The Top 5 Challenges Global Leaders Have When Managing in Japan (and How to Overcome Them)
Let me tell you something that may either surprise you and/or make you feel relieved…both Japanese and Foreign leaders share the same challenges of leading global teams and/or organizations in Japan.
Leading in Japan, whether you’re Japanese or non-Japanese, often means navigating an intricate balance between global expectations and local workplace culture.
The most common scenario I hear is this:
You’re leading a multicultural team in Japan and some people are great at what they do, but the ones who aren’t performing up to my expectations have huge gaps. Those gaps could be in industry understanding (like an individual who has only ever worked in one company and doesn’t understand the rest of the market within their own industry) or gaps in expectations about how to execute work (like an individual who was rotated from an unrelated function into your team, causing you to wonder why they are even there).
Plus, there are confusing dynamics where individuals won’t speak up at times when it seems most relevant, and then create pushback or issues after agreements have been made and the work should be rolling out.
To make matters more complicated, Japan’s labor laws make it difficult to fire people, which gives power to underperformers who can do the bare minimum (or even less) and still require management.
When I was talking to a Japanese Japan Country Head of a subsidiary of a global company, he illustrated the same challenges. His team was divided into two groups: individuals with only domestic experience and limited to speaking Japanese, and individuals who had global experience and spoke both Japanese and English.
Even though all of the members were Japanese citizens, their diverse perspectives and experiences created the same tensions in how work should be executed, especially when it came to idea sharing, participation, risk taking, and speed of execution.
The good news? With the right combination of cross-cultural understanding and emotional intelligence, these challenges can turn into opportunities to build stronger, more engaged teams.
Challenge #1: Silence in Meetings
Why it happens: In many Japanese workplaces, speaking up without a clear consensus can be seen as disruptive or risky. Even in multicultural teams, Japanese members may hold back if they’re unsure of the group’s direction. Also, they may not speak up if they need time to process their thoughts - it’s important to share well-developed thoughts than to verbalize thoughts out loud without a clear point.
What to try:
Share agendas and questions in advance so team members can prepare.
Leverage 1:1 meetings or emails for feedback to surface ideas before the meeting.
Development solution: A Culture Map workshop can help leaders understand Japan’s communication style and how to create psychological safety for contribution.
Challenge #2: Long Decision-Making Processes
Why it happens: Consensus-building (nemawashi) is a core part of decision-making in Japan. Skipping it can create resistance, even if the decision is urgent.
What to try:
Identify stakeholders early and involve them in informal discussions before presenting the decision.
Break big decisions into smaller steps to speed progress without bypassing consensus.
Development solution: Genos Emotional Intelligence assessments can reveal how leaders handle patience, empathy, and influence - key skills for navigating consensus processes.
Challenge #3: Fear of Failure
Why it happens: In cultures that prioritize precision and risk avoidance, failure isn’t just a learning experience, but rather it’s something to be prevented at all costs.
What to try:
Reframe small risks as learning experiments.
Publicly recognize and reward efforts to innovate, not just successful outcomes.
Development solution: Private training on resilience in multicultural teams helps normalize risk-taking while respecting cultural norms.
Challenge #4: Implicit Communication
Why it happens: Japanese business communication often relies on reading context rather than stating things explicitly. This can lead to misunderstandings, especially in diverse teams.
What to try:
Ask open-ended, clarifying questions in a way that invites elaboration without confrontation.
Summarize your understanding and confirm accuracy.
Development solution: Cross-cultural coaching can help leaders develop the awareness to “read the air” while still maintaining transparency.
Challenge #5: Feeling Excluded from Decisions
Why it happens: Decision-making networks in Japan may not always follow formal reporting lines. Leaders new to Japan may not realize key conversations happen informally.
What to try:
Build relationships beyond your direct reports.
Schedule regular informal check-ins to stay connected to decision flows.
Development solution: Culture Map analysis helps leaders identify where decision-making power really sits, and how to engage with it.
Call to Action (CTA)
Leading in Japan isn’t about abandoning your leadership style. It’s about adding cultural awareness and emotional intelligence to your toolkit. By understanding the “why” behind these challenges, you can adapt without losing your authenticity. The best comment I heard from a foreign leader who was just entering a leadership role in Japan is, “We WILL reach our vision, but it’ll happen the Japanese way.”
If you’re navigating these leadership challenges in Japan, I can help you decode the cultural context and strengthen your leadership impact.
I offer Genos Emotional Intelligence assessments, Culture Map tools, and private cross-cultural training tailored to leaders and multicultural teams in Japan.