The Management Challenge: Japanese Views

252 Pages·1985·15.365 MB·English

by  Lester C. Thurow (ed)

l
The Managem_ ent Challenge
Japane,sV eiews
1- �gteidb yL esCt.eT rh ur· ow
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Theo rigicnoanrlbti uitonisnt hibso ok
preseJnatp ane·msaen gaementa st he
Japanesseeei. tT hesyh owh owa n
economtyh ahta so utperfoorumresd
duritnhgel astth iryteya rwso rkpsr,o v­id
inAgm ericmaann agewrist ihn sitsg h
intpor acttihca�mtsa ys parnke w
solutitooon lsed c onompirocb-le.m·s
Thurowi'nst roduecstsoaar·nyyd h is
commenotnse accho ntrtiibopunr ovide
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au nifyfirnagm ewwohriklp eo intuipn g
thei mplicatthiaeotan csch h aptreari ses
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fotrh er eblenodfit nhgeA mericeacn-o
nomimci xture.
Whatw orkfso trh eJ apas_nee?A sT h-u.
rowp oinotusti nh iisn troduscetniio­onr,
itpyr mootiolnisf,e teimmpel oymean t,
wages truchteuarveic loynt diionbeyd
bonusaec su,l ttuhraeet m phasitzhees
grourpa thtehra tnh ei ndiviadtutaeln,-
tiont og oodp eopmlaen agemeanntda, n
efficliaebnomtra rk-ett hesaer seo me
oft hei ngrediienn-ttJsahp ean es.sey­s
temo fp ayofafnsdc onstrtahianhtta sv e
contribtuott headct o untreyc'osn omic
succeCsosn.v ersheenl oyt,e tsh ahti gh
turnovtehrle,a cokfw illingtnome asisn ­
taienm ployoenet sh ep ayrionle lx ­
changfeo "rg ive-bdaucrkishn"ag r d·
timetsh,ee mphasoinsb lue-cloal-ylar
offasn,dt reatmoefhn utm alho sers
hardcloyn tritbomu utteu raels peacntd
coopera.itn,.Aimoenricfainr mOsu.rf ocus
oni mprovcianpgi rtaatlh tehra lna bor
markeotnss ,h o-rtertmf inanocbijaelc ­
tiveasn,dl arbgoen usbeass eodn c u­r
renptr ofhiatvsne o tre sulitnae nd
optimcaolr poreantvei ronmAenndt .
whaatb outth ne ecessfioitrny d ustrial
ThMea nagemCehnatl lenge
The Management Challenge
JapanVeiseew s
EditbeyLd e sCt. eTrh urow
TheM ITP ress
CambriMdagses,a chusetts
LondoEnn,g land
HD70
.J3
M264
1985
©
1985 by The Massachusetts Institute of Technology
All rights reserved. No part of this book 1nay be reproduced in any
fonn by any electronic or mechanical n1eans (including photo­
copying, recording, or information storage and retrieval) without
pennission in writing fro1n the publisher.
This book was set in VIP Baskerville by Village Typographers, Inc.,
and printed and bound by The Murray Printing Company in. the
United States of America.
Library of Congress Cataloging in Publication Data
Main entry under title:
The Managen1ent challenge.
Includes index.
1. Manage1nent-Japan-Addresses, essays, lectures.
1. Thurow, Lester C.
HD70.J3M264 1985 658' .00952 84-28881
ISBN 0-262-20053-8
Contents
..
Contributors
Vll
Introduc1 tion
1
Motivation and Productivity 18
Hiroshi Takeuchi
2
The Impact of Japanese Culture on Management 31
Masakazu Yamazaki
3
The Perceptions and the Reality ofJ apanese Industrial
42
Relations
Haruo Shimada
4
The Firm and the Market in Japan 69
Hiroyuki I tami
5
The Japanese Financial System: Past, Present,
82
and Future
Shoichi Royama
vi Contents
6
Product Diversification I 03
IchiHraot tori
7
Strategy for Overseas Markets 122
Taka"sThaic Khiiu"c hi
8
Competition and Cooperation among Japanese
Corporations 139
MunemiIcnhoiu e
9
Japan's Industrial Policy 160
ToshimTassuar uta
10
Economic Planning in Japan 191
SabuOrkoi ta
11
The Japanese Economy: Present and Future 218
HisKaaon amori
Index 231
Contributors
Saburo Okita
Dr. Okita is chairman of the Institute for Don1estic and
International Policy Studies, which he founded in March
1981. He is also adviser to the Minister of Foreign Affairs,
the Econo1nic Planning Agency, the Science Technology
Agency and the Environn1ent Agency. Dr. Okita is special
adviser to the .International Development Center of Japan
and to the Japan Economic Research Center (JERC) of
which he was president and chairman. He was president of
the Overseas Economic Cooperation Fund (OECF, 1973-
77), foreign minister (November 1979-July 1980) and
govern1nent representative for External Economic Rela­
tions (July 1980-December 1981). Dr. Okita was director
general of the Overall Planning Bureau of the Economic
Planning Agency in the 1950s and 1960s when Japan for­
mulated and implemented its Doubling of National In­
come Plan (1 960). He is president of International Uni­
versity of Japan and is the author of 1nany articles and
books in English and Japanese, on Japan's economy and
international economic problems.
vw Contributors
Toshirnasa Tsuruta
Professor Tsuruta is a professor of economics at Senshu
University, Japan. He is also senior econon1ist of the Re­
search Departn1ent at the Research Institute of National
Econo1ny. He was a men1ber of the Antitrust Act Research
Council in Japan's FTC (a private advisory con1n1ittee for
the chairman of the FTC, 1978-82) and is a n1en1ber of
Economic Research Council for the Antitrust Policy in Ja­
pan's FTC (1 982 -) , a chairn1an of the Distribution Policy
for the Antitrust Act Research Council in the FTC ( 1983 -) .
Professor Tsuruta has authored Postwar JajJan's Industrial
Policy and coauthored a nun1ber of books on the industrial
structure and econon1ic policies of Japan.
Hisao Kanamori
Since 1973 Mr. l{anan1ori has served as president of the
Japan Econon1ic Research Center, previously as its chief
economist from 1967-70. Past professional experience
also includes positions as deputy director and chief of the
Don1estic Econon1ic Research Division of the Econo111ic
Planning Agency of Japan. Mr. l{anan1ori earned his de­
grees fro1n Tokyo University and Nuffield College, Ox­
ford University, subsequently has taught at Tokyo Univer­
sity, Waseda University, Gakushuin University, and Tokyo
University on various aspects of the Japanese econo111y.
Mznzemirhi Inoue
Mr. Inoue is a lecturer of econo1nics at Saita1na University,
Japan, and 111anager of the Econo1nic Research and In­
forn1ation Departn1ent at the Marubeni Corporation. He
studied sociology and econon1ics at Hitotsubashi U nive1·­
sity, the Japan Econo1nic Research Center, Tokyo, and
Ca1nbridge University. His professional expe1·ience in-
Contributors tx
eludes being fello w and visiting scholar of the Center for
International Affairs at Harvard University 1979- 81.
H iroyuki I tami
Professor Itami is presently an associate professor at the
Depart1nent of Commerce, Hitotsubashi University. Fro1n
1975-76 and 1982-83, he was a visiting assistant and asso­
ciate professor at the Graduate School of Business, Stan­
ford University. He has received a bachelor's degree and a
Master of Commerce degree from Hitotsubashi U niver­
sity, Tokyo, and a Ph.D. of Industrial Administration at
Carnegie-Mellon University. Professor Itami's teaching
and research interests include corporate strategy and eco­
non1ic analysis of internal organization and comparative
management. He has received numerous honors and
awards for his publications, including "The Best Literature
in Economics and Management Award for 1981" and "The
Management Science Literature Award" for 1981.
Ha ruo Shimada
Professor Shimada is professor of economics at Keio Uni­
versity, Japan. He received bachelor's and master's degrees
from Keio University and a Ph.D. fro1n the University
of Wisconsin-Madison. He also served as visiting principal
research officer of Economic Planning Agency and is
serving as a member of special committees of both Eco­
no1nic Advisory Council and En1ploy1nent Advisory Coun­
cil. He has written widely on Japanese labor-managen1ent
relations and their implications for economic growth.
Hiroshi Takeuchi
Mr. Takeuchi is managing director and chief economist of
the Long-Term Credit Bank of Japan, 1/d. He was a lec­
turer of economics at Tokyo University where he earned