"BET ON PASSION" is the Foundation of Our Value Creation Process, as We Seek to Change the World

Article for Annual Report 2018 (October, 2018)

Shogo Ikeuchi

Shogo Ikeuchi

CSO, CHRO, and Senior Managing Corporate Executive Officer

A Cyclical Process for Creating New Value

Recruit Group's value creation is based on the Company's basic principle: "creating a brighter world where all individuals can live life to the fullest." We try to instill this concept into our employees, encouraging them to "Follow Your Heart." Our business model, "Ribbon Model" strives to fulfil that Mission and to provide "Opportunities for Life." If we pursue our Mission to innovate, based on our Values that we defined, and produce various things of value organized around the five material matters of sustainability, we can provide value to society and contribute to achieving the Sustainable Development Goals (SDGs). We are constantly seeking input from stakeholders and looking for ways to refine and improve operations. This Value Creation Process never ends, but leads from one cycle to another in an ongoing process.

Above all, if I were to be asked what is the most important, I would say "BET ON PASSION" in our Values.

Creating History by Building on the Initiative of Young Employees

In 1995, as Internet use in Japan began to take off, many of Recruit Group's young employees recognized both the threat and the potential it represented. These twenty-somethings urged management to "seize the opportunity" and leverage the new media in the same way that we used print publications as the foundation for the first phase of growth. Naturally there was resistance from some quarters, but in the end, the Company elected to pursue this youth-led initiative, in light of the customer-friendly nature. Having heard many fresh ideas from passionate young employees seeking to create new services and being a driving force behind a transformation of entire market, the Company decided to bet on them. Thus began the process by which the main-stay businesses was gradually transferred from a print-based to an Internet-based businesses.


Although the current top executives of the Recruit Group represent different generations, all share openness to new ideas. At some point in their career, each one was able to convince their superiors that their ideas, which might sound far-fetched but had the potential to create new value for society. Their youthful creativity helped change Recruit Group's business model. The fact that Recruit Group has this type of employees-individuals who have personally seen how their activities can contribute to society-is a key source of our strength. In many large corporations, the initiative and energy of young employees can be stifled by rigid structures or corporate hierarchies, and their ideas never get a fair hearing. At Recruit Group, however, ideas for new businesses are actively encouraged. In fact, many ideas from young employees have developed into successful businesses. If one employee is encouraged to consider how they can contribute to society or make the world a more exciting place, this attitude will spread to those around them. At Recruit Group, employees share any spontaneous idea they might have, discuss the pros and cons as well as alternatives, and consider how it might be developed to create value. Recruit Group puts this energy and creativity to maximum use with its Value Creation Process. The role of management is to encourage this creativity and channel the energy into successful businesses.

Recruit Group's basic principle is to help people live their lives to the fullest. If we cannot put this philosophy into practice at a corporate level, then what chance is there for it to realize that worldwide? At Recruit Group, we encourage employees to follow their initiative and make contributions to society. In this way, we can help create a world that all individuals can live life to the fullest.