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How the Toyota Board Mastered The Lean Pivot
In 2023, Toyota announced it would cut its capital expenditure by ten percent to fund a massive software overhaul. For decades, the board guarded the Toyota Production System as a manufacturing secret, but today that system is being rewritten for the age of electric vehicles and autonomous driving. We explore how the board navigated this strategic pivot, why they chose to slow down physical expansion to speed up digital integration, and what the $4.5 billion investment in their own software division reveals about the future of industrial leadership.
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The skinny
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