Revisiting the Roots...

Recently I went on a ten day trip back home to Canada and as usual was reverse culture shocked by a number of different things extending from extreme customer service standards ranging from exemplary to downright poor. A lot of this stems from Canadian culture being a lot more direct with actions often seeming dependant on the mood of the service provider. This mind you is on the micro scale and relating to services at or within restaurants, gas stations, ticket kiosks, clothing stores etc. These interactions contrast highly with that of Japan in that these low level service opportunities are almost always at an extremely high level of service. To make this point simpler to understand, just walk into a MacDonald’s here in Japan and do a mental comparison about how that situation would differ in your home country. This notion is not something new and is a point I touched upon in an earlier blog upon reading Tim Clark and Carl Kay’s book Saying Yes to Japan. I suppose that visiting one’s home and experiencing it yet again one is struck by how true this.

These thoughts led me to the other points Clark and Kay drive home of which they state the higher end services are usually at a much higher level outside of Japan. It seems that as the transaction values go up along with the customer’s stake in the transaction the service levels go south. This is where the opportunities lie for those willing to dig below the surface. A few more interesting points that were raised in the book mention that successful foreign entrepreneurs exhibited five traits that seemed to give them an edge within Japan. These included:

1) propensity for risk taking
2) flexibility
3) customer focus
4) tech driven speed
5) professionalism

As you can see these points are not rocket science or difficult to build CRM systems around however for many Japanese businesses certain aspects are inherently difficult to master just as it would be within say America to replicate distinctly Japanese traits. In particular the propensity for risk taking would certainly be a major obstacle for a number of Japanese.

My point thus far centers on this notion of recognizing these differences and what that can mean for you or your business whether or not it is mobile related. The challenge of course is the recognition of POG/SOG’s –product/service opportunity gaps—and in order to do this one must routinely be questioning commonly accepted practices as to whether or not true value is being delivered to the end user.

I understand that these points about finding gaps and delivering value, customer focus etc. which I raised in this particular blog are not new or particularly flashy. They are the crux of basic business study and central themes of a myriad of books put out each year. My point and one that I strongly feel should not be lost is that these basic points need to be acknowledged at all times and how context or culture, to be more specific can really rattle these notions thus creating opportunities for those on the look out. As always I invite comments or thoughts!

Canadian Chris

Japan: A Techno Wonderland or Wasteland?

A few months ago while attempting to further acclimate myself with Japan in terms of definable business opportunities, I stumbled across a book entitled "Saying Yes to Japan: How Outsiders are Reviving a Trillion Dollar Services Industry by Tim Clark and Carl Kay". The book as the title suggests examines the service industry here in Japan along the lines of four key industries namely finance, real estate, information technology and health care services and how there is a distinct gap between the level of service offered and what is truly needed to create real value.

One of the key points articulated by Clark and Kay is that the low end services here in Japan are handled quite well compared to the west--as evidenced by the extraordinary service one encounters in a trip to the local 7-11 or MacDonald`s. However, that level of service sharply drops once the higher end servicing opportunities appear. The reason I bring this up is that in starting this blog on mobile CRM and the various CRM software applications and tools being developed worldwide, I am still seeing a distinct gap in what is available in terms of raw technological capabilities and what is currently being offered or even used within the Japanese workplace.


Japan at first glance is certainly a techno wonderland--a coin phrased by the authors of Saying Yes to Japan--in that the level of sophistication relating to technology is quite high. In particular, the technology being utilized to navigate through one`s daily life is highly developed here in Japan versus the west. From buying a Coke with your keitai (mobile phone), to watching your favorite television program, to even programming your rice cooker the examples of keitai based technological savvy are everywhere.

Things get interesting however when one turns their attention to the workplace where this wondrous blend of machinery and human skill is suddenly lost. The dazzling array of technology which pervades one`s daily life outside work suddenly disappears. In visiting local governments, one is stunned by the acute lack of fundamentally deliverable services that are either non-existent or painfully outdated. The amount of paper work one is subjected to for just about any request is extraordinary. Or looking at residential neighborhoods--which are still very connected versus that of western culture standards--and how communications are primarily via a head community centre which circulates a clipboard with the latest news, notices and event information. Visiting a local bank and noticing the fairly recent push of Internet banking capabilities as a relatively new customer enticement service seems a bit behind the times too considering Japan' reputation as a technological leader worldwide.

These points are but a few which illustrate a point driven home by Clark, Kay and countless others. Japan in some regards could certainly be looked upon as a bit of a wasteland technologically speaking. Services utilizing information technology within the workplace aimed at improving either productivity or service support are at levels which are not sufficient considering Japan`s capabilities.

Now, relating these notions to mobile CRM tools, applications and software and statistics as shown in one of our first blogs, one can see that this particular technology offers an outlet for improving or enhancing mobile customer relationships. The applications which are currently developed or are in use within B2B--business to business applications--or B2C--business to consumer applications--pale in comparison to what they could be.


Why is this? Possible explanations include the technology racing too fast for the culture to keep pace. With most large board room executives in Japan being in their latter years and the rate at which this technological is occurring, could it be too much for them to digest and apply all at once? Is the technology itself too forward thinking for even the hyper-connected and technologically savvy Japanese to apply instantly? Both explanations seem plausible, but I am sure the reasons aren't so simple or clear cut. I believe that it is probably a combination of a number of factors such as the above, along with others relating to IT infrastructure not being fully developed or proven to the degree in which companies are willing and comfortable to outlay large expenditures on it just yet. So many questions, but no simple answers.

So, is Japan a techno wonderland or wasteland? Well, it all depends how you further define that question and what the next five to ten years say. What is clear however, is that there are opportunities and that understanding what they could be is the first step in poising oneself to capitalize on them.

Canadian Chris