Hitachi Construction Machinery Co., Ltd.

Background

Developing a strong leadership pipeline in a global organization is a long-term commitment that requires a structured and strategic approach.

With more than 65% of its workforce and 80% of its sales coming from international markets, Hitachi Construction Machinery’s HR strategy focuses on strengthening human capital and corporate capabilities. These objectives require a comprehensive leadership development framework that could bridge regional differences, instill a unified corporate mindset, and equip employees with the skills they need to drive the company’s growth in an international business environment.

Following its separation from Hitachi Ltd. in 2022, Hitachi Construction Machinery entered what it calls its “second foundation”. This has marked a phase of transformation as it establishes itself as an independent company with a new shareholder structure.

With the accelerating changes in the business environment and the increasing complexity of social challenges, sustainable growth and value enhancement for companies depend on the growth of each individual employee. To achieve this, it is essential to foster an organizational culture where employees with diverse backgrounds, high social and market value, and a sense of personal leadership (“Lead the Self”) can thrive and create new value.

Given the current circumstances and changes in the business environment, there is a need to accelerate efforts to enhance human capital initiatives. This includes promoting diversity, equity, and inclusion (DE&I), strengthening career support for global leader talent, optimizing talent allocation, and fostering a work environment that encourages creativity and innovation.

Under these circumstances, Hitachi Construction Machinery decided to partner with GLOBIS to develop leadership programs as a key initiative for global growth. GLOBIS brings outstanding results and know-how, equipping employees with the skills to lead effectively and work across global teams. Through structured training and executive involvement, these programs help Hitachi Construction Machinery develop future leaders while staying true to its core values.

The Kenkijin Spirit

For Hitachi Construction Machinery, the Kenkijin Spirit is more than just a philosophy—it is the foundation of leadership and corporate culture. Built on the Three Cs (Challenge, Customer, and Communication) these principles guide employees in their daily work and long-term growth. As Hitachi Construction Machinery continues to expand globally, instilling this mindset across diverse regions is essential to uniting its workforce under a shared vision.

“Kenkijin comes from Japanese—kenki means construction machinery, and jin means people. So, it translates to ‘citizen of Hitachi Construction Machinery.’ The Kenkijin Spirit is our code of conduct, built on Three Cs that define how we work and grow together as a company,” explains Chen.

By embedding the Kenkijin Spirit into leadership development, Hitachi Construction Machinery ensures that employees worldwide share not just business strategies but also core values. This philosophy helps leaders embrace collaboration, think globally, and drive long-term success. Strengthening the Kenkijin Spirit remains central to Hitachi Construction Machinery’s HR strategy as the company continues to evolve on the global stage.

Implementation of Leadership Development Programs

To cultivate strong leadership across its global workforce, Hitachi Construction Machinery has implemented three key programs in partnership with GLOBIS: GALT (Global Advanced Leadership Training), KLDS (Kenkijin Leadership Development Session), and BSEP (Business Skill Enhancement Program). These programs are designed to equip future leaders at different levels with the skills, mindset, and professional network needed to collaborate across regions to drive growth.

Program Goals

From the outset, Hitachi Construction Machinery’s HR leadership was clear in its objectives: to develop a strong leadership pipeline, enhance cross-regional collaboration, and strengthen the Kenkijin Spirit across all levels of management.

According to Chen, “our goal with these programs is to provide a structured learning journey that equips our leaders with the skills they need to contribute to the company’s global growth. More than just leadership training, we want them to build a network, communicate across regions, and truly embody the Kenkijin Spirit.”

Each program is tailored to a specific leadership level:

• GALT (Global Advanced Leadership Training): Designed for executive-level leaders, developing strategic thinking and decision-making skills necessary for top management roles.

• KLDS (Kenkijin Leadership Development Session): Focuses on mid-to-senior level management, emphasizing leadership principles rooted in the Kenkijin Spirit and fostering collaboration across business units.

• BSEP (Business Skill Enhancement Program): Targets middle management, providing essential business and leadership skills to prepare them for greater responsibilities.

Program Expectations

Setting clear expectations for implementation and outcomes is a crucial first step in the co-creation process. GLOBIS and Hitachi Construction Machinery worked closely to ensure alignment between participants, senior management, and Hitachi Construction Machinery’s many regional offices.

“We want participants to take ownership of their growth. It’s not just about learning leadership theories—it’s about applying them in real business scenarios, engaging in discussions with executives, and building connections with peers across different regions,” says Chen.

During the programs, participants are encouraged to engage in leadership challenges, present their learnings to executives, and participate actively in cross-regional discussions. The culmination of these initiatives is a final presentation, where participants demonstrate how they have applied their training and reflect on their personal growth.

Additionally, the programs utilize GLOBIS Unlimited–GLOBIS’s business e-learning platform. Participants use it to prepare for and review sessions, while also having the flexibility to study at their own pace based on individual needs. Recently, subsidiaries in the Americas, India, and Zambia are also set to begin implementation of the service.

“We see GLOBIS Unlimited as more than just a learning tool. It is the foundation for a united business language across our global operations,” Chen says.

Executive Involvement and Support

Securing management buy-in was critical to the success of the leadership programs.

“We have involved our President, from the planning stage of KLDS and GALT, where he actively shares his experiences and participates in key discussions,” Chen shares. On the final day, participants present Hitachi Construction Machinery’s future strategy and their own leadership approach to realize it. They share their insights with our management team, including the President. For participant selection, we seek approval from regional management to ensure their full support throughout the program.”

This direct involvement from top leadership reinforces Hitachi Construction Machinery’s commitment to developing future leaders and ensures that the programs remain closely aligned with the company’s strategic vision.

Program Challenges

Implementing a global leadership development framework comes with its challenges. Ensuring alignment across different regions, overcoming cultural and language barriers, and securing executive buy-in were all key hurdles that Hitachi Construction Machinery had to navigate.

“One of the biggest challenges is ensuring that our programs resonate across all our global offices. Each region has its own business priorities, and we need to make sure leadership development is seen as an investment, not just an initiative from headquarters,” explains Chen.

Transitioning to online training during the pandemic added logistical difficulties, but offering multiple time slots and leveraging digital tools helped maintain engagement across time zones.

Another challenge is measuring long-term program impact. Chen acknowledges, “observing any changes in participants’ awareness, skills, and behaviors is one of the most difficult points we must check. We work with GLOBIS for the questionnaire after the session, but real change is mainly shown at their own workplace.”

Despite challenges, Hitachi Construction Machinery stays committed to refining its leadership programs, adapting to feedback, and keeping training relevant and impactful worldwide.

“There are cases where participants wish to change some of the content in the session. If it happens, we immediately discuss it with GLOBIS and find alternative solutions so that the majority of participants feel engaged and get the most out of the training.”

Reflection on the GLOBIS Partnership

Hitachi Construction Machinery’s collaboration with GLOBIS has been instrumental in shaping its leadership development programs. From the start, GLOBIS has worked closely with Hitachi Construction Machinery to co-create tailored training initiatives, rather than offering generic solutions.

Chen reflects, “GLOBIS has been involved from the planning stages, refining our programs based on real business needs. Their flexibility and responsiveness have made a significant impact.”

A key strength of the partnership has been GLOBIS’s adaptability. When KLDS launched in 2019, GLOBIS helped communicate its value to global offices. During COVID-19, they ensured continuity by seamlessly transitioning to online sessions. Based on regional demand, the 2024 session has now returned to an in-person format. Similarly, BSEP has been continuously refined since its first year based on participant feedback, demonstrating GLOBIS’s commitment to ongoing improvement.

“GLOBIS has successfully supported these programs through strategic content improvements, expert facilitation, and responsive program adjustments based on feedback,” says Chen.

Another major benefit has been GLOBIS’s international presence, which empowers Hitachi Construction Machinery’s regional offices to engage directly with GLOBOIS consultants and facilitators across different markets. This has ensured consistency in leadership training while allowing for localized approaches.

“GLOBIS has several overseas locations, which is a major advantage as it allows our overseas group companies to connect with them easily from anywhere.”

Additionally, the KLDS Alumni Network, initiated by GLOBIS, has played a key role in strengthening internal networks, enabling past and current participants to stay connected and continue developing their leadership skills.

“GLOBIS doesn’t just provide training, they collaborate, challenge our thinking, and offer valuable insights. It’s a true partnership where both sides contribute,” observes Chen. “If I were to describe them in three words, they would be: professional, customized, innovative.”

The collaboration with GLOBIS began with the KMDS (Kenkijin & Upper-Management Development Session) program. This initiative was conducted from 2013 to 2015, bringing together talented leaders from around the world. Its goal was to develop leaders with innovative mindsets who can adapt to diverse global business environments—true “Innovating Kenkijin”.

Thoughts for the Future

Hitachi Construction Machinery looks ahead with confidence, committed to strengthening its leadership development initiatives as it navigates a new phase of independence. Investing in people remains central to its long-term success.

Hitachi Construction Machinery plans to expand training opportunities, integrate digital skills development, and strengthen regional programs. Leveraging GLOBIS’s global presence, the company aims to provide learning opportunities that align with local needs while maintaining a unified leadership framework.

“We will assess our current leadership training and identify areas for enhancement. Our wish is to expand training beyond our internal group, enabling our leaders to gain new perspectives.”

By continuously refining its programs and fostering a strong, global leadership pipeline, Hitachi Construction Machinery is laying the foundation for sustainable growth for generations of leaders to come.

GLOBIS Consultant Voices