Toshiba, the Japanese technology conglomerate, is to begin reforming its governance in the wake of posting a net $317m loss for the 12 months to March this year.
The loss comes following an accounting scandal at Toshiba, which will now set about changing its approach to governance.
Bloomberg reports the company will reduce the number of members from 16 to 11 and ensure that half come from outside the organisation.
“Toshiba also outlined steps to reform a corporate culture blamed for pressuring managers to meet unrealistic targets, and to reinforce the audit committee’s supervisory function,” Bloomberg writes.
The measures include an education programme throughout Toshiba on the importance of accounting compliance and steps to strengthen the company’s whistleblower process to ensure anonymity.
Toshiba’s crisis emerged as Japan introduced substantial corporate governance reforms in a bid to increase the competitiveness of its large companies.