Koji Sato, CEO of Toyota, the world’s largest automaker, is stepping down after just three years at the helm.
According to AZERTAC, the company announced the news on Friday. Chief Financial Officer Kenta Kon will replace him.
The personnel changes, which will see Sato, assume the positions of vice chairperson and chief industry officer, come amid growing criticism of the automaker. The move stems from the planned acquisition of a subsidiary, Toyota Industries. As Reuter’s reports, minority investors accuse the company of a lack of transparency in the deal and consider the proposed price significantly undervalued.
In their new roles, Kenta Kon will focus on internal company management, while Sato will focus on broader industry management, the company said in a statement. The change is intended to expedite decision-making in response to the widespread upheaval engulfing the industry, the automaker stated.
The automaker’s unconventional focus on gasoline-electric hybrids proved farsighted and helped drive record sales for years, including last year, when Toyota retained its title as the world’s top seller.
However, during this time, Toyota also lost market share to more responsive Chinese competitors like BYD in regions such as Southeast Asia. Furthermore, the company has faced criticism over corporate governance issues, particularly in connection with its recent acquisition of Toyota Industries.
