There is a major shakeup in the executive management team at Sony Group that will take effect at the beginning of the next fiscal year, which, as is true for most Japanese companies, starts on April 1, 2025. These are big changes to important roles, including Chief Executive Officer, Chief Financial Officer, and President.
But the change that most Sony employees are buzzing about is the person that was named as its new CFO.
See more on the new Sony CFO and why this appointment is so epic
First reported by Nikkei this past weekend, reporter Ryo Sato sought to put the historic nature of this decision by the company into context – as it is a significant choice both on the face of it and for what it potentially means for the future. You might think the CEO role would be the most important decision, and it certainly is an important one. But the added significance of the choice for CFO is what has Team Sony buzzing.
Executive Changes We Know So Far
Here is what we know of the changes to the top managers of Sony Group, the parent company to all Sony operating divisions. Current Chairman and Chief Executive Officer (CEO) Kenichiro Yoshida will relinquish his CEO role to focus on his position as Chairman.
Hiroki Totoki, the current Chief Financial Officer (CFO), will be promoted to the CEO position on April 1st. Importantly, that means that both the former CEO and new CEO took over the leadership of the company from their role as CFO.
According to the report, many in Sony had assumed that Haoya Horii, current Senior Vice President of Corporate Planning, would be named the new CFO. This makes sense as Corporate Planning is a critical function in most companies, but especially so at Japanese companies.
The most interesting part of this personnel change is the CFO position.
Unnamed Sony source to the Nikkei
Many at Sony Surprised When Lin Tao Was Selected as CFO
Instead, the company surprised many by announcing that Lin Tao, who currently is Vice President of Finance, Corporate Development, and Strategy at Sony Interactive Entertainment (SIE), would be promoted to the CFO of Sony Group. Sony Interactive Entertainment is the division of the company responsible for the overall gaming business. Advancing to a C-suite role at Sony Group is a significant step up in the executive management structure of Sony.
Tao came to Sony in 2000. Her first role for the company was in the gaming unit that was responsible for the PlayStation and the smartphone businesses. Then, in 2016, Tao was pulled into the office of the CEO, “where she worked closely with former President Kazuo Hirai and his successor Yoshida,” the report notes.
Current Role Prepared Her for This Promotion
Tao advanced to her current position as VP of Finance, Corporate Development, and Strategy at SIE in 2021. In this position, she was said to be “instrumental in closing multiple acquisitions,” including the deal for Bungie at $3.7 billion. Bungie is the developer behind the popular Destiny and Halo videogame franchises.
In 2023, Totoki took over the SIE division as Chairman and then interim CEO (in 2024). He tapped Tao to be his top deputy “as he sought to restructure the financially distressed gaming business.”
Sony Plans to Drive Growth Via Its Entertainment Division
Now, the Nikkei says, Sony Group is pursuing a strategy for growth that is based on the entertainment segment.
The 21st century is the era of entertainment. And the major bearer of that trend are networks.
Kenichiro Yoshida, Sony Chairman and CEO (currently)
Developed a Reputation for Exceptional Business Acumen
With Tao’s deep experience at SIE, a leader in the gaming business that is an expert at delivering content to consumers via networks, she became a leading candidate for the CFO position. Tao has worked hard at Sony and has developed a reputation for exceptional business acumen.
Says the Nikkei about Tao, “She is said to be unafraid to voice dissenting opinions to top management and is described as a global talent with a deep understanding of business.”
Others at Sony say Tao is logical and thoughtful. She is also described as possessing a unique ability to put people at ease. Others say Tao has a “gift for connecting with people from different backgrounds.”
Why is This Appointment So Important?
So why is this appointment so important? Because at Sony, the path to CEO runs through the office of the CFO. Both of the last two CEOs were previously the CFO before being elevated to CEO. It is pretty clear that with this appointment, TAO is on that path.
As one source said in the report, “…they probably wouldn’t make her CFO unless they had the intention of making her the next president.” The company has not yet named the next President, and there are a couple of candidates that, along with Tao, make sense for that position.
Sony First Japanese Company to Create the Position of CFO
Sony was the first Japanese company to create the CFO position in 1995, appointing Tamotsu Iba to the position. Now, the company has appointed the first woman to hold the title since then.
Learn more about Sony Group by visiting sony.com.
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