May 28, 2025
Overview of Japan’s Pharma Executive Talent Market and Industry Trends
日本の製薬業界におけるエグゼクティブ人材市場と産業動向の概要
Overview of Japan’s Pharma Executive Talent Market and Industry Trends
1. 日本の製薬業界におけるエグゼクティブ採用の最近の傾向
Recent Trends in Executive Hiring in Japan’s Pharmaceutical Industry
日本の製薬業界では、景気変動の影響を受けにくい特性から、エグゼクティブ人材の採用ニーズが増加傾向にあります。国内外の企業において、マーケティングやMedical Science Liaison（MSL）などの本社機能に特化したポジションでの採用が活発化しています。また、デジタル化とオムニチャネル戦略の進展に伴い、データ分析やデジタル関連職種の求人も増加しています。
加えて、コンサルティングファームやIT企業出身者といった異業界からの登用も顕著です。オンライン面接の普及により、地理的制約を超えた人材アクセスが可能となり、AI技術を活用した採用プロセスの効率化も進んでいます。企業は「エンプロイヤー・ブランディング」に注力し、多様性の推進を背景に、女性や外国人エグゼクティブの登用が加速しています。
The pharmaceutical sector in Japan has shown resilience against economic headwinds, with a notable rise in executive hiring. Specialized positions in marketing and MSL are in high demand, and digital transformation is fueling recruitment in data and tech roles. Companies are increasingly drawing talent from consulting and IT industries. Virtual interviews and AI-driven screening have broadened candidate pools and enhanced recruitment efficiency. Emphasis on employer branding and leadership diversity—especially the inclusion of women and international professionals—is reshaping executive hiring strategies.
2. エグゼクティブ職の給与動向と報酬パッケージ
Salary Trends and Compensation Packages for Executive Roles
近年、日本の上場企業における役員報酬は上昇傾向にあり、成果連動型報酬や株式報酬の割合が増加しています。2023年度には、年収1億円を超える役員が1,120人となり、報酬開示企業も509社と過去最多を記録しました。特にCEO報酬の2/3が変動報酬というケースもあり、欧米型報酬制度が定着しつつあります。例えば、武田薬品のCEOの報酬は20億円を超える例もあります。また、物価上昇や政府の賃上げ推進により、一般従業員の給与も上昇しています。
Compensation for executives is trending upward, with performance-based and stock-linked pay gaining prominence. In FY2023, 1,120 executives earned more than ¥100 million, with 509 companies disclosing such information. CEO compensation in global firms can be especially high—Takeda’s CEO, for instance, received over ¥2 billion. Broader wage inflation and government initiatives are also lifting salaries for general employees.
3. 必要とされるスキルと顕著なスキル不足
In-Demand Skills and Notable Skill Shortages
製薬業界には高い専門性を持つ人材が多数存在する一方で、特に外資系企業においては、英語での発信力や自己主張力が不足しているケースが多く見られます。そのため、バイリンガルで異文化適応力を持つリーダー層への需要が高まっています。
薬事分野では、国際経験と英語力の両方を兼ね備えた人材が不足しており、育成型採用が進められています。さらに、デジタルスキルや戦略構築能力を備えた人材も希少で、メディカルアフェアーズにおいては実務経験と幅広い視野を持つプロフェッショナルが求められています。
While the industry boasts a technically proficient workforce, there remains a shortfall in business communication skills—particularly English fluency and assertiveness in multinational settings. Consequently, there’s strong demand for bilingual, culturally adaptive leaders. Regulatory roles suffer from a lack of internationally experienced candidates. Additionally, digital skills and cross-functional strategy expertise are scarce, especially in Medical Affairs, where broad, interdisciplinary experience is essential.
4. エグゼクティブ人材に関する研修・教育の動向
Key Developments in Training and Education for Executive-Level Pharma Talent
企業はエグゼクティブ人材の育成を戦略的に進めており、リーダーシップ研修やグローバル人材開発プログラムを導入しています。部門間のローテーションやMBA留学支援などにより、多様な経験を提供しています。加えて、階層別研修やメンター制度の導入も進んでおり、実務経験を通じてリーダーシップを育む機会が増加しています。
特に、異文化間でのコミュニケーション能力向上に向けたプログラムや、国際プロジェクトへの参加による実践型研修が重視されています。
Pharma companies are increasingly focused on cultivating future leaders through structured training programs. These include rotational assignments, MBA sponsorships, and tiered leadership development initiatives. Cultural competency and communication enhancement are key themes. International projects and mentoring frameworks are being leveraged to provide real-world leadership exposure and global readiness.
5. 日本の製薬市場の発展動向（国内企業および外資系企業）
Market Development Trends in Japan’s Pharmaceutical Industry – Domestic and Foreign Players
日本は世界第3位の製薬市場であり、2022年の市場規模は約1,060億ドル、2026年には1,180億ドルに達すると予測されています。政府は薬価制度の見直しとイノベーション促進に注力しており、スタートアップ支援や創薬に関する5カ年計画も進行中です。
国内企業は、バイオ医薬品、再生医療、デジタルヘルスといった先端分野への投資を拡大しています。外資系企業も新薬の導入や共同研究を強化しており、国内外企業間の競争と協業が並行して進行しています。
Japan’s pharmaceutical market remains vital, valued at approximately $106 billion in 2022 and expected to grow to $118 billion by 2026. Policy shifts favoring innovation, startup support, and streamlined drug development are underway. Domestic firms are investing in biologics, regenerative medicine, and digital health, while global players are increasing new drug launches and partnerships. The environment is one of both competitive and cooperative engagement.
6. 2026年の人材および市場の展望
Predictions for the Talent and Market Landscape in 2026
今後、エグゼクティブ人材を巡る競争はさらに激化すると予想されます。英語力とデジタルリテラシーを備えた次世代リーダーへの需要が高まる中、異業種や海外からの人材登用が進む見通しです。
報酬面では、成果連動型報酬のさらなる普及が見込まれ、年収1億円を超えるエグゼクティブの数も増加すると予測されます。また、ダイバーシティの進展により、女性や外国人幹部の比率が増えるでしょう。
医薬品市場は引き続き堅調な成長を遂げ、革新的な医薬品や創薬支援策を通じて、日本発のグローバルイノベーションが加速する可能性があります。
By 2026, executive hiring will become even more competitive. Strong English communication and digital expertise will be key differentiators. Cross-industry and international talent mobility will increase. Compensation packages will skew further toward performance-based models, and leadership diversity—both gender and international—will expand. The pharma market will grow steadily, and innovation fostered by startups and supportive policy will begin yielding significant results.
結論
Conclusion
日本の製薬業界は、高齢化社会による医療需要の拡大、政策的なイノベーション推進、そしてグローバル化の進展により、大きな変革期を迎えています。これに伴い、エグゼクティブ人材市場にも質的・量的な変化が求められています。バイリンガルでデジタルスキルを備えた多様性のあるリーダー人材が一層重要となり、異業種・国際市場からの人材登用や内部育成の両面で戦略的な人材マネジメントが必要とされています。
報酬制度も成果主義にシフトし、グローバル基準を取り入れた構造へと変化を遂げつつあります。企業は、優秀な人材を確保し持続的な成長を実現するために、柔軟性と革新性のある人事戦略を構築することが不可欠です。
Japan’s pharmaceutical industry is undergoing a pivotal transformation driven by demographic shifts, pro-innovation policies, and increasing globalization. As a result, the executive talent market is evolving in both scope and expectations. The demand for bilingual, digitally fluent, and diverse leaders is intensifying, necessitating cross-industry and international hiring alongside robust internal development programs.
Compensation structures are increasingly aligning with global standards through performance-linked models. To secure top talent and ensure sustainable growth, companies must craft forward-looking, adaptable human capital strategies that embrace innovation and diversity at the executive level.
We’ve had the pleasure of working with Noah Yamasaki Fish—a driven intern whose creative approach and strategic mindset significantly enhanced our marketing initiatives at Makana Partners. A junior at Connecticut College studying Economics and International Relations, Noah brought not only his academic insights but also a unique cultural perspective, leveraging his native Japanese language skills to strengthen our communication and outreach efforts Read on to discover more about Noah’s journey with us—his contributions, the challenges he overcame, and the lessons he learned along the way. We are excited to share his story and look forward to seeing where his promising career takes him next! Please introduce yourself, including your academic background and future plans. Additionally, what motivated you to choose Makana Partners for your internship? Hi, my name is Noah Yamasaki Fish. I am currently a junior studying Economics and International Relations at Connecticut College. At college I am a member of the men’s varsity squash team and the presidents of the East Asian Studies Student Advisory Board and Club Baseball team. I was motivated to choose Makana Partners for my internship because I was looking for a job where I can utilize my native Japanese language skills as well as communication skills. Executive search seemed like a profession where communication was extremely important, and as Makana Partners is based in Yokohama, my Japanese language and culture skills could be utilized. Could you describe your role and responsibilities at Makana Partners? How did you apply your academic knowledge to the tasks you were assigned? My main role and responsibility was marketing. My goal was to increase engagement on all of our social media platforms. I used knowledge that I had learned from previous experiences managing social media accounts for many of my activities at school, such as managing the East Asian studies and club baseball social media accounts. What did you enjoy most about managing our social media platforms (X, Instagram, Facebook), and why? I enjoyed seeing our engagement on our social media grow. Compared to when I first started, the amount of engagement on our social media platforms as a whole has grown significantly. Being able to quantitatively see the strategy that was being implemented was very rewarding. Which social media strategy or campaign did you feel had the biggest impact, and what made it successful? I believe that the change in the job post templates had the biggest impact on our social media. The weekly job posts are highly relevant to many people viewing the Makana Partners` linkedin page, so making sure that they had a clean look was very important. How did you go about creating growth plans for our marketing efforts, and what challenges did you face? The main way that I created growth plans for marketing efforts is by doing research on what other relevant firms are doing. Based on my research, an important part of growing a social media page is consistent uploads. This was hugely successful for our Linkedin page. However, for our social media pages that are less developed (Instagram, Facebook, X) different strategies had to be implemented. I noticed that the more that I engaged with other firms using those social media platforms the more traction that I received back through them. In your view, what could be improved in our social media strategy to boost engagement and growth? In my opinion, I believe that creating a social media that is more personable would create more engagement. For example, many of our current posts are job posts and other very industry specific postings. Recently, we uploaded Instagram reels and Youtube shorts from the Makana Podcasts. Some of these posts took off fairly quickly, and I believe that it is partially because it was a change in the normal content that is uploaded and has much more dialogue and human interaction within it. I believe that there is a lot of potential growth that can be made by continuing to make this type of content. How did working on podcast editing complement your social media work and overall understanding of our brand? Working on podcast editing complemented my social media work. I was able to work on my video editing skills and research how other people were creating their podcasts. It seems as though many people are starting to hop on the trend of creating podcasts and being able to do research on that definitely helped me with ideas for social media. Listening to some of the podcasts also helped me understand how industry leaders think and act. Can you share an example of a research project you supported and what insights it provided for our marketing? An example of a research project that I supported was the publishing of the second edition of Makana 2.0! Prior to publishing, I did research on how we will build traction and hype around the magazine. After publishing, I analyzed many of the analytics on our social media platforms to see how it performed. This provided me with a lot of insight for future marketing projects and where I should focus my efforts. Looking back at your overall experience, what advice would you offer to future interns handling social media and marketing projects? Looking back at my experience, one piece of advice I would give to future interns handling social media and marketing projects is to track metrics meticulously. When I first started, I was still learning how to use all the functions of a business’s social media platforms. Of course, there is a learning curve, but I am now able to use the majority of these functionalities. If I had been able to utilize more of the available tools earlier, I believe it might have changed the way I approached certain marketing projects. I definitely learned a lot from having this hands-on experience and looking forward to using the skills I gained in the future.
Over the past six weeks, from January to February, we had the pleasure of working with Sage—a talented intern who significantly boosted our marketing and content efforts at Makana Partners. Whether sourcing on Loxo, creating engaging social media content, or editing podcasts, she consistently demonstrated creativity and innovation. In this exclusive video interview, joined by our managing director, Yan Sen Lu, Sage reflects on her enriching experience and the collaborative culture she encountered in Japan. Yan Sen: All right, Sage, thank you very much for joining Makana Partners on your internship. This is the end of your six weeks. Sage: Thank you for having me. Yan Sen: Oh, it happened so quickly. How was your experience? Sage: It was great. I was really excited coming into it, and I was excited to partner with an executive search firm. I also really enjoyed doing more marketing work and seeing that side of things. Overall, I had a great time. Yan Sen: How was working in Japan different from working in the US? Sage: It’s a little different. I don’t know if I got the full experience because we were in a WeWork building. But one thing that stood out is how collaborative people are here compared to my previous internships back home. Also, things feel more organized here—like public transit, especially compared to New York City. Yan Sen: If you’re seeing this on YouTube or LinkedIn, a lot of the content is thanks to Ken working behind the scenes. What role or responsibility did you enjoy the most? Sage: I enjoyed sourcing on Loxo—it’s like solving a puzzle, trying to find the perfect candidate. I also liked working on social media content and getting creative with tools like iMovie and Photoshop. Learning more about AI and editing podcasts was another highlight for me. Yan Sen: That’s great. I know you spent a lot of time on the podcasts. Now, your internship was cut short—anything you wish you could have done more of? Sage: Maybe more sourcing, but honestly, I really enjoyed the marketing side and working on the podcasts. Rewatching and re-listening to the guests’ insights was very rewarding. Ken: Thanks for everything, Sage. You helped us grow in both marketing and other areas at Makana Partners. How did you manage balancing all the tasks we gave you—content creation, sourcing, and video editing? Sage: I focused on prioritizing tasks—if something needed to be posted on a specific day, that came first. I also preferred to complete one task before moving on to another, especially for bigger assignments like podcast editing. That way, nothing felt overwhelming. Ken: That’s a good approach. Yan Sen: Between us, you’re probably our best intern so far. Sage: Thank you! Yan Sen: We were impressed by your speed and quality of work. It’s just a shame the internship was short. Sage: Yeah, I enjoyed it a lot. Thank you for the opportunity.
Short interviews are gaining prominence in Japan's corporate landscape as a pragmatic solution to the nation's famously demanding work culture. The emergence of "casual meetings" (カジュ アル面談, kajuaru mendan) represents a significant shift in Japanese hiring practices, offering efficiency benefits for both employers and job seekers. This informal pre-application interview format allows companies to engage with more candidates while giving job seekers the opportunity to explore potential employers without excessive time commitments. As Japan continues to navigate labor shortages and work-style reforms, these abbreviated interview formats align perfectly with the need to respect everyone's limited time while still facilitating meaningful professional connections. Japan's Demanding Work Culture and Time Constraints Japan's reputation for intense work dedication is well-documented and creates significant time pressures for professionals throughout the country. According to 2022 data from Japan's health ministry, 10.1% of men and 4.2% of women worked over sixty hours per week, highlighting the extreme time constraints many Japanese workers face . This culture of extended working hours creates an environment where both hiring managers and job candidates have precious little time to spare for lengthy interview processes. The concept of company loyalty in Japan often manifests through extended working hours that are not just expected but sometimes contracted . Tim Craig, a researcher of Japanese culture, notes that social pressure plays a significant role in this dynamic: "If they go home early, then their colleagues will (a) look askance at them, and (b) have to work more to cover for them. Either way, it's not a good feeling" . Such pressure makes taking time off for job interviews particularly challenging, creating a situation where shorter interviews become not just preferred but necessary. Despite Japan's 2018 Workstyle Reform Act that outlawed excessive overtime, many employees still work beyond regulated hours, either by company pressure or personal choice . With only 7% of Japanese companies providing employees with the legally mandated weekly day off, the opportunity for candidates to participate in lengthy interview processes is severely limited . These time constraints affect both sides of the hiring equation, making shorter interviews an increasingly valuable adaptation. The Evolution of Interview Practices in Japan Traditional job interviews in Japan often follow formal, structured formats that can be time- consuming and stress-inducing for all parties involved. However, recent years have seen a notable shift toward more time-efficient approaches, with the "casual meeting" emerging as a popular alternative, particularly among Japanese startups and increasingly with larger corporations . These casual meetings represent an informal interview that takes place before a formal application is submitted. This approach developed as a response to changes in Japan's hiring landscape, where simply posting job openings was no longer sufficient to attract quality candidates . Today's job seekers have become more selective and cautious about formally applying to positions without first gaining insight into the company culture and work environment. Unlike traditional casual interviews in other countries, which typically occur after application as a screening mechanism, Japan's casual meetings happen before the application process . This important distinction highlights their primary purpose: to provide an opportunity for mutual exploration rather than formal evaluation. The emphasis on "casual" makes these meetings less intimidating and time-consuming for candidates who are already balancing demanding work schedules. Benefits of Short Interviews for Employers For Japanese companies operating in a time-constrained business environment, shorter interviews offer significant advantages in the hiring process. The casual meeting format enables employers to connect with a wider pool of potential candidates without committing extensive resources to formal interviews with each one . This efficiency is particularly valuable given the management time constraints in Japan's work-intensive corporate culture. Short interviews allow hiring managers to quickly assess a candidate's basic qualifications, communication style, and cultural fit without disrupting their already packed schedules. In a work culture where long hours are the norm, every minute saved in the hiring process translates to valuable time that can be redirected to pressing business matters . This is especially important for senior staff members who might be involved in interview panels. The casual meeting approach is widely considered a "win-win" scenario that benefits employers by widening their search pool without requiring excessive time investment . Companies can become acquainted with more potential employees efficiently, allowing them to make better- informed decisions about which candidates to invite for more comprehensive formal interviews later in the process. For job seekers navigating Japan's demanding work culture, shorter interviews provide numerous practical advantages. The casual meeting format allows candidates to explore potential employers without taking extended time away from their current positions, which could otherwise create tension with existing employers given the cultural expectations around work presence . Benefits of Short Interviews for Job Seekers For job seekers navigating Japan's demanding work culture, shorter interviews provide numerous practical advantages. The casual meeting format allows candidates to explore potential employers without taking extended time away from their current positions, which could otherwise create tension with existing employers given the cultural expectations around work presence . Short interviews require less preparation time and create lower stress levels than traditional lengthy interviews. In a society where 10.1% of men work more than 60 hours weekly, the ability to participate in job interviews without excessive time commitments is invaluable . Candidates can more easily fit these abbreviated meetings into lunch breaks or before/after regular working hours, minimizing disruption to their current work responsibilities. Additionally, the informal nature of these casual meetings creates a more comfortable environment for candidates to assess whether a company aligns with their career goals and work style preferences. As noted in the article from TokyoDev, this allows job seekers to "learn more about a company before they spend time and effort on a full, formal application" . This efficiency enables candidates to explore more potential opportunities without the exhaustion that would come from multiple full-length formal interviews. Cultural Considerations in Japanese Interview Practices Japanese interview practices reflect broader cultural norms that differ significantly from Western approaches. In Japan, there is a cultural tendency to avoid excessive self-promotion, which shapes how interviews are conducted . Rather than focusing on individual achievements, Japanese interview culture often emphasizes team contributions and collective success. The structure and formality of interviews can vary significantly based on company size and age. As one Reddit commenter with experience interviewing in Tokyo observed, "In smaller or more contemporary Japanese companies it will feel casual and perhaps similar to a North American one. In older/larger companies, it might feel like a panel interview but more tense" . These variations affect the interview length and format across different organizational contexts. Cultural formalities remain important even in shorter interview formats. Elements such as proper bowing, using respectful phrases like "失礼します" (excuse me), and employing keigo (formal language) continue to play crucial roles in Japanese professional interactions . Short interviews must still accommodate these cultural expectations while streamlining the substantive discussion portions. Implementation Strategies for Effective Short Interviews To maximize the effectiveness of shorter interviews in Japan's busy work environment, careful planning and structure are essential. Companies can implement several strategies to ensure these abbreviated formats yield valuable insights despite their reduced duration. Pre-interview screening through resume review and brief initial assessments can help focus the in-person meeting on the most relevant qualifications and concerns. This preparation ensures that even brief conversations can address substantive topics rather than basic information collection. Technology can further enhance the efficiency of these shorter interactions. Video interviews for initial screenings can eliminate commute time for both parties, making the process more accessible to busy professionals. This approach aligns well with Japan's ongoing efforts to modernize work practices, including the push for four-day workweeks that began in 2021 . Structured interview formats with clearly defined objectives help ensure that essential topics are covered despite time limitations. By preparing focused questions that target key competencies and cultural fit indicators, interviewers can gather meaningful information even in shortened timeframes. Conclusion The shift toward shorter interviews in Japan represents a practical adaptation to the realities of the country's intensive work culture. As Japan continues to face labor shortages and demographic challenges, with foreign workers now comprising about 3% of the workforce , efficient hiring practices become increasingly important to attract and retain talent. The casual meeting approach exemplifies how Japanese business practices are evolving to address changing workforce dynamics while respecting the time constraints imposed by traditional work expectations. By acknowledging the practical benefits of shorter interviews- efficiency for employers, accessibility for candidates, and reduced disruption to ongoing work- Japan's hiring landscape is developing in ways that better serve all stakeholders. As Japan continues to implement work reforms aimed at improving work-life balance, the trend toward more time-efficient interview practices is likely to continue and expand. These shorter interview formats not only accommodate the busy schedules of Japanese professionals but may also contribute to the broader cultural shift toward more sustainable work practices that the country is gradually embracing. Citations: https://sites.uab.edu/humanrights/2024/11/22/karoshi-the-problems-with-japans-work-culture/ https://www.tokyodev.com/articles/what-is-a-casual-meeting-in-japan https://www.reddit.com/r/japan/comments/16h8slk/if_ japan_has_a_culture_of_never_talking_highly_of/
As Japan races toward what experts call the "2025 Digital Cliff," the country is experiencing an unprecedented demand for IT professionals. Japanese businesses risk losing ¥12 trillion ($77.6 billion) annually without proper digital transformation. This challenge creates remarkable career opportunities for professionals considering a shift to the IT industry, regardless of their current background. Why More Professionals Are Making the Switch Japan faces a critical shortage of 220,000 IT workers while undergoing massive digital transformation. This talent gap comes at a perfect time, as 97% of Japanese companies are actively upgrading their technology systems. Traditional industries are embracing digital solutions, creating a unique opportunity for career changers. The aging population in Japan has accelerated the need for technology adoption across all sectors. Companies are increasingly open to international talent and professionals from non-technical backgrounds who bring fresh perspectives to the tech industry. The Benefits of an IT Career in Japan Attractive Compensation Entry-level IT positions in Japan start at approximately ¥8 million annually, significantly higher than the national average salary of ¥4.60 million. Experienced specialists in fields like AI can earn up to ¥15 million. Job Security and Growth The tech industry in Japan is projected to grow at an impressive 28.48% annually through 2030. With most companies prioritizing digital skills, IT professionals enjoy excellent job security and advancement opportunities. Work Flexibility Many tech companies in Japan now offer remote work options and flexible schedules. This work-life balance is rarely found in traditional Japanese corporate environments. Inclusive Environment Japanese tech companies are increasingly welcoming professionals without Japanese language skills, especially for senior technical roles. This openness makes the transition easier for international talent or Japanese professionals without extensive tech backgrounds. Challenges to Consider The shift to IT isn't without hurdles. You'll face a steep learning curve when acquiring technical skills. Age-related barriers may exist in some companies, though this is changing as the talent shortage grows. Competition can be intense for popular roles, making specialization important. Practical Steps for a Successful Transition Identify Your Transferable Skills Leverage your existing expertise. For example, finance professionals can excel in fintech, while healthcare workers might find opportunities in health IT. Problem-solving abilities and industry knowledge are valuable assets in tech roles. Focus on In-Demand Skills Prioritize learning skills with growing demand in Japan: Data analysis and visualization Python programming (particularly valuable in manufacturing and automotive sectors) AI and machine learning basics Cloud computing technologies Cybersecurity fundamentals Education Options Tokyo hosts over 4,000 tech companies and numerous learning resources. Consider: Coding bootcamps like Code Chrysalis in Tokyo Online courses focused on practical skills Industry certifications valued by Japanese employers Project-based learning to build your portfolio Build Your Network Approximately 78% of tech professionals in Japan secure positions through connections. Attend tech meetups, join online communities, and connect with professionals already working in the field. Your Role in Japan's Digital Future By transitioning to IT, you're not just changing careers — you're helping address a critical national challenge. Career shifters bring unique perspectives that can drive innovation in Japan's tech sector. Your non-technical background combined with new IT skills creates a powerful combination that many companies desperately need. As Japan works to maintain its global competitiveness through digital transformation, professionals who successfully bridge the gap between traditional industries and technology will be invaluable. The journey may be challenging, but the rewards — both professional and financial — make this career shift one of the most promising opportunities in Japan's evolving job market.
As artificial intelligence (AI) becomes ever more woven into our daily lives, we’re faced with a subtle but profound dilemma: Are we growing too comfortable with the answers AI provides? Like the fabled blue pill from The Matrix, the convenience of AI tempts us to accept its outputs without question-risking a descent into a Wonderland where reality is shaped by algorithms, not by critical thinking. Let’s take a closer look at why this is happening, and why it’s time to reach for the red pill of skepticism. 1. Prompt Bias: Garbage In, Garbage Out AI is not an oracle; it’s a mirror. The way we prompt AI systems-what we ask, how we phrase it, and the context we provide-directly shapes the answers we get. This is especially evident in AI-generated images, where even slight variations in wording can produce wildly different results. If our prompts are biased, incomplete, or ambiguous, so too will be the AI’s output. Example: If you ask an image generator to create a “professional person,” the result may reflect the biases present in the training data or in your prompt-perhaps defaulting to a certain gender or ethnicity. The same holds true for text-based AI: ask a leading question, and you’ll get a leading answer. 2. The Order of Prompts: Primacy, Recency, and AI Logic Humans tend to remember the first thing we read (primacy bias), but AI models often weigh the last part of a prompt more heavily. This means that the order in which we present information to an AI can dramatically affect the result. Example: If you write a prompt that starts with “Write a formal email,” but end with “make it humorous,” the AI is more likely to focus on humor because it processes the most recent instruction as most important. This subtlety can lead to outputs that surprise-or mislead-if we’re not careful about how we structure our requests. 3. The Order We Receive Information: The Time Factor in Decision-Making Not only does the order of input matter, but the order in which we receive AI-generated information can influence our decisions, especially in high-stakes contexts like hiring. Studies show that hiring managers are swayed by the sequence in which candidate information is presented, with earlier or later details disproportionately impacting final decisions. Example: If an AI screening tool presents candidate profiles in a certain order, managers may unconsciously favor those shown first or last, regardless of objective qualifications. Over time, this can reinforce existing biases and undermine fair decision-making. The Red Pill: Question Everything The allure of AI is strong-it’s fast, efficient, and often uncannily accurate. But if we stop questioning its outputs, we risk abdicating our critical faculties. Like Alice tumbling down the rabbit hole, we may find ourselves in a Wonderland where truth is whatever the algorithm says it is. So what’s the alternative? Interrogate the input: Be mindful of how you phrase prompts and what assumptions you’re embedding. Understand the process: Learn how AI systems weigh information and how prompt order affects results. Challenge the output: Don’t accept AI-generated answers at face value. Cross-check, verify, and ask follow-up questions. Stay human: Remember that AI is a tool, not a final authority. Human judgment and ethical reasoning remain irreplaceable. Conclusion As time passes, our reliance on AI will only deepen. But if we want to avoid the blue pill’s seductive trap, we must cultivate a habit of skepticism and inquiry. Take the red pill-question the output, challenge the process, and keep your mind awake. Otherwise, like Alice, we may wake up to find that Wonderland is not as wonderful as it seems.
Japan’s rural industries are grappling with a severe labor shortage, especially in isolated regions where depopulation and aging are accelerating. But on a small island in the Seto Inland Sea, one shipbuilding company is swinging for the fences with an innovative approach: using the power of team sports to revitalize its workforce and community. Iwaki Tech: A Shipbuilder’s Bold Play Iwaki Tech, headquartered on Iwagi Island in Kamijima, Ehime Prefecture, has long been a pillar of the local economy. The company specializes in manufacturing steel blocks for ship hulls and boasts the nation’s top share in hatch covers for cargo ships. Despite stable business performance, Iwaki Tech has struggled for years to attract young talent, a challenge exacerbated by Japan’s demographic headwinds and the island’s remote location. Over the decade leading up to 2020, the company managed to hire only one new graduate every two years. To address this, Iwaki Tech formed a dedicated recruitment team in 2021, resulting in a modest uptick in hires. However, most new recruits preferred working at the company’s factories on the mainland, accessible by road, rather than the main plant on Iwagi Island, which requires a ferry ride—a logistical hurdle that often deters young workers. A Game-Changing Idea: The Birth of a Baseball Team The breakthrough came in February 2024 at a casual gathering, when a local suggested that forming a baseball team could attract young people eager to continue playing the sport after high school or college. With ample sports facilities on Iwagi and neighboring Ikina Island, the idea quickly gained traction. Within months, enough interest was generated to form a team, and by October, the Iwaki Tech Baseball Club was officially launched. The team now fields 18 players aged 18 to 30, including six new hires set to join the company in April. Their rallying cry, “From the island to the national stage,” reflects both their sporting ambitions and the company’s hope to draw national attention to Kamijima. Beyond Recruitment: Revitalizing the Island Community The impact of the baseball club extends far beyond the company gates. Practices resound with youthful energy, a rare commodity on an island with a population of just 6,000. Players, some of whom have relocated from urban areas, note the superior training environment and the warm integration into local life—participating in festivals and receiving encouragement from residents. Company leaders see the club as a dual opportunity: to develop employees both on the field and in the shipyard, and to showcase the unique lifestyle and career opportunities available on the island. As General Manager Daijiro Yamamoto puts it, “We hope they’ll discover the joy of island life and shipbuilding, and stay with us for the long term”. A New Era for Ehime Baseball and Regional Revitalization With Iwaki Tech’s entry, Ehime Prefecture now boasts two corporate baseball teams, rekindling local enthusiasm for the sport and providing healthy competition for the established Matsuyama Phoenix club. Industry leaders and local officials alike hope that this rivalry will not only elevate the level of play but also help attract more young people to the region, supporting both sports and economic revitalization. Key Takeaways for Regional Employers Innovative Recruitment: Leveraging sports and other extracurricular activities can make remote workplaces more attractive to younger generations. Community Engagement: Integrating new employees into local life fosters a sense of belonging and mutual support. Dual Development: Programs that combine professional and personal growth help retain talent and build organizational loyalty. Conclusion Iwaki Tech’s bold experiment demonstrates that tackling Japan’s rural labor shortage requires creativity, community spirit, and a willingness to try new approaches. By turning to baseball, the company is not just building a team—it’s building a future for the island and its industry. Author: Yan Sen Lu, Managing Director - Makana Partners Source: https://mainichi.jp/articles/20250308/k00/00m/050/ 078000c
We are excited to welcome you to the third issue of Makana 2.0 —our flagship e-magazine that brings together thought leaders from across industries to share valuable insights on HR, leadership, and technology, with a special focus on Japan and Asia. As we move from the quiet of winter into the vibrant bloom of spring, the cherry blossoms remind us of renewal and growth—values that continue to guide our mission. With each issue, we aim to bring you fresh, forward-thinking insights to help you thrive in today’s fast-changing business landscape. In this edition, we’re proud to feature: Francis Fung , who explores how underrepresented groups—especially orphans—can help address Japan’s pressing labor shortage while advancing ESG goals. Linkedin Hiroyuki Nagashima , CEO of ToiToi, on the power of relationships in shaping corporate culture. Linkedin Naotake Momiyama on the top three value-added contributions of an HR business partner. Linkedin And a special piece from Yan Sen Lu , sharing key considerations when hiring leadership talent in Japan. Linkedin These stories are meant to spark ideas, challenge assumptions, and support your journey as a business leader navigating Asia’s unique challenges and opportunities. As always, we welcome your feedback—it helps us make each issue better. And if you have ideas or stories you’d like to contribute, we’d love to hear from you. Thank you for being an integral part of the Makana community. Link to article: Makana 2.0 - Issu e 3 Stay informed. Stay inspired. Stay ahead.
When considering a senior leadership hire for a multinational corporation (MNC) operating in Japan, the evaluation criteria must go beyond conventional metrics such as English proficiency, business acumen, technical expertise, or even leadership skills like P&L management. While these qualities are undeniably important, the most critical attribute lies in the ability to bridge cultural divides—translating Japanese corporate culture and consumer trends to global headquarters, while simultaneously adapting Western management principles to resonate with a Japanese workforce. Understanding Japanese Corporate Culture Japanese corporate culture is deeply rooted in traditional values such as harmony (wa), hierarchy, and group cohesion. These principles stem from the country’s major religious practices—Shintoism and Buddhism—which have profoundly shaped societal behaviors and workplace dynamics. Shintoism emphasizes harmony with nature and reverence for spiritual entities (kami), fostering rituals that celebrate purity and interconnectedness. This cultural foundation translates into workplace practices that prioritize collective well-being and respect for nature. Buddhism, particularly Zen, emphasizes mindfulness, simplicity, and dedication. Its influence is evident in Japan's meticulous work ethic and the pursuit of perfection in craftsmanship (monozukuri). These values manifest in corporate environments through practices like lifetime employment, consensus-driven decision-making (e.g., nemawashi), and risk aversion. Employees often prioritize loyalty to their organization over individual ambition, reflecting a collectivist mindset. Challenges for MNCs in Japan Western management principles—such as individualism, direct communication, innovation, and flat hierarchies—often conflict with Japanese tendencies toward group harmony, hierarchical respect, and long-term stability. For example: Decision-making in Japan is consensus-driven and deliberate, contrasting sharply with the results-oriented urgency of Western businesses. Japanese employees value loyalty and collaboration over competition or personal recognition, which can clash with performance-based incentives common in Western firms. When MNCs attempt to impose Western-centric cultures in Japan without adaptation, they risk alienating both their workforce and their customer base. The Role of Leadership: Bridging Cultures The savviest senior leaders are those who can integrate the best aspects of both cultural philosophies. They act as cultural translators—bridging gaps between Japanese traditions and global business objectives. This requires: Cultural Sensitivity: Understanding the nuances of Japanese corporate values like harmony (wa), loyalty, and meticulous attention to detail. Adaptability: Tailoring Western management principles to align with Japanese expectations without compromising organizational goals. Strategic Communication: Translating global HQ’s vision, mission, and targets into culturally resonant messages for Japanese teams. Relationship Building: Cultivating trust among Japanese employees while maintaining alignment with international stakeholders. In conclusion, the most successful senior leaders in Japan are not merely fluent in English or adept at managing P&L; they are cultural integrators who harmonize divergent philosophies into a cohesive strategy. By blending the collectivist ethos of Japanese corporate culture with the innovative drive of Western management principles, these leaders create organizations that are not only competitive but also deeply attuned to local market dynamics. In an increasingly globalized world, this ability to bridge cultures isn’t just desirable—it’s essential for sustainable success.
It feels like AI should give us more free time, right? But instead, many of us feel busier than ever. Why is that? It's not just one thing, but a bunch of changes in how we work and how we think about work, especially as we're still figuring out how to use AI. We Expect More, So We Do More Sure, AI can make us more productive. Studies show people can get about 66% more done with AI. But here's the catch: companies see that and expect more. If you used to handle ten tasks, now they want you to do seventeen, thinking AI will make it easy. So, you're getting more done, but you're not getting any time back. You're just filling those saved hours with even more work. Think of it like a productivity trap. One legal consultant even found himself on a whirlwind of international flights and speaking engagements because of AI-driven demand. Setting Up AI Takes Time and Effort AI isn't a magic button. It takes work to get it running smoothly. You have to: Train it: People spend a lot of time teaching AI systems what to do. Change how you work: You need to redesign your workflows to fit AI, which can take months, even over a year. Check its work: You can't just trust AI blindly. You have to edit, fact-check, and make sure it's doing a good job. Basically, you end up doing your old job and your new AI-related job for a while, which adds to the feeling of being overwhelmed. Too Many Choices, Too Much Pressure AI gives you tons of data and insights, way more than you're used to. This can lead to: Decision paralysis: You get so much information that you don't know what to do. Constant pressure to improve: AI shows you how to optimize everything, so "good enough" isn't good enough anymore. The need to constantly learn: You have to keep up with the latest AI tools and skills. Imagine going from setting monthly marketing campaigns to having to tweak them daily based on real-time data. It's exhausting. We're Not Delegating Properly We often use AI to do more tasks, not to take tasks off our plate. We're "AI babysitting" instead of letting it do its job. We spend a lot of time tweaking prompts and double-checking its work, which just creates more work for us. To use it right, we should be offloading entire tasks, having AI do most of the work and we just polish it, or letting AI run independently with oversight. Work Never Stops AI makes it easier to work 24/7. With things like instant translation and automated follow-ups, work can bleed into your personal time. People are finding themselves doing more little work tasks after hours than ever before. Everything Is Visible Now AI tools can track everything you do, making previously hidden workloads very obvious. Now, companies can see every inefficient meeting and email response gap. This leads to people feeling like they have to fill every minute of their workday to look productive, even if it's not actually productive. Finding a Balance AI can save us time, but we need to change how we use it. We need to: Rethink our work expectations. Create boundaries and AI-free zones. Use AI to focus on important things, not just to do more stuff. The key is to use AI to work differently, not just to work more.
The senior HR executive market in Tokyo is experiencing significant transformation driven by demographic shifts, technological advancements, and evolving corporate priorities. While Japanese companies continue to adapt their human capital strategies to compete globally, they face unique challenges in attracting and retaining top HR leadership talent. This analysis examines the current state of the HR executive landscape in Tokyo, with particular emphasis on multinational corporations, revealing a complex interplay of factors shaping this specialized segment of the labor market. The research highlights a significant talent shortage at the executive level, substantial compensation disparities between Japanese and Western companies, and growing emphasis on digital transformation capabilities within HR leadership roles. Market Dynamics for Top-Tier HR Talent in Tokyo The executive search market in Japan, including for senior HR positions, remains in a relatively immature state compared to other global markets, having existed for a significantly shorter period than in regions like North America and Europe. This market immaturity creates unique challenges for companies seeking to fill leadership positions in Tokyo's competitive business environment. A critical issue facing organizations is an unprecedented shortage of executive and leadership talent, particularly in specialized functions like human resources, which stems largely from inadequate succession planning practices within Japanese corporations. This talent gap has been exacerbated by the COVID-19 pandemic, which created numerous leadership vacancies as companies were forced to manage Japanese operations remotely from overseas headquarters. The broader demographic challenges facing Japan are directly impacting the HR executive market. Japan is gradually transforming into what experts describe as a "limited labor-supply society," with demographic statistics projecting a continuous growth in the elderly population until 2044, while simultaneously experiencing a rapid decline in the working-age population until 2040. This demographic shift creates a structural and chronic shortage of labor that extends to the executive level across all functions, including human resources. The situation requires HR leaders with sophisticated strategies for talent management in an increasingly constrained labor market, making such professionals even more valuable and harder to secure. Human Resource officers in Japan are actively grappling with the challenge of adapting their hiring strategies to remain competitive in the face of growing pressure from global competitors. Chief Human Resources Officers (CHROs) from major Japanese firms such as Fujitsu, Panasonic, Marubeni, KDDI and OMRON have openly acknowledged the importance of investing in their people while simultaneously recognizing the significant difficulties in implementing effective human capital strategies. This consensus among industry leaders underscores the complex market dynamics for HR talent in Tokyo, where demand for strategic HR leadership continues to grow while the supply of qualified candidates remains constrained. HR Leadership Dynamics Across Different Industries The technology sector in Japan demonstrates a particularly diverse and specialized approach to HR roles, as evidenced by Rakuten's extensive HR department structure. Within this major e-commerce and technology company, HR positions span specialized functions including talent acquisition, employee relations, organizational optimization, HRIS (Human Resource Information Systems) management, and dedicated training and development roles. This sophisticated segmentation reflects the tech industry's need for HR leadership that can support rapid innovation while managing the unique challenges of attracting and retaining technical talent in a competitive market. The presence of specialized roles such as "Business Skills Trainer and Consultant" and "Talent Management Specialist" indicates the strategic importance tech companies place on developing human capital as a competitive advantage. In contrast, traditional manufacturing and telecommunications sectors in Japan appear to be placing increased emphasis on transformational HR leadership. Companies like Fujitsu, Panasonic, and KDDI are actively seeking HR executives who can drive cultural change while balancing traditional Japanese business practices with global best practices. These industry leaders recognize that maintaining competitiveness requires fundamental changes to their people strategies, particularly as they expand their global operations. The manufacturing sector faces additional HR challenges related to automation and aging workforces, requiring HR leadership with change management expertise and strategic workforce planning capabilities. Multinational companies operating in Japan represent a distinct segment within the market, with 80-90% of executive search clients being foreign capital companies headquartered outside of Japan. These organizations typically require HR leaders who can successfully navigate the intersection of Japanese business culture and international corporate practices. English language proficiency is consistently described as a necessity for these roles, while Japanese language skills represent a significant advantage but are not always mandatory. This creates a rather narrow candidate pool of bicultural, bilingual HR professionals who understand both Japanese employment practices and global HR standards. Recent Trends in HR Leadership Roles at Multinational Companies Digital transformation has emerged as a central focus for HR leadership roles in Japan, with companies increasingly seeking HR executives who can leverage technology to enhance workforce productivity and strategic capabilities. Tokyo Century, for example, has positioned digital transformation as a cornerstone of strengthening its management base and driving innovation in its corporate culture and business model. The company established a dedicated DX Strategy Division in December 2020 and has been advancing initiatives that include harnessing digital technology to enhance corporate value and bolster competitiveness. This trend requires HR leaders with technological fluency and change management expertise who can drive digital adoption throughout the organization. The COVID-19 pandemic has fundamentally altered leadership dynamics in multinational companies operating in Japan. Many leadership positions remained vacant locally during the pandemic, with companies forced to manage their Japanese teams remotely from overseas headquarters. In some extreme cases, expatriate executives on typical three-year rotational assignments never physically relocated to Japan during their entire tenure 1 . While these restrictions have eased with the loosening of pandemic-related travel constraints, they have accelerated the adoption of remote and hybrid work models, requiring HR leaders to develop new approaches to talent management, engagement, and organizational culture in distributed work environments. Human capital management has become a strategic priority for HR leaders in Japan, with CHROs from major Japanese firms actively discussing how to evolve their people strategies to remain competitive. This represents a shift from traditional Japanese HR practices focused primarily on administrative functions toward more strategic approaches that view human capital as a critical driver of organizational performance. The growing emphasis on human capital management requires HR executives with strong business acumen who can align workforce strategies with broader corporate objectives and demonstrate the ROI of people-related investments to senior leadership. Competitiveness and Retention Challenges in the HR Executive Market The scarcity of qualified HR leadership talent in Tokyo has created a highly competitive environment where strong candidates frequently receive competing offers. While specific counteroffers data isn't provided in the search results, the documented "unprecedented lack of executive and leadership level talent" strongly suggests that companies must be prepared for bidding wars when pursuing top HR candidates 1 . Organizations that fail to move quickly in the hiring process or that present uncompetitive offers risk losing candidates to more agile competitors, particularly multinational corporations with greater compensation flexibility. The combination of demographic pressures and increasing demand for specialized HR expertise creates a sellers' market for experienced HR executives with international exposure. This market dynamic places additional pressure on companies to develop comprehensive retention strategies for their HR leadership talent. While not specific to HR roles, we can observe that Japanese companies are increasingly recognizing that their traditional compensation approaches may be insufficient for retaining top talent. The movement toward more aggressive incentive structures among leading Japanese firms suggests an evolving approach to executive retention that places greater emphasis on performance-based rewards. Companies are counteracting talent bottlenecks through various approaches, including repatriating Japanese talent from overseas to fill leadership roles. This strategy leverages professionals who have gained international experience while maintaining cultural ties to Japan, creating a valuable talent pool for HR leadership positions that require both global perspective and local knowledge. The success of repatriation efforts depends significantly on companies' ability to provide compelling value propositions that address both professional aspirations and personal considerations, as these candidates often have multiple options in global markets. Challenges in Sourcing Exceptional HR Talent for Leadership Positions The fundamental challenge in sourcing exceptional HR talent for leadership positions in Tokyo stems from Japan's demographic realities. With the working-age population declining rapidly until 2040, the overall pool of available talent is shrinking, creating competitive pressure across all executive functions. This demographic constraint is particularly acute for specialized roles like HR leadership, where candidates must possess both technical expertise and strategic business capabilities. Companies must develop increasingly sophisticated talent strategies to identify and attract qualified candidates in this constrained market. Language barriers and cultural differences represent significant obstacles in the HR executive search process. For multinational companies, English language proficiency is typically a non-negotiable requirement, while Japanese language skills are highly valued but not always mandatory. This bilingual requirement substantially narrows the candidate pool, particularly for positions requiring both languages at business proficiency levels. Cultural fit presents an additional challenge, as HR leaders must effectively bridge Japanese business practices with global corporate expectations, requiring nuanced understanding of both contexts and the ability to navigate potential conflicts between them. The executive search practice in Japan remains relatively underdeveloped compared to other markets globally, creating additional sourcing challenges 1 . Many international search firms have attempted to enter the Japanese market but have struggled to adapt their approaches to the unique talent landscape of Japan. These firms have often overpromised results without fully understanding the local context, leading to disappointing outcomes for clients. This situation highlights the importance of working with search partners who possess deep knowledge of the Japanese HR executive market and maintain extensive networks within this specialized community. Salary Ranges and Compensation Structures for Senior HR Positions Senior HR executives in Tokyo, including roles such as Chief Human Resources Officers (CHROs), HR Directors, and Talent Management Heads, experience compensation trends that mirror Japan’s executive pay landscape while reflecting the strategic value of HR leadership. Although granular data for HR-specific roles is limited, benchmarks from senior management provide insight. Base salaries for HR leaders in Tokyo typically range between ¥13,000,000 to ¥14,500,000 annually, with top performers in transformative or global HR roles earning ¥15,000,000 to ¥16,500,000. Total compensation often includes HR-specific incentives tied to talent outcomes, such as retention rates, succession planning success, or diversity metrics, alongside traditional benefits like housing allowances or retirement contributions. Japanese vs. Western HR Compensation Practices A notable gap persists between Japanese firms and Western multinationals (MNCs) in structuring HR executive pay. Japanese companies historically prioritize fixed salaries, with bonuses averaging 20–30% of base pay for HR roles, compared to Western MNCs, where performance-linked incentives (e.g., achieving workforce scalability goals or digital transformation milestones) may constitute 40–60% of total compensation. Long-term incentives (LTIs) like stock options or deferred bonuses, common in Western HR packages, remain underutilized in domestic firms but are gaining traction for roles requiring global expertise.