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Opportunities for Master's and Doctoral Graduates in Japan: A New Era for Global Perspectives and Specialized Expertise




1. Redefining the Value of Master's and Doctoral Graduates in Japan


1.1 Background


For many years, Japanese companies have favored bachelor's degree holders over those with master's or doctoral degrees. This preference stems from concerns about delayed career progression due to age and the perception that the specialized skills of advanced degree holders exceed practical business needs. However, as technological innovation and globalization advance, the demand for highly specialized knowledge has rapidly increased. This shift has sparked a reevaluation of the value of master's and doctoral graduates within Japanese corporations. At the same time, there is a declining trend in the number of students enrolling in these advanced programs domestically, with master's program enrollment peaking in 2010 at 82,310 and falling to 75,749 by 2022*1. Doctoral programs have also seen a long-term decline since their peak in 2003. Consequently, a gap has emerged between the demand for highly skilled students and their availability. In February 2024, Keidanren highlighted the importance and challenges of nurturing doctoral and female STEM talents in their policy proposal*2. In response, Japanese companies have increasingly turned their attention to foreign universities to bridge this gap. This article explores career opportunities in Japan for students who have completed graduate studies abroad.


1.2 Comparing Master's and Doctoral Graduates in Japan and Abroad


The criteria and roles of master's and doctoral degrees vary significantly by country and region. In Western countries, these degrees are often essential qualifications for professional or research positions, especially in fields requiring advanced technology and strategic thinking. For example, doctoral graduates play leadership roles in driving new technologies and market developments at high-tech firms in the U.S. and research institutions in Europe. Similarly, in Asia, countries like South Korea and China recognize these degrees as crucial for enhancing competitiveness in the labor market, with a noticeable increase in hiring PhD holders in global corporations and government agencies in China*3,4,5.


In contrast, Japan's hiring practices have traditionally been dominated by the simultaneous recruitment of new graduates and seniority-based promotion systems, which prioritize the bulk hiring and lengthy onboarding of bachelor's graduates. This has led to a reluctance to hire master's or doctoral graduates for several reasons:


  • Age Difference: Concerns about delayed promotion within the cohort due to being older than fellow recruits.

  • Perceived Overqualification: Specialization in a particular field may be seen as lacking the broad adaptability desired by companies.

  • Recruitment Process Mismatch: The academic schedules of master's and doctoral programs may not align with Japan's hiring cycles.


However, changes are occurring due to the need for specialized skills to keep pace with globalization and technological advances. Industries like AI, biotechnology, and data science increasingly require the unique skills of master's and doctoral graduates to lead multinational teams and advance research and development. Companies with international operations also view the advanced specialization and multicultural adaptability gained through graduate studies as competitive advantages.


These developments suggest a move towards aligning Japan's hiring practices with global standards, offering foreign graduates of overseas programs an excellent opportunity to leverage their degrees in Japan.


1.3 Changes in Industry Demand for Specialization


The rapid digitalization and technological evolution are significantly altering the talent needs of companies, particularly in sectors such as:


  • AI & Data Science: The Ministry of Economy, Trade and Industry estimates a yearly shortfall of about 300,000 data scientists and AI engineers in Japan. To address this, companies like SoftBank, Sony, and Rakuten are actively recruiting individuals with advanced degrees in statistics and machine learning*6,7,8,9.

  • Life Sciences & Biotechnology: With an aging population, there is a growing need for advanced research in pharmaceuticals and medical devices. Major pharmaceutical companies like Shionogi, Takeda, and Astellas are hiring graduates with advanced degrees in molecular biology and pharmacology to develop new drugs and conduct clinical trials.

  • Green Energy & Sustainability: Renewable energy technologies are essential for achieving the Sustainable Development Goals (SDGs). Mitsubishi Heavy Industries, for example, has been spearheading hydrogen energy research projects led by doctoral graduates*10.


These shifts are creating fertile ground for more aggressive recruitment of master's and doctoral graduates, significantly altering traditional hiring criteria and expanding the career paths available to students beyond research and development.


1.4 Strengthening Collaboration between Academia and Industry


The increasing opportunities for master's and doctoral graduates in Japanese companies are also supported by enhanced collaboration between academic and industrial sectors. This cooperation includes:


  • Increased Joint Research Projects: Projects like the autonomous driving research led by Tokyo University and Toyota are becoming more common, with doctoral graduates often playing central roles.

  • Company-Sponsored Scholarships: Companies such as Mitsui Chemicals and Sumitomo Electric offer scholarships to doctoral students, considering them for future employment.

  • Expanded Internship Programs: These allow doctoral students to gain practical experience, helping both students and companies evaluate essential skills directly.


These factors collectively signal a rapid reevaluation of the role of master's and doctoral graduates in Japanese enterprises, presenting new career possibilities for foreign students and emphasizing the increasing importance of specialists who can combine global perspectives with advanced skills.



2. Industries and Roles Requiring Master's and Doctoral Degrees


2.1 Technical Fields (R&D, AI, Biotechnology, etc.)


Japanese companies are particularly seeking individuals with master's or doctoral degrees who can demonstrate their expertise in technical fields. For example:


  • Research and Development (R&D): In manufacturing and technology companies, R&D departments heavily rely on the specialized knowledge and skills of master's and doctoral graduates for new product development and technological innovation.

  • AI and Machine Learning: The proliferation of AI technologies domestically has created a high demand for AI engineers and data scientists with deep theoretical knowledge and algorithm design skills acquired through advanced studies.

  • Biotechnology: The advancement in medical research and genetic engineering techniques has increased the demand for graduates in biotechnology fields. Companies like Shionogi, Astellas, and Takeda employ master's and doctoral graduates in clinical trials and drug development projects.


2.2 Consulting and Analytical Services


Graduates with master's or doctoral degrees are in high demand not only in technical fields but also in industries involved in consulting and strategic planning. In the following professions, analytical and problem-solving skills are particularly valued, and the in-depth knowledge gained from advanced degrees is often applied:


  • Strategy Consultant: Graduates with advanced degrees utilize their deep analytical and insight capabilities to develop and propose business strategies. Particularly, strategy consulting firms such as Bain, McKinsey, and YCP Solidiance seek individuals with advanced degrees in economics, management, and data analysis. These professionals are highly valued for providing unique solutions to complex business challenges.

  • Data Analysis Roles (Data Scientists, Analysts): There is a growing demand for data analysts and data scientists in the financial and IT industries who can analyze vast amounts of data to support business decision-making. Graduates are prized for their advanced analytical skills based on their knowledge of statistics, mathematics, and programming, especially in the finance and manufacturing sectors.

  • Risk Management and Financial Analysis: The finance industry consistently seeks individuals to manage risk and analyze market trends. Those with advanced degrees in financial engineering or statistics are crucial for developing predictive models and are often employed by foreign financial institutions to manage risk and perform portfolio analysis.


2.3 Contributions to Global Business


For foreign students who have completed their master's or doctoral programs, playing a role in the global expansion of Japanese companies is crucial. They are expected to contribute their international perspectives and specialized knowledge in the following areas:


  • Overseas Business Development: When Japanese companies expand into international markets, an understanding of local markets and cultural nuances is crucial. Graduates from overseas universities, especially those with deep knowledge of Asian or Western markets, are expected to play key roles in local business development and marketing strategies. For instance, in companies like Panasonic and Hitachi, graduates manage projects and coordinate with local partners in the overseas business divisions.

  • International Research and Development (R&D): In global companies, R&D departments are often spread across the globe, and graduates are frequently leading international research projects. For example, major manufacturers like Sony, Fujifilm, and Toyota collaborate with researchers worldwide to develop new technologies, with graduates often at the forefront of these initiatives.


Thus, graduates with advanced degrees can excel in various roles beyond technical fields, including consulting, data analysis, and international business. Japanese companies are actively seeking to recruit individuals who combine specialized expertise with a global perspective in these areas.



3. Strategies for Master's and Doctoral Students to Succeed in Japan


3.1 Methods to Showcase Specialization


To succeed in Japanese companies, it is crucial for graduates to effectively showcase their specialization. In the Japanese corporate culture, not only academic qualifications and skills are important, but also how these can be applied in practice. Graduates should focus on the following points to highlight their expertise:


  • Relate Research to Industry Challenges: Clearly explain how one's research can contribute to solving the challenges faced by the industry or company they are applying to. For example, if specializing in AI technology, it is important to articulate how this can enhance operational efficiency or contribute to new product development.

  • Highlight Project Experience: In addition to research, describing projects or internships undertaken during university that demonstrate how they have solved real-world problems can be effective. It's crucial to show how the advanced problem-solving and analytical skills developed during the master's or doctoral programs can be valuable in a corporate setting.

  • Promote Extracurricular Activities and Networking: Activities and networking outside of academia also serve as significant selling points. Presenting at conferences, participating in international research collaborations, or internships can show how well one is connected with the industry, leveraging their specialization.


3.2 Adapting to Japan's Unique Recruitment Process


Japan's recruitment process is distinctive, particularly characterized by the mass hiring of new graduates. However, master's and doctoral graduates need to develop strategies to adapt to this system. It is essential to understand the recruitment process characteristics in different industries and prepare accordingly. Jelper Club recommends reviewing articles on industry-specific selection processes to aid in preparation.




3.3 Networking and Information Gathering


For master's and doctoral graduates conducting job searches in Japan, networking and information gathering are crucial. Actions such as:




4. Conclusion


Master's and doctoral graduates are increasingly recognized by many companies as crucial for future growth. With globalization and technological innovation driving the need for advanced specialization and international perspectives, these graduates are becoming indispensable in fields like AI, data science, biotechnology, and green energy. They play vital roles in research and development and promoting international business initiatives.


Furthermore, changes in Japan's recruitment process are expanding the opportunities for master's and doctoral graduates, making their specialized knowledge and multicultural adaptability valuable assets in the industrial sector. Companies are increasingly seeking flexible, internationally minded individuals, thereby enhancing career formation opportunities in Japan for graduates of foreign universities.


For master's and doctoral graduates aiming to build careers in Japanese companies, it is essential to understand the corporate culture through industry research and networking and to actively promote their expertise.


Jelper Club continues to strengthen support for individuals from diverse backgrounds to build careers in Japan. If you have questions about job hunting or careers in Japan, feel free to contribute actively on "Thread."


Sources and Notes


1.「2.高等教育と科学技術人材から見る日本と主要国の状況」(科学技術・学術政策研究所):https://www.nistep.go.jp/sti_indicator/2022/RM318_04.html

2.「博士人材と女性理工系人材の育成・活躍に向けた提言」(経団連):https://www.keidanren.or.jp/policy/2024/014_honbun.pdf

3.「「千人計画」」(Science Portal China):https://spc.jst.go.jp/policy/talent_policy/callingback/callingback_05.html

5.「韓国の科学技術人材育成・確保に関する調査」(アジア・太平洋総合研究センター):https://spap.jst.go.jp/investigation/downloads/2022_rr_05.pdf

6.「AIを活用したセンシング技術で地球を見守り、未来へつなぐ — 松浦賢太朗」(東京科学大学):https://www.titech.ac.jp/public-relations/prospective-students/first-step/career-design-matsuura

7.「AIで幸せ追求、物理学者から転身した楽天CDOの夢」(日本経済新聞):https://www.nikkei.com/article/DGXMZO41458270Z10C19A2000000/

8.「楽天モバイルとドイツ・ミュンヘン工科大学、ネットワーク検証へのデジタルツイン活用に関する共同研究を開始」(Rakuten):https://corp.mobile.rakuten.co.jp/news/press/2022/0420_01/

9.「入社して2年、日本発のAI研究で世界へ。世界最高峰の国際会議「ACL」で論文採択」(SoftBank News):https://www.softbank.jp/sbnews/entry/20240918_01

10.「水素発電で、サステナブルな未来を実現する。」(三菱重工):https://power.mhi.com/jp/special/hydrogen


(Editor: Jelper Club Editorial Team)


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