ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Toshiba's then-President Hisao Tanaka bows at a news conference in 2015 after the release of a third-party commission's report pointing to problems with internal controls. (Photo by Keiichiro Asahara)
Business trends

How Toshiba's closed culture bred systematic cover-ups

The failure of internal controls to function properly has cost the company dearly

TAKAFUMI HOTTA and KAZUE YASUHARA, Nikkei staff writers | Japan

TOKYO -- Toshiba has proved an inspiration for oversight at listed companies, just not in the way the conglomerate might have hoped.

In February 2016, the Japan Exchange Regulation, part of the Japan Exchange Group, laid out principles regarding how Japanese corporations should behave when faced with a corporate scandal. One of them states that: "Companies should avoid dressing up a shoddy and insufficient investigation to give it the appearance of objectivity and neutrality."

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more