Episode #36: Glen Fukushima Ex-CEO Airbus Japan

Once on the Board of Governors for the American Chamber of Commerce Japan, being Vice-President for six years and President for two, Glen Fukushima has an incredible wealth of knowledge in business, government and law. Studying at the prestigious Stanford and Harvard university, Mr. Fukushima worked in government including the Office of the United States Trade Representative where he was heavily involved in US-Japan trade negotiations. He then transitioned into the private sector, becoming Vice-President of AT&T Japan, President and CEO of Arthur D. Little, President and Chairman of Cadence Design Systems Japan, President, CEO, Chairman and Director of Airbus Japan, and now Senior Fellow at Center for American Progress.

Despite his experience in negotiation, Mr. Fukushima explains that leading a Japanese organization with a global headquarter had many challenges, largely due to different expectations and way of operation. For example, Mr. Fukushima recalls his struggle to convince headquarters to adjust the performance evaluation system in Japan and avoid firing people for being bad performers like they did in the US. He also found difficulty navigating between headquarters who expected detailed reports from him on business in Japan, and his direct reports, who only expected him to manage higher-level matters.

To deal with such challenges, Mr. Fukushima notes the importance of understanding Japanese values and respecting long-term relationships, as well as producing results. Mr. Fukushima also drew heavily on his diverse experience working in other American and European companies to persuade headquarters on how things are done differently in Japan. Additionally, Mr. Fukushima encouraged his Japanese team to interact with others outside of Japan on occasions such as regional meetings and visiting headquarters to establish better relations and broaden both cultures’ perspectives.

To encourage innovation, Mr. Fukushima worked on changing the Japanese risk-averse mind-set by rewarding those who would try out new ideas. Moreover, in leading multi-national organizations in Japan, Mr. Fukushima explains: “I think one of the selling points is that we're more innovative, we have new ideas, and to succeed in Japan, we can't do what the entrenched Japanese companies are already doing. Because unless we do something different and something better, we're not going to succeed.”

Mr. Fukushima gives fantastic advice for any foreigner who is going to Japan for the first time and will be leading a Japanese team. Firstly, he indicated the importance of understanding differences between Japan and the US and adjusting one’s actions to respect Japanese culture. Secondly, Mr. Fukushima advises to learn from others and seek those who are experienced in working in Japan such as joining study groups (benkyokai). Thirdly, he emphasizes that respecting continuity, consistency, and precedence are all very important in Japan. Therefore, it is important to understand and respect the history, instead of trying to change everything. Lastly, he notes the increasing diversity of Japan during recent times. Mr. Fukushima states: “On the one hand, you could talk about large traditional Japanese companies from the pre-war period, they've been around for a hundred years…And then on the other hand, you've got these newer companies that are…similar to Silicon Valley companies…So, one caution I would add is that you need to realize that there's tremendous diversity in Japan and know what kind of organization you're dealing with.“

Once on the Board of Governors for the American Chamber of Commerce Japan, being Vice-President for six years and President for two, Glen Fukushima has an incredible wealth of knowledge in business, government and law. Studying at the prestigious Stanford and Harvard university, Mr. Fukushima worked in government including the Office of the United States Trade Representative where he was heavily involved in US-Japan trade negotiations. He then transitioned into the private sector, becoming Vice-President of AT&T Japan, President and CEO of Arthur D. Little, President and Chairman of Cadence Design Systems Japan, President, CEO, Chairman and Director of Airbus Japan, and now Senior Fellow at Center for American Progress.