... At a two-day gathering for Honda’s suppliers in March, CEO Takahiro Hachigo sounded the alarm.
At the Hotel Higashinihon in Utsunomiya, Hachigo told them the Japanese automaker was facing a crisis after a string of costly recalls and other quality blunders and it needed to plot a new course, according to two people who attended the meeting.
...In the 1980s and much of the 1990s, the name Honda struck terror into the hearts of executives at the Detroit 3 carmakers because they simply couldn’t match its low-cost, efficient, well-built cars.
But after a slew of recalls since 2014 for problems with components such as airbags, sliding doors and engines, Honda’s status as a benchmark for quality and efficiency has been seriously damaged -- and the quality crisis is hitting profits.
Expected to be announced early next year, the reforms led by CEO Takahiro Hachigo are meant to simplify the way Honda designs cars and put its engineering resources to more effective use at a time when it needs to develop cars for an electric age.