The number of categories will be reduced from 109 to 78 with many existing categories merged, while some will be dropped completely.
Each category must now start out with at least 40 contenders instead of 25.
Grammy president Neil Portnow said: "It ups the game in terms of what it takes to receive a Grammy."
The top awards, which include best album, song of the year and best new artist, will remain the same.
Separate male and female vocal categories in fields such as pop, R&B and country are among those being merged, with men and women competing together.
"A great singer is a great singer is a great singer, and somebody that has a gift in terms of their voice, and is at the top of their game in terms of their delivery and emotion, really isn't necessarily defined by gender," Mr Portnow said.
Shortlists that are being ditched include best Native American album and best spoken word children's record. FULL ARTICLE