The company suggests the changes are necessary to boost innovation and strengthen oversight.

Toyota has announced an extensive restructuring plan for its board of directors and executive ranks.

Continuing a management reorganization strategy first launched in April 2016, the latest changes are said to be necessary for faster decision-making, stronger oversight and a higher level of innovation.

The company will trim its board of directors from its current 11 members to just nine seats, including three outside board members. The reductions will coincide with sharper clarity that directors are responsible for decision-making and management, while operating officers are responsible for operational execution.

A group of 10 managing officers, including three senior officers, will resign their posts. Many remaining executives have received new areas of responsibility going forward.

Some of the reassignments include leading roles in new business units, including a Gazoo racing division.

"With everyone's efforts and minds as one, I would like to make this an opportunity to strengthen our workforce and further promote making ever-better cars," says TMC president Akio Toyoda. "Let us come together to create work processes that will allow us to remain viable in an era in which we are producing and selling 10 million vehicles a year, constantly being aware that there is always a better way."