Toyota Plans More Testing.. A Little Late

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By Douglas A. McIntyre Published
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The Wall Street Journal reports that Toyota (TM) will probably become more aggressive as it tests its cars for quality in the future. That may be of little comfort to people who bought one of the eight million cars that have been recalled or one of the 2010 Prius hybrid models that seem to have brake problems.

Companies with consumer confidence trouble have an odd way of trying to reassuring the public after major quality problems occur.

Toyota has fallen into the trap that firms with product safety issues often do. They announce all the new inspection measures that they plan once it is clear that their earlier inspection methods were no good. This has happened in the meat packing and toy industries in the last two years. It happens in the aviation industry every few years. A plane crashes and the aerospace company that manufactured it asks airline to inspect or replace a part or two.

Toyota may say that as its manufacturing facilities grew over the years to accommodate higher demand its quality review process could not keep up. But, vehicle inspection is no harder than vehicle building. As a matter of fact, it should take less time and effort to look at a car’s quality than it takes to assemble a car with hundreds of parts.

Toyota’s quality inspection problems seem to be no more than simple carelessness.

Douglas A. McIntyre

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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