JAPAN: Toyota to reduce board headcount
Toyota plans to cut at least 10 of its 27 member board to improve decision making after a series of product recalls.
This would be its biggest management reorganisation in eight years, two people familiar with the company’s plan said, according to the Korea Herald.
The changes are likely to take place as early as April, before the shareholders’ meeting in June, the sources said. Toyota currently has 27 directors, including the chairman, president, six executive vice presidents and 15 senior managing directors. The reduction in the number of board members will include cutting the number of executive vice presidents, the report added.
The move, to be announced by president Akio Toyoda, would be the first since Toyota more than halved the number of board members to 27 from 58 eight years ago to help it speed up decision-making, the sources said.
“Nothing has been decided yet on our management personnel changes, including that of directors,” Keisuke Kirimoto, a Toyota spokesman said.