Japanese automotive giant Toyota Motor Corporation has officially announced significant changes to its management structure that will take effect on April 1, 2026. Former Chief Financial Officer (CFO), Kenta Konwas appointed the new chairman of the board and chief executive officer (CEO) of the company. His primary focus will be on internal management, strengthening profitability and transforming Toyota from a classic car manufacturer into a modern company focused on mobility.
Unusual dynamics
The previous leader, Koji Satowho has held the position of president and CEO since 2023, is not leaving the top of the company, but moving to the position of vice president and the newly introduced position of chief industrial director (CIO). This change is the second in just three years and represents an unusual dynamic for Toyota, which was previously under leadership Coming to Toyode maintained an unchanged management structure for 14 years.
Kenta Kon enters the new role as a close associate and former secretary of longtime boss Aki Toyoda, which guarantees the preservation of the corporate philosophy. Toyoda, who remains at the head of the supervisory part of the structure as chairman of the board, emphasized that this process is a continuation of “handing the baton” to a younger generation of managers who are deeply integrated into Toyota’s value system.
Strategic separation of functions
The reorganization will enable the company to entrust operational management to an expert in finance and internal processes, while Sato will be able to devote himself to strategic positioning on a global level. He has already taken on important external roles, such as the chairmanship of the Japan Automobile Manufacturers Association, which was one of the key reasons for the separation of functions within Toyota itself.
By introducing the position of chief industrial officer, Toyota seeks to more clearly delineate day-to-day operations from the wider activities of the automotive industry. While Kon will deal with business results, Sato as CIO will coordinate relations with regulators, professional associations and key partners. The company emphasizes that the new model will enable faster decision-making in conditions of accelerated changes in the global market.
In parallel with this announcement, the latest business results arrived, which say that in the first nine months of the fiscal year 2025 (from April to December), Toyota’s car sales increased from 7 to 7.3 million units, but also that in the last quarter, a drop in profit of as much as 43% was recorded. This happened due to the increase in the prices of materials and as a result of the introduction of tariffs in the USA.