Shulou(Shulou.com)11/24 Report--

On February 15, Toyota's move to replace its chief executive and launch a new plan for the transformation of electric vehicles shows that the company has finally recognized the reality of the electric vehicle era. As the world's largest traditional carmaker, Toyota first needs a fundamental shift in its mindset to embrace technological transformation and customer acceptance of electric vehicles.

Toyota's accelerated transition to electric cars, the world's largest carmaker, is also a warning to the industry that it is time to fundamentally rethink traditional manufacturing.

Toyota unveiled its latest electric car plan this week. In the future, the company will vigorously promote the electrification of cars under the leadership of CEO Hiroshi Sato, restructuring senior executives, restructuring management and focusing on making electrified and smart cars.

Introducing the plan, Hiroshi Sato made a bold statement: "We must completely change the way we operate, from car manufacturing to sales to after-sales service." In order to provide the electric cars that people want to drive, the company "has to simplify the structure of the car," he said. Koji Sato added that Toyota's luxury brand Lexus will take the lead in implementing the transformation plan. To this end, the company will restructure the car production system at the Kyushu plant in Japan and launch a new generation of Lexus all-electric models by 2026. All the elements of the model, from battery to platform to car manufacturing, will be fully adapted to electric vehicles.

Toyota has long argued and failed to communicate about the electric vehicle business, but the message is clear: this is a technological transformation, not just another car manufacturing practice. This means that the change in manufacturing is not just a gradual reduction in dependence on internal combustion engines, but a radical change. Mr Sato acknowledges that there is a fundamental difference between the two, with completely different energy conversion and use and aerodynamics, a reality that means that every part and process of an electric vehicle has to be adjusted.

It is important for Toyota to recognize and publicly acknowledge this. In fact, the electric car is not just another kind of car with different power sources, it is not a car that can be completely built by existing factories. As automakers around the world compete to invest billions of dollars in electrification, this is a practical problem that needs to be solved urgently.

Building a whole new generation of cars is not easy, which is part of the reason why it is so difficult to scale up. Although it seems that making electric cars is an extension of fuel vehicles, this is not the case. In theory, electric cars have much fewer components, so they should be easier to produce. But the reality is that the body structure and assembly mode of electric vehicles are completely different from those of traditional fuel vehicles. Electric vehicles require a whole new set of electronic equipment and wiring, while parts need different processing and storage modes and are made by other machines. It makes more sense for carmakers to seal down their factories than to revamp them. In addition, most of the manufacturing process of electric vehicles revolves around batteries, which account for nearly half of the total cost, which is a big technical hurdle.

The manufacture of electric cars is not simple. It takes Volkswagen, a traditional carmaker, 30 hours to produce a new ID.3 electric vehicle, while Tesla, which focuses on solving production problems, takes only 1/3 of the time.

It would be a big change for Toyota, which has always been known for its strong production system. Toyota has been adjusting and streamlining production processes to improve efficiency. Toyota introduced a flexible body in 1985 and went global 10 years later; the company also tested a fixed parts supply system to effectively reduce internal costs and build the fastest production line ever, producing a car every 50 seconds.

The mode of making electric cars is completely different from the previous model. Toyota's new plan also focuses on smart cars and their technology. As the new chief brand officer, Simon Humphries (Simon Humphries), puts it, "people want to control their own experience," which means companies must accelerate the integration of hardware and software to adapt electric vehicles to the different needs of drivers. These electric cars need to replicate the functions of Thai small pick-up trucks or American high-engine cars, or replace small fuel vehicles suitable for Indian roads. Getting customers to adopt electric cars and accept technology transformation means Toyota needs to keep up with the pace of this shift in behaviour. To that end, Toyota will make more big moves around its mobile, software and smart car subsidiary Woven Planet Holdings.

Toyota's charm offensive for electric cars began with the first change of chief executive in more than a decade, not just to restore the company's lagging image in electric vehicles. For a company that has mastered the art of carmaking and can successfully produce millions of cars in a severe crisis, this is a major shift that could pave the way for mass production of electric cars.

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