Published on : Jan 09, 2015
The record number of recalls seen by major automakers in the year 2014 has stirred up concerns regarding brand’s reliability in consumer’s eyes, and has raised concerns of higher management of these brands as well. One such example that clearly explains the way higher management is beset by the enormous number of recalls is the concern raised by Honda Motor Co.’s President Takanobu Ito about operations of its suppliers.
Ito has told suppliers that Honda will examine the operations of its suppliers so as to improve safety and quality standards. These remarks have come after Honda agreed to pay a record sum of nearly US$70 million in fines in response to cases of more than 1,700 injuries and deaths related to defects in Honda cars.
The company has also submitted to a stricter approach to quality issues after its failed telling the U.S. government about the warranty claims related with its vehicles. Ito’s time in Honda has seen a disastrous 2014 which was linked to deaths of many people in Honda vehicles, many of which were linked to faulty air bags supplied by Takata Corp., and record number of recalls due to major faults in company’s most popular models.
Takata Chairman Shigehisa Takada has stated that the company is making every effort to find out the root cause behind the defect in air bags which led to abnormal deployment of the bags, leading to emission of metal shards at the passengers. Takata is now giving complete focus to safety and has made this as its first priority.