Japan Decision Making
Unlimited Access to Our Library
300+ videos covering the world's major economies, highlighting key global business topics, local cultures and nuances.
Original content from our country & business experts.
Start Exploring Today For Less Than
$17 a month
Understanding Formal and Informal Decision-Making Processes in Japan
By Western standards, the way the Japanese make decisions may seem slow and tedious. The Japanese tend to be cautious and thorough, with a tendency toward kiken kaihi, or risk avoidance, and prefer to conduct business by using a group of employees, usually two or three people of various ranks. Learn about the critical Japanese decision-making process, called ringi-seido, where authority and responsibility are shared through a bottom-up process of reaching consensus. Critical to this process is the ringi-sho, a written proposal concerning the decision, which is circulated in various departments and then upward through the chain of management command. Review how the Japanese use the concept of nemawashi, informal discussions, to build consensus.