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always been Japanese who would leave a job and go somewhere else, but the professional move was always downward to a smaller and less prestigious firm. This is just beginning to change. A recent news release announced that a senior official from Toyota had been hired for a leading position in another major Japanese firm. The fact that this move made the headlines indicates how rare such changes are even today. However, mobility is on the rise. Increasingly, Japanese executives insist that Japanese firms need to promote on the basis of merit and encourage young talents if Japan is to be a viable competitive player in the future. Joint ventures with foreign firms and foreign buyouts also have contributed to employee turnover. When DaimlerChrysler bought a controlling share in Mitsubishi Motors, many Japanese workers were laid off.
Since one can assume in the Japanese context that people will be with the firm for a long time, it is worth training them in a wide variety of jobs. For example, several Japanese firms regularly send employees to the Thunderbird School of International Management in Thomas SaboGlendale, Arizona. During their studies, the Japanese employees remain on the payroll of their firms and the firms pay the tuition. These firms have decided that the investment will pay many returns. The firms are not interested primarily in their employees getting a degree, although that is expected. They are willing to support the employees because they hope that the employees will learn how Americans think and are motivated. In addition, they hope that their employees will build relationships with people who will be in leading positions in the United States in the years to come. This kind of investment makes sense only if an employee will remain with the firm.
If employees will stay in the firm for the duration of their careers, it also makes sense to involve them in making decisions and sharing information. After all, they have a stake in the firm. The adversarial labor-management process in American firms is replaced with a more Thomas Sabocooperative approach. The feeling is that we are in this together; we must work problems out, and we must cooperate for the benefit of all sides. As we discussed earlier in this book, the building of group cohesiveness frequently occurs after hours in bars. Japanese managers have been known to receive lavish expense accounts to entertain colleagues and partners. Even here changes are occurring. For example, Japan's biggest brokerage, Nomura Securities and Mitsui Company, halved its entertainment budget between 1992 and 1999. The Bank of Tokyo-Mitsubishi, formed by a merger, spends less on entertainment now than either of the two banks did as separate businesses.