Toyota Received a Tesla Shock When Model Y Outsold Corolla: Report
Toyota, known for pioneering lean car manufacturing, now faces the challenge of catching up to electric vehicle leaders like Tesla, which has found success in producing EVs efficiently and profitably.
Tesla’s unconventional approach to both factories and vehicle designs has surpassed Toyota’s traditional methods, prompting Toyota’s deputy chief of global production, Yoshio Nakamura, to acknowledge Tesla’s admirable technology and use it as motivation to work harder.
While younger automakers are reshaping the industry with their freedom from legacy technologies and supply chains, Toyota, in particular, was shocked by the success of Tesla’s Model Y outselling the Toyota Corolla as the world’s best-selling car in the first quarter, serving as a wake-up call.
Toyota’s electric vehicle strategy is still unproven, and their previous EV effort with the bZ4x could be seen as a failure, leading to a revamped strategy that aligns more closely with Tesla’s production ideas, such as vertical integration, gigacastings, and increased robot deployment on the factory floor.
Industry experts like Sandy Munro of Munro & Associates recognize the similarities between Toyota’s and Tesla’s production plans, suggesting that Toyota should seek outside perspectives to enhance its operations, considering Tesla’s position as a market leader.
Toyota’s pursuit of innovation through kaizen (continuous improvement) will drive their efforts to catch up to Tesla and establish their presence in the electric vehicle market.
