Adopting Toyota's Methodology via Core Values and On-Site Practices
Toyota's Leadership Embraces Challenges and Tradition
In the face of a rapidly evolving automotive industry, Toyota's new leadership team, headed by Chairman Akio Toyoda and President Koji Sato, is steering the company towards a future that balances innovation and tradition.
At a Japan Automobile Manufacturers Association (JAMA) press conference in March 2021, Akio Toyoda spoke about his sense of duty and love for Japan as one of the country's core industries. He acknowledged that as carmakers, they are well-versed in public opinion, a concept that holds a special significance in Japanese culture. The first kanji in the Japanese term for "public opinion" is said to come from the character mikoshi (輿), meaning portable shrine, and contains the kanji for "car" (車).
The leadership's key challenges and priorities include advancing electrification and vehicle intelligence technologies, addressing operational issues, sustaining and expanding manufacturing capacity in Japan, developing human resources, and reinforcing Toyota's cultural identity.
The team is driving future growth by investing in electrification and vehicle intelligence technologies, responding to shareholder concerns about these areas and emphasizing continuous innovation. They aim to reform workplace culture and strengthen collaboration with dealerships to address operational issues such as certification processes and long delivery times.
Sustaining and expanding manufacturing capacity in Japan is a priority, with plans to establish a new advanced vehicle manufacturing plant. The goal is to create a "plant of the future" that integrates cutting-edge technology and supports a diverse workforce.
Developing human resources and future executive leaders is also a focus, with programs targeting diverse candidates globally to ensure strong leadership continuity. Akio Toyoda's presidency was sustained by his love for cars, Toyota, and Japan, and he feels a sense of responsibility to uphold the expectations of the people who support Toyota, as he carries their expectations.
Akio Toyoda's presidency began during the Global Financial Crisis when the company was in the red. Despite the challenges, he kept fighting to protect Japanese jobs and Toyota's manufacturing foundations. His support during his presidency came from the genba (shop floor workers).
In his 2023 JAMA New Year's address, Akio Toyoda remarked that carmakers "rarely hear words of gratitude" in their home country. However, he continues to face up to the public opinion of Toyota customers, along with dealers and suppliers, and hopes to elevate cars as part of Japanese culture while safeguarding the company’s legacy.
An unnamed shareholder offered encouragement to those on stage, stating that they hope everyone at Toyota will continue to do their best for the sake of shareholders and Japan. Akio Toyoda's presidency was not an easy 14 years, as he started out as the president no one wanted. Yet, he has persevered, driven by a sense of duty and love for his country and the industry.
- The leadership team, under the guidance of Chairman Akio Toyoda and President Koji Sato, is leveraging finance and business strategies to advance electrification and vehicle intelligence technologies, balancing innovation and tradition in Toyota's rapidly evolving automotive industry.
- Akio Toyoda, during his presidency, emphasized the importance of developing human resources and leaders, establishing programs that target diverse candidates globally, ensuring strong leadership continuity, and upholding the expectations of Toyota's supporters.
