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Reform of the Ministry of Foreign Affairs, Japan

Reform of the Ministry of Foreign Affairs, Japan. Katsuyuki Tomizawa. Scandals (embezzlement). misuse of government secret fund to buy race horses and personal luxury items (1993-1999) Padded-bills

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Reform of the Ministry of Foreign Affairs, Japan

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  1. Reform of the Ministry of Foreign Affairs, Japan Katsuyuki Tomizawa

  2. Scandals (embezzlement) • misuse of government secret fund to buy race horses and personal luxury items (1993-1999) • Padded-bills - by over-billing for hotel rooms used for the Asia- Pacific Economic Co-operation forum in 1995. - by asking a taxi firm to submit inflated bills for limousine services during G-8 Summit in 2000

  3. MOFA HOTEL Payment Accounting section $ 10 mil. International Conference Receipt $ 9 mil. Receipt $ 10 mil. $ 9 mil Pooled Money $ 1mil. Payment Budget Request Stay MOF Social events

  4. Scandals (organisational problem) Announcement by MOFA(30 November 2001) • 71 of 119 divisions improperly pooled public funds by having 12 private companies pad bills • Nearly 2000 MOFA staff used up $ 1.5 mil. for social events during 6 years • 328 officials, who were in supervisory positions during the period, were punished.

  5. Causes of Scandals • Confidentiality of Ministry’s activities (secret fund etc.) • Insufficient approval system of the expenditure and audit system • Deficiency of personnel system “Career” vs. “ Non-career ”

  6. Cultural Background • Collectivism • High Power Distance • High work ethics • Homogeneity • Uniform education system • underdeveloped staff promotion system

  7. Change of cultural background Globalisation Imported Individualism Change in quality of educational system Diversification of demand for Human Resources Existing organisational system and outdated personnel system Produced younger generation and sense of value Conflict

  8. Reform Programmes

  9. New Promotion system Introduction of Merit-based promotion system (announced on 21 December 2001) • Open application system for 50 posts • A promotion system that does not distinguish between career and non-career

  10. Performance evaluation system • Directors and staff members are required to hold preliminary meetings before final rating • Introduction of the system that staff members can evaluate their superiors

  11. Further challenges • Steady implementation of new promotion system and performance evaluation system • Setting up standard requirements for managerial posts • Comprehensive review of the human resource development programme

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