Japanese Business Glossary

仕掛品 (shikakehin) refers to work-in-progress (WIP) inventory in Japan. This term is used in manufacturing and production contexts to describe items that are in the process of being produced but are not yet completed. Shikakehin includes raw materials that have been partially processed and components that are in various stages of assembly. These items are not ready for sale or use because they have not yet undergone all the necessary production steps. Managing shikakehin is crucial for efficient production planning and inventory control, as it helps companies monitor the progress of their manufacturing processes, allocate resources effectively, and minimize production delays. Proper accounting of shikakehin also plays a significant role in financial reporting and cost management.

株主 (kabunushi) refers to a shareholder or stockholder in Japan. A kabunushi is an individual or entity that owns shares in a corporation, thereby holding a partial ownership stake in the company. Shareholders have certain rights and responsibilities, including the right to vote on important corporate matters, such as electing directors and approving major business decisions. They may also receive dividends, which are distributions of the company’s profits. The number of shares a kabunushi holds typically determines the extent of their influence and their share of any distributed profits. Being a kabunushi means participating in the financial success of the corporation, but it also involves the risk of losing invested capital if the company performs poorly.

告示 (kokuji) in Japanese typically means "announcement" or "notice." In the context of business and legal matters in Japan, it often refers to official announcements made by government agencies or public offices.

These announcements can cover a wide range of topics, such as changes in laws and regulations, public tenders, or other official matters that need to be communicated to the public or specific stakeholders.

For businesses, paying attention to relevant kokuji can be crucial as it may contain important information affecting their operations or compliance requirements.

単身赴任 (tanshin funin), job transfer away from one's family, refers to a situation where an employee is assigned to work in a different location from where their family lives. The term literally means "single-person posting." This typically happens in Japanese companies when an employee is transferred to another city or region for work, but their family remains in their original home.

During a tanshin funin, the employee lives alone in the new location, often in a company-provided apartment, while maintaining their primary residence where their family stays. This arrangement can last for months or even years, depending on the length of the assignment. It is a common practice in Japan, reflecting the country's strong work ethic and the importance placed on career advancement. However, it can be challenging for both the employee and their family due to the physical separation.

委任契約 (inin keiyaku) is a term in Japanese law that translates to "mandate contract" or "agency agreement" in English. This type of contract involves one party (the principal) appointing another party (the agent) to perform a certain task or represent them in some capacity. The agent acts on behalf of the principal, making decisions and taking actions as authorized by the contract. The relationship is based on trust, and the agent is expected to act in the best interest of the principal. Unlike a sales contract, an inin keiyaku does not involve the transfer of ownership of goods or property. It is about the performance of services or duties. The principal typically has the right to revoke the agent's authority at any time unless the contract specifies otherwise. Incorporating a company in Japan often involves various types of contracts, including inin keiyaku, especially when appointing representatives or agents to handle legal and administrative tasks.

常務取締役 (joumu torishimariyaku) translates to "managing director" or "executive director" in English. This is a high-ranking position within a company's board of directors.

A joumu torishimariyaku typically holds significant responsibilities, such as overseeing day-to-day operations, implementing strategic decisions, and managing specific departments or projects. This role often serves as a bridge between the board of directors and the company’s operational staff, ensuring that the board's directives are executed efficiently.

In Japanese companies, titles and hierarchy are very important. The joumu torishimariyaku is usually one of the senior executives and plays a crucial role in the company's management and decision-making processes.