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[Entrepreneur Interview #05] STAR CAREER / graphD – Part 2

2024.11.08

At D-POPS GROUP, we have 23 group companies as partners (at the time of publication).
On this occasion, D-POPS GROUP Advisor Genta Sugihara interviewed President Tatsumasa Hosaka, who founded STAR CAREER CO., LTD in 2016.

This is the latter part of the interview. To read the first part, click the link below.
https://d-pops-group.co.jp/column/star-career-interview-first-part/

◆The Market Environment

Sugihara:
Thank you. For my next question, you mentioned that in the case of STAR CAREER, there are a lot of new graduates. However, generally speaking, what are the current trends in recruitment?

Hosaka:
The job seeker’s market will continue into the future for sure. Businesses will struggle to recruit employees next April and the following April, especially.

A lot of companies, including major corporations, reduced their hiring numbers during COVID, and now many are lacking sufficient talent. As a result, demand for new graduate recruitment has increased tremendously. This situation is likely to continue through the hiring of graduates entering the workforce in 2026.

◆The Release of Carepo

“Carepo” is a portmanteau of the words ‘career’ and ‘points’.

Sugihara:
In the midst of that challenging recruitment environment, on July 1st, you released a smartphone app called “Carepo” (Japanese only) that allows users to earn points while job hunting. First of all, could you introduce Carepo for us?

Hosaka:
The Carepo app that we released displays various job hunting events. When job seekers participate in these events through the app, they receive electronic money as points. It’s an app that combines point collecting with job hunting—something that seemed like it should have existed before but didn’t until now.

After its release, we’ve seen extremely positive reactions from both students and clients. Since it targets students graduating in 2026, we’re aligning our current approach with that graduating class.

Sugihara:
So then, you’re starting full-scale promotion from now. Do you have any goals for Carepo?

Hosaka:
As part of our 2025 fiscal year plan, we’re aiming for Carepo to receive 10,000 downloads.

It’s said that about 450,000 people in Japan are job hunting each year, so after first reaching 10,000 downloads, our next goal is to get 150,000 downloads in three years.

◆Industry-Academia Collaborative Events

Sugihara:
I heard that in connection with Carepo, you’ve been involved in industry-academia collaboration activities and giving lectures at universities. Could you tell me more about this?

Hosaka:
Yes, as part of a business school curriculum at a certain university, we actively sponsor activities where students set up booths at event venues like a barbecue festival to learn how to generate revenue as a business. In practice, there are various tasks involved—ordering equipment for attractions like shooting galleries and yo-yo fishing, selecting prizes, arranging staff, managing schedules for receiving deliveries, and handling event operations. We expect this provides valuable hands-on experience for the students.

We also plan to actively conduct lectures for job seekers, and we’re already receiving requests from universities and employment offices.

I originally aspired to be a teacher and hold a teaching license, so in a sense, one of my dreams has come true.

Sugihara:
What’s the intention behind conducting these activities?

Hosaka:
The original motivation for starting my business and subsequently launching the job hunting café and the Carepo app was to nurture talented individuals who can thrive in society through our business. I am very grateful that we continue to gain allies who resonate with these activities.

Regarding Carepo specifically, our idea is to eliminate employment inequality caused by information gaps, and we’ve received support from professors and lecturers at various universities. Rather than pursuing things purely from a business sense, we aim to create products that are widely endorsed by students, student organizations, and university officials. I want Carepo to become a resource that’s convenient and useful from multiple perspectives.

Sugihara:
That’s impressive. People who don’t put in the work can get a certain level of results just by pouring money into advertising. But instead of spending money, creating various innovations and earning things through your own sweat and legwork, so to speak—those outcomes are far more valuable than advertising. And more sustainable, too.

Hosaka:
Yes. Lecturing at universities and employment offices isn’t about status or branding—I simply want people to know about us, and I feel that through these activities, we’re gaining more supporters.

Also, regarding “eliminating job hunting inequality caused by information gaps”—as mentioned in our media release article (Japanese only)—a university dean told me that this is actually a serious issue that needs to be addressed, especially for regional universities.

For example, in the Kanto region, job hunting events and seminars are typically held somewhere in Tokyo. When students living in Tochigi Prefecture and students living in Tokyo want to attend job hunting events, company information sessions, or recruitment fairs, the Tochigi students can certainly go, but they inevitably need to make more arrangements. It’s inconvenient to have to coordinate multiple company visits while in Tokyo.

This means that within the short timeframe of job hunting, if they are unable to meet with and receive the opportunity to have an interview from a decent number of companies, a significant gap in experience will result. If students can participate online through this app, or if our job hunting café advisors can provide information about events tailored to each student’s needs, they can job hunt more efficiently in terms of both cost and time. We believe this contributes to eliminating inequality caused by information gaps.

Sugihara:
Everyone recognizes that the information gap between metropolitan and regional areas is an issue that needs to be addressed across all fields. It’s important to spread this awareness, and your business is truly excellent.

◆STAR CAREER’s Corporate Culture

Sugihara:
Changing the subject completely, I have the impression that at STAR CAREER, within the group, people of all genders and ages are thriving. Looking at your website (Japanese only) and company newsletters, everyone has such bright, attractive smiles. There are messages on your website like “shine as your authentic self” and “accept and respect each other”. Is there a policy that you’re consciously implementing, President Hosaka? Could you tell us the background of this message about “shining as your authentic self”?

Hosaka:
Yes, regarding both the headquarters members and field staff appearing on STAR CAREER’s website…I think basically all our members are like that, without a doubt, ha ha.

But actually, this is the culture that President Goto built.

The main deciding factor for me—who originally aimed to be a teacher—to join D-POPS* was when President Goto told me, “As we build a 3-billion-yen company that grows to be worth 10 billion yen, then to 30 billion and 100 billion yen, I want to create an environment where young people can take on challenges, so I think it would be great to have someone like a teacher with us.”

*Note: D-POPS is the original company founded by D-POPS GROUP’s President and CEO Kazuhiro Goto.

Based on that kind of culture, President Goto now leads an entire group company and is moving forward to the next major domain, whether that be creating a Venture Ecosystem or contributing to society as an entrepreneur.

What I’m conscious of is that I want to pass on President Goto’s desire to provide a stage where young people can take on challenges and overcome them, even while bumping into walls. I’m working with the intention of continuing what I’ve inherited here at STAR CAREER, so I’m simply implementing at STAR CAREER what President Goto conveyed to me: creating an environment where young people can continuously take on challenges and communicating the value of facing obstacles.

<Interview with D-POPS GROUP President Goto>
Journey to the Venture Ecosystem, and Beyond
https://d-pops-group.co.jp/en/philosophy/

Sugihara:
I see. Indeed, at most companies led by presidents who emerged from D-POPS, many members have genuine, warm smiles. Recently, there are also many companies that have joined without being brought up out of D-POPS. Have you had the opportunity to speak with any presidents of these other group companies?

Hosaka:
Yes! I enjoy good relationships with the presidents of various companies that have joined D-POPS GROUP. Simply put, I’m interested in the presidents and members of companies that have joined D-POPS GROUP. I myself have been in the D-POPS environment from the beginning, so as a fellow group president now, I want to know more about their situations before and after joining.

Sugihara:
It’s definitely important to have someone like you, President Hosaka, who takes interest in our members and actively expands the circle.

◆“Realizing a Venture Ecosystem”

Sugihara:
Returning to what you said earlier, the members of D-POPS GROUP (not only President Goto) would like to spread the key phrase “Venture Ecosystem” throughout Japan. Is there anything about realizing a Venture Ecosystem that resonates with you, and are there any such activities that you’re intentionally engaging in?

Hosaka:
Indeed, D-POPS GROUP has officially set its sights on realizing a Venture Ecosystem, but even from the time I joined D-POPS, there was already a stage where young people could take on challenges. I believe that the vision at D-POPS evolved into an even larger worldview in today’s D-POPS GROUP. I sincerely resonate with how the foundational thinking at D-POPS has expanded into a much broader worldview within D-POPS GROUP.

What I’m currently aiming for relates to places like the Shibuya Hikarie Building, where D-POPS GROUP’s headquarters is located. Since there are companies in various industries within D-POPS GROUP, I want to firmly establish that joining our group does not only mean gaining access to places like Shibuya Hikarie or industry know-how, but it also ensures increasing a company’s capability of recruiting core employees—even in a challenging job market.

Sugihara:
With 23 group companies now, being able to say things like “Our company is number one in recruitment capability”, or “Our company is number one in employee training”, or “Leave this backend system to us”—having various companies you can rely on for areas where you’re not as strong is one of the unique aspects of a Venture Ecosystem, you know.

◆Ideal Vision for STAR CAREER and graphD in 10 Years

Sugihara:
So, President Hosaka, could you tell us your ideal vision for STAR CAREER and graphD ten years from now?

Hosaka:
Simply put, I consider these two companies, STAR CAREER and graphD, as my assigned areas of responsibility in realizing the worldview that D-POPS GROUP is aiming for. For example, as D-POPS GROUP continues to grow, if they face challenges or need someone to handle certain tasks, I want to be someone who’s always ready to take action.

Sugihara:
Are there any initiatives you’re currently working on or challenges you face in moving toward that future?

Hosaka:
We do have some challenges, which we will address starting this October, in the second half of the fiscal year.

Actually, all the senior managers who were responsible for each of STAR CAREER’s business units have delegated authority to the next generation. So now, the members who previously worked under those managers have become the final operational supervisors, independently engaging with those clients and supporting team members.

I believe the reason why the 20-year survival rate for core businesses tends to be low is that even if they establish a business during an upward trend, they can’t ride the next wave once the business enters a stable or stagnant period. So, while developing three types of businesses—existing, core, and new—we’ve been able to expand our business fields from mobile phone shops to call centers, customer support, and back office support. We’ll continue to nurture the current trends as our existing business.

Mobile phone shops, which were once on an uptrend, have now stabilized, but call centers and customer support are expected to continue growing, partly due to the digital transformation wave. We’ve decided to entrust the growth of these existing businesses entirely to our younger staff. And our previous executives will handle the newer business ventures, such as RPO (Recruitment Process Outsourcing), Carepo, and job hunting café operations. We’ve changed our policy so that leaders who are responsible for new businesses should achieve certain sales targets within three years.

Sugihara:
I see. The people who joined during the company’s launch have cultivated an entrepreneurial mindset through the staffing business—in other words, they’ve studied and gained experience in new business development. That’s truly the venture spirit.

Hosaka:
For sure. Recently, when we pivoted our business during COVID, we developed new business areas, talent development, and related evaluation systems through a collective effort of all our members. Now we’ve made the decision to have the next generation of members drive the business forward.

Next, I intend to focus on properly launching Carepo and the RPO business. And we’re aiming to reduce the gross profit share of the staffing business from its current 90% to 50% over the next three years. The idea is to have our new businesses and the staffing business each account for half of our gross profit.

◆Message to Readers Visiting Our Website

Sugihara:
That’s a splendid goal.
Finally, in closing, could you share a message for our online readers?

Hosaka:
Of course. When I talk with various people from D-POPS GROUP, I always get a certain sense.

For example, there’s a famous manga with the repeated line "I’m going to become the Pirate King!" The protagonist is aiming to reach Treasure Island and earn the title of Pirate King. But interestingly, among the crew members on the same ship, only the protagonist wants to become the Pirate King.

One member wants to become the world’s greatest swordsman, another member wants to be able to create sea charts of the entire world—everyone is working hard toward the single goal of reaching that place, but what everyone wants to gain when they get there is different. I think D-POPS GROUP is like that.

Your dreams can come true in our Venture Ecosystem. There are many companions here, so we can cooperate with each other to fulfill each other’s dreams. I’m really looking forward to having more members join our Venture Ecosystem’s community in the future.

 

STAR CAREER CO., LTD

Company President and CEO: Tatsumasa Hosaka
Address: 25F Shibuya Cross Tower, 2-15-1 Shibuya, Shibuya-ku, Tokyo
Established: May 2016
Website: https://star-career.co.jp/

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Venture Ecosystem: A Platform for Growth and Sustainability
At D-POPS GROUP, we understand a “Venture Ecosystem” to be a dynamic platform that enhances the growth and sustainability of a community of enterprises. United by a shared identity and philosophy, these companies continuously innovate to address critical social challenges through groundbreaking business models. We are committed to making this ideal a reality through daily strategic efforts and unwavering dedication.   Below is an expanded explanation of a Venture Ecosystem.   1. What is a “venture company”? In Japan, startup companies—whether in the early stages of seed financing or the late stages of major corporate development—are also known as venture companies. Kotobank, a Japanese online dictionary, contains the following definition:   During times of transition in industrial structures, the leading role of industry changes, new businesses that did not exist before are born in cutting-edge fields, and new markets are created. Companies that rapidly invent unique technologies and products according to the needs of such times are called “venture companies”.   To put it a little more broadly, if a culture of challenge permeates a company from the top executives to the employees, and if that company is tackling new areas with unique ideas and business models, it can be called a venture company. In addition, an enterprise that did not start up recently but continues to challenge itself with ever bolder undertakings can also be considered a venture company, no matter how large it may be. In this sense, any Japanese company can be called a venture company as long as it has the spirit of a startup.   With this viewpoint, we consider the consumer-to-consumer online marketplace Mercari (which has released new services one after another according to their value statement, “Go Bold”) and Rakuten Group (which launched Rakuten Mobile with completely new base station technology even after it had achieved significant growth) to be exemplary Japanese venture companies.   Internationally, companies like Alphabet and Meta are still brimming with venture spirit, as well.   2. What is senmitsu? In the real estate industry, it is said that only about three out of every thousand negotiations will successfully close a deal, and this concept is expressed in the Japanese business term senmitsu (literally translated, ‘thousand-three’). In the food industry, it is said that only three products out of a thousand will become an enduring staple in the marketplace, so the term senmitsu is used there, as well.   In the venture capital (VC) industry, the data from a case study on funding reveals that out of a thousand companies interviewed, 3% of those are considered for investment, one-third of that 3% actually receive funding, and then only 30% of those ventures successfully exit. Therefore, (1000) ✕ (0.03) ✕ (⅓) ✕ (0.3) = 0.3% = 3 out of 1000…in other words, senmitsu.   Thus, the probability of success for a venture company is extremely low.   However, the probability of success can be increased, depending on the following factors:   Continuing to strive with greater effort than anyone. Learning from and helping other colleagues in the same situation. Consulting and receiving support from senior managers and mentors. Learning from both successes and failures in starting new businesses.   3. What is an ecosystem? In ecology, the term “ecosystem” refers to a community of organisms and the environment that surrounds them as a somewhat closed system. When the organisms that exist in a certain area and the nonliving environment that surrounds them are considered together as one system that is closed to some extent, this is called an ecosystem. (Source: Wikipedia.org)   If we transpose this to the business world, we can say that it is a group of companies with a certain common identity and philosophy, regardless of whether or not they are physically gathered in a certain area.   Imagine a forest, which is composed of a variety of plants, the insects and small animals that carry those plants’ seeds, and the larger animals that prey on them. The forest is perpetuated and grows through the mutual interdependence of these animals and plants, which eventually decay and turn to soil, providing nutrition for future generations in an unending cycle.   Now, replace this metaphorical forest with a group of actual companies. When a community grows and sustains while mutually influencing other members, that is what we call a business ecosystem.   Now, what are the specifics of a business ecosystem?   4. Collaboration Companies in an ecosystem are not enemies or competitors who are constantly at each other’s throats. Rather, they are colleagues who have a good relationship and positively influence each other.   If an entrepreneur has a mentor or senior manager who can be consulted at any time, he or she will have exponentially more success than one who works alone without anyone to consult.   (3) Role of alumni As companies grow through friendly competition and mutual learning and support, it is only natural that some leaders will successfully exit through going public or through strategic acquisitions.   When these “alumni” (former leaders in the community) leave to pursue other opportunities, they may or may not choose to return to their original company in the future. Either way, because they are still united in philosophy and principles, they do not cease to be a part of the ecosystem. Rather, alumni remain involved in the community as lecturers in study sessions, as interim managers to help restructure companies that are struggling, and in other roles as they are invited.   (4) Rebirth and revival Suppose there is a company that unfortunately cannot avoid liquidation. However, among the employees of this company, there are many talented people who would be valuable anywhere. Perhaps the leader of this company was not well-suited for management, but was an incredibly capable lead engineer.   If these skilled employees are able to change roles and transfer to other companies in the ecosystem, they could very well make tremendous contributions there. Providing a platform for people in the ecosystem to continue to shine as brightly as possible by starting again, or opportunities for recovery—this is what truly characterizes an ecosystem.   7. What is a Venture Ecosystem? To synthesize all of the various aspects mentioned above, a Venture Ecosystem has the following defining features:   (1) Consisting of companies with an indomitable, entrepreneurial spirit (2) Members that learn from and help each other (3) Personnel united under a common philosophy and culture (4) Growth and renewal on an individual basis, leading to continuous growth as a whole (5) Birthing new startups from within, and expanding through acquisitions (6) The entire community standing together, with a united front, to face changes in the environment (7) A platform that supports the growth of the community   More comprehensively, a Venture Ecosystem can be described as: “A platform for growth and sustainability that supports a community of enterprises that are united by a common identity and philosophy and continue to take on the challenge of solving social issues through highly innovative business models.”   D-POPS GROUP and the companies participating in its Ecosystem will continue to learn from and support each other, striving daily to become a platform that is indispensable to society.   We hope this article helps you to understand the meaning of “Venture Ecosystem” in D-POPS GROUP’s long-term vision of developing a Venture Ecosystem that is essential to society.   Written by D-POPS GROUP Advisor Genta Sugihara
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2024.11.26
[Entrepreneur Interview #05] STAR CAREER / graphD – Part 1
At D-POPS GROUP, we have 23 group companies as partners (at the time of publication). On this occasion, D-POPS GROUP Advisor Genta Sugihara interviewed President Tatsumasa Hosaka, who founded STAR CAREER CO., LTD in 2016. ◆Background of STAR CAREER’s Establishment Sugihara: Today we’re interviewing President Hosaka of STAR CAREER. Thank you for your time. First, could you tell us about how you came to be the president of STAR CAREER? Hosaka: Sure! STAR CAREER was founded in 2016. I joined D-POPS in 2006 and worked as a store manager and division director. Actually, starting around 2014-2015, President Goto, who founded D-POPS and currently serves as President and CEO of D-POPS GROUP, was offering an entrepreneur training school of sorts (which has become affectionately known as “Goto School”), and there were some members of the D-POPS stores who also participated. Mr. Fujita, who is now the chairman of the board at Advancer (one of the group companies), was the first in-house entrepreneur to win an MVP award at Goto School. Actually, I never attended Goto School myself, instead putting myself in a position to support other members within D-POPS who wanted to become entrepreneurs or create new companies within the group. One day, President Goto approached me after D-POPS achieved 10 billion yen in sales. As we began setting our next goals for 30 billion yen, 50 billion yen, and 100 billion yen, he had come up with the idea of starting a new company within the group, one specifically related to human resources. When he shared the plan with me, I immediately started to recommend other members, saying things like “How about this guy?” or “How about that guy?” Then President Goto asked me, “Hosaka, why aren’t you putting your own hat in the ring?” I replied, “Well, I guess I'd rather focus all my energy on leading the younger D-POPS members to help us reach 30 billion and 50 billion yen!” That evening, when I was having drinks with my junior D-POPS colleagues (which was a regular occurrence), I told them about my conversation with President Goto and how I had declined because I wanted to achieve the 30 billion and 50 billion yen goals together with everyone. They responded, “What are you talking about?! You go do it! Leave this to us and show us how it’s done!” Realizing they were right, the next day I went back to President Goto and said, “Remember what we were talking about yesterday? Please let me do it.” That’s how it all started. Sugihara: Was your experience at D-POPS useful in managing your own company? Hosaka: It was, and still is. Back then, stores operated on an independent profit system. They managed their own sales and gross profits, and independently funded campaigns using the store’s personnel budget. In a sense, it was effectively like running their own small-scale businesses. So, depending on the store manager, a store could either become very profitable or fall into the red. We weren’t focused solely on sales numbers or the volume of contracts—each store was essentially running its own business. This experience of running a mini business at the store level has been extremely valuable for my current management role. Sugihara: Being able to learn management at the store level must have been very educational. By the way, at that point, how many companies were in the group besides D-POPS? Hosaka: At that time, there were only Good Crew and Advancer. Sugihara: I see. So then, you were starting the group’s third HR-related company? Hosaka: Actually, Advancer wasn’t an HR company at the time…it was a secondhand shop for smartphones. They later pivoted to become the HR company they are today. Sugihara: Oh, I didn’t know that! Well, what were the differences between Good Crew and STAR CAREER back then? Hosaka: There were two main differences. First of all, STAR CAREER wasn’t just focused on mobile businesses—in anticipation of the Tokyo 2020 Olympics, we launched with the concept of providing specialized staffing for customer service and store operations in brick-and-mortar businesses like hotels and restaurants. Second, at that time, Good Crew was struggling with recruitment, hiring only 30-40 people annually. We accepted the mission that President Goto proposed: “Hosaka, let’s aim to hire 100 people.” As a result, STAR CAREER ended up hiring 107 new graduates that April. Interestingly, the following year, Good Crew managed to hire 100 people as well. I think this was part of President Goto’s strategy to foster growth through competition. Starting recruitment activities right after founding the company and hiring 107 new graduates was challenging enough, but then around November, President Goto said, “There’s a company joining through M&A next April. I was thinking you could manage that one, too.” Since we had just started this brand new company with only two people including myself, I was asking myself, “Really??”, while in the same breath, I answered, “I’ll do it!” And so, with that, I also became the manager of graphD. Sugihara: That sure escalated quickly! You seem to be the type who can handle—or at least be willing to handle—any obstacle that comes your way. Hosaka: I love getting thrown curveballs! I want people to think of me as “that handy guy”. Sugihara: That’s really important, isn’t it? From the perspective of top management, having “handy people” among executives is absolutely essential, and those individuals end up getting more and more work thrown their way. The more work they’re given, the more they develop and gain experience. It’s a beneficial situation for executives, but something similar can be seen in group company management as well. Even as a CEO running one organization, to be seen as a “handy guy” by the group’s president must be important, or rather, desirable. Hosaka: Yes, I was quite happy about that! But then, I was also thinking “Seriously?!” about establishing a new company in April when 107 new graduates were also joining at that same time, ha ha. ◆STAR CAREER’s Business Sugihara: Could you briefly introduce us to STAR CAREER’s business model? Hosaka: As of 2024, we’re a comprehensive HR services company that operates job hunting cafes which we call Career Work Cafe. With these job hunting cafes at our center, we run three main businesses: temporary staffing, job placement, and recruitment outsourcing. Sugihara: I see. So those job hunting cafes are the core of your business. Hosaka: That’s right. When companies recruit, they typically either post on platforms like MyNavi and wait for applications, or work with recruitment agencies to find candidates. From a job-seeking student’s perspective, our job hunting cafes serve as a platform that’s neither a job board nor a recruitment agency…it’s a unique place they can reach out to. Sugihara: How do job-seeking students learn about your job hunting cafes? Hosaka: Basically, we have partnership agreements with student organizations. For example, we work with student groups supporting refugees in Laos and Cambodia, or those who help at dog and cat rescue centers. We open our job hunting cafes as meeting spaces for them and provide them with a place for their activities. We also regularly sponsor their activities with contributions of around 50,000 or 100,000 yen each. In exchange, students registered with these organizations come to our job hunting cafes when we hold events or information sessions. Sugihara: So, since your core business is supporting job-seeking students with these job hunting cafes, you mainly handle recruitment and placement of students. I imagine many of your own hires are students and young people…how do you handle their education and training? Hosaka: First of all, we do training for those who’ve received tentative job offers and for new hires. Then, we do group training sessions every month for a full year after that. While many other group companies and external staffing agencies do similar things, our temporary staff work one day less at their placement sites compared to other companies. In a sense, we’re using that day for training, so they spend less time at their placement sites. What we consistently tell our members, from the time we tentatively offer the job until they are hired, is that “When it comes to work, in order to do what you want to do, focus on increasing your skills, and you’ll eventually be able to do what you want.” Now, when it comes to level and skills, most people seek to acquire skills, such as earning certifications or studying abroad. Skills are indeed powerful assets, of course, but it’s like in Dragon Quest: even if a character has a level 50 weapon (skill), it can’t be used effectively if the character itself is only level 1. In the same way, without raising your own level, you can’t utilize those skills. So rather than just improving skills to increase a member’s market value, we focus on raising the member’s level for the first year. We encourage our members to go from level 10 to 20 to 30, while also honing their skills at the same time. Instead of just telling people to work in stores, we offer monthly training sessions to teach them how to face challenges they might encounter in those stores, how to approach problems mentally, how to seek cooperation from others, and how improving your level enables you to handle work better. Sugihara: That’s wonderful. What you gain from leveling up is much more valuable than focusing on skills like certifications first. Not that certifications are useless, but in terms of English, for example, it’s better to become a business person who masters English through practical use and work experience, and then maybe takes a test and sees an improved score, rather than someone who can’t communicate in English but has a TOEIC score of 990. The former builds confidence and is definitely more valuable. ◆Challenges During the COVID-19 Pandemic Sugihara: Now for the next question. You’ve been managing this HR company for 8 years…how is your business doing recently? How was the company’s situation during the COVID-19 pandemic three years ago? Hosaka: During the pandemic, we suffered damage severe enough to shake our company’s direction. We had originally planned to focus on store businesses, providing staffing for hotels and restaurants, but then the Olympics were cancelled... Originally, each color of the stars in STAR CAREER’s logo had a specific meaning. We started with the concept of specialized staffing for customer service in five areas: hotels, bridal, apparel, restaurants, and mobile phone shops. But when COVID made these business prospects uncertain, we had to remove all mention of them from our website and other materials. At the same time, we launched job hunting cafes as our business. The long COVID era brought major changes to people’s lifestyles and perspectives, especially for the job-hunting students with whom we frequently interact. They started their freshman year right when COVID-19 began to interrupt life in Japan, and were seniors when the Japanese government reclassified COVID-19 from a Category 2 pandemic to a Category 5 (lower-risk) endemic disease. So, it makes perfect sense that they struggle to answer interview questions such as “What did you accomplish during your college years?”. The job hunting cafe business, which started alongside COVID, transformed into something that aimed to expand people’s career options and make their life choices more colorful. However, when we first launched the cafes, we did lose some employees who had joined expecting to work in hotels and restaurants, saying “This isn’t what I was first told! I joined because of what was promised initially, but now we’re not doing that anymore.” While maintaining our core principle of “connecting people with people”, we expanded into remote call centers and work-from-home customer support, areas that grew significantly during COVID. As the pandemic subsided, we also moved into in-office administrative work. Now, beyond providing environments for our members’ growth, we’ve strengthened our focus on offering various working styles to suit different life plans. What COVID helped us realize was that whether it’s B2C or B2B, it’s ultimately about human connections. For example, when customers come to a store, they do so because they think, “Maybe this person can do something for me.” In B2B as well, since there are people involved, “This is a tight deadline…but maybe if I ask So-and-so, they’ll do their best to help.” In the end, work is all about people connecting with people. Members who joined as new graduates saying “I’ll work super hard!” have now returned from maternity and childcare leave. Some continue to work just as hard, while others want a better work-life balance, and some want to work but can only do so under certain conditions. And I believe all of these choices are valid. Whether some members want to increase their income, enrich their private lives, or prioritize their family—when these various needs arise, we want to create options within the company to accommodate them, making it a place where people can work with peace of mind for a long time. I think the idea of making one’s life more colorful is the new meaning and intent behind our logo’s design. As for business performance, our top line did temporarily decrease due to the changes in our business model resulting from the pandemic, but since then, our operating profit has actually increased! Sugihara: That’s wonderful. You went through a difficult period but came out stronger for it, and now you’re gradually shifting to a more robust business model. Hosaka: Yes. Now we dispatch more people to call centers and back-offices than to mobile phone shops, so I guess you could say our group’s risk portfolio has expanded. STAR CAREER CO., LTD Company President and CEO: Tatsumasa Hosaka Address: 25F Shibuya Cross Tower, 2-15-1 Shibuya, Shibuya-ku, Tokyo Established: May 2016 Website: https://star-career.co.jp/ Next, in the latter part of the interview, we discuss: • The market environment • The release of “Caripo” • Industry-academia collaborative events • STAR CAREER’s corporate culture • “Realizing a Venture Ecosystem” • And other topics Be sure to check it out here!
  • Group Companies
  • Interview
2024.10.25
[Executive Interview #01] Advisor Ichiro Fujisaki (Former Japanese Ambassador to the United States) – Part 2
Our President and CEO Kazuhiro Goto interviewed Ichiro Fujisaki, who is a former Ambassador Extraordinary and Plenipotentiary of Japan to the United States. Advisor Fujisaki was appointed as an advisor to D-POPS GROUP in April 2023 to help realize a Venture Ecosystem. This article is based on the latter part of the interview. You can view Advisor Fujisaki’s profile here: https://d-pops-group.co.jp/en/company/board-member/ Read the first part of the interview here. Goto: Now, for the next question: you have experience serving as an outside director at major Japanese corporations like Nippon Steel and Itochu. How did working in the Ministry of Foreign Affairs feel different from working in the private sector? Were there any similarities? Fujisaki: One major difference I felt between the Ministry of Foreign Affairs and large corporations was that when making decisions at the Ministry, we always had to consider how things would look to someone from the outside—in other words, accountability. I felt this was different in the private sector. In a government office, you are constantly exposed to the media and the National Diet. Even the smallest mistake requires a public announcement. For example, if a tax office somewhere loses 300,000 yen and doesn’t report it, it would turn into a huge scandal, and they’d be accused of trying to cover it up. It’s the same with the police. On the other hand, if a company loses 300,000 yen but finds it right away, they simply remind employees to be more careful next time. Ultimately, it’s something that can be controlled by the company’s management. I feel like in the government, we spend too much energy on this kind of thing. Another difference is that the Ministry of Foreign Affairs was a much flatter organization compared to large corporations. Even younger employees were allowed to participate in high-level discussions and voice their opinions. In contrast, corporate hierarchies seem to be much stricter. Goto: I think so, too. Most companies in society follow a pyramid structure, so even if a young person works extremely hard or has exceptional ability, it still takes an incredibly long time to get promoted. That’s why I felt we needed to create more companies that offer young people real opportunities, or else there’ll be no future. That was one of the reasons I started my own company. Fujisaki: Exactly. That’s really important. Otherwise, young talent will just leave for opportunities overseas. Goto: Now, we’ve progressed even more from that point. Initially, we focused on building a company that gives young people opportunities, but now our goals have expanded to increasing the number of entrepreneurs in Japan and spreading a culture of taking on challenges and having a more open-mind. By doing so, we hope young people will have more options—whether it’s choosing where to work, what challenges to take on, or even starting their own business. I believe we need to create a society where entrepreneurship itself is celebrated, and that’s what I’m working hard to achieve. At this point, Ambassador Fujisaki, I’d like to ask you the following question. Given your experience negotiating with various countries during your time at the Ministry of Foreign Affairs, with regard to managing the balance of power when dealing with several major global players: in order to firmly maintain and enhance Japan’s presence on the world stage, how do you think Japan should balance its relationships with the United States, the EU, and other major powers such as those in the BRICS group? Fujisaki: When I recently spoke with a top executive at a major corporation, he remarked, “In light of the dealings in Ukraine, North Korea, and China over these past 10 years, shouldn’t we set aside our belief in the inherent goodness of people—especially as it relates to democracy and peace—and instead operate on the assumption that human nature is essentially bad?” I replied, “No, it’s both at the same time. Our official stance is that humanity is good, but behind the scenes, we always assume the opposite. The core of national security is preparing for the possibility that anyone might do anything.” Considering that Japan is neighbored by North Korea, Russia, and China, we have no choice but to depend on the United States for our security. However, that does not mean we must adopt the exact same policies as the US. Unlike the US, Japan has consistently maintained good relations with countries such as Cuba, Iran, and Myanmar, and even after the US pulled out, we continued with initiatives like the TPP [Trans-Pacific Partnership] and the Paris Agreement. We’re managing these relationships effectively without being overly vocal about it. The nations in the Global South and BRICS are by no means monolithic, so it’s important for us to build the best possible relationships with India, South Africa, Brazil, and others among them. When you travel abroad, you often hear that many people hold Japan in high regard and have a positive impression of it. So, I believe that, fundamentally, our current approach is working well. However, one area that requires caution is India. While India is often seen in a favorable light—partly because China is cast as the villain—it is, in reality, a very shrewd nation. Although I’ve only negotiated with India a few times, it turned out to be the most challenging negotiation partner I’ve ever encountered. Goto: In the serial articles you wrote for the Sankei Shimbun newspaper, you mentioned that Japanese people consider their nation to be somewhat unreliable, but at the same time, they think it is wonderful that in the past 70 years since the Great War, Japan has not entered into a single war. After reading that, I also thought, “Indeed, what a great accomplishment that is!” Well, here is the next question: we often talk about the Lost Thirty Years*. From a global perspective, why do you think Japan has fallen behind in terms of economic growth and development? I think the situation has changed significantly since the publication of American sociologist Ezra F. Vogel’s book Japan as Number One: Lessons for America. *Note: Japan experienced around 30 years of significant economic stagnation after the asset price bubble burst in 1990, known as “the Lost Decades”. Fujisaki: It was never really possible for Japan to become number one in the first place. We are a tiny country with no resources, yet 100 million people live here. With such limited land, we have to import considerable amounts of food and other resources, so becoming number one was never feasible. Since Vogel was my friend, it pains me to say this, but his book was essentially a strategy to boost sales through flattery. For a country with scarce natural resources like Japan, it is critical not to overreach. I don’t think it was good for us to completely abandon our industrial policies just because the US said so. Instead, we should have created something like Silicon Valley through government and business cooperation. On the other hand, I don’t think there’s anywhere as clean and comfortable as Japan. In terms of soft power, Japan is such an exceptional country that I refer to it as “A-Ka-Se-Ki-Rei” (initials of the Japanese words for ‘safety’, ‘security’, ‘cleanliness’, ‘discipline’, and ‘manners’). Although Japan’s declining population is usually seen as concerning, maybe this small country doesn’t really need 100 million people. After all, Japan has one-third of the US population squeezed into an area the size of California, and 80% of Japan is mountainous. Perhaps it wouldn’t be so bad if Japan’s population decreased somewhat. Having a domestic market such as the old automobile industry is not necessary. Rather, we should have been thinking about creating businesses regardless of the domestic market, like Taiwan’s TSMC or Finland’s Nokia. We should have developed industrial policies with this in mind. I think our nation’s current situation probably stems from our failure to further pursue startups and similar initiatives. Goto: For about the past five years or so, there has been quite the sudden, strong push to support startup companies. Both the government and large corporations are finally accelerating their investments in venture capital. It feels like we’re only now seriously pursuing what we should have started 30 years ago. One last question for you, Ambassador Fujisaki, as someone who worked with various American presidents during your time as Ambassador to the US: among all the American presidents and the state leaders of other countries that you’ve met, who left the deepest impression on you, and why? Fujisaki: First, President Bill Clinton had this speaking ability where even in a crowd of 400 people, everyone felt like he was talking directly to them. And what’s remarkable about him is that he was an extraordinary intellectual. He went to Oxford University as a Rhodes Scholar, a scholarship program that only about 50 top American students per year can use. However, I heard he hardly attended any classes. But here’s an interesting story I heard: when these 50 brilliant students gathered and discussed who among them would become America’s future leader, many of them said Clinton’s name. He never really studied, but he was capable of academic excellence. And more than that, I think it was a kind of personal charisma. The fact that a majority of those brilliant students chose Clinton shows his remarkable ability. Also, in terms of my personal experience, when former Prime Minister Obuchi passed away, I was Director-General of the North American Affairs Bureau at the Ministry of Foreign Affairs. At that time, Clinton came for Obuchi’s funeral. After the funeral, there was a reception at the Akasaka State Guest House, and as the Director-General, I was assigned to guide the American president. Since I was leading the way there, Clinton was hardly able to see more of me than my back, and we had minimal conversation. Four months later, Prime Minister Mori held the Okinawa Summit. Clinton was scheduled to give a speech at the Cornerstone of Peace. Actually, we weren’t sure if he could come because he was involved in Middle East peace negotiations at the time, but in the end, he managed to come and give a speech anyway. Afterward, people lined up to shake hands with Clinton. I was in the front row, but since I’d have the chance to talk with him again later, I moved to the back so that the local residents could meet him first. Eventually, Clinton got to me, and when he saw my face he immediately said, “Oh hey, you’re here!” Either he had an exceptional memory and was able to remember me from just being his guide in Tokyo four months earlier…or perhaps, given his famous charm, he was calling out to every fourth person or so, ha ha. Either is possible for someone with social graces like his. Meanwhile, President Barack Obama is definitely brilliant, but he seemed to feel the need to emphasize his intellectual capabilities…perhaps as a result of being a black person? Clinton, on the other hand, never displayed his intelligence. This was one difference I noticed about them. Goto: Conversely, perhaps it’s because he was already so capable that, as they say, “a wise hawk hides its talons.” Fujisaki: Yes, that’s probably it, although he’s also a white person. As for Obama, he’s very stylish, usually appearing with his shirt sleeves rolled up. But in reality, he has an incredibly sharp mind. Goto: Thank you very much for making time in your busy schedule today. I’ve gained a lot of knowledge and inspiration from talking with you, and I am determined to build a Venture Ecosystem for the future of Japanese society.     Afterword by Kazuhiro Goto, President and CEO of D-POPS GROUP Co., Ltd.: I had the distinct privilege of interviewing Mr. Fujisaki, who served in crucial diplomatic roles including Ambassador to the United States as well as the Permanent Mission of Japan’s Ambassador Extraordinary and Plenipotentiary to the International Organizations in Geneva. Through this interview, I received countless invaluable insights, experiences, and advice. I was so excited about the interview that I could hardly contain myself, especially the day before, and the questions I wanted to ask him were even floating through my dreams. He answered all my many questions sincerely, and his responses consistently resonated with principles of corporate management. Making decisions in the complex world of diplomacy and politics must be incredibly challenging. In business management, too, we’re constantly required to find the most appropriate solutions possible while dealing with the various matters in front of us. The experiences and advice Mr. Fujisaki shared will be valuable not only for myself and current leaders but also for future generations of leaders. In this interview, there were so many candid statements that we also had to omit quite a bit of content. In fact, the interview itself was about ten times longer than what appears here! Even now, Mr. Fujisaki holds important positions such as President of the America-Japan Society and Advisor (formerly Chairman) to the Nakasone Peace Institute. This was truly a priceless occasion, and I earnestly feel that his knowledge and experience should be passed along to the next generation for the sake of Japan’s future. In closing, I would like to express my heartfelt gratitude to Mr. Fujisaki one last time for giving me this precious opportunity to interview him.
  • Interview
2024.10.16
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