Episode #235: Michael Witt, President, Nicole Racing Japan LLC

Previously Michael was Vice-President Sales and Marketing Nicole Racing, Senior General Manager BMW Alpina, Rolls-Royce, Ferrari, Nicole Automobiles, General Manager Sales Division BMW Alpina Nicole Automobiles, General Manager Aftersales BMW Australia, Director Aftersales BMW Japan Corp, Department Head Price and Volume Planning Aftersales BMW Group, Strategic Consultant Accenture.
He has a Master’s Degree in Business Administration Otto-Friedrich Universitat Bamberg.

Leading in Japan presents unique challenges and opportunities that require adaptation and a deep understanding of cultural nuances. Michael Witt, President of Nicole Racing Japan, shares insights into his leadership journey and the lessons he has learned while managing a diverse team in a foreign business environment.

One of the fundamental aspects of leadership in Japan is the emphasis on relationships and trust. Unlike in Western business cultures, where leadership can be transactional and results-driven, Japanese employees expect a leader to be deeply engaged in their long-term well-being. Trust is built gradually through consistency, transparency, and genuine concern for employees. Witt emphasizes the importance of spending time with employees, engaging in small talk, and providing regular positive feedback. Leaders must also lead by example, as employees keenly observe their behaviour, mood, and actions.

Communication is another critical element in Japanese leadership. Language barriers can be a significant challenge, as many business discussions rely not just on words but on subtle nuances. Witt highlights the importance of learning Japanese to build deeper relationships and avoid misunderstandings. He also stresses the need for patience in decision-making, as Japan's corporate culture often involves a slow, consensus-driven approach. Processes like Nemawashi (informal groundwork discussions) ensure that major decisions are pre-negotiated before they reach formal meetings, making execution smoother.

Witt also discusses the differences between Western and Japanese attitudes toward innovation and risk-taking. While Japan may not embrace disruptive change as readily as some Western cultures, it excels in continuous improvement (Kaizen). Employees are often hesitant to take risks unless they feel supported by leadership. As a result, leaders must provide a "parachute"—offering guidance and structured support rather than simply delegating tasks and expecting independent problem-solving.

Company culture is another key factor in successful leadership in Japan. Witt describes the cultural transformation within Nicole Racing, focusing on unity and shared values under the "One Nicole" initiative. This approach emphasizes teamwork, recognition, and structured communication to align employees with the company’s long-term vision.

Lastly, Witt underscores the importance of resilience, adaptability, and personal well-being. Maintaining a positive mindset, engaging in physical activity, and having a strong support network are essential for leaders managing the complexities of the Japanese business landscape.

By respecting cultural traditions, fostering trust, and guiding employees with empathy, foreign leaders in Japan can build strong, loyal teams and drive long-term success.