Column

One of the first differences many foreign companies notice when doing business in Japan is the significant role played by individual counterparts. Even when contracts clearly define the scope of services, in practice, who is in charge often matters just as much as what is agreed upon.

This stems from a business culture that places strong emphasis on long-term relationships. Rather than viewing transactions as one-off exchanges, Japanese companies tend to build trust gradually through continuous interaction. As a result, business operations often run smoothly not only because processes are defined, but because mutual understanding has been developed over time.

In this context, a change in the person in charge is not seen as a simple personnel update. It can be perceived as a reset of the relationship that has been built, requiring time and effort to rebuild the same level of trust and understanding.

The impact of a change in personnel is not always fully captured in handover documents or process manuals. While formal knowledge can be transferred, more subtle elements—such as background context, decision-making nuances, and implicit expectations—are often harder to communicate.

For example, even when handling similar tasks, differences may arise in how much verification is considered necessary or how proactively information should be shared with the client. These variations can gradually affect both the speed and consistency of operations.

From the client’s perspective, a change in the person in charge may also mean having to re-explain business practices, expectations, and past decisions. This increases communication costs and can lead to a temporary decline in efficiency.

These “hidden costs” are difficult to quantify but can have a meaningful impact over time. This is one of the reasons why continuity in personnel tends to be valued in Japan.

For many foreign companies, this emphasis on individual continuity may not be immediately intuitive. In many global organizations, roles and processes are standardized to ensure that operations can continue smoothly regardless of who is assigned.

However, in Japan, the quality of operations often depends on accumulated understanding and ongoing communication between specific individuals. When this difference is not fully recognized, it can lead to questions such as:

“Why does the same request take longer than before?”

“Why has the level of detail or responsiveness changed?”

These concerns often stem not from a lack of capability, but from differences in how knowledge and relationships are maintained.

To address this gap, it is important to go beyond simply outsourcing tasks and instead build a partnership based on continuity and shared understanding.

To achieve stable back-office operations in Japan, it is important to recognize that while continuity of personnel is ideal, changes are sometimes unavoidable. What truly matters is having a system in place that minimizes the impact of such changes.

In this respect, Business Process Outsourcing (BPO) plays a role beyond simply delegating tasks. It can also absorb the risks associated with changes in personnel—risks that would otherwise fall on the client’s side.

At EPCS, we address this by organizing our services around a team-based structure. Each client engagement is supported by a team of at least three professionals, ensuring that knowledge and context are shared rather than concentrated in a single individual.

This approach allows us to maintain consistency in service quality even if one team member changes. Clients can continue to receive seamless support without disruption, as the broader team retains a comprehensive understanding of their operations.

In Japan, where continuity is highly valued, the key is not only to keep the same people in place, but also to ensure that the service remains consistent even when changes occur. A well-designed team structure is essential in achieving this balance and sustaining long-term trust.