IDEAS home Printed from https://ideas.repec.org/p/eti/rdpsjp/19009.html
   My bibliography  Save this paper

What is New in the Japanese-Style Management System? An Analysis of HR Policy Processes in Japanese Companies (Japanese)

Author

Listed:
  • UMEZAKI Osamu
  • YASHIRO Atsushi

Abstract

This study analyzes changes in the HR policy of Japanese corporations led by Nikkeiren (the Japan Federation of Employers' Association), based on the Nikkeiren reports and oral history documents that we created by interviewing former staff. The study focuses on the "New Japanese-Style Management System—Direction and Concrete Practices that Should Be Attempted," which was announced in 1995, and examines the novelty and continuity of its HR policy. The results revealed the following four findings: (1) During the 1970s and 1980s, HR policies were primarily ability-based systems. The job-ability-based grade system and pay-for-job-qualifications systems caused problems, such as having excess numbers of qualified people and a lack of open positions. Internal professional systems were introduced to overcome such issues. (2) New Japanese-style management has been criticized as the origin of the "employment portfolio" and associated with reductions in labor costs and unstable employment after the collapse of the bubble economy. However, employment portfolios applied to two categories of human resources (i.e., "flow" human resources and "stock" human resources) during the economic bubble in the late 1980s. (3) New Japanese-style management practices were positioned such that they should have inherited a long-term perspective and emphasized human resource development in a similar fashion to the HR policies of the 1970s and 1980s. (4) The novelty of new Japanese-style management as an HR policy lies in the fact that it further separated the two categories of human resources to include the new category of "employment portfolio" (resulting in three categories) human resources. Advanced, professional skills-oriented groups that were supposed to be short-term employees were different from the internal professional systems in vogue until the 1980s. This new category of employment portfolio—personnel that created high added value—was embodied within the HR policy of integrating outside talent. However, a debate remained regarding whether the threefold classification system of categories of human resources should be maintained as opposed to the twofold system. Moreover, no confirmation of the increase in advanced, professional skills-oriented groups was provided until the early 2000s. In other words, it was presented as an HR policy but was not put into practice. Discussions on how advanced, professional skills-oriented groups should be developed still continue to this day.

Suggested Citation

  • UMEZAKI Osamu & YASHIRO Atsushi, 2019. "What is New in the Japanese-Style Management System? An Analysis of HR Policy Processes in Japanese Companies (Japanese)," Discussion Papers (Japanese) 19009, Research Institute of Economy, Trade and Industry (RIETI).
  • Handle: RePEc:eti:rdpsjp:19009
    as

    Download full text from publisher

    File URL: https://www.rieti.go.jp/jp/publications/dp/19j009.pdf
    Download Restriction: no
    ---><---

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eti:rdpsjp:19009. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: TANIMOTO, Toko (email available below). General contact details of provider: https://edirc.repec.org/data/rietijp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.