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Nikkei Computer

January 09, 2006 Issue <<Contents>>

FEATURE Revitalizing Japan’s IT Industry Plans developed by users, vendors, and experts to revive the industry - Japan’s investment in IT is the second largest in the world. Corporate users and IT vendors in the country have achieved steady growth by working closely with each other for the fifty years since the first computer was put into operation. Recently, however, signs of a change have become evident. While it is expected that worldwide investment in IT will grow at an annual rate of 5.6% through 2009, Japan’s IT investment is forecast to increase at only 1.4% annually during the same period. Even if corporate earnings grow rapidly, it is projected that IT investment will not increase. In addition, students’ interest in the IT industry has started to wane. This article suggests measures to overcome the stagnation that surrounds Japan’s IT industry, based on articles and discussions by users, vendors, and experts. Japan as an “IT Nation” Today The Puzzle of Japanese Software Industry - Michael A. Cusumano (Sloan Management Review Distinguished Professor, Sloan School of Management, Massachusetts Institute of Technology) Roundtable Discussion on the Problems with Japan’s IT Industry - Teiichi Aruga (Director, CSK Holdings Corporation) - Wen Zhou Song (Chairman, Softbrain Co., Ltd.) - Masayuki Makino (CEO, Works Applications Co., Ltd.) Learning from Plant Engineering - Takashi Toyama (EM System Consulting) Japan’s IT Industry Should Make Every Effort Possible during the Second Phase of the IT Revolution - Toshimitsu Motegi (House of Representatives Member) Nippon Information Industry’s Final Challenge Top executives of Fujitsu, NEC, and Hitachi talk about “revitalization of the IT industry” Roundtable Discussion: “IT Divisions Should Not Depend on Vendors” - Takahito Shigeno (Vice President and general manager of Information Systems Division, KDDI Corporation) - Susumu Ikehara (CIO and operating officer, AXA Life Insurance Co., Ltd.) - Satomi Kiuchi (manager of Information Planning Division, President’s Office, Taisei Corporation) Seven Functions that a CIO Should Be Able to Perform - Takashi Kume (Deputy Director, Information Policy Division, Commerce and Information Policy Bureau, Ministry of Economy, Trade and Industry) - Masami Katakura (Assistant Manager, Information Policy Division, Commerce and Information Policy Bureau, Ministry of Economy, Trade and Industry) - Genki Matsudo (Coordination Officer, Information Policy Division, Commerce and Information Policy Bureau, Ministry of Economy, Trade and Industry) CIO Types that We Don’t Need - Satoshi Uchiyama (CEO, ITR Corporation) Methods for Raising Money for New Investments - Tohru Murayama (Country Managing Director, Accenture Japan Ltd.) Measures for Developing IT Human Resources - Zenjiro Ohba (Professor of Engineering Education Systems, Graduate School of Engineering, University of Tokyo) - Yukinori Kakazu (Vice President, Hokkaido Information University, Doctor of Engineering) - Osamu Dairiki (Senior Executive Director, director of the Systems Research and Development Center, NS Solutions Corporation) Japanese Companies and Engineers Lag Behind Other Advanced Countries by Some Three Years - Yukako Uchinaga (IBM Japan Senior Managing Director, APTO ) Learning from Methods Used in the U.S. for Developing Human Resources - Ken Ito (chief researcher, RITA Consulting) Curing the “I Don’t Want to Be a Project Manager” Syndrome - Masaki Owaki (Senior Communication Engineer, Recruit Management Solutions Co., Ltd.) Software Engineering Will Save Japan’s IT Industry - Seishiro Tsuruho (President, Software Engineering Center, Information-Technology Promotion Agency) It Is Vital to Develop Next-generation Infrastructure Software - Norihisa Doi (Professor, Department of Information and System Engineering, Faculty of Science and Engineering, Chuo University) “Business Specifications” Are Needed - Masaru Murai (Vice Chair, UML Business Forum) Reviving “IT Business Management” - Satoe Kuwahara (System Coordinator, Sapporo Sparkle K.K.) Measures for revitalizing the industry, developed by those who are directly involved in IT businesses

REPORT

[Inside]

- Honda Motor has started establishing a global production management system.

- A Japanese modeling tool company makes inroads into the Chinese market.

- Other stories


[News & Trends]

- The IT market in Japan, especially in the software and service area, is expected to grow rapidly in 2006, by some 5%.

- Intel develops a new project with an aim to competing against thin client computers.

- Telecommunications carriers start offering data center services based on new charging systems.

- With the prevalence of open-source software, more software is being offered free of charge.

- Existing PCs are being converted into thin client PCs.

- Oracle Japan tries to reform its organization, which was designed specifically to provide database software and related products and services.


[From BusinessWeek]

- There may be an extra charge to access Google or Amazon.com.


[From InformationWeek]

- Microsoft is making a serious effort to enter the supercomputer market.


[News Flash for Each Industry]

- Service: JTB’s system malfunctioned and withdrew a total of ¥73.5 million from customers’ accounts.

- Distribution: Nissen installs anti-phishing tools in its online shopping website.

- Finance: UFJ Bank has sent virus-infected e-mail messages to 7,000 clients.

- Manufacturing: Sunstar plans to install IP phones at the 18 business bases of the company for internal use.

PEOPLE

Real Feelings Expressed by Top Executives
Shigeo Hayami: executive managing director, Yanase & Co., Ltd.

- Only companies that can collect, manage, and use information effectively will survive.

MANAGEMENT/TECHNOLOGY

A Practical Project-Management Course for Users
- It is important to ask end users to cooperate in a project.


Techniques for Management Reforms that Can Be Used Immediately — Internal Control
- When the Japanese version of the Sarbanes-Oxley (SOX) laws will come into force in March 2008, IT divisions will have a significant impact on a company’s value.


Useful Legal Advice for When You Are in Trouble
- We should learn how a trial proceeds and consider its cost-effectiveness.


IT Keywords You Should Have Known Long Ago

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