Last year, we began a series of reflections on professional and business-related concepts connected to Japan. These texts were never intended to offer lessons or prescriptions, but rather to share observations drawn from long-term exposure to Japanese corporate culture and organizational practices—an environment that often contrasts sharply with dominant Western models.
Recent debates in the West around corporate leadership, particularly following high-profile changes in major technology companies, have once again placed the role of the CEO under the spotlight. Discussions about how leaders should act, communicate, and govern organizations have multiplied, supported by extensive literature on leadership styles, charisma, and vision. Much of this discourse, however, reflects a distinctly Western understanding of what leadership looks like.
In Japan, the defining characteristic of a successful company—much like a successful sports team or research group—is not the prominence of a single individual, but the presence of talented, motivated people working within a clearly defined collective structure. The role of the chief executive is not to dominate every aspect of the organization, nor to act as an omnipresent authority, but to lead by example, embodying the company’s values through conduct, responsibility, and consistency.
Japanese business leaders traditionally avoid the spotlight. Unlike many of their Western counterparts, they tend to operate from a discreet second line, emphasizing continuity over personal branding. Japan’s corporate culture is undeniably hierarchical, with clearly defined roles and seniority. Yet this hierarchy does not necessarily translate into privilege. A well-known example dates back to 2009, when the CEO of Japan Airlines drew national attention for cutting his salary dramatically, eating in the company cafeteria, and commuting by bus—symbolic actions that reinforced a sense of shared responsibility during a period of crisis.
At a structural level, Western companies are often understood as groups of individuals working together toward a common objective. In Japan, by contrast, the company itself is conceived as a collective—a community frequently compared to a family. Individuals are not primarily encouraged to maximize personal performance for individual gain, but to contribute to the success and continuity of the organization as a whole. Purpose is collective, not individual.
This sense of community permeates all levels of the organization, from senior management to new hires. Concepts such as nemawashi (根回し, laying the groundwork through informal consensus-building) and rentai sekinin (連帯責任, collective responsibility) are fundamental to decision-making processes. Responsibility is shared, and success or failure is understood as belonging to the group, not to a single leader.
In this context, promotion to managerial or executive roles is not associated with visibility or prestige, but with increased responsibility toward the organization. Ego is generally kept in check, and financial rewards are more restrained than in Western markets. Senior Japanese executives earn significantly less than their European or North American counterparts, and corporate governance structures are typically less influenced by political or external interests, contributing to long-term stability rather than short-term optimization.
Japanese also has a term for leaders who deviate from this model: wanman shachō (ワンマン社長), literally “one-man president.” Borrowed from the idea that a bus should have only one driver, the term is used to describe executives who govern unilaterally, driven primarily by personal vision and authority. While such leadership styles may be admired in Western contexts—often associated with innovation and disruption—they are generally viewed with skepticism in Japan.
Instead, effective leadership in Japanese organizations is commonly associated with four core attributes: humility, dedication, consensus-building, and pragmatism. Leaders rarely claim personal credit for success, emphasizing team effort and organizational continuity. Decisions are made carefully, often only after broad internal alignment has been achieved, and personal ambition is expected to yield to the collective interest.
At the same time, Japanese leaders remain closely connected to the gemba (現場)—the place where value is created. Particularly in small and medium-sized enterprises, which form the backbone of the Japanese economy, executives are frequently present on the ground, engaging directly with operations and employees rather than managing exclusively from a distance.
These differences help explain why relatively few Japanese professionals choose to work abroad for non-Japanese companies, even when based overseas. Loyalty to the organizational model, the sense of belonging, and alignment of values often outweigh external opportunities. It is a distinctive approach—one that challenges conventional assumptions about leadership, success, and growth.
For companies operating internationally, understanding these differences is not merely an academic exercise. It offers an opportunity to reflect on how leadership, responsibility, and long-term value creation can be rethought in an increasingly complex and interconnected world.