TOKYO: Rakuten, the ecommerce group, and Softbank, the telecoms giant, are among a growing number of Japanese companies undertaking an "Englishnisation" as they seek to expand abroad.
At present, Rakuten, the third-biggest ecommerce firm globally, trades in 25 countries, and overseas employees comprise 30% of its workforce. As Japan's share of global GDP falls from 12% in 2006 to some 3% in 2050, these trends could gain pace.
"When I announced the 'Englishnisation' project to all members of the Rakuten group, they went very quiet," Hiroshi Mikitani, its chief executive, told Deutsche Welle. "I expected them to disagree with me, or to see some excitement among them, but they just looked confused."
A failure to implement equivalent policies in the past meant Japanese corporations did not exploit their early advantages in areas like the smartphone and advanced camera categories, Mikitani added.
"We could have set global standards for all those things, but a lack of global aspirations and English language skills prevented us from becoming the global leader," he said. "We need to open our eyes."
Softbank is pursuing such a goal, acquiring a 70% stake in Sprint Nextel, its US counterpart. A scheme offering ¥1m to staff scoring well in English language tests has further underlined its objectives.
"It was something that we introduced simply to improve employees' English skills as we expand into new markets where the language is required to do business," Hiroe Kotera, a Softbank spokeswoman, said. "This also helps our staff as it improves career options."
Fast Retailing, the parent of fast fashion chain Uniqlo, made English its official language last year, and has set the target of operating 439 stores outside Japan by the end of August 2013.
Tadashi Yanai, president of Fast Retailing, argued an inability to speak English would "be tantamount to not having a driver's license even though they have to drive" in the global business arena.
Lawson, the retailer, has announced its own plans to make greater use of English, with Nissan and Toyota, the automakers, following a similar path.
Such strategies are not limited to Japan, however, as Airbus, Daimler-Chrysler, Nokia, Renault and Samsung all now officially use English, a study published in the Harvard Business Review showed.
"If you'll have members in different countries needing to collaborate ... it will become more important that even middle managers and employees with international assignments will need a common language in order to interface with others," said Tsedal Neeley, of the Harvard Business School.
At present, Rakuten, the third-biggest ecommerce firm globally, trades in 25 countries, and overseas employees comprise 30% of its workforce. As Japan's share of global GDP falls from 12% in 2006 to some 3% in 2050, these trends could gain pace.
"When I announced the 'Englishnisation' project to all members of the Rakuten group, they went very quiet," Hiroshi Mikitani, its chief executive, told Deutsche Welle. "I expected them to disagree with me, or to see some excitement among them, but they just looked confused."
A failure to implement equivalent policies in the past meant Japanese corporations did not exploit their early advantages in areas like the smartphone and advanced camera categories, Mikitani added.
"We could have set global standards for all those things, but a lack of global aspirations and English language skills prevented us from becoming the global leader," he said. "We need to open our eyes."
Softbank is pursuing such a goal, acquiring a 70% stake in Sprint Nextel, its US counterpart. A scheme offering ¥1m to staff scoring well in English language tests has further underlined its objectives.
"It was something that we introduced simply to improve employees' English skills as we expand into new markets where the language is required to do business," Hiroe Kotera, a Softbank spokeswoman, said. "This also helps our staff as it improves career options."
Fast Retailing, the parent of fast fashion chain Uniqlo, made English its official language last year, and has set the target of operating 439 stores outside Japan by the end of August 2013.
Tadashi Yanai, president of Fast Retailing, argued an inability to speak English would "be tantamount to not having a driver's license even though they have to drive" in the global business arena.
Lawson, the retailer, has announced its own plans to make greater use of English, with Nissan and Toyota, the automakers, following a similar path.
Such strategies are not limited to Japan, however, as Airbus, Daimler-Chrysler, Nokia, Renault and Samsung all now officially use English, a study published in the Harvard Business Review showed.
"If you'll have members in different countries needing to collaborate ... it will become more important that even middle managers and employees with international assignments will need a common language in order to interface with others," said Tsedal Neeley, of the Harvard Business School.
Data sourced DW, Asahi, CNN; additional content by Warc staff
