According to the Nikkei News, Toshiba Chairman and CEO Nobuaki Kurumatani said that in order to ensure that Toshiba maintains its leading position, it plans to significantly reduce costs. It will lay off 5% of its employees in the next five years, with a total of more than 7,000 staffs. In addition, it will reduce the cost of approximately $1.77 billion over the next three years.
Toshiba's cost reduction is mainly done by suppressing personnel costs and procurement costs. In addition to layoffs, Toshiba will increase efficiency by redistributing employees and investing 100 billion yen in information technology within five years. It will also seek to reduce procurement costs by negotiating better terms with suppliers.
After Toshiba sold its Toshiba Memory (TMC) in June this year, it will cultivate new growth drivers in the future. Toshiba announced that it will invest about US$15 billion in equipment investment and research in five years, mainly in the Internet of Things, social infrastructure and artificial intelligence.
All Comments (0)