We aim to establish new way of management to achieve our goal of bringing wealth to everyone by incorporating
the thought process and skillset of a highly selective investor. Highly selective investors are occasionally and
deliberately less emotional to companies they invest in even though the companies are aggregation of human
beings which are emotional.
This is a new style of Japanese management where investors join the circle of management and employees to bring
in different ways of thinking.
To increase value under the coalition of management, employees, and investors to reap the benefits together
Japanese companies in the post war era were run as a “three-legged race” where management and employees strived
in unity to offer value to customers. This management model is indeed unique from a global perspective and
something Japan should be proud of.
However, in light of the significant changes to the global competitive landscape 75 years after the war, it
appears that making a roadmap to bring wealth to everyone by merely fine-tuning this three-legged business model
alone is no longer possible. In addition, we need to be mindful of the threat from activist investors that is
expected to increase.
The Japanese way of management is now being tested in terms of whether it can be used to design a management
model that can reward employees and management who have long been committed in the company or whether they will
be succumbed to activists which become aggressive and take advantage of the blind spots of the previous
management model and make unreasonable demands.
I feel Japanese companies are standing at an extremely difficult juncture where they are being asked to come up
with perfect management approaches that have both offence that strongly tread the path to reach the goal of
bringing wealth to everyone, as well as defense to protect themselves from activist investors.
A perfect management approach is on which serve as both offence and defense, and that is what Misaki advocates
as Trinity Management.
Japanese companies have a unique characteristic that people in the company have strong sense that they are
sharing the common fate as in a three-legged race example. That is why we think the stock ownership by people
working in the company should be increased to ensure that they can reap the benefits of corporate value increase
and achieve the goal of bringing wealth to everyone. To do so, it is critical to gain in-depth understanding on
the thought process of highly selective investors and import their technical expertise into organizations.
Shareholders should work with all their might, free of contradicting arguments of whether to be shareholder
capitalism or stakeholder capitalism, and those that are already working with all their might should become
shareholders
We see companies around us with Trinity Management in place where management, employees, and shareholders work
in unity to pave the path for bringing wealth to everyone, which is not at all easy…….
I’m thinking that a new Japanese style corporate management could look something like this.
