Toyota revealed on Tuesday that the company plans to restructure its board to incorporate more diverse perspectives and strengthen the roles of auditors. The automaker described the move as a strategic effort to bring in a broader range of viewpoints while enhancing the oversight capabilities of its auditors.
Christopher Reynolds, currently serving in Toyota’s North American division, is one of six new board appointees. Toyota notes that Reynolds, who has a legal background and whose father worked for Ford, brings valuable expertise in human resources and risk management to the team.
The 10-member board will see its female representation double from one to two with the addition of Kumi Fujisawa, an independent entrepreneur from outside the company, and Hiromi Osada, who previously served as a Toyota auditor. George Olcott, another former Toyota auditor, is also set to join the board. With these changes, the number of external members on the board will increase from four to five.
For the first time, Toyota will include auditors on its board, according to Takanori Azuma, a human resources executive at the company. The change comes in the wake of last year’s controversy when the automaker admitted to falsifying certification tests for seven models, putting its internal oversight practices under intense scrutiny.
Azuma explained that these board additions are strategically intended to introduce diverse perspectives into the leadership structure, describing them as essential ‘weapons for survival’ in today’s evolving marketplace. “It would be a mistake to assume that what we think up internally will be what our customers and people around the world can empathize with,” he remarked.
The company has been working to reinvent itself as a ‘mobility company’ amid dramatic industry shifts, including competition from recent influential entrants such as Tesla and BYD. The leadership positions of Akio Toyoda, a descendant of the founding family who serves as Chairman, and Chief Executive Koji Sato will not be affected by these changes. Toyota plans to present the proposed board restructuring for shareholder approval at an upcoming general meeting later this year.
