The Japanese economy is largely beholden to the manufacturing sector and there are concerns that industries such as construction and agriculture may be reduced by as much as half as its workforce ages, and eventually, retires.
In an attempt to resolve and combat the issue of mass retirement, Japanese companies are turning to automation and cyber technologies. However, this reliance on technology has left Japan vulnerable to hackers and cyber warfare.
The solution? Japanese automation and manufacturing companies are turning to innovative and technological solutions that help Japanese companies keep up with productivity and economic growth. These solutions are often coming from foreign start-ups and companies that specialise in automation and smart technology, such as Israeli-cyber-tech outfit KELA Group, who have a partnership with Japan Inc, the third largest company in Japan.
Increasing bilateral relationships, including corporate and government delegations visiting either country are working across a variety of industries in Japan, including car manufacturing, pharmaceuticals, wireless communications and artificial intelligence. The pharmaceuticals industry in Japan is already seeing significant benefits as innovation and productivity are on the rise. Japanese firms are following in the footsteps of a number of German and American companies who have also utilised start-up innovation and new technology to boost productivity and growth.
It’s expected that this new partnership for Japan will be the first of many steps in a cultural and innovation outreach in an attempt to counter ageing population concerns with new technologies to enhance growth and productivity.