Toyota 2007 Annual Report Download - page 15

ANNUAL REPORT 2007 13
make it easier for senior employees to develop the skills of their junior
colleagues through on-the-job training. I believe that asking for advice and
being asked for advice will naturally create relationships conducive to good
workplace communication and increase employees’ learning speed.
Growth Strategies
Technological innovation will be central to our growth plans. I believe that
technological capabilities—not only in product development but also in
production engineering—will be the most important factor for future suc-
cess. Advanced technology development, particularly in the fields of the
environment, energy, and safety, is Toyota’s responsibility as an automaker
and a precondition for survival amid ever-increasing competition. By rigor-
ously developing such technologies ahead of our competition, I want to
take on the challenge of realizing dream cars that make the air cleaner as
customers drive them and cars that avoid accidents and injury.
As for development initiatives in environmental technologies, Toyota
recently identified hybrids as a core technology that will contribute to the
solution of environmental issues. We are currently moving forward with the
development of next-generation systems. Since launching the Prius in 1997
as the world’s first mass-produced hybrid vehicle, we have diversified our
lineup of hybrid models. As a result, cumulative worldwide sales of hybrid
models passed the one-million-vehicle milestone in May 2007. Hybrid vehi-
cles help curb emissions of CO2compared to vehicles powered only by
gasoline engines. I believe we have made a significant contribution to the
reduction of CO2, said to be a cause of global warming. We are also accel-
erating our efforts to develop practical plug-in hybrids.
To cater to energy diversification among regions, we follow a strategy
of providing the right vehicle for the right place at the right time by devel-
oping environmentally friendly technologies or deploying eco-cars that
reflect the infrastructure and customer needs of each region. For example,
last year we concluded an agreement with Isuzu Motors Limited for the joint
development of diesel engines that place even less burden on the environ-
ment. Also, in Brazil, where bioethanol is a widely used fuel, we recently
launched a flexible-fuel Corolla that runs on pure bioethanol.
In the medium term, we are targeting Group vehicle sales* of about 9.8
million units in 2008. In 2006, Group vehicle sales totaled 8.81 million units,
From a medium-to-long-term viewpoint, what is Toyota’s
growth strategy?
We will pursue long-term technological innovation to propel
growth for the future.
Q
A
1,000
800
600
400
200
0
Cumulative Hybrid Vehicle Sales
(Thousands of units)
’04’97 ’98 ’03’02’99 ’00 ’01 ’05 ’06
As of the end of December
Would you explain Toyota’s sales plans and the market
strategies that will support them?
We plan to increase sales globally by aggressively rolling out
appealing new products.
Q
A