One of the most significant experiences in my career was going through Japan Airlines' (JAL) corporate bankruptcy.
As a manager at the time, I found myself on the front lines of numerous challenges, including shareholder relations. I was also responsible for difficult tasks such as supporting employees' mental well-being and making painful decisions that affected the employment of my colleagues. There were moments when I considered leaving the company myself. However, I resolved to stay and do my part until JAL's relisting on the stock exchange. After the relisting, I was entrusted with the integration of group companies and continued to take on the roles and responsibilities the company asked of me.
Later, an opportunity led me to join the faculty of Kansai Gaidai University. While some of my students aspired to careers in the airline industry, many went on to pursue opportunities in a wide range of fields, including manufacturing. Seeing their diverse career paths inspired me to broaden my own horizons and gain experience beyond the aviation sector. In that sense, being able to embark on a new chapter in my career as an Outside Director at ShinMaywa was also a significant turning point in my professional journey.

The path from bankruptcy to recovery was a difficult and demanding experience. Yet it provided me with invaluable lessons: how to recognize the early warning signs of corporate decline, how individuals and organizations must transform in times of crisis, and how critical it is for leadership's voice and vision to reach every level of the organization. These experiences continue to shape my perspective as a leader today.

One example was the shift in employees' awareness of costs. Before the bankruptcy, there was little culture of viewing day-to-day operations from a management perspective. To address this, Kazuo Inamori introduced a divisional profitability management system, which encouraged each department to take greater ownership of its financial performance.^*1 By closely monitoring the financial metrics that directly impacted the company's performance, employees at every level began to recognize how their own actions were connected to the success of the business. This fostered a stronger sense of ownership and management awareness throughout the organization.

At the same time, JAL also introduced the JAL Philosophy^*2" and the JAL Group's shared values gradually became embedded throughout the organization, ultimately contributing to its remarkable turnaround. While systems and processes can easily lose their effectiveness over time, I believe this initiative has continued to endure even after the company's recovery because the philosophy became deeply rooted in the organization's culture. Through opportunities for direct dialogue between Kazuo Inamori and employees, everyone was able to gain a shared understanding of the company's direction. This encouraged each employee to view the company's sustainable growth as a personal responsibility rather than someone else's concern.

One of the most memorable principles of the philosophy was the idea that decisions should be based on what is right as a human being. At the time, many employees were under intense pressure to meet numerical targets. When one employee sought advice from Mr. Inamori, he explained that some aspects of the philosophy might at times appear to be in conflict with one another. However, he emphasized that the most important thing was to make decisions based on what is morally right and how a person ought to act. That message left a lasting impression on me. Especially in a challenging environment, I came to appreciate the importance of having a guiding set of principles that helps people return to the fundamentals when faced with difficult decisions.
The philosophy served as a company-wide decision-making framework shared by everyone, from senior leadership to frontline employees. The people working at JAL did not suddenly change before and after the bankruptcy. What changed was that everyone embraced and put the same values into practice. As a result, the organization's sense of unity and cohesion grew dramatically. I believe that shared commitment was a key factor in JAL's successful turnaround.

There is no doubt that the widespread adoption of the philosophy, and the sense of shared purpose it fostered, transformed the organization. However, such alignment and understanding do not emerge on their own.
I believe the turning point came when employees were given more opportunities to engage in dialogue with colleagues from other departments through various training programs. Prior to that, interaction across departments was limited, and there was often little understanding of each other's work, challenges, and perspectives. Although every department was ultimately working toward the same goals, serving customers and contributing to the company's success, conflicts could still arise when people lacked insight into the circumstances and priorities of other teams.

At ShinMaywa, each business division serves different customers and develops different products. It is important, and even healthy, for each division to take pride in its expertise and unique strengths. At the same time, however, we must never lose sight of the fact that we are all part of one company and one group: ShinMaywa. A company-wide perspective is cultivated when people from different functions and positions are given more opportunities to engage in dialogue. Through these conversations, they gain a better understanding of one another's roles, challenges, and perspectives, and work together to determine what is best for both the customer and the company. Based on my own experience, I am convinced that these ongoing efforts to foster understanding and collaboration ultimately make an organization stronger and more resilient.

It's much easier to communicate with someone you can see face-to-face, isn't it?
Building relationships in which people support and help one another, both in good times and in challenging times, is essential. Each business division has its own unique expertise and perspective, and the voices of customers often contain insights that can be valuable beyond a single division. At the heart of every business interaction are people. By understanding and respecting one another's roles, perspectives, and aspirations, and by deepening collaboration from a company-wide perspective, we can create new opportunities for growth. Based on my own experience, I believe this mindset will be increasingly important as we move forward.

Although I view ShinMaywa from an external perspective, I genuinely believe it is an outstanding company. Its people are sincere, highly capable, and supported by a strong foundation of technical expertise. What also speaks to the Company's appeal is the fact that former Outside Directors and Auditors continue to take a keen interest in ShinMaywa even after their terms have ended. The lasting connection they feel toward the Company reflects the strength of its culture and the respect it inspires among those who have worked with it.
At the same time, precisely because ShinMaywa is such a strong company, I believe it has even greater potential for growth. When business performance is strong, it is easy to become comfortable with the status quo. However, favorable conditions do not last forever. In addition to building on existing achievements, it is essential to maintain a mindset of taking on new challenges and preparing for the future. Organizations that continue to evolve are those that are willing to look beyond their current success and invest in the opportunities of tomorrow.

It is important to have opportunities like today's discussion, where employees can share their perspectives from the front lines and openly exchange ideas. I am truly grateful to have been given such an opportunity.
ShinMaywa possesses a unique strength in its technological capabilities, something that cannot be easily replicated by other companies. However, it is important not to become complacent about that strength. We must continue asking ourselves what we want to achieve beyond it and what kind of future we aspire to create. To do so, I believe we must also continue evolving in areas such as talent development, education, and other aspects of human capital management. Through today's discussion, I was once again reminded of the importance of exchanging ideas across organizational and hierarchical boundaries and taking the time to understand one another's perspectives.

I believe that organizations are best equipped to navigate an era of rapid change when everyone is aligned around a common direction and continues to embrace new challenges together. As an Outside Director, I hope to continue contributing by bringing an external perspective to the discussion while encouraging the importance of dialogue, continuous learning, and the mindset shifts that support organizational growth.
And above all, I hope that ShinMaywa will continue to be a company that society values and relies upon by putting its Corporate Principles into practice.