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Abstract This article covers the strategic, organizational, and operational decisions involved in one automobile manufacturer's efforts to balance its goals of productivity and high quality with the more elusive goal of environmental responsibility. The case material is based on the real‐life experiences of Honda of America's two manufacturing plants in East Liberty and Marysville, Ohio. The case unfolds as the environmental manager in charge of the two plants faces the pending visit of her corporate boss from Tokyo, who has made it clear that environmental issues are of growing importance in Honda's overall direction. ISO 14000, the new environmental quality standards being adopted by some other manufacturers, serves as a focusing issue for the environmental manager's thinking, but this issue is really representative of a wider challenge facing the Ohio plants: balancing Honda's core mission of producing the best cars at the lowest cost possible, and being a responsible actor in the environmental arena. Complicating this challenge, the environmental manager has to negotiate another tension common in global manufacturing firms today: balancing the influence of Honda's corporate headquarters in Japan with the local and regional context at its American plant sites.
Maxwell et al. (Tue,) studied this question.