Toshiba Loosens Reins on U.S. Division

Just as U.S. corporations in the 1980s looked to Japan for new ideas on doing business when our economy was struggling, Japanese executives are now looking westward. In the case of Toshiba Corp. that has meant more latitude for the company’s Irvine operations.

Steven Ross, who became general manager of Toshiba America Information Systems Inc.’s computer systems division last summer, said he enjoys more freedom than any of his predecessors.

“There’s a receptiveness to new thinking, given some of the challenges of their economy,” Ross said.

Toshiba also is relying on computer manufacturing and services to lead the way to growth, meaning more resources for operations here, Ross said.

One manifestation of that newfound direction will be an online customer service initiative to be rolled out in January, Ross said. A vendor will be chosen today for the service, which will allow customers to ask questions online, access a detailed engineering database and receive product updates automatically.

Among the finalists, Ross said, are Brightware Inc., 3Si Inc. and Ask Jeeves Inc., which recently signed a customer-support deal with Toshiba rival Dell Computer Corp.

The push into customer service comes at a time when Toshiba is trying to position itself as a company offering a full line of computer hardware, from notebooks to servers. Currently, the company leads the laptop computer market, but has yet to make a big impression in either the desktop or server areas, where Toshiba is a relatively recent entrant.

The company understands that it faces strong competition in virtually every area in which it plans to move, but hopes that its proprietary technologies, strong base in laptop computers and financial muscle will prevail.

The expansion does have limits. The company, still smarting from its move into the consumer desktop computer area two years ago, will not move into retail desktop personal computers, Ross said.

Also, despite the growth in the number of hand-held computers, such as 3Com Corp.’s Palm III, Toshiba has no plans to introduce one in the U.S. because “it’s a little unclear what a viable economic model is right now for those products,” Ross said.

Jonathan Gaw covers technology and electronic commerce for The Times. He can be reached at (714) 966-7818 and at jonathan.gaw@latimes.com.