More on the Lexus Transition to Pure Electric

[maiaramdan]

So you want the 00s boring cars made in this decade instead of enthusiast cars copying the 70s to late 90s passion to drive Toyota

Let's have a look in transition of how TMC changed

Take a look at the current Camry materials vs the 2010
This is not alone the RAV4 , God even the Corolla and Yaris

Take a look about how TMC was behind everyone in infotainment and in car tech and now they're from the top runner

Take a look about the LFA, LC, NX, Supra, 86 and returning of Venza among a lot other


And regarding LEXUS losses the top title in USofA , please take a look about how many they gain in EU and China Lexus with this pace may reach 1 Mil unit by the end of this decade which is amazing improvement over 200k to 300k mostly in USA and NA now you have 700k to 800k world wide

 

[Levi]

I disagree, as many past & present Lexus vehicles have been on the downslope since Akio took helm in 2009 & his overall shortsightedness & erratic product planning is what helped end Lexus supremacy in the U.S. luxury car market & is also why Lexus has fallen short of winning the annual U.S. luxury sales race in over a decade.

Changing management takes a long time, in Toyota's case more than a decade. It takes time to set a good base. There are many business examples. On the other hand there are examples of what Toyota would be today without Akio, namely Nissan, GM, Fiat (then FCA, now Stellantis).

 

[LarryT]

So you want the 20s boring cars made in this decade instead of enthusiast cars copying the 70s to late 90s passion to drive Toyota

No, I want competitive vehicles with up to date technology & features which exhibit that of a luxury branded vehicle/marque, not underwhelming, antiquated products which don't reflect the times.

Take a look about how TMC was behind everyone in infotainment and in car tech and now they're from the top runner

Most vehicle industry & technology experts disagree with your sentiment.

Let's have a look in transition of how TMC changed

Take a look at the current Camry materials vs the 2010
This is not alone the RAV4 , God even the Corolla and Yaris

Take a look about the LFA, LC, NX, Supra, 86 and returning of Venza among a lot other

And regarding LEXUS losses the top title in USofA , please at a look about how many they gain in EU and China Lexus with this pace may reach 1 Mil unit by the end of this decade which is amazing improvement over 200k to 300k mostly in USA and NA now you have 700k to 800k world wide

Changing management takes a long time, in Toyota's case more than a decade. It takes time to set a good base. There are many business examples. On the other hand there are examples of what Toyota would be today without Akio, namely Nissan, GM, Fiat (then FCA, now Stellantis).

Respectfully, none of what you both wrote changes the fact that Lexus under Akio Toyota's watch has been stagnate & lackluster, which has in many aspects, hurt the status of the Lexus brand due to poor foresight, planning & decision making on his part.

LEXUS CONFRONTS A MIDLIFE CRISIS WITH AGING SUVS THAT ARE LOSING TO RIVALS​

BY CHESTER DAWSON/BLOOMBERG JAN. 2, 2020 5:30 AM PT​

"Big red bows and the “December to Remember” tagline of year-end Lexus ads have become as much a part of the holiday season as lawn ornaments and tacky sweaters. But the upscale brand had less to celebrate last year in the U.S., with sales flat and few new vehicles to showcase.

Thirty years after its debut shocked established German automakers, demand for Toyota Motor Corp.’s luxury brand has stalled, with sales on track to trail BMW AG and Daimler AG’s Mercedes-Benz. Once the unquestioned leader of the pack, it hasn’t taken the top slot in the U.S. since 2010. Its market share of 13% is down from a peak of 18.2% a decade ago, according to car-shopping researcher Edmunds.

Lexus’s 30th anniversary brake-tap is a reflection of its aging vehicle lineup, increased competition and an inability to keep pace with American buyers’ growing demand for larger sport utility vehicles. Two of its SUVs haven’t undergone a full model change in a decade, and the addition of a cramped three-row option to its popular RX model in late 2017 hasn’t won over as many cross-shoppers as hoped.

“Lexus has lost some of its luster,” said Jake Fisher, senior director of auto testing at Consumer Reports."

“It’s definitely been a slow time for the brand, and that’s what happens when you don’t have product to talk about,” said Kevin Watts, editor of the influential fan blog Lexus Enthusiast." 😁


https://www.latimes.com/business/story/2020-01-02/lexus-midlife-crisis

 

[NXracer]

I came across this very interesting read on the ongoing power struggle within TMC.

From this article, the December 14 press event really was a surprise move by Akio Toyoda and his inner circle of loyalists. Most of the company's management were NOT aware of the sudden change in strategy until the event was announced, and are suspecting the financial feasibility of the plan.

To be fair they have a really good point. I just pointed out in another thread that TMC will be releasing at least 7 products per year with the new EV plan. That is really risky and could bring the company down if the execution is not perfect.

https://gendai.ismedia.jp/articles/-/92128?page=4

You can use deepl, very good AI translation software. The article claims TMC is "collapsing from the middle level" due to Akio Toyoda's erratic behavior and despotic rule. His certain western style reforms like flat organization, performance-based promotion, and emphasis on accelerating career of young talents is causing a lot of middle management to leave the company. Many of them fear speaking out seeing the "old guards" getting purged because they disagree with the big boss. There is a lot going on in the company and this really is a historic moment for the world's biggest car company.

On one hand you can call Akio a charismatic leader (especially from a western point of view) but on the other hand he is just too brash for a historically conservative company.

I only have one question, how did Akio Toyoda have this many near production level concepts ready programs hidden from the company's middle management? Is their another secret test facility that he and his inner circle have keys to?

 

[ssun30]

I only have one question, how did Akio Toyoda have this many near production level concepts ready programs hidden from the company's middle management? Is their another secret test facility that he and his inner circle have keys to?

The way he purged the company is handpicking loyalists to key positions responsible for classified projects and assigning those opposing him to desk jobs that will never see the factory floor or design studio. It's not hard to hide something away from those who stare at a computer screen all day.

I think eventually he wants to completely break down the typical hierarchical department structure into individual 'project teams' with team leaders reporting directly to upper management. In this case the article is correct that TMC's 'middle level is collapsing'. I'm doubtful whether this idealistic 'lean and flat' structure would work for such a huge corporation. But we know for sure the traditional structure of a Japanese corporation does not work.

 

[Smychavo]

So it appears that Akio is attempting to restructure the company according to his ambitions. So far with the projects he's had a part in have been quite successful, particularly GR, and its recent sports cars. Suppose that was enough of a confidence boost for him to continue on with the rest of the company, and one could only hope that things go well with his plans for electrification. For now though, the latest products to have come out are the most compelling they've been in awhile, so to me that's a pretty good indicator that we're on the uptick this decade.

 

[Levi]

We don't know if Akio's actions are erratic or not. We do not know if he does all this alone or with some close partners. It only looks "erratic" to outsiders that don't know what is going on behind the curtains. And "flat hierarchy" does not mean literally flat and that there is no hiearchy at all. In most cases it means direct and independent communication between any of the pyramid layers, or a widespread pyramid with less layers.