Book: Merge Ahead

This book is one of a series of “The Future Business from Booz & Company.” In the foreword, a translation team by consultants of the Japanese office reveals that it adds two chapters, the chapter one: the future growth strategy for Japanese corporations and the chapter three: the global growth strategy for Japanese corporations.

That implies that M&A is not familiar for Japanese corporations, which have a distinct character and organization. I suppose that corporations in Europe and the US see M&A as one of their growth strategies. Japanese ones have grown with their internal organization power. Most of Japanese ones except global big ones don’t have any knowledge about it, and I assume they are afraid of it.

Manufacturers in Japan have emerged in foreign countries. They have regarded it as the globalization. Actually it is only an overseas expansion of their productions. The real globalization requires doing away a barrier of a unique Japanese management.

In the high growth period in Japan, some corporations in Japan experienced M&A without their strategies. Many cases ended up with failure because there were non-related M&A for their business or they were unable to assess the value of M&A companies.

The organic growth relying on their powers, which Japanese corporations are apt to take, cannot go on the more growth, and neither can the growth by only M&A. On the basis of the recognition, this book suggests that the global corporations take a “merganic” strategy, which is a created word deriving from “merge” and “organic”. It claims that it’s important to be coherent between a business a company merges and one merged. Corporations have to set a goal, and they take M&A as one of the strategies.

In chapter two, it shows five trends to the future business. They are big is bigger than ever, velocity and impatient, the rise of new blues, private equity and sovereign wealth, bubbles and waves. The titles are indicating the contents.

Many companies in Japan are considering on the M&A with help of yen appreciation. However, they are suffering to the inward globalization of their organization. Where will they go to, and then what organization will they take?

Book; A philosophy of life for beleaguered business persons

An author Akira Nakano is a writer on business related articles. This book is written as dialog between a management philosopher and a fresh businessman and constructed as the philosopher teaches him the philosophy of life along the business management strategy.

That means it is an introduction on the management strategy. Therefore it refers to famous strategists like Drucker, Kotler and Porter. First, it tells that the fresh businessman should think why he works for his company. Thinking about it is thinking about his mission. If the mission of his life adapted the mission of his company, it would be happy for him and his motivation would be high.

The next is to find out what he want to be in his future. It says that exploring the ourselves’ mission needs to mull the following three points; the work or action that you can be passionate about, that you can utilize your strength, and that the society requires. The following chapters show the methodology to make a business strategy.

The author is a professional writer. It’s easy to read and we can easily understand the means to make a strategy. However, the actual work is not so easy.

It’s difficult to get a job for not only graduates but unemployment workers these days. No wonder they are not able to join their choices. If they aren’t, I wonder they cann’t find out their missions in the companies.

It also says that working at a company is itself a contribution to society. It’s right, but I think many business persons have never recognized it.

This book is a good introduction book for a beginner on the management strategy. I don’t know it would be a solution for beleaguered people.

Book: Hi damari no Kanojo (My significant other in a sunny spot)

When I read this novel in a return airplane from Shanghai, I was about to weep with drops of tears.

I bought it at a bookstore in an airport before getting on a plane to kill time. I read a novel after a long interval. It’s a love story. A protagonist boy met a girl in his junior high school days. She was abused by classmates because her grades were too bad. Only he protected her. After he moved to another school, he’s never run into her.

When he visited his client in 13 years after they separated, she was one of his clients. They became boyfriend and girlfriend. After a short period as much as three month, they went away. Afterward, they spent happy ten months. Eventually, the painful separation happened due to abrupt disappearance of her.

I can’t say any more because I have to reveal the secret idea by the author.

The author Osamu Koshigaya writes down episodes of their full of happy life in a careful manner. For the reason, when I encountered the scene of their separation, I brought a lump to my throat. When I was a college student, I lost my love. I sobbed thanks to the sense of loss at that time. I think the aim of the author is successful. At least, it reminded me of the sense.

Creative activities should prompt somewhat feeling to people. In that sense, this book gave me one.

Book: lessons from “right failure”

Koichi Hori is a well-known consultant, who was a former president of Boston Consulting Group and is a chairman of Dream Incubator Inc. This is an enlightenment book for young business persons. He wrote down it through interviews with some of them. We can find his career and a way of thinking as reading the essay.

He graduated from Tokyo University at top of the class. After he started to work at Yomiuri Shinbun newspaper, he moved to Mitsubishi Corporation and Boston Consultant Group. At the age of 55, he founded another consulting firm Dream Incubator, which aims to incubate young entrepreneurs.

I am interested to find that when he worked at the companies he felt a sense of discomfort to them and began to think leaving them. He says if he thinks quitting the job, he has three options which are to blow off the discomfort job, to leave the company or to change his manner. He hardly selects an option to bear it.

During his career, he has made a plenty of failures. But he has overcome them even though he was stolen his investment money for a venture company as much as three hundred million yen.

He encourages meeting others by leaving office without overtime, going abroad and taking experience to other worlds and values, and reading books that enrich your life.

It’s easy to read because his narrative is honesty and ingenuous. However, I think the targeting business persons would be limited because there are not so many who have talent he had. He graduated from the top university in Japan, and studied at the Harvard for getting MBA. Headhunters have recognized his capacity.

I agree that challenge is important for young generation. He says “the young” is defined as under fifty. Oh, I’m little eligible for it.

Book: Textbook to enhance business leaders

The subtitle is to transform a management style. I got this book by free gift when I took part in a seminar hosted by Hay consultant firm. An author Kenichi Takano, president of Hay consulting firm, says that we need to change the type of leaders from the instruction and order type to other style like the style to express their vision at present.

Hay consulting firm is said to be the most advance company in terms of the leadership improvement. It has enormous data over the world leadership research. He points out that the leadership style has been changing after the period of high economic growth. Before the period, the leaders who directly instruct and order their subordinates were recognized as a true leader.

After it entered the globalization period in 90’s, the business environment has become more complex and the business chances have become less. Hence, it’s difficult to lead their subordinates for the instruction and order style leaders because they can’t manage everything. So he says that the leaders who use other management styles should be successful. These are the sharing vision style, the emphasizing relationship style, the democratic style, the initiative style and the cultivating subordinates’ style.

This book tells four functions the leaders should do. The first is the leader as a pioneer who expresses their vision. The second is the leader as a conductor who organizes their staff. The next is the leader as a teacher who offers their members places to learn. The last is the leader as an architect who develops business infrastructure.

He also shows three cases to deal with business common issues. There are the business difficulties, the group management and driving M&A, and the globalization. He says that these issues would be overcome if the management style changed.

It’s a good book. I think it’s the transition period just now. It’s because managers in the baby boomers begin to retire. They have worked through the period of high growth era and part of their management style is the instruction and order style.

So this book is composed well as a business textbook. But we tend to forget the contents of textbooks. It’s problem.

Book; Professor! A giant bat is flying in a hallway.

My son found a book advertisement on a newspaper on the other day. The title was very attractive. It’s “Sensei, Kyodai Koumori ga Rouka o ton-de imasu!” or “Professor! A giant bat is flying in a hallway.” I saw other books by the same author on the web.

Those are

“Sensei, Shima Risu ga Hebi no Atama o Kaggite imasu!” or “Professor! A chipmunk is gnawing head of a snake.”

“Sensei, Kaeru ga Dappi shite sono Kawa o Tabete imasu!” or “Professor! A frog casts off the skin and is eating it.”

“Sensei, Ko-Risu tati ga Itachi o Kougeki siteimasu!” or “Professor! Little squirrels is attacking a weasel.”

Those titles have me fun. I got the book. The author Tomomichi Kobayashi is an ethologist and professor of Tottori University of Environmental Studies. He writes essays based on his dairy life with animals and bugs surrounding him.

When I was a small boy, I went to parks or lush temples to catch bugs like cicadas in summer. While I read it, it reminded me of the nostalgic period. In the world, there is a sort of people who maintain their hearts of small age. They have been fascinated by creatures.

The author is a genuine and authentic kind of person. When he comes across a snake, he can’t help catching it. He tries to observe it, but at first when he feeds it, it bites his finger. Despite of seeing his finger was forcing to put into its throat, he unflappably observes it.

His eyes to animals are so affectionate. He seems to be able to communicate with animals. Animals like raccoons, a squirrel and a dove make eye contact with him. It’s heartwarming.

I’ve read almost business books these days. These kinds of books make me away from the real world. On the other hand, this book makes me relief. It’s because relationship with animals is a nature as human beings, I believe. There is a one-on-one interaction. On the other hand, economics and business management tends to ignore every individual. People in these academics are just one of elements.

This book is published by Tsukiji Shokan, which probably turns over specializing books like biology, ecology etc. So it’s a bit expensive. However, after I read it, my wife and son are going to read it.

Book; Identity of deflation

I found this book “Defure no Shotai” or “Identity of deflation” has been a smash hit on business books since it released in 2010. Author Kousuke Motani is a counselor of the Development Bank of Japan, and has made more than 3,000 speeches. This book is compiled from his speeches or thoughts, and he suggests what Japan should do.

He raises the problem of deflation in the present Japan. According to him, the identity of deflation in Japan stands on the population decrease of productive age. He never blames it on the aging society and low birth rate.

Economists may say that the deflation and recession in Japan depends on a wave of economics. But he claims that the economy rely on a wave of the population. The population pyramid of Japan was triangle until 60 years ago. The current shape of it is quite irregular and the population of productive age is going to be dwindling. On the base of the theory, he set up the concept as “the total national time” which means the total time the nation can spend at economic activities. The decrease of the population causes to reduce the total national time. And it brings on the GDP reduction. I think it’s a quiet unique suggestion that economists has never stated.

He proposes three objects. First is to alleviate the decrease pace of the productive age population. The second is to maintain and raise the sum of personal incomes applying for the age. The last is to keep and increase the total individual consumption.

He suggests three solutions to achieve them. One is to transfer incomes or savings from the wealthy elders to the young generation. The next is to encourage women who are only housewives to work. Only 45% Japanese women have their job or work even at part time. The last is to accept more foreign tourists or short-time settlers.

They are interesting suggestions to resolve the deflation in Japan. The best seller proves many Japanese read this book and part of them agree with his suggestions. However, this is a paradigm change. The reality has many barriers.

As reading these kinds of business or economic books, I wonder what economy is. The economy is a theory that I don’t know exactly but Marx, Keynes or Schumperte have built. I think that’s just theory. Now we need a solution that opens a bright future.

Book; Japanese economy, the revival story

This book is a dialogue between Robert Alan Feldman, a managing director of Morgan Stanley MUFG Securities, and Seiichi Takarabe, an economic journalist. An afterword shows it was written on November 2011. Hence it is relatively new and it’s fit in on the current situation in Japan.

It consists of five chapters. The first is “to criticize on an economic policy of the Noda administration.” The next is “a big chance by Green technology.” “A strategy taking in the rapid growth in Asia.” “Both the US and Japan is a parallel world.” And the last is “a structural reform toward the revival story.”

In the first chapter, they complain to the management by the DPJ administration. Prime Minister Noda is much better than the previous ones, however, they point out his policies are lack of the idea of the growth strategy. Takarabe says the bullet train accident in China last year unveiled it remains an old values of the Cultural Revolution, “no one takes responsibility”, “it never spill out crucial information” and “the value of people’s life is infinitely light.” But they know Democracy in both countries can never decide anything compared to the Authoritarian.

They tell the growth strategy is very important to revive the country. We should use the power of the private sector with making restriction and quantity ease. As a specific example, the usage of green energies in the private sector could cover the shortage of electricity.

To accomplish the growth, we have to rethink social security. A medical subsidy for the elderly should be decreased as considering lowering the burden of the youth. Anyway they claim to increase GDP is the only way to revive Japan.

So, it’s right. In the US and Japan, can we do it? Obama and Noda administrations are struggling with the opponents inside the party and outside. After all, the economics rely on the politics. Governments deciding nothing are impossible to do it.

Book; Are you counted on by your company?

This book consists of feature articles from 2006 to 2008 of a magazine “Nikkei Business.” These articles feature some employees’ situation in Japanese companies at the time.

Japanese economy had been booming until the Lehman Shock. These articles were written in the period. The labor market was tight, many companies struggle with attracting employees. Japan had allowed temporary workers or dispatched employees in early 2000’s. Young recruiters got more choices to work, as a regular worker, a temporary one.

One of the strongest traits of Japanese economy in the high growth era was said to be a life time employment system. However, as a labor cost got to be higher and higher, Japan has been losing the competence of a low labor cost. These employment forms are the result of the less competitiveness.

Another aspect is an employee evaluation system. Many Japanese corporations had taken a salary system on the basis of seniority. After many major companies accepted a performance based pay system following the Western ones, the strength of Japanese companies was disappeared.

A third of the young workers quit their first companies within three years at that time. Companies were unable to grow the fresh persons as same as they used to do. Middle leaders also didn’t have any time to care for their subordinates because they have to accomplish their commitment. After all, Japanese companies’ power has been decreasing.

In this book, editors interviewed such employees and managers, and shed light on these problems. Some companies having been aware of the problems changed something like the way of thinking of the employment, or the personal assessment system.

Konosuke Matsushita, a founder of the Panasonic, said “A company is its people.”

Book; Make or Break

As I run into books related to the manufacturing at a book store, I can’t help but pick them up. Japanese title “Gurobaru Seizougyou no Mirai” or “Make or Break, The Future of Business from Booz & Company” was the alluring one for me.

This book was written as one of the series on the future business by Kaj Grichnik & Conrad Winkler with Jeffrey Rothfeder of a large consultant firm Booz & Company. The foreword shows the content was featuring about the Western manufacturing, so colleagues of the firm in Japan added part of Japanese manufacturing and recompiled it.

Their issue is simple that the manufacturing companies in Europe and the US have tended to rely on the strategy too much, on the other hand Japanese ones have been stick to manufacturing. The prescription for the Western is to improve the process innovation. It’s a field Japanese ones are good at. To advance the process innovation needs to change the corporate culture. That’s a big change. The managements are required to treat blue collar workers with the same way as white collar.

Japanese manufacturing companies should address the low profit by using the strategic method. They need to get rid of low profit businesses among their business fields.

Their suggestion is probably right. However, both manufacturing industries are based on each culture climate. We can’t change the culture rooted on history soon. That’s why it’s difficult to escape the low profit structure.

And I think this book is lack of description on the manufacturing in the emerging countries. It’s sure that it would be more complex to introduce the conclusion if they considered the element.