However the Toyota system is based on the group

Toyota turns evil since 2001. "This former Director of the group, Professor to teach the system of production house, to become familiar with the workings of the company. He worked there for several decades and has seen it change. He even warned the leaders of the risk of derailment to which we are witnessing today. His verdict is final. According to him, Toyota moved away from the idea that prevailed at its creation the day where he started in the race for the volumes. You may want to create quality cars, he explained, when the sole purpose of wrests world leader General Motors. Similarly, Kiichiro Toyoda, the founder, did not have in mind, in 1937, to maximize profits as was the case in the 2000's. Finally, the philosophy of the Group has long based on a long term strategy which, when established, was always respected. "It should be neither too accelerate nor too slow, always follow the path", continued the professor.

The breaking point between these two visions of the automotive world was consumed with Hiroshi Okuda, Chairman from 1995 to 1999. He established factories in Europe and the United States to put the number a Japanese at the level of global giants. He is also which sets targets in volume. His error, according to this man, is to have tight production and commercial services at the let the latter take the power and impose more sustained rates. "As the Japan during World War II, Toyota made the mistake of wanting to move forward without taking into account its real forces, those of his men.". Fatal error: for the first time in seventy-one years, Toyota has just completed a year in the red, 436.9 billion yen, or 3.3 billion euros (see page 21).

Quality problems

The crisis of 2009 is unique in that it reveals latent faults in a system which everyone is accommodated as long as growth was there. Worse, it transformed the strong points of weakness yesterday, essentially because they become generators costs. Thus, Toyota has built its reputation on its ability to adapt its models to local needs. The vehicle must be delivered to Texas or Florida The hot and humid climate requires to equip it with more powerful air conditioning and heaters more heavily sized than cars held in Alaska. This 4 4 is for Saudi Arabia It needs a special silencer to avoid not damaged by the sand of the desert. "There was very extensive specifications for cars according to their place of traffic", recalled another former of production. At the time, the Group multiplied references of spare parts. In addition, by seeking to be present on all the segments, Toyota greatly thickened its catalogue of models and now looks from other manufacturers such as Volkswagen, where the standardisation of platforms between different brands of the group is significantly further.

The race for the volumes, it is also shortened development times. "Pre-production" were thus reduced to a minimum, the manufacturer almost directly from design to production. But quality problems occurring these past two years have attracted the attention of the leaders, who initiated a reflection on this subject.

Another point is now passed to screen, one of the divisions marketing, traditionally well developed to keep contact with the ground. Toyota has long attached importance to the proximity with the client, in his view and his impressions. Similarly, he lent an ear to the network and maintenance services. A great way to be alerted on possible defects or maladjustments. The engineers could then change the product through close cooperation between the production, design and marketing in a very short time. "If the problem is serious, the change could be done in a month," recalls this former engineer, still admiring the Toyota tool.

"The company is numbness".

For him, this company was driven to a particular culture more necessarily today be found. "At present, young graduates who are recruited integrate all a renowned firm and manage their individual career.". However the Toyota system is based on the group. "At the time, these young talents less circulate information, are reluctant to take difficult decisions and allow the company to numb in a form of bureaucracy", continues our witness. In 2008, when the price of oil has soared, the competitors immediately focused on smaller vehicles, not Toyota. Also, when the financial crisis occurred, with the settlement of external demand, the good student was hit a second time.

Today, the reversal of the market requires the delivery flat the entire model. "This marks the death of the Toyota system, killed by the abuse of spirit of conquest", summarizes, somewhat abruptly, a manufacturer.

A new boss soon in place

But, although with a knee to the ground, Toyota is still far from being undone. This evening of January 2009, the headquarters of the group, in Tokyo, has an unusual excitement. The surprise, the constructor is to invite the press to announce the change of President. Return to the commands of an heir of the founding family is set in June, date at which Katsuaki Watanabe must give her wheelchair to Akio Toyoda. Even if the family of the founder is present in the capital that at 2, this appointment may mark a new departure. As when Hiroshi Okuda was succeeded by Tatsuro Toyoda, in 1995. But, this time with a different roadmap. Wiser. Forgot the objective of the 10 million vehicles produced in a year. On the contrary, the financial balance should be achieved 7 million. Similarly, the systematic use of temporary workers is abandoned: downsizing, mounted up to 9,000, must return to 3,000. Finally, the Group continues to defer its investment capacity and maintains its plan to reduce costs.

Drastic savings plan

For the current year, the objective is to reduce the expenses of 10, $ 500 billion yen. A good way for Toyota to ask employees to tighten the elbows. Additional hours are scrupulously monitored, and the dinners, a large Japanese sport, forbidden. Also finished first class rail tickets and business flights. Offices, part of the elevators stopped, the lighting is turned off during lunch hour. External events are also reduced to the minimum portion. Launches of new models are no longer in hotels or theaters rented for the occasion, but in places belonging to the group. At the Geneva show, the budget for the press conference has been divided by two.

Leaders summer bonuses are also amputees (60), a measure that will affect some people 8.900. However, unlike its competitor Honda, the giant will not leave formula 1 paddock. But the time is clearly the refocusing, without calling into question major programs of own cars. The mark, which launches in a few days the third generation Prius, is still his battle horse hybrid motorization. But, again, the competition sharpens. Honda has just released its Insight model in an extremely competitive price. Though it will face greater competition, the new President will have injected back confidence in the workings of the company. "When I meet them, Toyota people are more humble than last year," explained a close to the group. "All are the same charge, that of seeing not coming crisis", says another. "Toyota could resist a tsunami of 10 feet, certainly not a 30-foot wave", for its part summarizes Tatsuo Yoshida, UBS analyst. Toyota goes wrong, but the group established in a situation to heal.