International Journal of Management and Humanities (IJMH) ISSN: 2394-0913, Volume-1 Issue-7, April 2015 PDF
Yes, the above text is an explanation of the decision-making process in Japanese companies, the “rin-igi seido” (稟制度). The main points are as follows
The “seisan” system is a traditional Japanese decision-making process that takes a bottom-up type approach. Proposals usually start with middle management and are circulated to all managers involved.
The approval system has four stages: proposal, circulation, approval, and record keeping. Informal discussions (making necessary arrangements) prior to the proposal also play an important role.
-
a formal proposal (approval document) is prepared and circulated to each department for approval. Approval is given under the personal seal of the manager.
-
the final approval of the president is a decision, but the president’s decision is often based on the approval of other executives.
-
an effective approval system requires harmony among employees, well-organized communication, common understanding and values.
Although there is criticism that it takes time to reach consensus, it is highly regarded as a collective decision-making process in which everyone participates.
As described above, the approval system is a unique decision-making process that has taken root in Japanese companies and is an important mechanism for creating a sense of organizational unity. However, it has been pointed out that there are some challenges in cross-cultural business in the midst of globalization.
This page is auto-translated from [/nishio/“Ringi System” The Decision Making Process in Japanese Management Systems: An Overview](https://scrapbox.io/nishio/“Ringi System” The Decision Making Process in Japanese Management Systems: An Overview) using DeepL. If you looks something interesting but the auto-translated English is not good enough to understand it, feel free to let me know at @nishio_en. I’m very happy to spread my thought to non-Japanese readers.