Category: Industry

By Paul Niedermeyer on February 3, 2010

Update: a portal to all of TTAC’s articles on the subject of Toyota gas pedals is here:

Toyota has sent instructions and the shims for the field fix of the recalled sticky CTS gas pedals to dealers as of today. We have obtained the instructions (pdf here) [Hat Tip: Roxer], shims, and carried out the fix on a new CTS pedal accordingly. Follow along as we carry out the fix, and how we arrived at our unhappy conclusion. (Read More…)

By Michael Karesh on February 3, 2010

Over the last few months, the media have become increasingly critical of Toyota and its handling of what has become an unintended acceleration crisis. Recently, Ralph Nader joined the fray, charging that Toyota has lost control of its quality control process. Has it? Is this crisis indicative of declining quality at Toyota? Should the cause (causes?) of unintended acceleration have been caught during the cars’ development? I’m not so sure. Once the cars were in customers’ hands—that’s another matter, and one all manufacturers could and should learn from.

Let’s step back from any urge to deal out some payback and consider the facts.

(Read More…)

By Bertel Schmitt on February 3, 2010

When Martin Winterkorn took over as CEO of Volkswagen, he said that Volkswagen wants to be better than Toyota, not just in units, but in profitability, innovation, customer satisfaction, everything. Toyota was the declared enemy of VW. Toyota was bigger, made more money, had happier customers. When Winterkorn declared the lofty goal, it was shrugged off. Incoming CEOs routinely make grand announcements which nobody really takes seriously. The year was 2007, Volkswagen had just become #3 in the world. Toyota was #2, leading VW by more than 2m units sold worldwide. Towering above all was GM, with 9.3m units sold, 800,000 more than Toyota.

A little after the quote above, first rumors about a “Strategy 2018” surfaced. The plan wasn’t public. I knew someone at VW who had seen (but wasn’t given) the strategy, and he confirmed that it said that Volkswagen wanted to overwhelm Toyota – in 10 years. Insiders (this reporter included) rolled their eyes and denounced the plan as the usual hubris of an incoming CEO, a suit who’d be busy collecting his pension by the time 2018 rolled around. I was wrong. (Read More…)

By Paul Niedermeyer on February 1, 2010

Update: a portal to all of TTAC’s articles on the subject of Toyota gas pedals is here:

Toyota uses two different electronic gas pedal designs in its cars. The version built by CTS (lower) is the subject of a massive recall, and the 2.3 million units in affected Toyota cars are to be “fixed” by the insertion of a steel shim. This CTS design is also being modified for new Toyota production, currently suspended. To our knowledge, Toyotas built with the other design (by Denso, upper) are not subject to any recalls or NHTSA investigations,. We have spent the last two days tearing down both units, and familiarized ourselves with their designs, reviewed Toyota’s “shim fix”, and replicated the fix ourselves. Toyota’s planned fix will undoubtedly reduce the likelihood of sticky pedals in the short term, but after examining both units, we are convinced that the CTS unit is intrinsically a flawed design, and poses safety risks in the long term, even with the fix. The only right action for Toyota is to acknowledge the long history of problems with the CTS-type unit, and replace them all with the superior Denso or another pedal unit that lacks the intrinsic flaws of the CTS design.

(Read More…)

By Paul Niedermeyer on February 1, 2010

Update: a portal to all of TTAC’s articles on the subject of Toyota gas pedals is here:

We’ve taken it apart, explained Toyota’s intended fix, and now we’ve replicated the “fix” to see what effect it has. It works, but does it work too well? (Read More…)

By Paul Niedermeyer on January 30, 2010

Update: To see all of TTAC’s related articles on the subject of Toyota gas pedals, go here:

In yesterday’s post , we offered a bounty for anyone to open up both the CTS (bottom) and Denso (top) Toyota gas pedal assemblies. No one took us up, and no one anywhere else has done it, so we took it upon ourselves . Here they are, both e-pedal assemblies taken apart and examined, in our quest to understand if and what the significant differences are, and how Toyota’s possible “shim” fix would work.  On initial observation, it appears that the CTS may be perceived as being the more solidly engineered/built unit, in that the pedal pivots on a traditional and solid steel axle whose bearings are brass or bronze sleeves. The Denso’s whole pivot and bearing surfaces are relatively flimsy-feeling plastic. But that can be deceptive, and we’re not qualified to judge properly if it is indeed inferior or superior.  So the question that goes beyond the analysis of these e-pedals is this: are these units really the full source of the problem, or are they scape goats for an electronics and/or software glitch? Pictures and tear down examination and analysis follows:

Update #2: It’s clear to me now that the CTS unit I took apart already had the side cover plates (sheet metal) removed before I examined it. One can see where they fit, and are obviously intended to protect the exposed axle pivot and bushing seen above and below:

(Update #3: Also see our follow-up stories on Toyota’s fix and our replication of the fix and its results)

(Read More…)

By Edward Niedermeyer on January 28, 2010

The ongoing kerfluffle over Toyota’s recall of over 2m vehicles for a gas pedal defect which (allegedly) caused unintended acceleration has caught much of the automotive media flat-footed. How could it be, many have wondered, that the automaker most associated in the US market with the concept of quality has slipped so badly? As TTAC’s Steve Lang recently discussed, Toyota has been on a decontenting binge since the mid-to-late-1990s, putting profit above the quality obsession that had defined its operations up to that point. As a result, the current generation of decontented Toyotas and accompanying quality issues and recalls can be seen as the culmination of a long-term trend. But why did that transition take place? Though it’s easy to blame greed and mismanagement for the decline in Toyota’s quality, the decline in standards was actually a natural progression of Toyota’s constantly-evolving, efficiency-obsessed production system.

(Read More…)

By Bertel Schmitt on January 18, 2010

Chart courtesy finance.yahoo.com

There has been a lot of, well, criticism, of Honda on these pages lately, including allegations that Honda had lost it. So far, more that fifty of the Best & Brightest offered advice on how to save the company from certain annihilation.

Today’s Nikkei says “domo arigato gozaimashita” for all the support, and runs a different story: “Honda Motor Co. has emerged from the economic turmoil at the head of the pack, thanks in good part to a nimble production network that can meet the latest consumer preferences at relatively low cost.” Here is why. (Read More…)

By Michael Karesh on December 2, 2009

Business is business (courtesy:carversation.com)

Car guys know exactly what’s wrong with GM: car guys like them aren’t running the show. Otherwise, every Chevrolet, GMC, Buick, and Cadillac would look “great” (no need to be more specific) and dust the competition. Hence Bill Ford’s decision to hire Alan Mulally to take over as CEO came as a real disappointment. Obviously, he would have done better hiring anyone who truly knows and loves cars better than a Lexus-driving Boeing executive.
Sorry, CarNut4CEO. It just wasn’t so in Ford’s case. And it’s just not so in GM’s case, either.
(Read More…)

By Bertel Schmitt on November 24, 2009

He looks alive. Picture courtesy zarathoestra.files.wordpress.com

Think everything will be hunky-dory by, well, 2012? (Watch the  movie.) Fitch Ratings thinks the U.S. auto industry won’t get back on its feet anytime soon. Worse, the industry may be caught in an “airline-style” cycle of repetitive bankruptcies because of weak sales and a glut of production capacity. It is unusual for a U.S. airline (and many elsewhere) to not be in bankruptcy or not have been at some point.

Amongst the rating agencies, Fitch is the only halfway good one. They were the lone voice that had warned against the dangers of the collateralized debt obligations that brought the world to the brink of disaster.

In a report cited by Reuters, Fitch says that high fixed costs, the lengthy periods required to develop new products and chronic overcapacity will leave the industry “littered with failures—plants, product lines, brands and companies.”
(Read More…)

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