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Toyota’s surprise management shake-up could disappoint investors • londonbusinessblog.com

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Toyota president Akio Toyoda surprised the automotive world this week to announce he would step down and hand over the reins to Koji Sato, who currently heads the company’s Lexus and Gazoo Racing divisions.

But Toyoda doesn’t go far. The 66-year-old will not retire immediately, but will retire to the boardroom, where he will take over the role of chairman.

Insiders don’t expect Toyoda to be hands-off either. One director said Toyoda was about to enter a period of “monastic rule”, a period in Japan’s history when the emperor retired to a monastery without actually relinquishing power.

If that’s the case, then maybe the turmoil in Toyota City isn’t much of a turmoil after all.

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