Episode #236: Developing Women For Leadership In Japan

Japan discriminates against women in business. Former Prime Minister Abe’s modest targets for increasing female leadership numbers failed miserably. Abe’s campaign got nowhere, and with their tail between their legs, the Government significantly lowered their targets. This lack of progress is mirrored in Japan’s Rotary Clubs, traditionally male-dominated bastions within a global organization designed to foster professional connections and community contribution.

Until recently, 94% of Japanese Rotary Clubs had no women members, including my own club. Since I joined in 2002, debates over admitting women were an annual occurrence, with opposition gradually dwindling as older members passed on. While there were no explicit rules against female members, selection processes magically excluded women. Thankfully, this era has ended in my club, although women still make up only 5% of Japanese Rotary membership, compared to the global average of 23%.

Rotary in Japan remains a stronghold of influential businessmen, from local entrepreneurs to corporate captains of industry. These clubs reinforce existing male networks built during school and university years. While Rotary membership grows globally, Japan’s numbers have sharply declined since 2000, falling to less than half the world growth average. The recent acceptance of women marks a turning point, spurred more by declining membership rather than a genuine embrace of diversity.

My own high powered club is large, wealthy, and conservative, with an average member age of 70 full of major CEOs and Chairman. If even this elite group can accept women, it does signal some broader societal change. My fellow club members are leaders of Japan’s largest corporations, so one hopes progress here reflects an evolving corporate culture.
However, women’s underrepresentation in corporate training programs and leadership reveals latent barriers. Only 30% of participants in our company in-house training programs are women. Why? Because middle management is monopolised by men who do not groom women for future leadership positions.

Diversity training is common now but often misdirected. With the current political pushback going on in America against DEI programmes, I wonder what will be the fallout in Japan? Companies here focus on upskilling women rather than educating male bosses about inclusive leadership. Often, I feel the whole exercise is a fake head nod to show they are doing something without achieving anything. The box has been checked and everyone can now move on.

True leadership goes beyond managing processes; it involves developing all employees, including women. Without addressing male Middle Management’s role in perpetuating gender bias, progress will always be elusive.

Abe’s original pathetic targets for women in leadership still remain distant. Womens’ advancement hinges on male decision-makers recognizing their role in promoting talent. Just as Rotary evolved to include women, Japanese businesses must transform their leadership approaches or pay the piper. Starting with male Middle Management, Japan’s fostering of inclusive leadership is essential for Japan’s future success. We are running out of people here and we need women to play a more active role in companies as leaders.