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Honda scraps 2017 sales target amid concerns over quality

Honda CEO Takanobu Ito thinks that the automaker he leads needs to go back to basics to avoid continuing quality concerns. To do that, the boss is making the radical shift of entirely chucking the company's six-million vehicle annual sale targets through 2017, and there's no intention to include the goals in the next midterm plan, either, according to Bloomberg. The move comes soon after last month's announcement to set aside about $425 million to pay for recalls and slice forecasts by about 17,000 cars for the fiscal year. The complete shift from the way most automakers do business stems from the significant number of recalls from Honda last year. While the most glaring example is the Takata airbag problems affecting roughly 5.4 million of the company's vehicles in the US, that's hardly the only one. In Japan, the Fit Hybrid needed five repair campaigns in 12 months to fix various issues, and according to Bloomberg, the Vezel (similar to the HR-V in the US) has needed three. Honda also had to pay $70 million to the National Highway Traffic Safety Administration for failing to submit 1,729 safety reports to the agency. The Japanese automaker has been working on ways to right the ship for months. In the wake of the Fit recalls, top executives took a three-month, 20 percent pay cut and created an independent position to monitor vehicle quality. Previous Honda CEOs have also offered stern words to Ito. The problems haven't had quite such a dire effect in the US, though. Sales in 2014 were up one percent, and January 2015 showed a year-over-year improvement of 11.5 percent

2016 Honda HR-V: The first three months with our jack of all trades

We only had the long-term 2016 Honda HR-V in our fleet for one week, and for me, the do-anything crossover was immediately useful. Its honeymoon phase coincided with a number of long-haul drives, plus I had to move. This ambitious start is why we're a quarter of the way through our long-term test, and the HR-V already has over 6,000 miles on the odometer. In classic suburban chariot style, the HR-V is a jack of all trades. And when it comes to road trips, the HR-V is just as enjoyable while slogging up flat interstates as it is along beautiful country roads. I've driven it in all types of weather, packed it with people, and filled it with cargo. I've spent more time in our long-term Honda than pretty much any car that came before it. Here's what I've learned. Long Hauls I've driven the HR-V from my home in Detroit to my sister's place in Traverse City, MI – a 500-mile round trip – four times. On one occasion, an early winter blast hit northern Michigan on my way to the cute, beachside tourist town. From intense fog and rain to sunshine to a sudden snow squall, I had every one of the elements thrown directly at me over the course of one drive. I find a lot of the HR-V's onboard safety technology distracting, and I worry that drivers can become too reliant on these features. Blind spot alerts and cameras are designed to make us safer, yes, but they're no replacement for an attentive, engaged driver. For instance, in the rain and sleet, the nifty Honda Lane Watch camera displayed only gray blobs. Ditto on the back-up camera, meaning that while the technology technically functioned as advertised, the weather rendered it useless. The HR-V has a solid suite of safety tech, but you don't have to rely on the cameras and bells and whistles. The driver's side mirror has an extended-view distortion to the glass. Visibility is great. The HR-V was a champ in the gross weather, and I was thankful for our mid-level EX trim's all-wheel drive. And this was even before we fitted the HR-V with a set of Michelin X-Ice 215/55R17 winter tires – expect to hear about those when we actually get some more snow here in Detroit. Optioning all-wheel drive means you're stuck with the continuously variable transmission (a manual is available with front-drive), which isn't great, but it smoothly delivers the engine's 141 horsepower and 127 pound-feet of torque. Editor Alex Kierstein agreed, writing in our logbook, "Overall, I think the CVT isn't great ...

Former Honda CEOs chide current boss about quality

Taking charge of a major corporation will never be without its challenges, and one of those - as Honda CEO Takanobu Ito is finding out - is filling the big shoes of those that came before. Ito's predecessors are apparently not pleased with what he's doing to the company, and are wasting no time in telling him so.
According to Reuters, two former Honda chiefs have recently visited Ito (pictured above with his predecessor Takeo Fukui) to talk to him about the Japanese automaker's quality issues, which they apparently regard as eroding the company's image. Nobuhiko Kawamoto, who served as CEO from 1990-98, reportedly came to Honda headquarters in Tokyo to deliver "stern words" to Ito last month. Kawamoto's immediate successor, Hiroyuki Yoshino, reportedly met with Ito under similar circumstances earlier this year.
Kawamoto and Yoshino are part of a larger group of former Honda executives who are concerned with the declining quality of the company's products under Ito's leadership. Where Honda once focused more on quality, collaborating more closely with parts suppliers,more recently the company has, in the eyes of those former executives at least, shifted its focus to quantity and to new technologies. That's what, the report alleges, has led to Honda recalling so many of its vehicles in recent years.