Essay About Japanese Culture And Japanese Multinational Conglomerate Corporation

Eicosanoids and Nsaids Lecture
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ElaineSlide 1Good afternoon everyone, today we will be presenting an organisational problem faced by toshiba, our analysis of the issues and some recommendations for Toshiba for discussion. Slide 2Before we begin, here is our presentation agenda. WE will be going through the overview of toshiba, introduction to the case, method of issues analysis, issue analysis, recommendations and finally ending it off with the conclusion and q&a!Slide 3First up, let me give you a brief introduction to Toshiba. It is a Japanese multinational conglomerate corporation in Tokyo, Japan. It has been running since 140 years ago and is currently one of japan’s largest conglomerates.Toshiba covers a diversified range of products and services, including household appliances, medical equipment and consumer electronics.Slide 4So what happened to toshiba? Well, according to their CEo Tanaka, just the largest scandal, in toshiba’s 140 year old history. More specifically, in july 2015.It was discovered that Toshiba had been inflating profits by $1.9 billion dollars over 7 entire years. (Click)A series of inappropriate accounting entries were were found, primarily from employees understating costs on long-term projects, and undervaluing inventory.(click)THis scandal also involved 3 consecutive Ceos and multiple business units, beginning from the global financial crisis in 2008. So, what exactly happened and why did it happen?My team will not analyse the case from the mgmt perspective.SamSlide 1Expectancy theory proposes an individual will behave in a certain way based on what they expect the result of that selected behavior will be. If the expected results are satisfactory, will choose that behaviour, if not will ignoreNext slideNow, try to put yourself in the shoes of Nishida, the first CEO of Toshiba that started to falsify accounts. In 2008, Toshiba was under immense pressure from stakeholders and investors to boost profitsNext slideNishida had 2 choicesDecision 1: Fake accounts to look good in front of shareholders and boost investor confidence à improve financial situation à (LT) allow actual profits to be boosted.Expected return: Satisfy investors, boost company’s profits in the long run and hopefully not get caught

Risk: Get caught and most likely resign from the companyDecision 2: Reveal real figures àLower investor confidence à Less money invested à Toshiba lose market share and profits.Risk: Possible Major losses of profits and market shareNishida chose 1 as to him, the expected benefits of it was worth the riskNext slideHerzberg 2 factor theory can also be used to explain why directors faked accounting books.When he took over in 2005, he made it clear he’s main priority was to build credibility with investors which was a different stand from previous CEOsWe can deduce that he was probably motivated to fake accounts by achievement (Meeting sales targets and satisfying investors) and Responsibility (As Toshiba’s CEO to make sure the long term sustainability of the company)Next I shall pass the time onto Esther to discuss on how the japanese culture has played a part in this scandal.Esther Slide: Culture in Japan – Importance of working for the right companyNow, we will discuss how the culture of the Japanese culture and the work culture of Toshiba contributed to the accounting scandalIn Japan, there is a high importance placed on careers and who you work for especially for men. A man and his family is socially ranked by the reputation of the company he works for and the position and prospects he has in the company. This strong culture can be expressed in this example. When a Japanese person applies to rent an apartment in a respectable suburb, the landlord’s agent will want to know in detail which company the applicant works for and duration of employment as well as how long has the company exited for and the earnings of the company. When a Japanese person changes company after renting an apartment, he/she is required to inform the landlord who may evict the tenant if the landlord deems the new company unreliable.