, muttered Airavata, as he had read about the Toyota
car recall because of the airbag issue. (“Everything You Need to Know
About the Takata Airbag Recall - Consumer Reports News,” 2015.)
Copyright © 2016 Shri Dharmasthala Manjunatheshwara
Research Centre for Management Studies (SDMRCMS),
SDMIMD, Mysore. This case is published as a part of
‘Cases in Management Volume 5 (2016)’ with
ISBN 978-93-83302-22-2
At the same time, the training and education given to the driver have
also been observed to change over the years as per the instructions of
the traffic control authorities in particular, and the government and
the car manufacturing industry in general. The driver apart from
learning how to drive should also be aware of the legal liabilities and
traffic rules, and has to study them as a part of the education while
undergoing training. It is interesting to observe that a car manufacturer
may set up a training center to teach how to drive a car using both the
simulated arrangement as well the actual car. Maruti Suzuki Limited,
for example in India, has set up more than 350 driving schools in
different parts of the country, (http://www.marutisuzuki.com/).
The safety devices, all said and done, must satisfy two conditions if
they have to meet the intended objective of protecting the vehicle
and / or the occupants. These are: (1) the safety gadget or device must
work in a mistake-proof manner exhibiting highest reliability, and (2)
the driver and other occupants are fully aware of such devices and
know the operating conditions. If any trigger is required by the people
inside the car that should happen in the nick of the time, when an
accident occurs. The safety controls can be categorized as (1) devices
that protect in case of a collision, and (2) the devices that give a visual
or audio warning ahead of a dangerous situation. A speed sensor that
warns when the car is running at high speeds, a device that gauges the
distance when reversing a car, or an indicator on the dashboard, when
the fuel tank is getting empty, are all examples of such warning
4 • CASES IN MANAGEMENT
devices, and as such do not provide any protection if the driver ignores
the warnings. On the other hand a properly worn seat belt and an
airbag are expected to provide a protection to the driver so as to
prevent the body of the driver hitting the frontal portion and
succumbing to serious or fatal injuries. Thus the airbag is seen as a
more proactive device that automatically comes to the rescue of the
driver when an accident happens.
But, the fact is, ironically enough, airbags which are supposed to be
protecting the occupants in a car in case of a collision, caused more
damage to the Toyota Company as they failed to protect the
passengers as expected by them, (Keating, 1984). A detailed report
published by http://money.cnn.com/2014/11/20/autos/takata-airbag-
victims/, states that nearly 8 million airbags have now been recalled
by National Highway Traffic Safety Administration, (NHTSA). These
airbags are fitted in the cars manufactured by 14 different automakers,
out of which Honda Company alone accounts for about 5 million cars.
Later, additional health hazards were found with the use of airbags in
the cars. The rapid filling of an airbag results in hearing threshold
shift, making the persons less sensitive to noise because of loss of
sensitivity, as propounded by Rouhana et. al. (1994). The same
CASES IN MANAGEMENT •7
From the literature review, it is clear that the airbags as safety devices
are conceived on a good design and can definitely reduce the impact
of the accident on the driver, particularly in the case of head-on
collision, which is almost sure to cause instantaneous death to the
front seat occupants in a car. Then why they are seen as dangerous is
because they have failed in their operational effectiveness, either in
terms of the timing, or in terms of inadequate inflating. It is essential
that that the airbags should instantaneously open up the moment a
collision happens. This event is triggered by a mechanism that is built
with a sensor that recognizes the impact. Airbag is deployed more
because of deceleration after the hit and not based on speed. Further,
even if the temperature rises beyond a certain limit inside the car or
near the engine, which can be the case after driving for a long distance
in hot weather, the airbag is deployed to minimize the explosion
possibility, and save the occupants from getting burnt, (http://
www.crashforum.info).
From the data related to Figure 1, the following estimates are made:
What is more relevant is to observe how the airbags were able to save
lives, as over a period of 10 years the fatalities came down from 42%
to 36%, (https://crashstats.nhtsa.dot.gov). This improvement is
attributed to the deployment of airbags, though the role of other
safety measures is not discounted.
Takata states that it aims towards total safety system with the safety
of both the persons inside the car as well those outside it, thereby
minimizing the overall impact on the society. Based on their research
and development efforts, the Takata Company is moving towards
developing overall safety solutions, as depicted in Figure 2, which
illustrates both current Takata products and products under
development.
Table1
Automobile manufacturing companies who initiated recalls due
to airbags
Acura General Motors Nissan
Audi Honda Scion
BMW Infiniti Subaru
Chrysler Lexus Toyota
Ferrari Mazda Volkswagen
Ford Mitsubishi Jaguar/Land Rover
Here is the excerpt that shook the car owners and drivers, (Everything
You Need to Know About the Takata Airbag Recall - Consumer Reports
News, 2015).
Airbags are not considered as primary safety devices but are called
supplemental devices. Because they will be fully effective only if:
Ø The driver and the front seat occupants are wearing seat belts
These conditions clearly show that the responsibility of the front seat
occupants including driver is the maximum if they have to derive the
benefit of the airbag. Next comes the effectiveness of the trigger
mechanism which is battery operated, in deploying the airbag in case
an accident occurs. This makes it imperative that the battery is properly
charged and the mechanism is in good condition. Only then the airbag
provides the necessary protection and saves the lives. If these
conditions are not in place, the airbags fail to discharge their duty and
further, may get triggered under false alarm causing more damage to
the occupants.
a) While teaching how to drive, the driving schools should also teach
about the airbags and the necessary instructions to be followed
e) Preferred to have the cost of airbags built into the total cost by
considering the airbags as standard and mandatory safety devices
and not showing them as luxury features
f) Drivers and the front seat occupants should strictly follow the
guidelines issued by the safety authorities.
g) Aged persons and children under the age of 12 years, must avoid
being seated in the front.
All these suggestions indicate that safety to be derived from the safety
features fitted in a car are realized only by collective responsibility of
all concerned and more by the drivers.
Epilogue
Airbags per se are not at all fault if they fail to perform or wrongly
perform. Buyers need to understand the big picture and not to
hold only the manufacturer as responsible for the safety of the
occupants.
Will Mr. Airavata continue to wait for his Toyota car, thinking that
better devices coupled with stringent inspection will be offered to
the customers? Will he shift his choice to another model or make?
Perhaps it is possible to answer these questions by 2019, hoping that
the Takata Company would have completed the replacement of all
the airbags, before or by that time.
CASES IN MANAGEMENT • 19
References
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https://crashstats.nhtsa.dot.gov
http://www.crashforum.info
CASES IN MANAGEMENT • 21
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