Japanese Management

Paper Summary:

This paper Looks at how traditionally, a Japanese company is seen as a provider of welfare and security, where often loyalty to the company even surpasses the family bond. It shows how lifetime employment is a very common and distinctive feature in Japanese employment practices. It explores whether Japanese management practices are undergoing a fundamental change and if so, to what extent. The reasons for these possible changes are investigated and concluded. Factors such as freeters, part-timers and women at work are also analyzed with research findings to support the discussion.

From the Paper:

"Although the majority of large companies wish to retain lifetime employment there are many critics of the system, who argue that it is too rigid in today's dynamic marketplace. Hirakubo, (1999) argues that for companies to survive it is essential that they are more flexible and less bound to the traditional Japanese management style of lifetime employment. He argues that if Japan cannot develop a more fluid job market and flexible management style, firms will continue to suffer. Nikkeiren also comments that the rigid methods of employment traditionally used in Japan, i.e. lifetime employment cannot respond to the socio-economic changes taking place. He argues that more dynamic and elastic structures should be set up to allow flexible responses to the changing economic and business conditions."

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