A Justice Ministry panel hammered out a draft bill Wednesday that would amend the Commercial Code and could radically alter the makeup of corporate boards and hasten the decision-making process of large companies.
The proposed revisions would allow a firm's operating officers to make quicker, bolder decisions regarding management policies, mirroring the powers of CEOs in the U.S., ministry officials said.
Japanese boards came under heavy criticism during the 1990s for being unwieldy and inflexible. They are usually much larger in number than their U.S. counterparts and composed of company insiders.