Summary. This article critically sheds light on current socio-economic challenges for Japan and the need for developing a global mindset for companies in a globalizing world. With little chance for getting a management position before the age of 40 and confronted with dominating domestic demand for a monolingual male workforce, Japan’s youth gets blamed for being ‘insular’ and individually responsible for the lack of global mindsets. To improve global success, Japanese HR practices’ global talent management programs have to address the need for highly skilled and globally minded talents in Japan and their expatriates. Japan-specific, step-by-step, and creative alternative solutions may be required to make it happen.
Japan’s current unclear development of its role in global economy comes from various challenges such as two decades lasting economic stagnation  and increased competition from China and India . Salary men sweat devotedly for the big companies and government agencies for the return of stable careers, while their wives take care of raising the next generation guaranteeing the continuation of the system that has become antithetical to fast-paced global changes . A global mindset is needed for many Japanese organization, and there are calls for a related shift in education (; ). However, most Japanese companies favor domestic monolingual male workforce , which informs higher education in the way that fewer and fewer students in Japan envision to study abroad . The collectivist Japanese culture might emphasize that trend as the unity of family raises expectations for children not to stay away from their family and take care of their parents .
Japanese see the development of a global mindset as an individual rather than an organizational burden. Due to seniority-based promotion systems, only 9% of Japanese managers are below the age of 40, compared to 62% in India and 76% in China . Ironically, the lack of talents with global mindsets has not been associated with strict hiring practices, bigoted immigration policies, or with conservative firm cultures but instead the ‘insular’ young people, the so-called ‘uchimuki,’ are blamed for keeping the island inwardly retreated .
Japanese HRM practices’ global talent management initiatives have been reported to not being suitable to attract sufficient talent with a global mindset for multinational enterprises . English in Japan is still treated as belonging to the US or UK rather than being a global language . HR brokers until today have mostly focused on low-skilled short-term immigration . Therefore, not surprisingly, Japan ranks last behind all major industrialized nations regarding the percentage of foreign academics and engineers employed .
A trend of an increasing number of Japanese self-initiated expatriate entrepreneurs to developing countries in Asia indicates the presence of not only entrepreneurial but also global mindsets as related to social and sustainability missions . Japanese multinationals, however, comparatively have difficulties to go international with their often highly successful local businesses in which the home-country expatriates obviously need to re-assess their globalization abilities . For example, Japanese business men are used to relationship-based marketing  and would need to adapt to a more need-based style when selling abroad . Maybe hybrid forms of globalization activities, developed through Japan-based HR training can advance the integration of cultural differences to promote global success . Anti-globalization sentiments after the nuclear plant accident in Fukushima in 2011 and perceptions of unfairly exploitative global businesses may require an alternative kind of globalization as happening in the arts that, e.g., builds on alternative smaller destinations . Step-by-step quick wins could increase confidence in more long-term investment into global mindsets to improve results from globalization .
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