Masahiko Shigesato, Representative Director and President of SRS Holdings Co., Ltd.

Understanding the needs of the restaurant and leading it to become the best Japanese restaurant in Japan

Masahiko Shigesato, Representative Director and President of SRS Holdings Co., Ltd.

■ Profile

Born in Osaka Prefecture. After graduating from university, he worked overseas for a general trading company and gained experience in M&A before joining our company in 2008. He launched the all-you-can-eat menu item "Sato Shabu" at "Washoku Sato" and carried out reforms to the kitchen and interior of the restaurant, resulting in a recovery in business performance. In 2017, he was appointed Representative Director, President and CEO (current position). With the motto "Work cheerfully," he is working to make eating out and ready-made meals an essential part of the local infrastructure.

When his father suddenly passed away and his brother took over the family business, Shigesato, who was working for a trading company, had never considered taking over his father's restaurant business. But why did Shigesato become involved with his father's company? We asked him about the path to great success as a Japanese restaurant chain.

■From research to business

When I was in university, I chose to study veterinary medicine in the Faculty of Agriculture. I had always wanted to become a doctor, but when I was taking the university entrance exams, my father was actually against me going on to medical school. He even said, "If you go to medical school, I won't pay your tuition fees." (laughs)
Our family business is a Japanese restaurant chain. Looking back, I think my father, who had been diagnosed with cancer at the time, wanted me to help out as his successor, knowing he didn't have much time left. In the laboratory animal science lab where I majored in veterinary medicine, I primarily conducted research analyzing disease models using virus-induced disease models. However, the more I worked, the more I began to feel that research wasn't for me. It wasn't about whether my experiments were successful, but rather that I didn't feel a sense of accomplishment in research. I began job hunting in my sixth year of university (veterinary medicine is a six-year program), and after seeing various companies, I felt a strong desire to learn in a broader world. At the time, new brands and products were rapidly entering Japan from around the world, so I was intrigued by business. Listening to the stories of my senior recruiters, trading companies seemed to be the most appealing and enjoyable companies.

■ Inheriting his father and brother's company

After joining the trading company, I worked in the US developing products for Japanese manufacturers and connecting them to sales. Just before returning to Japan after five years of working overseas, my company merged with another general trading company, and my company was essentially the one being absorbed. The department I was in was sold to a fund, and management was carried out differently than before. To put it simply, it was like a numbers-first approach. Then, at the age of 39, it was decided that the company would be sold from one fund to another, and I was reluctant to repeat this cycle over and over again, so I decided to change jobs.
Just to be sure, I contacted my older brother, who took over the company after my father's death, to let him know, and for the first time in my life, we ended up having dinner together. That's when my brother asked me if I would like to help out at the company. I had received offers from foreign pharmaceutical companies, but I was grateful to my late father for raising me, and I wanted to use the experience I had accumulated up until then to be of some use to the company, so I decided to help out with the family business.

■ Understanding the needs of the field

Initially, as I had worked for a trading company, I was expected to be involved in overseas strategy and purchasing when I joined the company, but after the Lehman Shock, I was suddenly tasked with rebuilding the company.
So the first thing I did was to reform our main brand, "Washoku Sato." As the head of the brand, I not only reformed operations but also developed products. I interviewed all store managers and around 250 other employees to understand the current situation, and walked around the city looking for the characteristics of stores that are popular with the public. So, when I thought about what we could do with our company's strengths, "Sato Shabu" was born. I tried everything I could, such as adding value to tempura products and introducing a drink bar.
We also considered introducing touch panels, but initially we were met with strong opposition from management and many employees. From the employees' perspective, we believe they wanted to continue taking orders the traditional way. However, it is the frontline staff who are directly facing the customers, not us at the top of the business. The needs of the frontline staff can only be understood through communication with them. I entered the restaurant industry from the outside, but I felt objectively that it was important to understand the needs of the frontline staff and the demands of the times, which is why we introduced touch panels. As a result, the burden on the frontlines was reduced and this contributed to sales. I consider it a great achievement that we were able to save the company from a difficult situation with this bold idea.

■ Number of customers = Social contribution

In recent years, I feel that our customers' lifestyles have changed significantly due to the impact of COVID-19.
Many customers are returning before 9:00 PM, but the number of customers after that time has dropped significantly. Large-scale banquets are also on the decline, perhaps reflecting the trend of people going home after work. While demand for banquets was high in the past, we have remodeled many of our restaurants, which previously had large rooms, into semi-private rooms for smaller groups, so that families can enjoy themselves. Adapting to the changing times is key to attracting customers. I often tell my employees that I believe the number of customers is an indicator of our social contribution. Nothing motivates me more than seeing customers enjoying their meal. To ensure customer satisfaction as a Japanese restaurant, we aim to expand our brand not only in Japan but overseas, and ultimately to the United States.

■Message to university students

When job hunting, you'll likely see a lot of information about which companies offer high salaries and are popular, but I believe that salary, working environment, and employee benefits are secondary. First of all, be honest with yourself. Even if you're looking to build a career, life is long, so it's best to find a job that you find enjoyable. Think about what keeps you energized, based on the experiences you gained as a student. If you enjoy your job, you'll be able to overcome any difficulties.

Interview with Sophia University sophomore, Himawari Shirasaka, published January 12, 2024 on Student Newspaper Online