#Japan #Small Business #Koto, Tokyo #OFF-JT Training #Succession Candidates

Overview of the OFF-JT Training Utilization Survey

A pivotal survey conducted by Job San-Ko (officially recognized as the Public Foundation for Industry Employment Stability), led by Chairman Junichi Okazaki, in May 2026, assessed the perceptions of over 1,000 management-level employees involved in employee education within small companies in Japan. The insights gathered aim to effectively support the implementation of OFF-JT training strategies in these businesses, addressing their pressing challenges, particularly in leadership succession and the adoption of digital transformation (DX).

Key Findings from the Survey

Availability and Training of Succession Candidates

• - Approximately 48% of responding companies have identified potential successors (next-generation leaders), while 52% reported no candidates available. This disparity highlights the significant obstacles small businesses face in ensuring continuity as they age.

• - Among those with identified candidates, 35% stated that they are developing these individuals satisfactorily without any additional training. In contrast, 27% rely solely on practical experience accumulation, while 22% are considering OFF-JT as a training method.

• - Conversely, 20% of companies without potential successors indicated they do not plan for future leadership transitions, reflecting a troubling trend especially among smaller enterprises.

State of Digital Transformation (DX) Talent

• - Only 20% of businesses reported having DX promotion personnel, a woefully low figure. Approximately 47.5% of companies indicated they lack such talent entirely, while 31.7% said their existing personnel are not adequately skilled.

• - Companies lacking DX personnel predominantly indicated that they see no immediate need for digital advancement, with a notable 29.3% saying they aren’t looking for new talent in this area. This is especially prevalent in smaller businesses where resource constraints often limit digital initiatives.

Implementation of OFF-JT Training Over the Past Three Years

• - The survey revealed that 54% of businesses had implemented OFF-JT training within the last three years. Notably, 70.8% of larger companies (100-299 employees) engaged in such training, while a staggering 69% of micro-sized firms (5-9 employees) admitted to not executing any form of OFF-JT training.

Themes and Effectiveness of OFF-JT Training

• - The primary themes covered in OFF-JT initiatives included enhancing organizational vitality, management capabilities, and employee motivation (43% of respondents), as well as improving technical and service skills relevant to their business (40.5%).

• - The effectiveness ratings for these training sessions were high—over 60% of participants reported that the outcomes were either better than expected or met their original expectations, particularly in areas such as digital use and compliance enhancement.

Secondary Benefits of OFF-JT Training

• - Key secondary advantages reported include enhanced workplace morale, with nearly 50% citing an increase in organizational vitality, and 39.2% noting improved corporate culture fostering collaborative learning.

Challenges and Reasons for Not Implementing OFF-JT Training

• - Among the companies that did not conduct OFF-JT training, a significant 38.1% mentioned that they have been sporadically addressing training needs as they arise. Additionally, 21.3% stated that there were no suitable candidates to undergo training.

In conclusion, this survey illuminates the pressing need for small businesses to prioritize OFF-JT training, not only to secure effective leadership succession but also to embrace the digital transformation necessary for their survival and growth in a rapidly changing economy. Job San-Ko remains committed to supporting these enterprises in navigating these challenges effectively through tailored training solutions.