Bridging the Differences on Cross - border Deals in Japan
Communication Challenges
Communication is a skill that requires highly specialized competencies at the best of times. The content, medium, messenger and timing are all critical for ensuring that all resources within the organization are adequately informed and motivated regarding the purpose and challenges associated with the integration. In Japan, especially in the acquisition of a 'traditional' Japanese business, this can be a particularly challenging obstacle to overcome for Western firms - the choice of words, the poor translation of messages and the difficulty in effectively using methods like brown-bag lunches require companies specifically to address methodologies for ensuring the proper transmission and interpretation of the message by the staff.
In the Japanese context, as in a number of other Asian economies, communication is much more about trust and relationships. The ability to get beyond the stolid veneer and more effectively dialogue about intrinsic issues is critical. The need for precision in messaging and awareness that translated messages can often carry unintended hidden meanings must be understood and addressed with meticulous care. Clearly, more than mere technical competence in linguistic skills is required to interpret what is said by one party to another, but in many cases, what is not said, or what studied silence implies, is even more critical.
In order to overcome the challenges raised by the hesitance to raise questions, the lack of active participation in large group settings, or the reliance on back channels of communication, and promote integration initiatives effectively, there needs to be an inherent knowledge of styles of information sharing and communication, which are influenced by both national and corporate culture. An added consideration in effective communication is the perceived view of the messenger herself. Is the person supported by the head office of the acquiring firm? Does the person seem willing to listen to local concerns and help balance the intentions/aspirations of the non-Japanese acquiring firm with local requirements, to drive success in the local context, etc.?
To draw again from the Renault-Nissan example, it has been reported that a committee that included the highest management levels of the two firms, 11 cross-company teams, and nine cross-functional teams within Nissan were created by Carlos Ghosn in order to drive participation and effective communication between Renault-Nissan and within Nissan itself.
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