Search results for: “fujitsu”

  • “Japanese managers have been brainwashed by the West” and should aim to be ‘virtuous companies’ instead

    “Japanese managers have been brainwashed by the West” and should aim to be ‘virtuous companies’ instead

    An interview with George Hara, currently Chairman of Alliance Forum and former board member of various Silicon Valley start ups as a venture capitalist kicks off Nikkei Business’s attempt at finding a new standard for evaluating Japanese companies, beyond the shareholder capitalism model.

    Instead of “Good/Best company”or “Great Place to Work” and all the other awards you can get, the Nikkei proposes ‘Yoi‘, which can be translated as ‘good’ but is probably better translated as ‘virtuous’.  They even deliberately write the headline ‘Yoi kaisha‘ (‘Virtuous company’) in Japanese brush stroke calligraphy.

    Hara doesn’t think the term ‘stakeholder capitalism’ quite covers what  he and the Nikkei are getting at, even though he says the company should be  measured on the benefit to employees, customers, partners and regional society as well as shareholders.  He prefers ‘shachu‘ (which my dictionary translates as clique or troupe) or public benefit capitalism – meaning that all the concerned parties have a common objective.

    He particularly criticises the way companies in the US – the home of full blooded shareholder capitalism – such as Hewlett Packard or Dupont find that putting shareholder interests first means firing people even when there are record breaking profits, or not being able to invest in long term projects to develop technologies which will benefit society.

    Japanese corporate leaders used to be much more inclined to public benefit capitalism, and the cause is not lost yet, says Hara – citing that when he showed the great and the good of the IMF around Tokyo’s underground system recently they were full of praise for how clean, orderly and busy a city supposedly suffering from a 20 year recession was.  Japan should be setting its own standard for the rest of the world, he feels.

    Following on from this, Nikkei Business have come up with a Yoi company metric, based on profit, changes in employee numbers, corporate tax contribution and share price over the past 10 quarters for 3841 Tokyo stock exchange listed companies and the top 10 are:

    1. Softbank
    2. Fast Retailing* (Uniqlo) (Yanai, the founder and also board member of Softbank is quick to throw this back in the face of those who have termed Fast Retailing a “black company”)
    3. Keyence
    4. Fanuc (the current target of shareholder activist Daniel Loeb)
    5. Yahoo
    6. Aeon Mall
    7. Rakuten
    8. Mani (medical devices)
    9. Japan Tobacco
    10. Takeda Pharma *
    11. Central Japan Railway
    12. KDDI
    13. ABC-MART
    14. Sumitomo Real Estate
    15. USS (car auctions)
    16. Astellas Pharma*
    17. Toyota*
    18. SMC (automatic control equipment)
    19. Nakanishi (motor spindles, micro grinders)
    20. Trend Micro (security solutions, founded in the USA, HQ in Japan)
    21. Sysmex (healthcare)
    22. Hisamitsu Pharma
    23. Komatsu*
    24. Terumo
    25. Canon*
    26. Honda*
    27. Makita
    28. Nitori Holdings (furniture)
    29. Shimano
    30. J Trust

    Other of our Top 30 Japanese companies in Europe* in the top 100

    • Bridgestone #41
    • Denso #46
    • Sumitomo Electric Group #51

    In our Top 30 in Europe but not in the Top 100 Yoi companies:

    Fujitsu, Ricoh, Sony, Asahi Glass, NSG, Toshiba, Hitachi, Panasonic, NTT Data, NYK, Fujifilm, Olympus, Mitsubishi Chemical Holding, Nomura, Nidec, Sharp, Daiichi Sankyo, Kao, Seiko Epson

  • EMEA CEMEA EMEIA – Japanese regional headquarters in Europe – scope and location

    EMEA CEMEA EMEIA – Japanese regional headquarters in Europe – scope and location

    My old employer Fujitsu’s latest attempt to resolve the “European regional headquarters” conundrum that many multinationals face is to create a region called EMEIA – Europe, Middle East, India and Africa.  This is partly a reflection of the IT industry (having large outsourcing desktop support operations in India, which in Fujitsu’s case had actually been managed out of the USA operation previously) and also the legacy of the former Fujitsu Siemens global HQ in Germany selling hardware into India.

    The EMEIA region will be headed up by Duncan Tait, CEO of Fujitsu UK & Ireland, who has also been made Corporate Senior Vice President in Fujitsu HQ’s new global matrix structure, so this represents a tipping of power back to the UK, having tipped over to Germany previously, with the previous tripartite European structure of C(ontinental) EMEA, UK & Ireland and the Nordics.

    I had mentioned previously that there seemed to be a shift towards Japanese companies basing their European or EMEA headquarters in the UK.  Some say this could be due to the relative tax structures in the UK being more favourable now than the Netherlands or Germany.  My view is that Japanese companies are not quite as hard headed as that, and it is more to do with the favourable business climate (diverse, flexible workforce) and global infrastructure and support services that the UK offers.

    I have big worries, therefore, on how any British exit from the EU might ultimately impact Japan’s investment in the UK.  UKIP leader Nigel Farage and the Labour Party’s shadow chancellor Ed Balls recently had an exchange on this, with Farage (rightly alas) pointing out that Nissan were very negative on the impact of the UK not joining the euro and yet their factory is still in Sunderland.

    For sure, Nissan will not be closing that factory down any time soon – it’s too efficient and the UK market is too important for that.  But what I would be worried about if I was in government would be the more hidden ripple effect of headquarter location. It is true for all industries, not just the automotive industry, that the location of a major company’s regional headquarters will also affect its procurement, marketing, financing behaviours and therefore the suppliers around it.  Furthermore, the roles needed to run these consolidated functions are the most senior and well paid jobs in an organisation.  The economic impact is therefore not just about the size of the directly employed workforce in a factory.  If the UK were no longer in the EU, I wonder whether we might not see a slow drift of headquarter functions, and supporting services and people, back to Germany or the Netherlands or Belgium.

    Nissan’s European HQ is actually in Switzerland – unusually for a Japanese company – 18 out of the Top 30 Japanese employers in Europe have their regional headquarters or part of their regional headquarters in the UK.  Official location may be only half the story however – I know that many Japanese companies are moving towards a more “virtual” regional structure, with top jobs and functions located across Europe.  I will examine this further in future postings.

  • Wally Olins CBE 1930-2014

    Wally Olins CBE 1930-2014

    I was very sorry to hear of the death of Wally Olins on Monday.  Although he was 83, and had recently undergone an operation, it seemed he was recovering well, and I was looking forward to his postponed book launch for Brand New: The Shape of Brands to Come and maybe catching up with him before then as he had said he had wanted to chat further with me about Japan – which was typical of Wally, that despite his immense expertise and experience, he was always curious to know more and very generous and open to relative newcomers to his field.

    We had worked together both when I was at Fujitsu for their new brand promise “shaping tomorrow with you” and after that with his company Saffron on another corporate vision project for a Japanese owned subsidiary.  As Ian Stephens, principal of Saffron, has said in their statement about his death, Wally was infectiously charming but also famously impatient – he sometimes sought reassurance from me that his straight talking style was not going to upset Japanese executives.

    Although he was impatient with Japanese companies’ caution, indecisiveness and inarticulacy, I sensed Wally was approving of Japanese companies because they instinctively “get” (and had been practicing, at least in Japan) the concept he had been preaching, that a company’s brand is about nurturing its collective identity, giving it an emotional connection to its customers.

    I understand his impatience now, as he did seem, despite his four score years and more, like a man who still had a lot more he wanted to give and achieve.  The best compliment we can pay him therefore is to buy his new book, and keep the flag flying for his work and ideas.

  • Does having more women managers help Japanese companies globalise?

    Does having more women managers help Japanese companies globalise?

    The question of whether having more women managers would help Japanese companies to globalise was raised, but not discussed in depth due to time constraints, at a dinner I attended, hosted by a delegation to the UK from Japan Women’s Innovative Network – a Japanese non profit organisation.  An impressively large number of younger women (70) had been sponsored by their companies to come to the UK for a week, visiting various UK companies such as British Telecom and AON, to study global leadership and diversity.

    My view is yes, it does help Japanese companies to globalise if they have more (Japanese) women managers, for a couple of reasons.  Firstly, it helps Japanese companies and corporate culture seem less “alien” to Western companies if there are more women in management positions in the headquarters, and secondly, because the adjustments Japanese companies will have to make in order to incorporate a more diverse Japanese workforce (gender or other diversity) will help them be more inclusive of “non-Japanese” diverse groups.  Attitudes to overtime and working from home would be a couple of areas needing adjustment I would suggest.

    On the first point, the question of the role of women in Japanese companies is frequently raised in the cultural awareness sessions we conduct in Europe for Japanese companies.  Japan never does well in surveys of the position of women in society – see the most recent World Economic Forum Gender Gap report, placing Japan 114th out of 144 countries (updated for 2017).  While you can question the methodology of such surveys, then along comes another one, conducted amongst Japanese women, showing that 1/3 of them want to be full time housewives.

    Which leads me to point out in our training (and in the Advancing Gender Diversity day I spoke at for Hitachi’s European group companies – presentation on SlideShare here) that Confucian values remain strong in Japan – it’s not that women are seen as somehow less capable than men, more that there are expectations around the role they should fulfil in society.

    Prime Minister Abe is trying to square a circle with Abenomics, by trying to raise the birthrate but at the same time encourage women to go back to work – aiming to have 30% of senior positions in all parts of society, by 2020, through improving childcare and parental leave.  But with the amount of pressure on women to be good housewives and stalwarts of the Parent Teachers Association, no amount of improved childcare and leave is going to counteract this or compensate for both parents doing overtime until late at night.

    Although the Japanese government can directly change the economy with the first and second arrow of Abenomics, through fiscal and monetary actions, the third arrow of structural reform requires nudging, or even shaming Japanese companies into doing the right thing – legislation alone will be hard to push through and even harder to enforce.  So Abe launched in February the “Nadeshiko” * scheme, recognising firms which are making efforts to improve the working environment for women.

    Firms given the Nadeshiko “brand” in February of this year include Kao, Nissan, Fast Retailing (Uniqlo) and Daikin.  The scheme is not the only initiative taking place – various other surveys have been done of best places for women to work and the Hitachi Gender Diversity Day was partly inspired by the President of Hitachi, Hiroaki Nakanishi, declaring recently that the company aims to more than double the number of women managers by 2020.

    Other recent surveys have named Benesse (no coincidence that the founder of Benesse is also the founder of J-WIN) as the most career friendly for women and companies such as Toshiba, KDDI, Bank of Tokyo-Mitsubishi UFJ and NTT have all announced targets for women managers.  The Nikkei group has also jumped on the bandwagon, with a seminar series aimed at aspiring women managers (and even has a magazine “Nikkei Woman” ) and published its ranking last year of best places for women to work, which put foreign companies at the top (IBM Japan, Procter & Gamble) along with 2 life insurance companies, Takashimaya department store, Daiwa Securities, Sony, Panasonic, Bank of Tokyo Mitsubishi UFJ, Fujitsu and Sharp.

    * Nadeshiko is a type of pink danthius flower associated with women in Japan. It was adopted as a nickname by the women’s soccer team of Japan on its way to becoming the first Asian team to win the World Cup, in 2011.

    The original version of this article was published in Japanese in the Teikoku Databank News in 2014.  An English version of it appears in Pernille Rudlin’s new book  “Shinrai: Japanese Corporate Integrity in a Disintegrating Europe” is available as a paperback and Kindle ebook on  Amazon.

  • Clients

    Clients

    A representative list of recent clients, which also includes Japan Intercultural Consulting clients:

    Electronics and ICT

    Fujikura • Fujitsu Research of Europe • Hitachi Europe •  IIJ Europe • JAE Europe • Konica Minolta Business Solutions • Kyocera Fineceramics  • Murata • NEC Europe • Nikon UK • NTT Europe • o9 Solutions • Panasonic Europe • Tigris Systems • Zetes S.A.

    Pharmaceuticals, Biotech and Chemicals

    Ablynx • Astellas Pharma Europe • Chemviron •  Eisai • Envigo CRS • Excerpta Medica • Medical Research Network •  Ono Pharma • Perspectum • Roche • Sosei Heptares •  Veryan Medical

    Trading, Shipping and Financial Services

    Aioi Nissay Dowa Insurance Company of Europe • Blick Rothenburg • Cigna • Daiwa Capital Markets Europe • DBJ Europe • First Sentier Investors • Green Giraffe • MUFG Bank (Dubai) • Honda Finance Europe • Inchcape • International Trade Institute • Leadenhall Capital Partners •  Legal & General Investment Management • Marubeni Europe • Mitsubishi Corporation • Mizuho Bank  • Netherlands Foreign Investment Agency • Nomura International • The Norinchukin Bank • NYK Group • SMBC Europe • Sumitomo Mitsui Trust Bank • SMBC Nikko Capital Markets • UN Principles for Responsible Investment • Yusen Logistics (UK)

    Automotive and Engineering

    Denso Automotive •  Hitachi Construction Machinery Europe • IDIADA • Kubota UK • Nabtesco Precision Europe • NGK Spark Plugs (UK) • Nissan Motor Manufacturing • Pilkington Group • Stolle Europe • Sumitomo Electric Industries

    Consumer/Foods/Travel/Media/Hospitality

    Asahi • ASICS Europe • The Dorchester Collection • Edelman • Financial Times • Global Blue • Mizkan • Northstar Travel Media • Shiseido • Viking Cruises

    Energy/Mining/Metals

    • Diamond Generating Europe • Eku Energy • ENEOS • GreenPoint Inc • Horizon Nuclear Power • Metalor Technologies (France) • Osaka Gas • Smarter Grid Solutions • SmartestEnergy •