By J. Abegglen
Japan's economic climate and companies are getting into this century with new administration structures yet their values unchanged. Drawing at the author's research of the Fifties, monetary platforms, group of workers administration tools, function of the company and R&D services are re-assessed to supply a complete research of Japan's monetary and commercial alterations.
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Additional info for 21st-Century Japanese Management: New Systems, Lasting Values
In 1955 Japan’s economy was half the size of the economies of France and Britain with per capita output well under that even of Italy. Over the next 40 years the economy grew in US dollar terms by 230 times, becoming by 1995 more than three times the size of the French economy and more than four times the size of the British economy, second in the world to the United States. On a per capita basis Japanese output in 1995 was half again as great as that of the United States. The advance from the poverty of the immediate postwar years to real wealth in so short a time by a major nation has no precedent in world history.
The seniority system of increased pay with increased length of service continues to age 60 and mandatory retirement. NSC now rehires certain workers and extends their employment to age 62. Benefits include housing – the company maintains 14,000 houses for employees plus apartments and dormitories for more than 5000 persons. There is a company loan system for house purchase by employees, and a loan system in support of children’s education. Continuous service of 15 years earns a travel coupon and 10 special holidays; 30 years earns a more generous travel coupon and another 10 special holidays.
Samsung took aim at still another segment. NEC specialized in none, and failed in all. Following the resignation of Sekimoto, there was a brief interregnum, with an emerging consensus that drastic reorganization and redirection was required. To that end Koji Nishigaki, an economics major who was managing the systems-based solutions business, became president in 1999. The redesign of NEC began with a vengeance. The goals of the company were defined as that of becoming an IT-driven solutions provider, with broadband and mobile Internet operations the core strategic business areas.
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