This is not the start of Toyota’s revisions to its corporate governance.
To reinvigorate the Board of Directors, Toyota streamlined the number of directors from 27 to 11 in 2011.
In 2013, Toyota appointed Outside Directors to seek advice based on their extensive experience and insights from an independent position.
To promote product and region-centered management, Toyota introduced a system in 2011 where chief officers in charge of regions are, in general, stationed in that region.
In 2016, Toyota changed to the in-house company system, switching from a function base to a product base structure, so that each in-house company president is responsible for everything from vehicle planning to production within their company.
In 2019, Toyota also introduced the senior professional/senior management system. In 2020, the advisor system for retired executives was abolished. Then, in the following year, Toyota reviewed titles such as Vice President and Operating Officer to build a system where work is performed based on roles rather than titles.
*Executives are defined as Senior Managing Officers and higher, while Senior Professionals/Senior Management include Managing Officers, Executive General Managers, and Senior Grade 1 and 2 and Grand Masters.
Toyota has consistently worked to improve governance in step with the changing times.
There has been a shift from an era that required uniformity to mass-produce cars of the same quality to an era that requires diversity to respond flexibly to unforeseen changes.
At this turning point, Toyota is building a system where directors with diverse insight and expertise can all participate in decision-making, shifting its formation as it transitions to a mobility company.