On July 1 of this year, there was shocking news for the Japanese that Tesla's market capitalization would surpass Toyota. About a month later. As of August 4, when this article is written, Toyota is less than 18 trillion yen, while Tesla is 29 trillion yen, and the gap is widening further.
Compared to Toyota, Tesla produces only one-thirtieth of the number of vehicles and one-tenth of sales. We have brought innovation in IT and EVs to the automotive industry, an industry that would otherwise require decades of experience, and have risen to become the world's top manufacturer in the 17 years since its establishment.
Is Made in Japan the best in the world?
Japanese companies achieved miraculous growth during the period of high growth from postwar reconstruction to the bubble era, and swept the world with their corporate value during the bubble era. The driving force is the manufacturing industry such as the automobile and semiconductor industries. Made in Japan was of world-class quality and high functionality.
I think we are still dragging the illusion of that successful experience.
Semiconductor and home appliance manufacturers have no shadow of the world and their relative value has fallen. The automobile industry, which was the last bastion, has clearly changed as at the beginning.
Even in the manufacturing industry, Japan is no longer the best in the world.
Personally, I think that Japan is still the best in the world in terms of patronizing and "unbreakable" products. But in other respects, it is no longer eliminated from the top runners.
I would like to introduce two of my actual experiences below.
Around 2000, when I had many opportunities to work with Asian companies.
At that time, someone had already said that Samsung was cooler than SONY, and I was shocked. Samsung would be a top-of-the-line company now, but at that time, it was an impression that we Japanese would be "cheap".
This is exactly what a frog in a well is.
A story about working in Germany from 2004 to 2010.
The feeling I had when I talked to my European colleagues at that time was that Japan and Japanese companies were recognized to some extent, but they were not "respected".
The Japanese products we handled kept being told that they wouldn't break, but the specs were low, unattractive, and expensive. I didn't want to lose to American manufacturers, so I worked hard not only on sales but also on product development, but I couldn't close the gap.
In conclusion, Made in Japan is not as great as people in other countries think it is. These two were 10 to 20 years ago. From there, Japan has sunk even more.
And it is the stock price that shows it as a cruel fact.
Kaizen Faith Created the "Lost 30 Years"
In the Heisei era, as companies around the world grew rapidly, Japan was left behind. 10 years ago, it was already said to be the "lost 20 years", but after another 10 years, nothing can be changed and the "lost 30 years" It has become.
Why? We should know why.
I think that I have relied too much on "kaizen" (improvement), a successful model of high growth period.
For example, the era of horse-drawn carriages. Breed them well to create stronger horses and evolve them to turn the wheels efficiently. This is Kaizen.
On the other hand, instead of horses, "innovation" tries to move with a steam engine.
Kaizen is a growth model that accumulates +1 every day, while innovation is a growth model that suddenly evolves to +100 or +1,000 after zero has been zero.
As history has proven, when disruptive innovation occurs, all the competitiveness that Kaizen has built up will be blown away.
Normally, it is natural to repeat kaizen every day, and at the same time, it is a corporate activity that must continue to carry out activities to create innovation. But Japan skipped it. It is 30 years since that key was lost.
Why many organizations can do kaizen but can't innovate
Organizations that can do kaizen but cannot innovate have common problems.
That is, there is no "security" in the organization.
What is safety? That is, "your position" is protected.
Everyone, including top management, thinks about "what is best for the organization" in the medium to long term. From there, the original way is to discuss it on a case-by-case basis, choose the method that the top management thinks is the best, and then implement it once decided.
However, there are many organizations where employees cannot express opinions that are different from their bosses. If you give a different opinion than your boss, your position will not be safe.
When you say that, some people may say, "There are people in our company who say what they want to say and do it hard."
However, there are many cases where employees who seem to be saying rather naughty things end up being "pseudo" challengers who put their boss's face up. In addition, sharp and innovative projects often become more and more round and lose speed in order to pass the company's approval. As far as I know, most large Japanese companies are like that.
Kaizen, on the other hand, is safe. If you don't hurt anyone and are not very funny, your boss will be happy.
Rather than aiming for innovation to the point of causing conflict within the company, it is safer to actively work on kaizen.
But as a result, after 30 years, companies that take on challenges and innovate will lose significantly. As a result of each person's self-preservation creating the "lost 30 years", that is what Japan is today.
Kaizen is stretching death
Objectively, without the Kaizen culture, Japan would have been even worse. It is also true that Kaizen is able to grow slowly.
However, it is difficult to make a big turn because it is difficult to be defeated by Kotenpan.
But what awaits you is only a "gradual death".
The generation that can run away is okay. It may be okay if you are in your late 40s to 50s or older.
If things are to go on an extension of what they have done so far, many people in their 20s and 30s will spend an era where they work for Japanese companies that have fallen even more declining, working for low salaries, and being looked down upon by overseas countries.
And relatively good Japanese people get jobs at foreign companies.
If this happens, human resources will gradually disappear from Japanese companies, and Japanese companies will continue to decline.
Who is to blame for the lost 30 years
I have spent most of these lost 30 years as a member of society since Heisei 4.
I worked for a company that is said to be a large company for 27 years until last year, so I understand what it feels like to be an ordinary office worker. In that process, I thought I had acted quite aggressively, saying what I thought was right without thinking, but I was unable to change the company into a culture of challenge at all.
The culture of an organization is really important, heavy, and not easy to change.
But have I really played a role for the next generation as a member of society at that time? There is also an excuse that "I couldn't change because I didn't have a position or power in the company."
On the other hand, if you look at history, it has always been young people who have changed society. Most of the leading actors in the Meiji Restoration are in their 20s and 30s. My favorite Sakamoto Ryoma has achieved so much and died at the age of 33.
Let's look at the present day. It is also in their 20s and 30s that they have led the IT industry, which is now the driving force of the United States. Steve Jobs of Apple, Bill Gates of Microsoft, Zuckerberg of Facebook, and the two founders of Google. Everyone started in their 20s, and they were in the first half.
What I want to say is sad, but I am the very war criminal of these lost 30 years. The same goes for everyone reading this at least 40 years old.
Our generation has exhausted the savings that the previous generation has created for us.
If it continues to get worse, it will pass on a big negative to my children and grandchildren who will grow up in Japan in the future. I think that's "disgusting".
Never Too Late
It's not too late now. That's what I think.
A person in his 20s who is a digital native and can think about business from a new perspective that is not available in the older generation. A person in his 30s who understands the structure of society, has sufficient experience, and has high combat power. A 40-year-old who has his own organization in the company. And everyone in their 50s and older who are in a position closer to management.
Why don't you change Japan's business, company, and society from your own standpoint?
Only Prescription
So, what should we do as an organization?
The only prescription I think is to create a "culture of challenge".
The idea is simple.
Evaluate those who take on challenges, and do not evaluate those who do not. I highly appreciate those who led the challenge itself rather than those who supported it.
And reflect it as it is in the personnel evaluation.
Were managers and managers able to help those who took on the challenge? This is one point. Those who only evaluate from above and do not contribute to the challenge are demoted because they are not qualified.
If this is thoroughly done, "people who are just listening to what the top says" will lose their "safety" in the organization. If you don't take on challenges, you will create an environment where you cannot be safe.
If you continue to do this for five years, it should become established as a culture.
Compared to 30 years ago, technological innovation is ten times faster. If you work hard for the next 10 years, you should be able to regain 30 years and return to being the top runner in the world.
For the future of Japan.
Let's work together.
