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Work reform spells bigger profits for Japan Inc., survey finds

Overtime cuts and new ideas benefit companies

Reducing overtime seems to help boost productivity.

TOKYO -- Japanese companies that succeed in creating vibrant work environments also boost their chances of realizing record earnings, with innovation and high productivity likely driving their growth, a Nikkei Inc. study shows.

The Nikkei Smart Work survey ranks 587 listed and 15 unlisted companies on their organizational performance based on three aspects: the adoption of diverse, flexible work practices; a corporate structure that gives rise to new businesses, and the ability to develop markets. Corporate governance and other areas also factor into the comprehensive ratings.

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