Japan Post Group's Local Co-Creation Initiative: Bridging Corporate and Social Impact

Title: "Japan Post Group's Local Co-Creation Initiative: Bridging Corporate and Social Impact"

In April 2022, the Japan Post Group launched a groundbreaking initiative known as the "Local Co-Creation Initiative," aimed at addressing societal challenges. This visionary project involves dispatching young and mid-career employees, aged between 20 and 40, to social venture enterprises in local communities for a two-year period, fostering collaboration to solve regional issues.

The driving force behind this initiative, as articulated by Ms. Sayaka Kobayashi, Head of the Japan Post Business Co-Creation Department, is the vast potential inherent in the nationwide network of approximately 24,000 post offices operated by the Japan Post Group. The goal is to maximize this potential while actively supporting local businesses in addressing community challenges through the Local Co-Creation Initiative.

Despite initial challenges and skepticism, the initiative gained recognition, receiving the Local Sector award at the "Beyond Sustainability 2023" event hosted by Business Insider Japan in November 2023. The project's success highlighted the Japan Post Group's commitment to realizing both sustainable societal impact and business excellence.

Ms. Kobayashi, reflecting on the initiative's origins, acknowledged the need for a flexible approach to service provision, tailored to the unique needs and demands of different regions. The privatization of postal services in 2007 brought about a uniform "Universal Service" model, obliging the Japan Post Group to offer consistent services nationwide. However, internal structures supporting innovation and effective execution were lacking, contributing to the Initiative's genesis.

Drawing from her experience in real estate development, Ms. Kobayashi utilized the internal side-job system, collaborating with individuals like Mr. Daisuke Hara to transform an underutilized space in the Oiso Post Office into a coworking facility and daycare center. This project, while successful, exposed the necessity for creating meaningful connections between employees and external partners.

The journey to establish the Co-Creation Initiative was not without hurdles. Ms. Kobayashi faced internal resistance due to a dichotomous perspective on whether the initiative primarily served social contribution or business objectives. Undeterred, she persisted in her proposals, motivated by a personal experience where a colleague, expressing a desire to improve the company, eventually left. Recognizing the departure of forward-thinking individuals as a potential crisis for the company, Ms. Kobayashi felt compelled to create environments that fostered cross-boundary decision-making experiences.

Launched in April 2022, the Local Co-Creation Initiative has witnessed nearly two years of development. Ms. Kobayashi emphasized the challenges faced by employees working on the ground, transitioning from large corporate structures to environments where self-initiated actions are imperative. Conflicts with host organizations, requests for managerial meetings, and instances of employees contemplating returning to the corporate setting were part of the learning curve, highlighting the difficulty in shifting mindsets.
In contrast to the challenges, tangible outputs have begun emerging three months before the completion of the first cohort's deployment. Notably, a pilot experiment called the "Local Coop (Local Co-op) Project" in Nara City, facilitated by Next Commons Lab, demonstrated a mutual aid shopping service to address the daily needs of an aging population.

Reflecting on the journey, Ms. Kobayashi stressed the importance of strong, transformative experiences in changing mindsets. Moving from a large corporate setting to a smaller organization and simultaneously altering living and working environments proved essential for effective unlearning and relearning.

As the initiative progresses into its second year with a new cohort, the vision remains clear: "to fill the gaps in local communities." The plan is to expand partnerships and collaborations with like-minded partners and regions that share the same values and perspectives. Moreover, preparations are underway to enhance business-oriented support, ensuring sustained execution as an integral part of corporate responsibility.

Beyond short-term cash flows, the initiative recognizes the necessity to seek both financial and non-financial returns from a medium to long-term perspective. Visualizing social impact becomes crucial in partnering with organizations having different cultures and in nurturing an outside-in thinking mindset.

As the first cohort concludes their deployment in 2023, the aim is to publish results and showcase the impact of the initiative on the societal and business landscapes. This commitment underscores the Japan Post Group's dedication to not only addressing immediate challenges but also contributing to the sustainable development of the communities they serve.