"President Sato Firm in Addressing Certification Problems: Focused on Real-World Improvements"
In a remarkable display of corporate responsibility, Toyota Motor Corporation, under the leadership of President Koji Sato and Chairman Akio Toyoda, is addressing significant certification issues that have arisen in their vehicle safety testing and compliance processes. The challenges, which have caused concern among shareholders and the wider automotive industry, have prompted a series of proactive responses aimed at cultural change, technical process integrity, employee engagement, and transparent stakeholder communication.
The certification system in Japan, designed to verify whether a product meets established safety and environmental standards, has been put to the test. Toyota has submitted a third quarterly progress report to the Ministry of Land, Infrastructure, Transport and Tourism (MLIT), detailing ongoing efforts in three key areas: strengthening foundations, monozukuri (manufacturing craftsmanship), and personnel development. This includes intensified dialogue between management and frontline employees, as well as the allocation of resources to remedy issues.
Toyota is taking steps to rebuild trust by reinforcing the importance of certification tests, emphasising their role in ensuring customer safety and transparency in processes such as crash testing and rear visibility compliance. New testing sites and personnel exchanges with Toyota and partners are part of measures to prevent recurrence of problems.
President Sato, who took office in 2023, has been candid about these challenges, emphasising his supportive role for employees navigating this crisis. He advocates a sincere, honest approach to overcoming difficulties and progressing towards future mobility transformation. Chairman Akio Toyoda, addressing shareholders during the 2025 General Shareholders' Meeting, emphasised preparation over speculation and reaffirmed Toyota’s commitment to decarbonization and innovation, even amid these setbacks.
Vice Presidents Hiroki Nakajima and Yoichi Miyazaki also engaged shareholders with updates on cultural reforms aimed at renewing genba culture and improving cooperation with dealerships to mitigate delivery delays and certification lapses. Executive Vice President Hiroki Nakajima assured that Toyota's multi-pathway strategy's range of powertrain options would not be affected by the certification issues.
The General Shareholders' Meeting, held on June 18 at Toyota City, Aichi, saw 4,656 attendees asking questions on various topics, including stakeholder returns, diversity, Toyota's commitment to carmaking, and issues related to model certification applications. Keiko Yanagi, Deputy Chief Officer of the Customer First Promotion Group and a non-executive director at Daihatsu, emphasised the importance of maintaining close communication throughout the investigation.
Chairman Toyoda has taken charge of addressing certification issues within the Toyota Group, a move that was evident in his visit to the genba for a TPS Jishuka session at Daihatsu. Yanagi, who has been present in the genba and participated in TPS Jishuka sessions, has also been actively involved in these efforts. In January, Toyota unveiled a group vision to address certification issues at Hino Motors, Daihatsu, and Toyota Industries Corporation.
In summary, Toyota under President Koji Sato and Chairman Akio Toyoda is proactively addressing certification issues through comprehensive reforms focused on cultural change, technical process integrity, employee engagement, and transparent stakeholder communication, thereby aiming to restore trust and ensure compliance in the coming years.
- The finance department of Toyota Motor Corporation is focusing on rectifying the certification issues, as these challenges have dented the company's reputation and could potentially impact their business operations in the automotive industry.
- To ensure the integrity of their processes and regain stakeholder trust, Toyota is collaborating with industry peers to exchange ideas on manufacturing craftsmanship and personnel development, as part of their efforts towards transparency in testing procedures.
- In light of the certification issues, Toyota's leadership team is championing decarbonization and innovation as a means to reinforce their commitment to the finance sector, while maintaining a focus on delivery delays and certification lapses to prevent recurrence in transportation processes.
