New Corporate Governance [Kindle Edition]

There are two corporate governance methods in modern global society. One is Western-style corporate governance, established in the 20th century, and the other is the Japanese version of corporate governance, newly proposed on June 1st, 2015. The former regards a company as the shareholder's property, seeks to maximize current profits rather than its future potential, and employees are regarded as human resources that constitute a property growth mechanism. On the other hand, the latter argues that companies should be social beings that create value not only for shareholders but for society as a whole. Therefore, in the latter case, employees are no longer required to be inorganic human resources, but to be human beings who exert their creativity for the sustainable growth of the entire global economy. This book proposes the latter, a new practical condition of corporate governance that utilizes the bottom-up creativity of employees in order to aim for sustainable evolution.