Special Lecture for Celebrating the 3rd Anniversary of MoU
Between Kobe University and Academia Sinica
Lecturer: Professor Fumitoshi Mizutani
Date: November 23rd, 2018 (Friday) 10:30-12:00
Venue: Mo-Huan Auditorium, Institute of Economics, Academia Sinica
Organizer: Institute of Economics, Academia Sincia
Reform of Public Utilities in Japan:
Focusing on Policy, Management, and Cultural Background in the Railway Industry
日本の公益事業改革：鉄道事業における政策、経営、文化的背景を中心として
Abstract: This presentation explains the essence of public utility reform in Japan, focusing especially on the railway industry. Japan’s state railway (i.e. the Japan National Railway) was privatized in 1987 in the first case of railway privatization in the world, in a nation with an abundance of privately owned railway companies. Another feature of the Japanese railway industry is the high-speed train service, which began operating in 1964 and has experienced no serious accident since. With these facts in mind, we explain the reform of the railway industry from several perspectives, such as public policy, management, technology, and cultural background. First, in order to let the general audience understand the current situation of the Japanese railway industry, we cover such topics as rail modal share, the network situation, major rail operators, high-speed trains’ demand, major regulations, and liberalization. Second, as a typical example of Japanese style reform, the case of privatization of the Japan National Railways is presented, and its eight characteristics are summarized. Differences in regulatory schemes between the UK and Japan are outlined, and current JR companies’ performance is explained. Third, as another important feature in the Japanese railway industry, vertical structure is discussed. In Europe, vertical separation is common while vertical integration is prevalent in Japan. After explaining the pros and cons of vertical separation, we present an overview of recent research. Fourth, to demonstrate changes in management, we present three cases: using railway stations as devices for collecting passengers, developing areas along railway lines, and developing new technology. Last, to illustrate real-world company management, we take the examples of JR Kyushu as an operating company and Tessei as a related company, expounding upon these companies’ interesting, innovative services and the cultural influences behind them.
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