As a direct result of difficult losses, Toyota plans to consolidate its operations, pulling sales, marketing, and manufacturing operations under one executive. This move will radically change organization of the automaker’s U.S. operations in an attempt to make the company perform more aggressively amid slowing sales.
Reports suggest that Toyota’s management is already close with all aspects of U.S. operations, which Akron Toyota dealers says is an accurate assessment. However, the current organization structure may not be enough help the automaker save money amid slumping new car demand. One model that needs to be addressed is the Toyota Tundra. Diminishing truck sales have hurt the Tundra, and production at its Texas-based plant has been cut a number of times already.
Despite having a fresh new design that has appealed to truck buyers among Albany Toyota dealers and other retail locations, the Toyota Tundra has faced a slow but steady decline in sales. As a result, Toyota has been losing money on each Tundra truck sold. Additionally, the Tundra is manufactured in an all-new facility in San Antonio that was over budget when it opened its doors. To make matters worse, the overpriced facility has yet to reach full capacity has already been idle for several months.
New manufacturing facilities have also been in the works for other vehicles, such as the Toyota Highlander and the Toyota Prius. The latter has remained in high demand in many parts of the country according to Tustin Used Toyota, especially leading up to its 2010 model year redesign. However, with reduced overall demand for both SUVs and hybrids, such efforts have been put into question. While the reorganization is not official, many questions remain regarding Toyota’s organization in the U.S.
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Look for a number changes to occur for Toyota USA operations soon.
